Zerb: Very interesting perspective this article brings...( See Article Below) dither Meaning, definition in Cambridge English Dictionary - to be unable to make a decision about doing something: Stop dithering and choose which one you want...
How many of these countries are coalition forces??? How does the dinar play a role here? Hmmmm interesting picture... Can you imagine the pressure drA and drS must be under? is my thought process correct here? Does waiting play a role here? Hmmmm
Makes me wonder if the 12 have a plan for the 7 like Franky said? What's the over and under on that one? how much longer can they wait?
Verrrrrrrry interrerrrresting...But certainly not stupid
Frank26: IMO ........ From the House of 12 for 7 on the 7th.
Tell You more on MONDAY'S CC. KTFA Frank
ThunderHawk : If Greece Defaults, Europe's Taxpayers Lose
The European creditors embroiled in a last-ditch effort to come to terms with Greece face a dilemma: If they can’t prevent a default, their taxpayers stand to lose a lot of money.
Ever since the region's sovereign-debt crisis first flared in 2010, European nations have been stepping in for Greece's private creditors -- largely German and French banks -- by lending the country the money to pay them off. Thanks to this bailout, banks and investors have much less at stake than before. Here, for example, are the exposures of countries' banks to Greece's government, companies and financial institutions at the end of 2014, compared to the end of 2009:
On the flip side, European governments -- and Germany in particular -- have become the largest holders of Greece's 313 billion euros in sovereign debt, through an alphabet soup of entities that are ultimately backed by taxpayers. Beyond that, as of April, the European Central Bank had lent the Bank of Greece about 115 billion euros to replace money being pulled out of the country -- credit that can turn into losses for the ECB's remaining shareholders if Greece leaves the euro.
The lesson is that in a sovereign debt crisis, dithering can be costly. If European countries had pushed Greece to restructure its private debts back in 2010 (instead of waiting until 2012) and recapitalized banks that were in too deep, the whole region probably could have come out of the crisis much more quickly. As it stands, five years later, Greece and its creditors are back at the negotiating table, with more than 300 billion euros in taxpayer money hanging in the balance.
Walkingstick » June 22nd, 2015, 8:07 am
Time to transform the world’s currency system
The IMF should expand special drawing rights inclusion beyond the renminbi
The pending International Monetary Fund review of special drawing rights is much more than a rejigging of a currency basket, or a decision on whether or not the Chinese renminbi will be included. It is about whether the IMF is willing to take serious steps towards the transformation of the international monetary system. It will matter greatly for the interplay of currencies and for financial markets.
The SDR is an international reserve asset and it gives countries the right to exchange SDRs for freely usable currencies to supplement their international reserve holdings. The SDR is denominated as a basket of four currencies, the dollar, euro, pound and yen.
When the SDR was launched in the 1970s it comprised 16 currencies, aiming for inclusiveness. Since the 1980s it has been about exclusiveness and being a close substitute for the main international reserve assets. The aim was nothing less than to rival the dollar. It flopped.
The SDR has long been neglected as a failed attempt to try something new. The idea was originally a good one, namely to reduce the importance of national currencies, notably the dollar, to manage international liquidity. This is just as important as ever. The international economy is too dependent on dollar liquidity. Repeated concerns about a precipitous tightening of US monetary policy are a case in point. The world needs more diversified sources of international liquidity to allow orderly balance of payments adjustments.
Interest in the SDR has shifted significantly in large part due to China. SDR valuation reviews are normally rather technical affairs. This time though, the introduction of additional currencies is firmly on the table. China has taken some major steps to lobby for the inclusion of the renminbi.
The SDR inclusion is guided by a set of criteria. One is that a currency needs to be “widely used”. However, the criterion itself reflects an outdated objective of making the SDR a major reserve asset. Instead, it could usefully become a framework for the introduction of new international currencies. The IMF needs to change the SDR inclusion criteria and preserve verifiability of the currency selection. SDR currency inclusion should therefore not be limited to the renminbi. Major emerging markets currencies, and the Canadian and Australian dollars, could equally qualify.
International currencies are normally underpinned by some institutional framework. Examples include the dollar and the Bretton Woods system, the mark and European Monetary System and the yen and the free yen accounts. The SDR basket itself will not alter international currency composition. But it may help legitimise and raise awareness of the desire for greater international currency diversification.
