Tlar & Members Discussion On Iraq / CBI / Dinar Value / Mtn Goat & More
Tlar Comments On Part 2
Livefree Central Bank calls for monitoring the movement of the dollar and put controls on foreign exchange companies
February 15, 2015 An official source in the Iraqi Central Bank to monitor student movement of the dollar and put controls on foreign exchange companies and check receipts and money transfer.
He called on the Iraqi government not interfering with the central bank, adding that the main causes of decline of the dinar is the use of the dollar import process, so the need for it is greater than the Iraqi dinar, therefore, the money supply of the dollar is strong, stressing that Iraqis are forced to use the dollar foreign transactions, so a large demand on the dollar compared to JD.
The source added that the Iraqi economy is not affected by a decline or rise in the dollar only, but there is a security situation and financial and administrative corruption, pointing out that the rise in the dollar exchange rate against the dinar affect the processes of buying and selling and import.
Hmm, not sure what to make of this article given what we're waiting for. Any opinions?
Livefree Economic Adviser to the servants, the government is serious in overcoming the obstacles to investment and Iraq in a recession
15/02/2015 19:00 Tomorrow Press / Baghdad: stressed economic advisor to the Prime Minister the appearance of Mohammed Saleh, Sunday, that the economic laws obstacle stand in the investment, noting that the government is serious in modified to provide an incubator for capital, while noting that Iraq today is going through Abeche from the recession.
Saleh said for "tomorrow Press" that "economic laws obstacle generally outside investor, is serious and the government to go to amend such laws commensurate with the stage and removed all obstacles of laws, regulations or instructions," referring to "the existence of the committee working on the activation of the Iraqi economy and the elimination all the bureaucratic procedures. "
"The capital coward, but today we worked to provide a good incubator for this money to stimulate some business."
"The budget is considerable, if exploited properly spent, and Iraq did not reach the stage of contraction, but it needs to raise its efficiency and economic," pointing out that "the current situation of the Iraqi economy is going through Abeche from the recession." LINK
livefree The government is seeking to increase dollar sales to 125 million to reduce the value
2015-2-15 BAGHDAD .. Finance Committee revealed seek Cabinet to increase dollar sales to 125 million instead of 75 million to reduce its value, as pointed out that the rise in the dollar will not continue, and there is a tendency to install its price against the dinar.
The committee member said Masood Haider told / BD /: that there is a different perspective to the Council of Ministers and Central Bank on what came in the budget law which set the sale of $ 75 million a day.
He expressed the belief that it will change the amount of $ 75 million in the near future, because the state needs to sell about $ 125 million a day, which will contribute to reducing its price, indicating that the rise happening in the dollar will not continue, and there is a tendency to install its price against the dinar.
He noted the impact of foreign currency traders in the case of the dollar high at the moment, adding that the central bank the authority to maintain the value of the Iraqi dinar against the hard currency in the budget law. http://www.dananernews.com/News_Details.php?ID=5542
Baghdad next week to send 583 billion dinars for the Kurdistan Region
February 14, 2015 Minister of State in the Federal Government for the Kurdistan Alliance Saman Abdullah dress News that the Ministry of Finance will send the amount of 583 billion dinars, representing an advance part of the budget for the month of January 2015 to pay the salaries of the staff of the province for the first month of this year.
Abdullah said that this Stzamn with the provincial government delegation visit to Baghdad.
MP Ashwaq dry in statements to the media have confirmed briefed them "Soraya News" as early as next week to visit a delegation from the provincial government, headed by the Prime Minister of the government of Mr. Barzani Baghdad to discuss the completion of the outstanding problems between the two parties.
hi-five I'll be watching to see if the Ministry of Finance actually does send the 583 billion dinar to Kurdistan!.
Livefree Ok, I must admit I'm lost on this 583 billion dinar to Kurdistan. Does it make sense to do that pre-rv? I'm almost afraid it means we are still in for a longer wait. Can anyone explain whether that matters or not? Mind a little fuzzy these days trying to keep up with it all...
Mike I think this is part of their 17% budget allocation, the budget should be functional by then. IMO
Jackt I'll take a shot at it and say your right Mike, ....and another brick in the wall!!
