Interesting stuff. Maliki disappears – rock throwing by GOI. – Media says, you can’t watch what we are doing so they just shut Iraq down – everything being told on Iraqyia TV to the citizens.
Delta will explain how they will gradually replace the currency to get to 1:1
Allawi and Barzani
Delta – former VP Hashemi when he was accused of treason against Maliki he fled to Kurdistan. Allawi knows he is there – Allawi is trying to brainwash Barzani – trying to align themselves against Malaki and his national coalition – Delta doesn’t think this is going to happen. Barzani going to come to us and talk for some reason – Delta says he’s really changed a lot. Keep in mind that Maliki helped the US to write the Iraqi constitution. Maliki knows everything in the law and constitution. So everyone knows that what Barzani is up to really isn’t going to work. The good news is, is that the President of Iraq is a Kurd – Talibani. Everyone likes him. He is respected.
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Allawi we have known all this time, he is a problem. Hashemi has all this evidence against him and he flees to Kurdistan. Now, Barzani is supposed to turn him over to Baghdad, but trouble is, that Barzani and Hashemi they have a brotherly pride that gets in the way of justice being served. Hashemi knew if he went to Kurdistan and asked for help that they would tuck him under their wings. And that’s the problem. Now supposed the opposite happened; someone did something to Kurdistan and then ran to Baghdad; then Kurdistan could have made a big deal about it and have been like hey you have to give us this and that now. Now Allawi is going to start complaining like a little kid about it all. Maliki keeps telling them, we have nothing to do with it; this is up to the Supreme Court, the court has to decide what his fate will be.
National meeting to be held on Apr. 5. Talabani asked them to do that. They are all going to meet. Iraqyia TV, Iraqyia List will not attend unless agreed on Irbil agreement. This has nothing to do with the RV.
Delta says he is not concerned with Maliki, Barzani, or Allawi. He’s only concerned with when Shabibi says that he will begin to delete the zeros and distribute the lower denoms. All good news though family says Delta.
Frank agrees; he pays little attention to the GOI and just wanted to see what was going on, on Iraqyia TV lately. TV is showing a lot about the Arab Summit and is being used to educate the people says Frank.
Tomorrow, actually right now, Arab Financial ministries are meeting. This will be the most important part with financial ministries of Arab countries. This financial meeting is very huge. The other countries are going to interrogate Iraq about their finances and their international status. This is all very, very important for Iraq. There was a big push from the US about 5 months back to all the Middle Eastern countries to attend the summit. This gives a good indication that Iraq is back just as they once were. The countries are there to support Iraq with exiting from Chapter 7.
Delta says Iraq was liberated last year financially & economically from this.
Remember back on the 12th Delta’s contact was told about them shooting for the Summit and then article came out on the 13th with one of the members of the Financial Committee from the Parliament saying what Delta’s contact was told about this happening within a few days they are going to decrease the value of the dollar against the Dinar. Meaning they will increase the value of the Dinar significantly.
Delta says, remember, the Summit was originally supposed to be just on the 29th off; a Thursday. But for some reason they wanted to have about 7 – 10 days off; starting this past Sunday all the way to this coming Friday and should start back to business this coming Sunday. Looks like this was something that Shabibi wanted before the Summit. All indications we might not see something before the Summit. They are very busy with the Summit. Yes we could see something but everything. Everything is really done. All the articles coming out the past 3 weeks have been giving us all excellent news.
3 or 4 weeks ago Delta came on and gave us 3 or 4 scenarios about how the RV may come out. Many were upset about these scenarios. However, an article came out last week, proving what Delta had told us about some of these scenarios.
The CBI, what they are stating is that, Frank interjects, that he and Delta knew about the penny to .10 cent probability but didn’t say anything to the family about this at that time. When Frank tells us something it usually takes about 3 days to see the articles come out regarding it, but this time it took a lot longer than was expected. Delta says that he and Frank do not tell us stuff as if they sit around and create something out of nothing. They bring us information after they have studied it carefully, after they have affirmed things several times over and think hard if the information is viable enough to let us know about. It’s not something Delta is trying to make up. This is actually what their intention to do is. The article came out and he read it in Arabic as most of us had read over it in English. What the article said was that they are going to increase the value of the dinar gradually. Until the time comes that they introduce the lower denominations and then will bring it up to 1:1.