It would help central banks consider holding different reserves. It may give greater comfort to financial markets that there will be more liquidity when transacting in different currencies and underlying financial assets. The introduction of new international currencies would naturally shift demand and alter relative prices. The adoption of a common framework for international currency diversification may therefore be required to avoid undue exchange market volatility.
The SDR basket review represents an opportunity to position the IMF as catalyst for change and promoter of inclusiveness. While multilateral institutions have mostly followed financial markets developments, the SDR may become once again a source of financial innovation to advance essential changes in international financial and monetary affairs. It would help solidify China’s and emerging markets’ stakes in the IMF, something the institution and the multilateral system itself badly need.
The introduction of new international currencies represents the frontier of international capital markets. The increasing importance of China and emerging markets has so far not been reflected in international financial and exchange markets.
The asymmetry between real and monetary flows denotes one of the greatest imbalances in the international economy. The vast accumulation of central banks’ international reserves is evidence of that, as is the significant underweight of emerging markets assets in international financial portfolios.
Walkingstick » June 22nd, 2015, 8:18 am First Published: 2015-06-22
Iraqi dinar in the eye of the storm
Baghdad has become a market for speculators and banking offices and transfer of funds feed on fluctuation of the exchange rate on the expense of the people and for the benefit of the few powerful.
Middle East Online
By Taher Alwan
Iraqi citizen glued sitting in front of screens, looking for a glimmer of hope amid tragedy that surround it on every side, ongoing war in more than Iraqi city of those that they left the hands of Daash, minorities and ethnicities problems, conflicts eternal phenomenon and hidden between politicians political blocs since set foot offices, palaces and assumed positions and were informed guards and boarded a black armored luxury cars, those conflicts did not know the overt and covert truce nor quieter days so Iraqi congratulated peace.
The scene was a dramatic day when a senior official concerned with the affairs of the hand cleaner afternoon and integrity, saying he is Rhth revealed "Hekana" of the attackers on the public money and mafias corruption and thunder in men and foamed and threatened and vowed he would reveal all the files soon, the day commented Iraqi many that the man this storm was contrived but covers the Mdharbath millions in private in the dollar exchange and money market currency and so on where to collect large sums of money.
This story is repeated even counted politicians and parliamentarians who threatened to reveal the looters and plunderers of public money to found them frequent Catherh but one name was not disclosed until today and those strange phenomenon, but the strangeness has become unusual in the political scene, especially an hour that a senior official on the screens appear to declare they are keeping silent on those violations and thefts in order to preserve the political process and do not maintain those dear to one of the muggers left in a position of responsibility process.
Amid this and you wander in the heart of the capital, Baghdad will draw your eyes proliferation of money transfer and exchange companies as well as emerging private banks that came looking for the same names and you find, for example, trade, investment, development and Islamic Credit words are repeated on the facades of those luxury buildings newly established in upscale areas of Baghdad.
With this reproduction in private banks and companies remittance and banking facilities provided by the State of remittances was the Iraqi Central Bank announced what became accustomed to hear the Iraqis a sessions sell the currency or sell the dollar, is not to prepare the souls of sessions but it took character surreal surprise when the Iraqis discovered suddenly that some of the mafias money exchange and transfer of funds and some private banks may be affected quickly from behind these sessions.
The issue is very simply to attend dealer currency these sessions the dollar buys and within a short time after each session to achieve a quick deal because of speculation in the sale of the currency market down to the contrived crisis announced by the Iraqi government recently, a serious indicator concluded that the Iraqi economy is losing at least a billion dollars Only a month in order to stabilize the exchange rate in the face of speculators and perhaps engaged in money laundering.
Analysts were talking about different monetary policy before the current year as the sale of currency by the central bank in the daily selling sessions open either in light of the collapse of oil prices and the crisis of the state budget has set sales amount not to exceed $ 750 million per day, which shares directly in addition to speculation shortage in supply of the dollar on the one hand and its high price.
From here, Iraqis found surprises and wacky much as it was a surprise rise in the dollar price of 1180 dinars to the dollar to 1430 which is soon began to reflect on goods that affect the lives of the citizen as alert traders to raise their prices, and already the citizen began to feel the pinch even if turning Thread a nightmare for new may affect the livelihood of the people and the ordinary citizen is fed up and the media was left of the talk going on, but the busy heart of the dollar.
