Stryker Blog: Iraq Goes International July 1, 2014, will the Iraqi Dinar?
Connecting the Dots all the way to Article VIII
This is a recap of my broadcast on Friday May 30, 2014 in where wmawhite and I uncover and put forth what we feel are the biggest discovery of facts ever to be uncovered in over a decade of the dinar being introduced to investors.
By connecting these dots we have turned the dinar community right-side up!
Up until now the gurus have had people so upside down they couldn’t see straight, many have lost everything because of these people calling the RV week after week, month after month, year after year but now there is a real time frame and a clear understanding of events that have taken place without rumors and unnamed sources being involved.
This break down is intended to help understand our thoughts through the written word but please watch the broadcast to get a further understanding straight from wmawhite and myself.
April 30, 2014 Elections were held in Iraq
May 2, 2014 Abdul Basset Turki, acting governor of the Central Bank of Iraq makes a public statement that includes the follow quotes:
QUOTE: "The central bank will proceed without hesitation to apply the project raise zeros from the local currency in case settled political and economic situation of the country."
QUOTE: "the implementation of such a project needs to arrange all the accounts and records of the Iraqi state before starting any move to change the status of the currency and the way that provides a smooth flow of work and maintain the price of the currency in the local market where traders of manipulation."
QUOTE: "talk is not only about the lifting of the zeroes where the currency change will rearrange the entire government records and change the accounts that deal with public spending,"
QUOTE: “the project to delete the zeros of the central bank governor said that the new measures will be there by the middle of this year, the bank raised about the new currency and the deletion of zeros”
Why did he come out 2 days after the elections were held, before any results were given and make such a bold statement? Because there is a clear agenda and this agenda of events will became even clearer as you continue reading.
May 17, 2014 Obama extends EO 13303 for another year even after CBI governor Turki had already stated that they did not need any more protection of Iraqi assets. Why was it extended then? Because Obama could not write his own Executive Order to amend something he did not write in the first place (EO 13303), written by George W. Bush May 22, 2003 and terminate the Prohibitions under it until he first extended it.
May 17, 2014 U.S. Department of the Treasury sent this bulletin at 05/27/2014 05:35 PM EDT entitled: Issuance of New Iraq-Related Executive Order to OFAC (Office of Foreign Asset Control)
Who is OFAC and what do they do?
OFAC administers a number of different sanctions programs. The sanctions can be either comprehensive or selective, using the blocking of assets and trade restrictions to accomplish foreign policy and national security goals.
See OFAC has been the ones that are in charge of enforcing the economic sanctions and now they have been notified that the prohibitions have been terminated:
QUOTE: “The President signed an Executive Order (E.O.), “Ending Immunities Granted to the Development Fund for Iraq and Certain Other Iraqi Property and Interests in Property Pursuant to Executive Order 13303, as Amended,” terminating the prohibitions contained in Executive Order 13303 of May 22, 2003”
Terminating the Prohibitions, meaning that all financial prohibitions that have prohibited Iraq from conducting their own financial transactions have been lifted. Iraqi is now free to re-enter the world markets. Banks worldwide are now able to conduct financial instrument transactions, transfer companies may now be approved to work directly with the CBI, Article IV and Article VIII of The Article of Agreements should now be completed or sOoN will be.
Article IV: Obligations Regarding Exchange Arrangements
1. General obligations of members
2. General exchange arrangements
3. Surveillance over exchange arrangements
4. Par values
5. Separate currencies within a member’s territories
Article VIII: General Obligations of Members
2. Avoidance of restrictions on current payments
3. Avoidance of discriminatory currency practices
4. Convertibility of foreign-held balances
5. Furnishing of information
6. Consultation between members regarding existing international agreements
7. Obligation to collaborate regarding policies on reserve assets
May 27, 2014 Obama signs an Executive Order Amending EO 13303
QUOTE: “I, BARACK OBAMA, President of the United States of America, I hereby terminate the prohibitions contained in section 1 of Executive Order 13303 of May 22, 2003”
Here is exactly what section 1 of EO 13303 says, pay close attention to the keywords that I have highlighted:
I (George W. Bush) hereby order:
Section 1. Unless licensed or otherwise authorized pursuant to this order, any attachment, judgment, decree, lien, execution, garnishment, or other judicial process is prohibited, and shall be deemed null and void, with respect to the following:
(a) the Development Fund for Iraq, and (b) all Iraqi petroleum and petroleum products, and interests therein, and proceeds, obligations, or any financial instruments of any nature whatsoever arising from or related to the sale or marketing thereof, and interests therein, in which any foreign country or a national thereof has any interest, that are in the United States, that hereafter come within the United States, or that are or hereafter come within the possession or control of United States persons.
* Unless licensed: as in dinar dealers and other institutions
* is prohibited: self-explanatory
* any financial instruments of any nature whatsoever: as in Iraq’s currency or any other financial instrument
*that hereafter come within the United States: currency, gold or any other assets
*hereafter come within the possession or control of United States persons: that’s you, me and anyone holding Iraq’s financial instruments (Iraqi dinars) or any financial instrument whatsoever.
See we and the dinar have been protected under this order and why Canadians, Australians and others have bought their dinars through dealers here in the states.
But when Turki pulls the trigger for Iraq to go live all banks that want to deal in Iraq’s currency will be good to exchange worldwide.
Up until now we have traded USD for dinars or whatever currency you used to buy your dinars.
Soon though we will be able to exchange our dinar for any currency through banking institutions now that OFAC has or will be removing all financial sanctions.