Delta says he hopes they come out higher, but it’s quite possible they may only start out around .10 cents or so. They have 30 trillion dinar in circulation. Albeit not all 30 trillion are in Iraq. They only need 10% of this as liability or backup to that amount. Now, 10% of 30 trillion is 3 trillion. Divide 3 trillion by 60 billion, in their reserves, and you have 50. Based on what we know right now that is 50 dinar which is about 2 pennies. But we know not all of the 30 trillion is in the hand of the Iraqi citizens. Let’s assume that the CBI has sucked in about 80%. Again based on what we know right now. They could come up with about .10 cents to start, which would replace what they currently have in the market and that is backed by the reserves. But they are not telling us exactly how much they have in the hands of the people or how much they have sucked back into the CBI. Delta says that this is still good news. Whether .10, .20 or .25, whatever it’s going to start out with, is going to be good news to for us all. Just to let everyone know that this appears to be the CBI’s intention and really do believe that they are not lying to us. Remember, they are not doing this for us; they are doing it for their people. They are doing it gradually so that they don’t confuse everyone or shock their economy.
Also on Iraqiya TV and likely an article came out regarding this; the Iraqi Stock Exchange, the head of the ISX, he came out again and stated that the lifting of the zeros will not affect the shareholders.
Delta tells us to ignore articles that attempt to confuse everybody. Not even the economists know what the rate will be. The CBI is telling us they are going to do this gradually. No one knows what they are going to come out with as the starting rate. We are just giving you a potential scenario. That’s why you see many of their economists wondering what the rate is going to be. Why they are going back and forth saying it will be good, it will be bad…they don’t know yet either.
Delta is still surprised that some seem to think that it’s going to be a lop. If it’s going to be a lop, they will not come out and tell you that they are going to increase the value of their currency to 1:1 with the dollar. How is that a lop? They are going to increase the value; revalue their currency...gradually. Not lop it. It’s going to RE-VALUE.
They have come out saying it’s going to cost them $150 million to print the currency. Frank and Delta are telling us, the money has ALREADY been printed. Perhaps not all of the lower denoms or coins with the Kurdish language but have several of the lower denoms already printed.
Frank finds it interesting that they are telling us that it will cost them $150 million or $160 billion dinar to lift the three zeros. They are telling us that they allocated $150 million from their budget to remove the three zeros; and that they have already began the process; it’s already started.
Delta says recall what Delta shared back at the end of Dec. the prime ministry cabinet approved the budget and stated that approving the budget would enhance the value of their Dinar. Frank interjects that they also said that it would have to include the new rate of the dinar. Delta says, right. That’s why it’s been 3 months and they still have yet to post it in the Gazette. The monies are not yet distributed because the budget hasn’t yet been posted. Everyone is on vacation, everything is locked down and we’ll likely not see anything until after the Summit.
Frank says, security was a very sensitive issue with the Summit and they were not going to divide themselves on two fronts, security wise. If they are going to do it, IF they do it, it would likely be either towards the very end of the Summit on the 29th or after the Summit. Frank says they are really no longer focused looking for the rate during the Summit. It’s more of a stage for them to party and pound their chests. It’s plausible now that they will wait and let the dignitaries leave and setup another stage around the 5th of April exclusively to announce the new rate.
Delta brings up why did they have everyone locked down and tell them to stay home. Frank says they are going to watch their government. The citizens are going to watch their gov’t and grade their gov’t and they will be ready to pounce if they don’t do what they have been promising.
Delta says it’s all excellent news. We know they are going to revalue their currency. They came out and said that once they get the green light from the government they will announce what it is we are doing. No one knew when they got the green light. But then last week we see this article that they are going to print the money, we have 4 companies that bid on that…Delta says this was actually done about 3 or 4 months ago.
The CBI does things and waits a long time before posting things up on the website. Today it’s all holiday in Iraq, no one is open right. So, you’re telling me that the newspaper somehow went to the CBI and Seleh came out and said, yes today at this moment, I just had a contract with this company and they are going to just now start printing our new money…Delta says wait, I don’t care if you work 24 hrs a day it will take 18 months to print all the new currency. Just ask De La Rue.
