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Dinar Updates Monday Chat 7-25-16 Part 2 of 2
diagyAAAE says():Adviser to the servants, the Iraqi economy is recovering gradually but slowly
7.25.2016 10:52 Adviser to the servants the Iraqi economy is recovering gradually but slowly[Special Oan-]
Economic Adviser to the Prime Minister Haider al – Abadi, said that ” the Iraqi economy is gradually recovering, but slowly he said.”
Iraq faces a financial crisis since the fall of oil prices in July 2014, which constitute 90% of its imports, and conducted on the impact of government austerity policy to reduce costs and provide the necessary resources and taking international loans to secure war supplies to the terrorist Daash gangs, and the salaries of the staff.
He said the appearance of Mohammed Saleh, He told all of Iraq [where] that “Iraq is still in financial distress do not want to be overly optimistic and pessimistic at the same time, caution is required, but there politically and economically determined to rotate the case successfully continuing.”
“since 2014 and until today the country moving the right way was not there shorten the obligations of the government in the past year as well as the first half of 2016 and this means that there is a successful economic approach to the government of Haider al – Abadi and this success must sustain the momentum it. ”
Saleh pointed out that” the Iraqi economy is recovering gradually but slowly and treat the situation day by day and week by week. ”
the planning Minister Salman Jumaili said in a July 11 th, that “Iraq has surpassed the stage of the most dangerous in the economic crisis , after passing the first half of 2016, and that the confidence of the world is growing Iraqi economy.”
he expressed the hope that “the second half of 2016 better as witness Iraq by the end Daash and the return of displaced persons as well as the existence of positive indicators for the rise in oil prices in the global market as well as the results of economic policies and treatments taken by the government during the last stage. ”
the international Monetary Fund published last week , the memorandum said it was the Iraqi government , ” the government will freeze policy appointment in most sectors and pension reform [salaries] and charging for electricity in order to increase revenue. ”
agreed with the international Monetary Fund recently on loan demand, allowing Iraq to get first payment of $ 1.9 billion. alliraqnews.com END
1bobby says to diagyAAAE():That article on the Port of Faw, is that in regards to the Wednesday meeting they are having? Thanks for that info
1bobby says to diagyAAAE():oops nevermind just saw it was. Thanks again
diagyAAAE says():You're welcome
diagyAAAE says):What does it mean to float the currency?
July 25, 2016
What does it mean to float the currencyFloating currency is to make the exchange rate of the currency as an editor in full, so that the government does not interfere , or the central bank in the determined directly. But it is automatically excreted in the currency market by supply and demand mechanism that allows for the identification of the national currency exchange rate against foreign currencies .
And fluctuate prices of floating currency exchange constantly change with each witnessing supply and demand for foreign currency, so it can be changed several times per day.
Flotation forms can be either pure or flotation be directed:
– pure flotation: are left to determine the exchange rate to market forces and the mechanism of supply and demand in full, and the state refrain from any direct or indirect intervention.
– Flotation prompt: is left to determine the exchange rate to market forces and the mechanism of supply and demand, but the state intervenes (via the central bank) as needed in order to guide the exchange rates in certain directions by influencing the size of the offer or demand for foreign currencies.
Supporters of flotation for as long as theorists monetary school in Economics defended ( Milton Friedman model) for floating currencies, claiming that the liberalization of exchange rates will make it reflect the economic fundamentals of the various countries (growth, trade balance, inflation , interest rates), and will lead it thus to restore the balance of relations and business accounts The current account is constantly and automatically.
And they see these economists, like the neoclassical trend in the economy, that the liberation of all prices -osar goods and services, interest rates, labor prices (wages), foreign exchange rates (exchange rates) – and leave the identified markets without any interference or direction from the state, always ensures access to state of balance.
This stems from the belief in blind efficient markets, despite the fact that economic reality has proved more than once that the markets in the absence of oversight and control lead to disaster ( the mortgage crisis real estate in the United States model).
diagyAAAE says():And justify those convinced the currency float , saying that any trade deficit will lead to an intense demand for foreign currency, which will lead to devaluation of national currency against foreign currencies, and thus to enhance the competitiveness of the country concerned.
This sponsor, they say, increase exports and reduce imports, Viatdl so the trade deficit is due to a state of balance. The same logic works in reverse direction if there is a trade surplus.
The supporters of the flotation welcomed very much the adoption of major economies in the world to systems of floating exchange rates (flexible) , after the collapse of the Bretton Woods agreement in the seventies of the last century, which had been laid down by the International Monetary system based on fixed exchange rates (but adjustable) between currencies.
Context switching cracked the Bretton Woods system in the summer of 1971 after the United States formally reneged on its commitment to transfer all traded in dollars to the world ‘s gold, according to the price specified by the Convention in 1944 (US $ 35 each equivalent ounces of gold.
Nhart the value of the dollar for gold did greenback -gar gold – backed and controlled exclusively for the accounts is monetary policy the US without any regard for the interests of the rest of the world an international standard has the confidence of everyone.
Maintaining a fixed exchange rate against the dollar also has become extremely difficult for many of the economic powers in the world, the latter began to adopt a floating exchange rate system under which left free to determine the value of the foreign exchange market based on supply and demand law.
Disappointed after several decades of the adoption of a floating exchange rate systems and disseminated to a large number of countries around the world (including developing countries), the currency was floated promises rebalancing has been done to the trade balances of the world, the hopes of his supporters did not materialize.
Artificially low exchange current moved far from the supposed level that leads to a balance, and the biggest proof of that is the size of global imbalances (Global Imbalances), which reached record levels and still are resistant to treatment.
