Post From Wealthwatch.world Chat Room 11-11-15
Wealthwatch OOTW & Member Chat 11-11-15 Part 1 of 2
Stash: XE 1117
Donnie: Iraq Live Update @IraqLiveUpdate 40s41 seconds ago Austerity! Sunni Endowment building funded by Shia led Iraqi gov! While Oil-Rich Basrah lays off street cleaners!
Doug_W: The iPad is a 9.7 inch touch screen tablet PC made by Apple . The iPad is basically a netbook without a keyboard. It has a multi-touch LED-backlit 9.7 x 7.5 inch front display and weighs 1.5 pounds, with a battery that lasts up to ten hours.
MzDiva: HAPPY VETERANS DAY!!!!! to all present and passing who have served our country Love goes out to you. :heart: :heart: :heart: :heart: :heart:
Shnozzle: Thank you, @MzDiva! I salute my fellow veterans for allowing us the land of the free because of the brave....
OOTW: YES HAPPY VETERAN'S DAY - WE CAN'T THANK YOU ENOUGH FOR YOUR SERVICE
OOTW: AS FAR AS THE RELEASE OF THE 50K NOTES GOES...I ALWAYS SAID, WHEN THE CBI ANNOUNCES IT, I'LL BELIEVE IT AND HERE WE ARE
Doug_W: where are we tho?
OOTW: MANY IRAQI ECONOMISTS HAVE EXPLAINED THIS EVENT AS NECESSARY IN ORDER TO RESET THE MONETARY PROCESS IN IRAQ - I WOULDN'T BE UPSET ABOUT THIS AT ALL,
Doug_W: I agree not till we see the "whole" picture
OOTW: THERE HAVE BEEN ANALYSIS PERFORMED BY ECONOMISTS WHO'VE SAID THAT THEY ADVISE TO INCREASE THE VALUE OF THE IQD ONCE THE 50K NOTES ARE RELEASED - WE JUST HAVE TO BE PATIENT AND NOT LOSE FAITH
Donnie: First Deputy President of the Republic receives Vice President of the Patriotic Union of Kurdistan (PUK), Dr. Barham Salih
Donnie: First Deputy President of the Republic Mr. Nouri Al-Maliki received at his office today Vice President of the Patriotic Union of Kurdistan (PUK), Dr. Barham Saleh and his accompanying delegation and discussed with him the developments in the political and security situation in the country, and ways to meet the challenges facing the political process.
He stressed the need for concerted efforts and unify positions on foreign and domestic issues and to work in order to speed up the elimination of the terrorist organization Daash and the return of security and stability in the whole country.
Donnie: www.vpo.iq/NewsDetails.as... BAD LINK ? INTERNAL SERVER ERROR
OOTW: I WILL GO THROUGH OUR FORUMS AND FIND MORE INFO ON THIS
Tootsie: The Central Bank suspended dollar four companies processing الأربعاء 11-11-2015 | Wednesday 11-11-2015 | 3:11:09 3:11:09 Twilight News Central Bank of Iraq / decided on Wednesday to stop four companies processing the dollar without specifying the reasons.
The bank said in circulating on the licensed banks and money transfer companies, banking and Word copy of it to Twilight News, it decided to suspend the processing of four companies dollar companies directly or indirectly. He said in the circular, signed by the governor of the bank and agency relationships that companies are dart Arab financial convertible and friends to broker the sale and purchase of foreign currencies
and irrevocably to broker the sale and purchase of foreign currencies and the castle to mediate the sale and purchase of foreign currencies. The bank did not set out any reasons behind those companies to stop processing the dollar. wealthwatch.world/showthr...
Tootsie: CBI statement ~ (Statement) for the purpose of completing the Iraqi banknotes structure and the development of high-value category in circulation, the Central Bank of Iraq is pleased to announce to the public the Holy issuing banknotes category (50000) dinars (fifty thousand dinars) 11/11/2015 cbi.iq/documents/press%20...
Tootsie: now we wait ~ :happy:
OOTW: I'M SIMPLY OFFERING UP OPINIONS FROM OTHER PEOPLE IN THE COMMUNITY ON THIS ISSUE..HERE'S ONE FROM TLAR (June 9 2015)
lonegunman: ‹@Tootsie› we are good at that
OOTW: Tlar wrote: I have been asked to post by many for quite a while. I have refrained from doing so because the news has been conflicting. Everything I say in this writing, please take as an opinion piece only.
This is a fluid situation and it can and has changed direction on a dime many times based on what recently happened on the ground. So I advise you to understand that what I believe is going on, may or may not be actually as I see it.
First, I believe the CBI when they state shortly they will introduce the 50 and 100 thousand notes. I think this is a necessary temporary fix to a problem that showed up earlier.