There is a YouTube video and this is what they state on the video. They could do it as fast as 6 months but point being it would take them a lot of time to do that. And it would cost a whole lot more money. But you’re going to tell me all of sudden you just got your contract and your just now going to start printing the new money and come out with the new denominations by Jan. 2013? You’re not going to have time, how are you going to do that?
Frank says they are not in a hurry; they have never been in a hurry. We are in a hurry; they are not. But they are doing things, they are accomplishing things. Moving in a direction that we want but it’s very slow. Don’t look at dates and race. Look at the progress. Article comes out saying in the coming days, we’ll see a plan, (Frank inserts, a Marshall Plan) explosively huge… Frank quotes WinCinTai about Moby Dick but Frank says, no, she said, don’t you blow it.
Delta says that they have been shredding a lot of the currency the last 3 or 4 months. Delta has us recall the De La Rue machines that were bought at the end of 2011; this is the purpose of those machines to shred, count and bundle; to do whatever they need to do with the currency. So, they are already doing this. This tells us that they are reducing their money supply. The less they have the higher the value of the rate will be. And this is what they are trying to do.
Today we probably saw the article that said that when they start exchanging the currency that the shredding and the phasing out is going to be done at the CBI.
Iraq economy was liberated a year ago. Iraqi Treasury bond being sold in UK; this has been going on for one or two years now. If you are under Chapter 7 you cannot do this. A country can’t do that unless they are international. Delta informs Frank that it’s official and Iraq has a credit B rating right now. They used to be around C-. So, now they qualify for a lot of things. All good news though says Delta. Let’s see what comes of the Summit. He says, who knows, anything could happen. Definitely all good news; we should all be very excited at this time.
Frank says no wonder the WTO is getting more involved.
Bluestar comes on speaks on security and potential for performing RV at this time or will it wait and move until another time where security would tighten up again say a month or few months down the road.
Delta says Shabibi got his 10 – 12 days to pull the trigger. CBI and GOI know what is going on but again is going to come out gradually. If it starts out at .10 they don’t have to release lower denoms yet. They can use what they have currently including the old coins the once had in circulation.
Bluestar proposes scenario that if they came out that low they could control the pulling in of the three zeros as people might either cash in in-country or through entities that are tied to the CBI state-side. Thereby controlling and keeping whales and sharks from taking advantage. Yes, Delta and Frank agree, the scenario is well presented.
Delta clarifies, that when the currency goes international, brokers can no longer sell the currency. No one can buy more than $3,000 daily. Whales & sharks buy when the value is very, very low, not at .10. The CBI is also phasing out the 3 zero denoms. Who would come back and buy the 3 zero denoms? It will be very hard to get them out.
If they come out low, still 80% - 90% will come to Iraq and open accounts left and right. As they move gradually to 1:1 because investors will be greedy and needy. Bluestar suggests scenario that they start out low to draw in investors early and with a low rate to pull back in much of the triple zero currency. Those who can wait will help Iraq to grow and invest in Iraq.
After Summit rate has to change. Not sure what it’s going to be. Not a dollar right away as we thought. 3 months increase at a time until 1.1.2013 possibly. Delta says that there was a plan back in 2006 to come up initially at around .05 cents and then go from there. The CBI is not doing it really as a sucker rate, but more so for their people to make it easier on them.
Delta tells us to recall that the first PIP movement was on Jan 18th, so, if we look out 3 months that brings us to around Apr. 18th. We believe that they will increase the value no matter what. What determines the exchange rate? The money supply and the reserves you have. The less money you have the higher the exchange rate. The last 3 or 4 months the CBI has been reducing the money supply. They are shredding the currency. They know how much they have outside, they will leave a little bit outside, and so Shabibi has to be smart with the numbers to come out with the rate he wants. Another thing is coming up in June is the tariffs coming into effect. The CBI came out in article and on TV saying when this happens it’s going to increase the inflation rate and make it higher. Between the Summit and Jan 2013 something has to happen. The rate has to change no matter what. But no one is sure what Shabibi is going to come out with first. Likely to start out low but won’t come out at 1:1 as we thought because it appears they want to come up gradually. They might make increases 3 months at a time. Perhaps some time in June then in Sept when they could start to bring out other lower denominations.