Livefree Thanks Mike and jackt, I do believe it is part of the 17% but I guess my question is does it make sense to pay them pre-rv or doesn't it make any difference?
And also Mike since you mentioned the budget being functional, isn't the general consensus that the rv would happen before they opened the budget?
In my mind it would make sense for them to raise the value first before spending any money, so if anyone can explain why they would spend vast amounts of money pre-rv only to raise the value later please explain to those befuddled like me... (btw, befuddled is spelled Amaretto :P).
HandOverFist Livefree, If they are going to RV anytime soon, they won't send 583 billion dinar to Kurdistan next week. If they RV, the amount to Kurdistan will be adjusted. If they send that amount of money, no RV and we're a bunch of fools.
livefree HOF, I think you understand my concern. You nailed it. Anyone else agree? That means next week will be very telling...
Flyboy How about this.... We know the Gov owes them much more than the 583 billion... What if they are giving them a smaller amount and they know that tthe RV is coming....making the amount much larger after the rv...jmo We wait...
NCTallGuy Hope it's not another brick in a wall we're gonna run head first into.
LiveFree Hmm Flyboy, very interesting summization you came up with there. They're a sneaky bunch as we all know so you may be on to something... would make sense to me. We can only hope! I've got so many bumps on my head already I look as if I've grown horns!
Flyboy Livefree, I just don't think the Kurds would come all that way to hash about things they have already covered....and agreed on..like whats their cut of the pie. Iraq owes the Kurds their freedom..had it not been for them Bagdad would be in the hands of the bad guys and Abadi knows it.
IMO the two most powerful guys in Iraq right now are Abadi and Barzani...they need each other...badly. Iraq is at aHUGE turning point in its history...Abadi knows it and I think he is fighting for it and I think Barzani is betting on it as well. Good stuff is coming our way...hang in there...just sayin
Deacon1 Hi - I check in on CC often but rarely post. Usually working and checking during breaks. I wanted to share this from late last year. There was an article which made me feel we could be in for more than the any day now scenario always being shared by the experts across dinarland.
That article spoke differently too me. Every now and then an article comes out that slaps you in the face and I find it funny how so many or rather most will overlook the plain and simple message because they want to believe they will be at the bank "soon".
If you remember it was in December I believe (I don't think it was as far back as November) the Kurds came in and everyone thought they were signing the budget and they would get there 17% and the RV would pop out right after.
Then the article I am speaking of came out that said they would be getting this payment every month until the budget was signed. It definitely gave me pause for thought.
How could we be so close if this arrangement was being made and the statement read that they would receive these monies "every month" "until".
The Kurds were happy because they were getting money that they have been needeing for a long time but all was not done. Here we sit waiting for the budget to be published in the Gazette because it has now been signed by the President.........but it's not there.
I will say right now that I want to have to eat my words because I want to get off this train with my money but there may be a schedule that none of dinarland is aware of...........otherwise, why make arrangements like this and state "every month until".
People were believing it would be done in December but my mind definitely saw us here today and further from that article.
If you focus to closely on this thing it can be very hurtful and hard but that's what we all do. When you spend time in forums, chats and on conference calls that hold this subject at the top of the list, it's really hard not to get drawn in the expert opinions out there. Just my 2 cents.
I include in my daily prayers protection and favor for the President, PM and GOI of Iraq. That the leaders are strong and can stand up to the negative influences that they face daily.
No where is politics dirtier I think. I pray for patience and fortitude for us all that we might still be on the horse at the end of this race. I pray that we can all experience the Joy of this blessing and that we will all bless others when it comes.
DarbSalad flyboy, Hope they can resolve the situation quickly. Kurdish papers have stated that foreign oil companies are reconsidering their investment options. One company has suspended oil shipments to Turkey due to lack of payments by the KRG.
Mike livefree, I don't think the budget needs to have an RV in it to be opened, we hear that every year from the pumpers and yet they've opened budgets for years (with the exception of 2014).
The Kurd's need money to pay their people, so do all the provinces in Iraq. I don't believe there's a ton of dinar on the streets right now, paying the Kurd's shouldn't have any effect as far as delays in the process, Iraq has to function until they can raise the value. I hope this helps.