The United States and some European countries as well as many developing countries known as the case of a structural trade deficit for several decades, and in return you know China , Germany , Japan and oil – exporting countries trade surplus structurally.
Instead of floating currencies that ensures a rebalancing of international trade relations, the world knew the case of monetary instability due to the continuing exchange rates and fluctuations big change, which is sometimes subject to any rational logic because of the psychological factors that frame the movement of global speculators. Al Jazeera rawabetcenter.com end
popeye7 says (): Here is an article from the Washington Times indicating that US officers in Baghdad are concerned that the offensive war plan for Mosul is being rushed before the November election... Politically driven some say... Lots of inconsistent information concerning Mosul... I find that interesting...
Read More :http://www.dinarupdates.com/showthread.php?37602-Monday-July-25-2016/page2
popeye7 says to jfd():If it were politically driven, it would better serve the Democratic party to win quickly I would think...
rcookie says():LETS CLEAR SOMETHING UP....THE INTERNAL POLITICAL AND LEGISLATIVE ENVIRONMENT IN IRAQ IS WHAT HAS DIVERTED ATTENTION AWAY FROM LIBERATION SPEED AND IS BEING SCREAMED ABOUT IN IRAQ FROM EVERY CORNER......BOMBINGS...GANGS...THEFTS...DEMONSTRATIONS... CORRUPTION ...OVERALL SECURITY...
rcookie says():OH YEAH...AND THAT SILLY LITTLE DETAIL ABOUT HAVING TRAINED PERSONNEL AND EQUIPMENT CAPABLE OF EXECUTING THE MILITARY OPERATIONS AT HAND WHILST MAINTAINING ABSOLUTE NATIONAL SOVEREIGNTY....
david334 says():Interesting timing by Al Jazeera. Was this a random editorial in AJ?
Dr Dave says():Kurds refusing to relinquish territories recaptured in Nineveh by the
Peshmerga...did not think it was part of Kurdistan anyway????
jfd says():I just hope the PTB dont need the Kurds Sunni and Shi ite holding hands and singing Kumbiya to get a RV or we could be waiting a while longer.IMO
watson1 says(): http://www.upi.com/Top_News/World-News/2016/07/25/5000-to-10000-Islamic-State-fighters-in-Mosul-Iraq-some-expected-to-relocate/5231469451124/
BGG says to Dr Dave):Could be why the US is doing some "horse-trading" in the area...
BGG says to Dr Dave():I blame them not ONE BIT...
BGG says to Dr Dave(:):and this is likely part of why the GOI in Baghdad doesn't want the Kurds in on the Mosul operation. They don't want to have this same conversation again later.
BGG says to Dr Dave():(I don't blame the Kurds - that is...)
BGG says to Dr Dave():the Kurds have been under pressure from Baghdad since the 70's - generally trying to change the "electoral map" with all kinds on NONSENSE.
rcookie says():Near the completion of the first industrialized cities in Iraq
7/26/2016 0:00 BAGHDAD - The joy of pumice with the approach of the Ministry of Industry and Minerals and other stakeholders of the completion of the first industrialized cities in Iraq, the leading specialist industrial significance of this and its impact on the economic reality of the cities.
The expert said Aqeel Abboud «morning»: The «This step aims to collect plants and small and medium factories and even the big ones , sometimes, in a single place where infrastructure and services of electricity, water, roads and transportation is available».
Industrial city known as the «custom scheme area her for the purpose of industrial development, and the version «simpler» which is a business park or office complex , which contains offices, light industry, rather than heavy industry.
» Abboud pointed to the importance of these cities, as the completion will contribute to the payment of the Iraqi economy forward by providing jobs for the unemployed , it is expected that the industrial city one operates from 5000 to 30 000 citizens, as well as the advancement of the Iraqi industry and provide local products compete with imported, especially with the application of the tariff ,
which called for an increase in the event of Iraqi industries began to meet market needs and gradually. It is noteworthy that the head of the Investment Commission of Baghdad , Shaker al - Zamili revealed «morning» Recently, on the status of plans to set up industrial zones, declaring choose my part of Abu Ghraib, Latifiyah to identify land areas within them, pointing at the same time that the Authority aims of the establishment of plants for different products.
The General Company for the design and implementation of the Ministry of Industry and minerals projects have achieved advanced achievement in the project of establishing the industrial city in Dhi Qar ratios of up to more than 80 percent.
Director of the Information Center and Public Relations at the Ministry Abdul Wahid Alwan al - Shammari said: «
The company has completed more than 80 percent in the implementation of the second phase, as the work included the establishment of a unit of water filter and road construction , modern buildings include banks and building workshop for Civil Defence, a restaurant and a workshop for Transport and the establishment of networks for water and sewer rainwater and network power supply and lighting, mobile unit for wastewater treatment plants, as well as pumping station rainwater.
The first stage was including the construction of a building for administration bunk and set up a fence industrial city length of 3 km and the main gate of the city of Foreign queries and networks of electricity, telephone and water networks, sewage and create a water tank.
Basra province , also announced the completion of more than 90 percent of the largest industrial city project in Iraq, stressing near the opening.
A source in the province »Sabah», that « the city include a private station , you disconnect the oil from the water and power plants and Integrated Services for craftsmen on an estimated area 23 k
rcookie says():THATS 80% FOLKS....AS IN 8 0 %
subgirl says():The company has completed more than 80 percent in the implementation of the second phase, AND Basra province , also announced the completion of more than 90 percent of the largest industrial city project in Iraq, stressing near the opening.
subgirl says(M):Moving right along!!!! (y)
Read More :http://www.dinarupdates.com/showthread.php?37602-Monday-July-25-2016/page2