IQD Weakens as Dollar Climbs: Oil & Policy Hold the Keys!!

 IQD Weakens as Dollar Climbs: Oil & Policy Hold the Keys

The dollar just gained strength in Iraq. Exchange rates in Baghdad hit 141,450 IQD per 100 USD, while sellers asked up to 142,500 IQD; a clear sign the dinar is under pressure. Why? Oil prices are hovering at $66.62 per barrel, dangerously close to Iraq’s fiscal break-even.

Gold is trading high at $3,269.16/oz, signaling global risk aversion.

The IQD, still tightly managed, is showing signs of strain in informal markets. But this isn’t the signal for an imminent IQD revaluation.

The real pivot?

Iraq’s ability to rein in spending, diversify beyond oil, and implement banking reforms urged by the IMF.

Until then, the parallel market will continue whispering what the official rate won’t.

For IQD holders, this is a watch and hedge moment. For VDN holders, the impact is distant; but still a cue to track Middle Eastern oil-linked volatility. Hedging remains key. Gold, SILVER, real estate, BTC (still projected to hit $151K), or XRP are worth considering.

VIETNAM WILL REVIEW EXCHANGE RATE (REUTERS)!! @DINARREVALUATION #iraqidinarinvestor #iraqidinar

 

Iraqi PM Confirms Progress on New Cities

 Iraqi Prime Minister Mohammed Shiaa Al-Sudani has confirmed that six new cities have been 'awarded for execution', with three more pending, as part of a broader plan to develop 60 new urban centres across the country.

Speaking at a meeting of the New Cities Authority on Monday, Al-Sudani emphasised the government's commitment to strategic, long-term solutions to Iraq's housing crisis. The meeting was attended by the Ministers of Construction and Housing, and Environment, along with senior advisors and officials.

The Prime Minister stated that challenges-particularly those related to land ownership, legal transfer to investors, and the resolution of infrastructure overlaps-are being actively addressed.

He directed officials to implement practical solutions for service delivery, ensure transportation links to new cities, and integrate these projects into national and local service plans. He also called for a comprehensive infrastructure map for Greater Baghdad, incorporating both the existing city and its planned extensions.

Progress was reviewed on several key developments, including the cities of Al-Jawahiri, Ali Al-Wardi, Al-Fursan, Al-Ghazlani, and Difaf Karbala.

(Source: PMO)

TIDBIT FROM SANDY INGRAM: The central bank must also avoid multiple exchange rates or practices

  Sandy Ingram  

 This is what is important. 

 To obtain IMF Article VIII status a country must demonstrate that it maintains a freely usable and convertible currency and allows current account transactions to flow without restrictions. 

 This means the country cannot impose controls or delays on international payments.. .

The central bank must also avoid multiple exchange rates or practices...Instead it must commit to transparent market-based exchange rate policies and permit fair access to foreign exchange.

EXCERPTS FORM MARKZ: I am still guessing THE DONG WILL BE at the $2-$2.25 range @DINARREVALUATION

 

New Vision Approved for Baghdad Metro Project Execution

 Prime Minister Mohammed Shiaa Al-Sudani has directed the completion of all procedural requirements for the Baghdad Metro project under a revised implementation framework.

During a high-level meeting on Sunday with the Head of the Iraq Development Fund, the Mayor of Baghdad, and the Prime Minister's Advisor, the PM reviewed a new strategic approach for delivering the capital's long-awaited metro system.

According to a press release from the Prime Minister's Office, previous company bids were rejected, prompting a shift in strategy toward a global best-practice model.

It added that the revised plan entails forming partnerships between the Iraqi government and both local and international investors, with execution to be carried out by world-class firms. The approach includes integrated development across infrastructure, consultancy, transit systems, and environmental, social, and economic assessments.

Al-Sudani emphasised the importance of the metro as a critical infrastructure project and instructed stakeholders to finalise related consultancy studies in preparation for further decisions at the next meeting.

(Source: PMO)

🚨 Negotiations between #Erbil and #Baghdad have stalled

  Negotiations between #Erbil and #Baghdad have stalled.

Sources tell

@RudawEnglish

Baghdad refuses a written oil deal, fearing political backlash ahead of the Nov 11 elections .

KRG insists on formal terms.

Will this ever be resolved?