Delta says budget is not published yet. Everything is shut down until Sunday after the Summit.
Delta says that even the monies for the Summit were likely a loan from the Financial Ministry because they have not been able to release the funds from the budget yet.
Delta has to leave and jumps off the call.
Frank speaks to Jim about the budget and the Gazette. Couple articles how they are going to get their monies after the budget is published in the Gazette.
Frank says, the funny thing is, we’re not sure if they are going to publish the full budget which is the way you do it to place it in the Gazette. Or are they just going to introduce just a portion of the budget? They have the right to do that. Jim says they could do that and allow the market to drive the rate up. That possibly might fit.
The US budget which we don’t see, which we don’t have; it’s tied in with the Iraqi budget?? The day we see the Iraqi budget we’ll see the US budget because it filled it or it backed it or whatever…No. I never, ever said that states Frank. Frank says that he said that you will see the 2012 Iraqi budget when you see the 2012 budget of the USA. Frank did not say they were connected together. He realizes that it sounds like there is an assumption there. And so, he’s trying to clarify. If anyone was led astray on that he humbly apologizes.
Where is the US budget? They haven’t passed one in over 1000 days…they have been operation off the 2009 budget…says Jim. Frank says, so, we had so much money in 2009 that it carried over into 2010 and 2011. They don’t want us to see our budget.
Frank says, just because the law was passed in January to lift the three zeros; and we believe that they have activated the budget and implied the law to it, does not mean that all three zeros were lifted. We found evidence and proved it last week of the lifting of one zero in a testing. What about 2nd and 3rd zero? Is it going to be .86? If they lifted one zero this may show a little validity to the article that came out and what Delta shared with us in that it “may” be a gradual growth. Frank doesn’t agree with this scenario, he thinks it would not be a smart move on their part. Nothing to do with sharks! Shabibi knows well that if he comes out low that he will pull in many of the triple zero currency. Frank says that Team26 really feels that Shabibi is running out of time and needs to do this soon if not now. They feel that Shabibi truly wants to get this done in the first part of the year and that is coming to an end right now. He has the perfect opportunity with the security going on in Baghdad right now as well. With the shutdown they don’t want us seeing what they are doing. The people watch and grade their government.
Frank says Maliki wants his own stage. April 5th.
Eagle1 chimes in to say that there is another argument to the “gradual” rate increase scenario. A .10 cent or 1 penny rate will not release them from Chapter 7, that precludes Ch. 7; nor will it make them international he says. Frank says, right; do they want to continue to be in shackles or be released from Chapter 7? Do they want to become international?
If they are successful with the Arab Summit and we see this with info from now through April 1st -4th, Frank promises there will likely be a leak and we will find it. Team will be on alert for this and if they find something it may well tell us what will go down on April 5th during the National Conference.
If they only say things like they are a great nation, we have lots of investors, or our currency is going to be good, this, that and the other….IF that’s the case….sorry, we might as well take the month of April off…the citizens will tear the place apart.
Other reason the people are being kept inside is due to the insurgents, cowards and righteous shirt tails will be the first to make attempt to come out, 27th – 29th and try to throw every rock and stone that they can. If the people are in their homes, it’s very easy to see the bad guys coming and who they are. Pretty smart.
Frank says no, they won’t extend it. They will block us out until they want to tell them. Apr. 1 – 4th it’s possible they will calm and tame the people until this announcement.
Article about 2 financial budgets talking about April and July; which is making Frank wonder if they are going to only release just part of the budget. They can…it’s their right to that if they wish it. Frank wants to watch this and see what more we see of this and see what we can learn if this will or will not be the case. If the citizens protest, it’s not for lack of service says Frank.
FBS – post 275 – thread 3/25 – interesting post. Our March is their September. Frank’s not saying it means anything to our investment but interesting non-the-less.
