Post From Dinar Updates
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RCookie News Time With Q & A 6-17-16 Part 1 of 3
Hutch says():WE HAD A TREMENDOUS NEWSTIME LAST NIGHT AND HAVE HAD SOME WONDERFUL EXCITING NEWS OUT TODAY, LETS COVER THAT REAL QUICK AND WE WILL GO INTO Q&A
RCOOKIE ..... DO YOU HAVE SOME THINGS TO GO OVER WITH US?
Hutch says():RCOOKIE !!!! WHERE ARE YOU ?????
rcookie says():RIGHT HERE....GE DU.....
Tex says to Hutch():He's still in the cookie jar
Tex says to rcookie():Hey Cookie bring it on
rcookie says():WE HAD A LOT OF FUN BRINGING SOME INFORMATION LAST NIGHT CONCERNING ARTICLE 8 AND SOME INFORMATION AROUND ACCEPTING OBLIGATIONS....
Hutch says():THEY ARE REALLY SHY....
rcookie says():THERE WAS A REPORT DONE IN 2006 ENTITLED TRANDS & IMPLICATION FOR ARTICLE VIII OBLIGATIONS WHICH ALSO SHEDS SOME LIGHT ON ARTICLE VIII METRICS AND THE IMPORTANCE TOWARD CERTAIN ECONOMIC GOALS AND INITIATIVE LIKE WTO ACCESSION.....
watson1 says to rcookie():(y)
rcookie says():SO TO START OFF ...HERE IS OME INFORMATION ON THE NUMBER OF COUNTRIES ACCEPTING ARTICLE VIII OBLIGATIONS....AND REMEBBER THIS WAS 2006....10 YEARS AGO..
rcookie says():Since then, the proportion of Fund member countries that have notified the Fund of their acceptance of Article VIII obligations has increased sharply, but a18.1945 19481951 19541957 19601963 19661969 19721975
rcookie says():The proportion of countries that have notified their acceptance of Article VIII obligations rose from less than 50 percent in 1993 to almost 90 percent in 2005 (Figure 1), with a particularly large number of countries (64) notifying their acceptance between 1993 and 1996.
After gradually declining, this number increased again, with seven countries notifying acceptance during 2004–2005. At present, 19 members (holding less than five percent of Fund quotas) have not yet notified the Fund of their acceptance of Article VIII obligations.14
Of these, at least half have been Fund members for more than 40 years. Four countries do not maintain any exchange measures under Article XIV but are reluctant to notify the Fund that they accept Article VIII obligations.
rcookie says():SO AS OF 2005 90% OF IMF MEMBERS HAD ACCEPTED ARTICLE VIII OBLIGATIONS...
rcookie says():NOW...THIS NEXT PIECE DISPELLS THE MINOMER THAT IN THE LOI...EXCHANGE RESTRICTIONS MUST BE ENTIRELY REMOVED IN ORDER FOR A COUNTRY TO BE ELIGIBLE FOR ARTICLE VIII
rcookie says():PLEASE READ....
rcookie says():19. A number of countries that have already notified the Fund of their acceptance of Article VIII obligations have continued to maintain existing or introduced new exchange measures.
A review of the staff reports for recent Article IV consultations with these members indicates that, presently, 18 members that have so notified the Fund maintain unapproved exchange measures that would not appear to be imposed for reasons solely related to national or international security.15
Another 5 members that have acceptedArticle VIII obligations maintain approved exchange measures.
The countries currently maintaining exchange measures hold about 10 percent of Fund quotas and represent a similar share of world GDP and world trade, which together with the share of countries availing themselves of Article XIV amounts to almost 20 percent of world trade.
rcookie says():THIS IS WHAT WE SPOKE OF LAST NIGHT ON CALL....THE FUND WORKS WITH EACH COUNTRY DEPENDING ON INDIVIDUAL CIRCUMSTANCES......IT IS NOT A ONE SIZE FITS ALL....ACROSS THE BOARD POLICY AND PROGRAM....
rcookie says():20. These exchange measures are mainly of three types: (i) limits on payments for invisible transactions (i.e., travel, medical, and educational allowances); (ii) limits on transfers from nonresident accounts; and (iii) foreign exchange budget allocation systems.
Some of the exchange measures are evidenced by the existence of nonsovereign external payments arrears. Existing MCPs arise mainly from the use of special exchange rates for official transactions and the imposition of foreign exchange taxes and subsidies.
The reasons generally given by countries maintaining exchange measures are discussed more fully in Section IVB.
rcookie says():WHERE HAVE WE JUST HEARD ABOUT I.....HMMMM
rcookie says():COME ON NOW...
daytrader says):Just reduced exchange on travel from $5000 to 3
rcookie says():EVERYONE HAS HEARD OF THE RECENT REDUCTION FROM 5000 TO 3000 FOR CITIZENS LEAVING COUNTRY FOR TRAVEL...MEDICAL OR EDUCATIONAL PURPOSES.....
rcookie says():OK ...NOW READ THIS ONE AND THINK ABOUT IRAQS ENVIRONMENT...
rcookie says():21. A number of members have, in the past five years, introduced exchange controls in the context of recent international initiatives to combat terrorist-financing and money-laundering.
