(Thank you George for emailing this to Dinar Recaps.)
UU6719 – “The Coming Weeks- It’s All Fantastic News!” by Mnt Goat
Earlier in the week I referenced a window approaching for a possible RV opportunity coming close at hand. Well it’s now here and everything is looking fantastic.
I recommend everyone to go out to my news letter dated 7/22 (LINK) if you have a chance and read it first prior to diving into today’s news.
Today is Monday July 27th and still no RV, and this also includes Kurdistan….lol…... No surprise to me !
I will try to make this news letter very short since I need to get right to the point of what is happening in Iraq.
So as I have told you many times already each week the CBI, GOI, IMF and the USA (and any other countries that would like to attend) hold a meeting to discuss IQD currency reform (as well as other issues). In last week’s meeting they discussed allowing the project to delete the zeros to progress but conditionally on getting the Amnesty bill passed and payouts on HCL to the citizens. This is not rumor but FACTUAL.
So as a result of this meeting finally then on Thursday 7/23 the Amnesty bill was signed off by the Council of Ministers (cabinet of the prime minister) and sent over to parliament for discussion and a final vote.
It was thought they could expedite this bill since they now have a new legislative short-cut process for such occasions if house leader al-Jabouri wishes to use it and parliament agrees. This new process means that parliament can discuss a bill and vote on it during the same session essentially bypassing the constitutional requirement for the necessary two readings and go directly to a vote. This is of course a temporary measure implemented to help get them out of this financial mess and security crisis.
The question now is will they use this new process? The hope was that this final vote on Amnesty would have been taken on last Thursday 7/23 or Friday 7/24. However parliament decided to take a short recess until meeting again on Monday and the vote had to be delayed. So lots could happen this week.
You might be saying to yourself right now – How dare they take a recess at a time like this? Am I correct?
Personally I believe that al-Jubouri allowed this recess so they can have time to read the bill and hash out any differences over the weekend - prior to Monday’s session. As you may know it is a controversial bill since it will take away Amnesty from any citizen who has spilled Iraq blood (including politicians). You can see how this will effect Maliki and his goons. It will also release many of the political prisoners, whom are strong opponents of the Dowa party and the radical Sheite militias.
So what I was told over the weekend is that the distribution of the lower denominations depends on the passing of the Amnesty bill. This is why I believe it may in fact get passed this week and we might see our lower denoms distributed OFFICIALLY throughout ALL THE PROVINCES. Why do I emphasis the word officially? I emphasize it because some of the lower denominations are in fact out on the street already. Some of the ATMs were loaded and went online last week. People began to withdraw cash using their Ki-cards. This was soon discovered and quickly shut down. Also some of the smaller bank branches (such as in Kurdistan) were sent notices that the new currency would be activated last week and so they too began to distribute them as customers conducted daily transactions. They felt they were only following instructions. Then later in the week the process was stopped for failure to push through the Amnesty bill.
We all should know what this means…right? The rate has to change in order to do this move. The rate did not change and so the process once again came to a halt last week. We wait to see what happens this week.
Last week I also presented you with an article statement from the head of the finance ministry and they told us at that time it was “URGENT” and “THE BEST POSSIBLE TIME” now to complete the process to delete the zeros from the currency (or drop the larger 3 zero notes, the provisional currency).
It is the feeling too of many economists in Iraq that this IS THE ONLY SOLUTION to getting them out of their financial crisis. So they don’t really have a choice. We also now see their currency rate fluctuating wildly as of lately lately and this is not good or helping to solve this crisis. The IMF is also strongly suggesting now it the time.
I also strongly believe they will be paying out oil royalties too on these new National (or Unified) cards this week. We have seen a couple articles telling us why they have been late in this process. They said this was due to getting the necessary electronic equipment setup and installed for the process in many of the provinces. This equipment is used to produce and process the cards.
Once again I will add to be careful and do not confuse these cards - Ki-Cards vs National Cards. Both are SMART cards but they want to combine the govt social programs payments (as on the Ki- Cards), on the National cards with the oil royalties and identification card all on one handy card. This is the card we all have been waiting so long for. They wanted to complete this for the August timeframe of payouts for the social programs.
I feel that all the provinces may not get paid oil royalties this week (in fact I am sure of it) but the beginning of the process will show to the IMF and the USA they are making good on the HCL law to distribute these funds to help the people instead of just making the fat politicians even fatter (with their huge salaries and perks). I have told you all along this is something that is NECESSARY to see any RV. We will witness this very soon.
So this brings me to yet another topic. The article relating to the reduction of salaries. Did you read that article?
Below you will find the article and let me now explain it. This is part of the scaling down process of the Iraqi government and showing solidarity to the people that the government can standardize wages and stop the unfair favoritism in the political process. Iraq is trying to institute a government pay scale that allows for fairness and equality according to a standardized pay scale (much like in Germany and the USA) and not like from the previous two administrations as it was based on favoritism and bribes. In other words they are still cleaning up the corruption and mess left behind from Nori al-Maliki.