Then stepped in government and is said to have put their hands on speculators were the ones who caused the crisis to another report that regional banks and exchange companies linked to him is the one who plans the process and arranged in stages through the currency sold by the central bank in stages through exchange outlets and speculators others collect and refrained from sold then imposed later pricier to exchange currency outside the central bank's control, which led to that storm of surprise or the rumors and throughput of the media as the government pointed out that "there is manipulation and conspiracy occurred 'by some' who are hostile to Iraq and finance spoilers and trying to influence on the current situation, "said the government statement.
A lot of talk fraught atmosphere of rumors that no one amount of credibility knows that the whole crisis, politicians influential far reported that the bank was not the subject of suspicion also has a network of interests with Iraqi politicians but again and again and as is the case in dealing with suspects ghost in issues affecting public money here too I did not know until the time is not one defendant not Ahli Bank and Exchange Company nor otherwise remained scene full of mysteries and secrets, but the state remedied the rapid collapse of the price of the currency exchange Links lavished interview procedures through which more dollars Vodt frequent supply and control to balance and reasonable price exchange,
but no one It can predict how long this will hold for a rapid solution in the market in light of the greed of the greedy speculators and under an atmosphere tainted by suspicions of many in relation to the banking behavior of speculators and some currency traders and who is supposed to control the Iraqi dinar exchange rate today and tomorrow.
Walkingstick » June 22nd, 2015, 9:49 am
Russia mints coin to commemorate BRICS Summit
June 22, 2015, 12:20 pm
The coin bearing the title “A Meeting of the BRICS Heads of State in Ufa”, represents the growing clout of the group of five as they launch new financial institutions like the BRICS Bank and a $100 billion contingent reserve fund [Xinhua]
The Central Bank of Russia on Monday issued 3-rouble silver coins to commemorate the upcoming BRICS summit in Ufa.
“These coins will be on sale at several commercial banks, primarily at Sberbank, in a few days,” Andrei Samorodov at the Central Bank’s press service said on Monday in Moscow. Sberbank is Russia’s largest bank.
The coin bearing the title “A Meeting of the BRICS Heads of State in Ufa”, represents the growing clout of the group of five as they launch new financial institutions like the BRICS Bank and a $100 billion contingent reserve fund.
The reverse side of the 39 mm coin will flaunt the official colour logo of Russia’s BRICS Presidency. The coin’s run will be limited to 1,500 and collectors are expected to snap many of them up.
The new ‘BRICS coin’, commemorating the BRICS Leaders Summit to be held next month, is part of Moscow’s attempts to highlight the unity of the bloc of five diverse economies.
The 3-rouble coins will be usable across Russia, the Russian Central Bank official said.
The BRIC countries — the world’s four largest emerging markets – had met as a group for the first time and held their inaugural summit in 2009 in Yekaterinburg, Russia. South Africa joined the group later in 2010.
The BRICS have hastened moves to take a greater say in world affairs and the global economy in response to the world financial crisis that emanated from the United States and slowing growth in the Eurozone.
Walkingstick » June 22nd, 2015, 10:07 am In July involved 11 countries and 1200 Festival Baghdad shopping company
BAGHDAD / JD / .. General Company for Trade Iraqi business services at the Ministry of Commerce for the opening near the first Baghdad Shopping Festival and on the land of the Baghdad International Fair with the participation of Arab and international declared.
He said the company's general manager full Mekhlef subconscious is lost in a written statement received / JD / copy of it: that this The festival which will be held for a week and runs from 12 up to 18 of the next month of July will participate by 1,200 companies from different countries including Turkey, Syria, Egypt, Iran, India, Pakistan, Lebanon, United Arab Emirates, Jordan and Kuwait.
He added that the festival, which begins times to visit from time sixth to eleventh pm will occupy twenty thousand square meters of land within the territory of the exhibition is expected to bring a million and a half visitors.
Mekhlef explained that this festival will create a competitive atmosphere again being held in one place is a Baghdad commercial center, also will contribute to the shopping and direct sales for all social strata and groups all ages, in addition to attracting visitors and tourists who are keen to visit the events that will be held the festival days, and will provide the festival bus trip tests through shopping.
It is noteworthy that this festival is the first event in Baghdad on the real shopping level and the level of events that will take place in all cultural fields and technical and strategic level of children, youth and all age groups. / End / 22 /