DreamWeaver Iraq was loaned 500 million USD, specifically to pay the Kurds. Thought those funds were already released. So, what is this 500 million for? Did the Kurds not, yet, get paid? What am I missing?
mike DW, if I remember right, Baghdad paid the Kurd's two payments of $500 million for back pay because Maliki wouldn't pay the Kurd's in 2014.
I believe the money they're talking about now is budget money, there are some MP's who don't want to pay them their 17% because the Kurd's are having technical problems delivering 550,000 barrels per day.
DreamWeaver Thanks for clarifying, Mike. Fuzzy math was taking over 'me mind. LOL.
Thanks for posting thoughts, Deacon1. You brought up good point. Deal probably made to get Kurds on board new GOI--as Abadi knew he couldn't accomplish his goals, including passing laws, without Kurds ... and Kurds weren't willing to wait any longer for payment.
Budget has been signed, but not yet published. Reason many believe it isn't published is because there are outstanding items needed to be done by CBI and/or GOI before economic reform (RV) can occur.
I'm on board that thought, Deacon--though certainly not one that sees an RV with every move made. We cannot know the blueprint being followed by CBI--what we do know is that GOI must be involved; and, IMO, they may be waiting for broken laws to pass and additional bank regs before RV occurs.
I'm still very concerned that IS hasn't yet been neutralized to extent necessary to qualify as "stability." They now may be waiting for strides in liberating Mosul. Who knows?
DinarBlowYourHorn's post the other day about what articles mean in relation to "hard currency" has me believing it may not happen tomorrow or even next month, but it is going to happen in the near future--and, for now, that is good enough to bring peace to my mind and spirit.
So, you may not be eating any words at all--and no one should be held to eating their words anyway, as it's ALL conjecture. Time will tell us more. Don't be a stranger. Enjoyed your post. Best ~ DW
Dinarblowyourhorn Best I can tell there are maybe only two real things to this investment. They are 1) actual M0 (note count) and 2) the entrance into the global stage as a currency. I guess third would be the net effect of ISIS on the timeline.
The problem with note count is that we really don't KNOW know. Of all the things I would have to obscure if I were planning a major revaluation, this would be number one on the list. Fortunately, at least we have wide ranging, conflicting reporting and guesstimations. That's ok with me.
I can lean towards the lowest numbers and feel good about the "intellectual integrity" of the belief, realizing that if the highest numbers are true, this RV thing is very difficult to imagine in the near or even distant future.
The issue of globally integrated currency with some relationship to the actual note count and GDP is always encouraging. It seems to me it must and will happen, eventually. This integration and acceptance seems to be an inevitability to me (where the hoped for RV is not an "inevitability").
Almost every day brings good news and forward motion to this component. That keeps me hopeful and in the game. The ISIS shituation is a bit of a problem.
I am so distrustful of every news source, every country involved, the origins of the group, the backstory of the group, the possible supporters/financiers/and multiple agendas that it causes me to be unable to come to any reasonable conclusion.
My head is a mish mash of thoughts on the why and wherefores of ISIS. To conclude that the PTB are just inept and uninformed is so disappointing that I nearly prefer to entertain conspiracy theories ad infinitum (which is also completely intellectually disturbing). Or worse yet, what if there are no "powers that be?"
I guess I still hold out that the central bank system is quite capable of creating a "value" for any currency. Our quantitative easing to the tune of billions and billions of "out of thin air" money seems to have crushed the value of the dollar...Not!
So the clearly insane discontinuity of the global financial/currency world is hardly something one can use to categorically deny or predict any possible outcome.
So, we soldier on. I think this is a viable currency play/investment - just not one that is terrifically predictable as to outcome or timing. We wait for all things to come together, culminate...soon?
Livefree Ok, I am going out on a limb here. I have never given Mtn Goat's posts much consideration as I was very much put off by her beginning line "I come to you today..." I mean, who talks like that?
And also because apparently her IP address was captured to be in NY (if I remember correctly) and not in Austria or wherever she claims to be from. With that said, I did read her post today over at recaps and actually found it to be quite logical with all that we know today...