So please do not read into this issue, it is simple and has ABSOLUTELY NOTHING to do with the RV or impacts the RV in any way. Again many gurus have made a pound of intel from an ounce of truth over this announcement and are using it to hype you up.
BAGHDAD / Sky Press: Faleh Hussein considered the parliamentary finance committee, on Thursday, the money to be provided by officials of the decision to reduce the salaries are not worth anything compared to the size of financial corruption and waste of public money in the state, noting that the parliament will hold its next Saturday to discuss the decision.
He said the Commission's decision Ahmed Hamma Rashid for "Sky Press," "The House of Representatives its meeting held on Saturday to discuss the Cabinet's recent decision to reduce the three presidencies and the salaries of officials," adding that "so far, the decision is known in terms of reduction in salaries or rate allocations, and this needs to be a thorough study and discussion between the Council of Ministers and the House of Representatives."
The money that would accrue decision to reduce the salaries are "not worth anything for the financial corruption rampant in most government departments and wastage of public funds by officials," calling to fight financial corruption to reduce the waste of money.
The Council of Ministers approved in its meeting last Tuesday to reduce the salaries of the three presidencies and officials allocations by 50%.
My next guess is that also very soon we will see this infamous “basket” of laws being announced since they are all inter-connected together and must be implemented all at once to make any sense.
We are in the last week of July already and so it is also time for the GOI (Abadi’s cabinet) to make their reports to parliament on the progress of forming the government Unification efforts. Did you notice they have been doing this once a month now since October 2014. I told you about this in my past news letters too. I even presented you with past minutes for this meeting.
Something many may not also know is Dr. Ayad Allawi is really becoming impatient about Abadi in not being able to get these needed laws passed. So with this report card timeframe coming this week he is going to suggest (hammer down on) that Abadi be replaced with another leader who can complete the job. His most outspoken complaint is of course the lack of officially appointing his as head of the Federation Council thus completing this council and meeting yet another constitutional requirement. In the back of our minds don’t panic since we all know this will not happen. Abadi will remain as prime minister and Allawi will get what he needs.
Will this report card meeting get very negative? I doubt it since Abadi knows he must announce these laws, get Amnesty passed, pay these oil revenues and complete this currency reform process (he has promised also as part of forming the government back in 2014) and he does not want to rock the boat any more than he has to. This meeting is actually good since it will put yet more pressure on Abadi and GOI to get the job done.
Where is Dr Shabibi?
I’d like to address questions from many regarding Dr Shabibi and his current role. I know for a fact that Dr. Shabibi is still in a consultation mode with Iraq. I presented articles to you in the past on this topic.
Remember this is his country too and he has worked with Iraq in some capacity for a very long time. He is more than willing to assist but he has also stated he can not help Iraq with financial matters to his greatest capacity unless they are willing to advocate the current proxy governor of the CBI and allow him to return to his position, as head of the CBI. He no longer wishes to work just behind the scenes having many of his recommendations ignored.
In other words he needs to be officially placed back in to his rightful position with full authority and without interference from the GOI to do run the CBI. This was a condition he set upon the GOI if he was to return. As you may know Abadi has asked him to return and this was his response to his request. To date nothing more has come of it. We still wait for his return. We do know Dr Shabibi has returned to Iraq.
Status of Maliki
We all should know by now the statements made by Maliki about Saudi Arabia. Seems this might be the icing on the cake that will speed up his demise.
Khalil al-Dulaimi, head of the international legal body Maliki's comments and said, "We condemn and deplore the people of Iraq and the strength of national reject the occupation and for each secretions illegal, statements provocative to Nuri al-Maliki, which attacked the Kingdom of Saudi Arabia and Maatertb for these serious irresponsible and provocative of abuse of a country with a weight and weight statements in the Islamic and international arenas, and even beyond those abuses and statements expressing the same sectarian hate and patient, than to provoke the feelings of all Arabs and Muslims, "he added," these statements that represent incitement clear on terrorism and a threat to the Islamic Arab, regional and international security and directly threatens international peace and security, especially since Shiite militias terrorist extremist in Iraq leaders such as confident Battat already threatened to bomb and invade the territory of the Kingdom in
the light of the sectarian incitement continued to the owners when he was president of the Government of Iraq at a time when Saudi Arabia has repeatedly declared that it is against extremism and terrorism and embodied that reality on the ground. "
"that the people of Iraq and its national strength rejects and strongly condemns such irresponsible statements, and at the same time we announce the formation of an international body composed of senior international lawyers to prosecute and sue al-Maliki for having committed serious international crimes”.
Peace and Luv To Ya All,