Frank says CBI and GOI are having babies. They are coordinating and cohesive now. When Maliki came back he told the GOI, leave me alone I’m busy. Banking system in Iraq has given Ali a bank! He sits on the board of the Financial Committee. This is HUGE because “THEY ARE READY!” Eagle1 says it also means we can deposit money in an Iraqi bank! You can do this in Warka too.
Frank doesn’t care; he knows this blessing is coming. It’s here, it’s about to expose itself.
The banking systems are ready. This opens up a variety of things that is so huge. But we see this happen...N O W! …As in, why now? Why right at this point in time!? No wonder they are closing their “doors”. This is too private.
When Ali says to Frank, Frank is very analytical; he want’s every last drop of information. Ali when he was saying he has time now. Frank thinks hard on Ali telling him…”I have time now Frank”. You know how Frank tells us to be strong and then be stronger and God works in many ways; none mysterious; Frank’s catch phrases. Here’s another… Ali had to stop selling dinar, in order to offer us the CBI rate! Because he has his bank now and he was busy getting it set up. It’s very complex selling dinar at Ali’s level. It’s expensive and complex to open and own a bank. Ali has had dinner with a very interesting group of people. When they are ready Iraq will let us know when they raise their value of their currency. When Ali stopped selling he told us he would come back and exchange everyone when the value of the dinar rises in value.
Best thing to do…FACEBOOK – Get a hold of Ali
Frank clarifies that he is not with the school of thought on a sucker bet of .10. This makes no sense to him. Frank holds to 3.86.
Jim1126 – question – education forums for the citizens? Frank says they never told the citizens the rate. They explained the law that was passed and how that would affect their currency. They show them the new bank notes; they inform them where they will be assigned to. They tell them about electronic cards, Visa, MasterCard, smart cards, etc. They have said they would do these things soon, but have not told them a rate or value just yet. Jim asks wouldn’t it be confusing to change the currency every 3 months. Currency, No says Frank. The exchange value…yes, if rounded off; that would be easier for them.
Franks thoughts are they will start 1:1. Then 1 possibly 2 RI/RVs before years end. If they come out low they could only introduce part of the budget and not the full budget. If they come out low they cannot get out from under Chapter 7. They will not be international. At .10, there is no logic in Iraq making the payments they have been paying out these last couple weeks. Frank says the IMF would not be pleased with this. Yes, the IMF would allow slow growth but they would not be pleased. And who is the IMF??? US of…A_uthors of the Plan. They were not pleased initially by their budget. They had them redo it. Frank jumps on his Blue couch for a moment, pretending to be the IMF…says what? This is what you came up with??? No, no, no, you have to add a WHOLE LOT more to this…when we thought they had them reduce it. Jim thinks .86 and then up to their glory days of the 80s.
Jim doesn’t think .10 would cater to their pride…Frank says pride is an important factor in the Middle East. The citizen of Iraq looks at pride in a different way. It’s more about National pride and identity.
Frank hopes they brag these three days during the Arab Summit and next week make the announcement.
Eagle1 states another economic reason is that Shabibi wants to get dollars out of circulation if the USD is still worth 10 times the dinar, where is the incentive for the citizens to give up their dollars??? Agreed says Frank as he admits he totally forgot about this point.
SR_24 inserts a thought about interest rates. How can they say that interest rates are down to 3% when it’s more like 11 – 13%. Frank says, that’s right, it goes up in percentage the lower the value and goes down with the higher the value of the currency.
Memphis mentions that according to his research that much of this does seem to be old news mentioned about the .10 rate and is only just coming into the light of the articles we have seen.
Late last night seeing that Maliki is requesting the holding of the National Conference. Will Maliki announce the minister, Irbil, the borders, everything all as complete, done and now ready to go?
If it goes past all this…it’s going to become chaotic in Iraq. The citizens have been watching and waiting for this point in time. They have waited patiently and they are done waiting. If you put yourself in the citizens shoes, all they see are rich guys at the Arab summit, what does that have to do with or for the average citizen? They want what was promised to them.
Email from Ali stated that the A.S. has nothing to do with the RV. Memphis states that in his opinion, that everything would be announced around the same time. Again for “national pride”. DONE !!