Can you see where this is going? On June 27, 2013 Chapter VII Sanctions were released and moved to Chapter VI under UNAMI making Iraq a non-threat to the international community but OFAC still had the prohibitions in place because of EO 13303 and Iraq could not play with the rest of the world in the international market place until these were terminated as well. The next move is for OFAC to remove these sanctions!
May 28, 2014 Central Bank of Iraq approved all licensed currency transfer companies. Only one day after EO 13303 was amended through a new executive order, coincidence?’
Not at all, see the agenda must be followed. This further proving these financial instruments in the form of the Iraqi currency that were held at bay by the OFAC should soon be able to be traded anywhere.
Not yet though, these companies must first complete all the necessary paperwork, open accounts both in USD and Iraqi dinars, deposit 20% of their capital to insure and guaranty their transactions that they will be making and of course the CBI needs to announce to the world their new monetary system, moving them away from this dual currency regime and into a more standard international way of doing business.
One more thing, here is the verbiage that is very telling from the new executive order and proves that all assets will be released returned to the Central Bank of Iraq, not the GOI and have been held in prohibition by OFAC prohibited to be used for anything until now and why they have not been used to back the real value of the dinar.
QUOTE: BARACK OBAMA: I hereby report that I have issued an Executive Order (the "order") terminating the prohibitions contained in section 1 of Executive Order 13303 of May 22, 2003, as amended by Executive Order 13364 of November 29, 2004, on any attachment, judgment, decree, lien, execution, garnishment, or other judicial process with respect to the Development Fund for Iraq and Iraqi petroleum, petroleum products, and interests therein, and the accounts, assets, investments, and other property owned by, belonging to, or held by, in the name of, on behalf of, or otherwise for, the Central Bank of Iraq.
Folks, the CBI is in charge of the monetary system, their main goal is to maintain and increase the exchange rate of the Iraqi dinar. To increase the purchasing power of the Iraqi people through assets belonging to the Iraqi people, not their government.
This is declared and noted by the Iraqi Constitution. The frozen assets, petroleum produced and non-produced oil which are held in reserves underneath their feet belong to the people of Iraq and such will be used by the CBI to bring back the wealth as it was before the zeros were added.
Article III of the Iraqi Constitution: Oil and gas are owned by all the people of Iraq in all the regions and governorates.
This is why the Executive Order reads as it does: Iraqi petroleum, petroleum products, and interests therein, and the accounts, assets, investments, and other property owned by, belonging to, or held by, in the name of, on behalf of, or otherwise for, the Central Bank of Iraq.
Now who is in charge of the Central Bank and who made such bold statements 2 days after the elections took place? That’s right, Abdul Basset Turki, the acting governor of the CBI, the man in charge of the exchange rate of the dinar.
OK, let’s recap it all: All financial instruments have been terminated by the new executive order, OFAC should soon, if not already release all financial sanctions worldwide on Iraq.
All assets that are estimated at somewhere between, $150-$180 billion dollars will now be released back to the CBI and Turki, the man in charge of the CBI is saying all measures will be in place by middle of this year. That sums it up or does it?
Not quite, when could we see this take place?
Well July 1, 2014 ISX goes international:
QUOTE: The Iraq Stock Exchange (ISX) is currently in the process of upgrading to the latest Nasdaq trading platform after signing an agreement with Nasdaq OMX in June 2013. The new platform, currently used by more than 25 exchanges globally, is capable of supporting multiple asset classes, although the ISX concentrates mainly on cash equities.
QUOTE: “We will complete the implementation at the end of June, and it will go live at the beginning of July,” said Taha Ahmed al-Rubaye, chief executive of the ISX.
Folks, Turki said that all measures will be in place by the middle of the year, that’s Monday June 30th and July 1st starts the second half of the year. Turki said that the central bank will proceed without hesitation to apply the project raise zeros from the local currency in case settled political and economic situation of the country.
Political: There are articles showing that a new government made up of 200 parliament deputies will be announced right after the ratification of the ballots, which is do any day now. This should settle the political situation Turki is looking for.
Economic: Settled economic situation he is talking about we believe is OFAC releasing back to the CBI all the Iraq’s wealth and that is a major part of the measures Turki refers too.
The other part is the 2014 Budget but there are signs that Parliament will expedite the passage once the ratification takes place, insuring what Turki needs to settle the remaining economic conditions.
He said that the implementation of such a project needs to arrange all the accounts and records of the Iraqi state before starting any move to change the status of the currency.
This will take the budget passage to complete accounting and record keeping or at least the new exchange rate predetermined within it.
In finishing, all monetary system changes and exchange rate announcements or made over the weekends and are announced to the world on the opening of international banking on Monday mornings by any Central Bank. We have five Monday’s in June the last one being Monday the 30th and July 1st being on a Tuesday, just saying.
A special thank you to wmawhite for helping me connect the dots and joining me yesterday on my webcast to explain it all!
Have a great weekend my friends, Stryker
The average Iraqi makes $6,500 per year
They don't have millions of dinars saved
The CBI refers to it has a delete the zero project
Numbers and pay will be deleted of these zeros as well
Raise the purchasing power by three zeros doesn't mean the Iraqi's get rich
People need to stop thinking about this like it is about you, it is about them
We are investors of their currency, as such we will be exchanging ours back for dollars or what ever currency you have in your country.
An Iraqi will be using their dinar and stop using the USD for everyday things and really will just see it when they buy something, their money goes much further...
Letter: Ending Immunities Granted to the Development Fund for Iraq and Certain Other Iraqi Property and Interests in Property Pursuant to Executive Order 13303, as Amended
Issuance of New Iraq-Related Executive Order
Executive Order 13303
Articles of Agreement of the International Monetary Fund