So, I come to you today (LOL) to ask you to read her post and make your comments ON THE CONTENTS of her post. After I put aside who had written it I thought it worthwhile enough to bring the link here, so have at it (or not) and I look forward to our experienced newshounds and BS sniffers to make their evaluation:
HandOverFist Livefree, Well I read it and I hate to admit this, because I'm not a fan of Mountain Goat, but it all makes perfect sense to me. Two exceptions:
1. "As this happens we all expect the rate to change to at least a rate conducive to pre-war era." (I guess Mountain Goat is expecting $3 or more.)
2. Mountain Goat makes no accounting for Daash. How can they revalue the dinar when 1/5 of their country is occupied by terrorists? That would make Daash even richer than they already are. Unless, of course, there is a secret plan to rid the country of Daash, pronto. That's my 2 cents.
Livefree I agree with your statement HOF for #1 as expecting $3+ as the starting rate is hoping and wishful thinking... not that they couldn't if they wanted to. I'm of 2 minds with regards to #2 though and Daash.
Remember it's not only Daash's money that will be worth more but the entire country's... besides I doubt Daash will be exchanging for US Dollars so only their purchasing power would increase like everyone else's.
And how could Iraq hold their entire country hostage and even the rest of the world because of Daash?
That would be letting them win right there. Just don't know what to make of this whole Daash thing, there's enough military might in the world that could squash these murderous monsters in a heart beat... why they are only slowly being eradicated is beyond me. I'm just as befuddled as to why Malarki and gang are still breathing.
Mcduff82 Read her posting and I also have to agree it makes perfect sense
Livefree And now this (thanks Blue) Iraq buys 48 tonnes of gold
15/2/2015 Leila Ahmed Announced the World Gold Council (WGC) for the purchase of the Central Bank of Iraq's 48 tonnes of gold during 2014, bringing the Iraq reserves of gold material and contribute to the diversification of its reserves.
In an interview with Radio Free Iraq, the economic advisor to Prime Wazzramzar Mohammed Saleh importance that Iraq diversify its reserves of gold and the dollar so that the cover of the Iraqi currency,
pointing at the same time that the states do not prefer gold much of the difficulty of his investment and the cost of flooring that paid for the country equipped fees.
Saleh pointed out that gold typically constitute 6% of central bank reserves of hard currency, noting that "48 tonnes of gold at the moment, a gold in the bank the amount is sufficient and commensurate with the hard currency reserves."
It is believed a member of the Parliamentary Finance Committee MP Ahmed Rasheed flesh to buy this amount of gold may be used by the central bank as a cover for the new currency, which purports Bank issued and is also used as a cover for the process of deletion of zeros from the Iraqi currency.
Rashid pointed to the current financial situation does not encourage the purchase of larger quantities of gold material.
To that count economist Bassem Jamil Antoine purchase this large gold "good gesture to diversify currency amounts and not limited balances at the central bank on the dollar only", pointing out that gold is one of the balances guarantor of the Iraqi economy, which contribute to maintaining the value of the Iraqi dinar .
The CBI had announced in 2013, on his quest to find a balanced ratio of gold with hard currency reserves, saying that as the size of the reserve increases less than the contribution of the other ingredients.
It is noteworthy that the International Monetary Fund said in 2012 that Iraq had boosted its gold reserves to reach more than 31 tons, explaining that Iraq bought 23.9 tons of gold in the month of August of the same year.
HandOverFist Hmmmm. Barzani says Iraq is a bankrupt country and connot afford to pay the Kurds. Now, Iraq buys 48 tonnes of gold. Something's gotta be up!
livefree The 48 tonnes was the total purchase for 2014. Since I don't know what a tonne is I looked it up: 1 Metric Ton [Tonnes] = 1.10231131 Short Tons [US] which if I calculated right is nearly 53 tons! And Abadi admitted they're not broke, said it just a few weeks ago.
Masters of deceit I'm telling ya! And look at the highlighted portions of the article... they've admitted it's to be used as a cover for the new currency and is also used for the process of deletion of zeros from the Iraqi currency! Can I get a WhooPow? LOL.
Mcduff82 Yes a big whooPow
Comments may be made at the end of Part 2 Thank You