Some of these controls give rise to exchange restrictions that should be notified to the Fund pursuant to the procedures described in Decision No. 144-(52/51).16 The number of countries maintaining such restrictions has increased from 69 (37 percent of total reporting countries) in 2000 to 104 (54.5 percent of total reporting countries) in 2005.
rcookie says():However, there would appear to be scope for improving the reporting of such measures to the Fund. There is evidence to suggest that not all such restrictions have been notified to the Fund.17
rcookie says():YOU THINK IRAQ MIGHT FALL INTO THIS CATEGORY...
Hutch says():ANY QUESTIONS OR COMMENTS ON THS SO FAR ???
Hutch says():I HAVE ONE
rcookie: SO AS OF 2005 90% OF IMF MEMBERS HAD ACCEPTED ARTICLE VIII OBLIGATIONS...
WHAT HAPPENS IF THEY DON’T ACCEPT? THEY ARENT IN THE IMF?
rcookie says():NO THEY ARE IN TRANSITIONAL PHASE UNTIL THEY SUBMIT TO ACCEPTANCE OF OBLIGATIONS....
Nomad says():And that could take years?
Hutch says to Nomad():GREAT QUESTION
daytrader says():What are some of the benefits for countries that accept Art 8?
rcookie says():IT TAKES AS LONG AS THE MEMBER COUNTRY FEELS THEY ARE READY TO ACCEPT FULL OBLIGATIONS SO OBVIOUSLY NOT TO BREACH...AND KNOWING FULL WELL WHAT IMPLICATIONS AND PENALTIES ARE...
rcookie says():GREAT QUESTIONS AND WILL BE LISTING SOME OF THE BENEFITS ...BUT MAIN ONE IS PREPARING FOR WRO ACCESSION..
Nomad says():So, having been there before...why are we so excited?
rcookie says():I AN GOING TO LIST SOME OF THE DIRECT BENEFITS LIKE REDUCING THE SPREAD BETWEEN THE MARKET AND PARALLEL RATES...
Nomad says():Ok, so it is good for business, but how does that push us over the rv hill?
Hutch says():WTO ACESSION THATS A BIGGIE
rcookie says):BECAUSE...IT IS AN ECONOMIC AND FISCAL OBJECTIVE THEY HAVE WORKED FOR YEARS ON ...
AND NECESSARY FOR THEIR COUNTRY TO PARTICIPATE IN INTERNATIONAL PRIVATE SECTOR ECONOMY AND ENGAGE IN TRADE AND INVESTMENT WITH SIMILAR COUNTRIES....
rcookie says():BECAUSE THEY CANNOT COMPETE AND SURVIVE IN THE GLOBAL MARKETPLACE AND ECONOMIES WITH A CURRENCY WORTH LESS THAN A TENTH OF A PENNY!!...
rcookie says():NOMAD......YOU PROBABLLY ARE ABLE TO GET YOUR HANDS ON 10K....RIGHT....
Nomad says():And I think I heard you say Iraq had achieved this before...made some mistakes...got slapped...not we are in a do over...so to speak?
watson1 says():so where is iraq and then they can change the value of the dinar once art 8 is clear .
watson1 says():opps watson1 says():sorry
Hutch says to Nomad():THEY TOOK CARE OF IT RIGHT AWAY
Nomad says():Sorry, I had this responce ready to go...Answer to rcookie not hardly!
Hutch says to Nomad():THEY ARE IN COMPLIANCE, HENCE GETTING THE LOANS
rcookie says():HOWD YOU LIKE TO GET INTO THE ISX AND BUY INTO A BANK THE LIKES OF GOLDMAN SACHS AND DO SO WITH VALUATIONS AT A TENTH OF A PENNY
rcookie says():A HEDGE FUND COULD BUY OUT AN ENTIRE SECTOR...
rcookie says():SO THE MOVE TO ARTICLE VIII IS A NECESSARY STEP TO BE A PART OF THE GLOBAL OPEN MARKET ECONOMY ...AND SENDING CONFIDENCE TO ATTRACT INT'L INVESTMENT AND BUSINESS...
Hutch says():ALL GREAT QUESTIONS
Nomad says():Been here for nine years...just want them to dot their i's and cross their t's! Thank you rcookie.
Hutch says():GO DAY !
daytrader says():They’re “playing” at trading until their currency has a real value. Then the ISX can open its doors to the international markets.
rcookie says to Nomad():AGREED...AND BECAUSE OF YOUR PATIENCE...YOU SHOULD BE MORE EXCITED NOW THAN EVER BEFORE!!!...
Hutch says to daytrader():EXCELLENT COMMENT
Hutch says():HI BAX !!! WHAT ? DO YOU HAVE?
rcookie says to daytrader():EXACTLY...AND DOING SOME THINGS BEHIND THE SCENES LIKE IMPROVING BANK CAPITALIZATION AS HIGH AS 200-300%...
Nomad says():rcookie I am running on empty! LOL
rcookie says to Nomad():I HERE YA!!...HANG IN THERE!!