The temporary problem was and is, LIQUIDITY. Recently as we all know the Parliament put a restriction of 75 million per day on the CBI as to the most USD they can sell per day. Iraq already was experiencing a minor liquidity problem prior to this restriction but the restriction severely aggravated the problem.
Remember that Iraq has been dollarizing since 2011. This has reduced the amount of dinars significantly in circulation and increased the usage in day to day transactions of USD. Then in Jan 2014 the CBI instituted a program to pull the remining dinar that was in the independent banks.
They did this by making it a requirement to turn over all their dinars to the CBI of those banks wishing to sell USD to the market. The CBI then set up electronic accounts for those banks by which they could pull USD from, to sell to the street. Also at or toward the end of 2013 they reprinted the dinar,
They did this to protect the remaining dinar in circulation, especially the 250, 500 and 1000. These notes are high security risks if they were to delete the zeros because Iran most likely would immediately start counterfeiting and distributing these notes if the value were to rise quickly.
Since their introduction, there has been a replacement process going on to replace every note through the banks that is still circulating in Iraq.
Tlar: When they printed these new notes, the decision in 2013 was to only print 5 trillion dinars and in the article they used to announce it they mentioned the goal of replacing 2.7 billion in circulating currency.
That printing told volumes as to how much dinars were left still circulating in Iraq So they printed about 2 trillion dinars more than they needed at the time they printed these secure notes, which would make sense because they would not run out, and in order to account for potential economic growth during this period while waiting to delete the zeros.
So the stage was set for deleting the zeros as far as protecting the money supply against state sponcered counterfeiters (Iran).. Liquidity is best resolved on by the loosening currency to the streets.
The best way to do this is to get cash to the banks and have them start making loans to businesses and individuals as we all know. The other way to resolve the liquidity problem is to continue the auctions selling USD at a level that would meet the needs of the public as they come into the banks.
But to continue doing so would reduce the reserves as they are drained off to supply both the currency needs sold at auction and meeting balance of payments.
Tlar: All balance of payments (remittances) have to be done in USD because the dinar is not yet a tradable currency.. This was exactly what we saw starting to happen at the CBI.
As the CBI's income through oil sales had dropped significantly while the need for USD to meet the balance of payments and the auction requirements remained constant, the foriegn currency reserves started to dwindle. That is the reason that Parliament instituted the 75 million cap. It was to stop that drain.
The CBI who is responsible for monetary policy and circulating currency which is a function of liquidity, decided they had to temporarily introduce a new note with value in the hopes that it would at least alter the needs of the market and reduce the amount of USD being sold at auction.
In other words the purpose of these notes is to hopefully temporarily satisfy the overage above 75 million needed each day in the market so they could adhere to the cap.
Parliament then loosened the cap until the CBI could get these notes out. The other reason they want to introduce these notes is to get the Iraqi's used to using the dinar again. Today Iraqi's are conditioned to use USD in day to day transaction especially because there is so little dinar left circulating in Iraq.
These high value notes will be sold at auction and will undoubtedly be part or all of the 5 trillion in loans that the CBI is scheduled to loan the banks. This will be the way these high value notes are introduced to the market. Their intention is not to replace USD nor is it their intention to trade for other three zero notes.
The intention is to quickly raise liquidity only. These notes will not slow the delete the zero program down as they themselves have told us. They are the precursor to the delete the zero program. More opinions later later if anyone wants it. opinion only, ~ tlar
OOTW: YOU ALL KNOW THAT MY DIFFER FROM KAP IN A FEW AREAS, HOWEVER, KAP HAD A CONFERENCE CALL , EARLY OR LATE SPRING OF THIS YEAR IN WHICH HE EXPLAINED THIS PROCESS AND HIS THOUGHTS WERE NOT ENTIRELY DISSIMILAR TO WHAT TLAR HAS SAID
OOTW: TLAR WAS KICKED OFF OF DINAR ALERTS FOR DIFFERING WITH KAP, AS WAS MYSELF AND MANY OTHER PEOPLE
OOTW: KAP DOES HAVE SOME VERY VALUABLE INSIGHTS - I SIMPLY DON'T AGREE WITH EVERYTHING HE'S SAID
OOTW: PERSONALY, I'M VERY HAPPY ABOUT THIS BECAUSE WE ARE SEEING SOME KIND OF MOVEMENT
OOTW: AND I AM ENCOURAGED THAT BOTH TLAR AND KAP (WHO DEFINITELY DIFFER RE THEIR THOUGHTS ON IRAQ, IN MANY AREAS) ARE IN RELATIVE AGREEMENT ON THIS
Tootsie: ADDITONAL RE: STOPPING 4 bank $$ ~ Additional [font]The central bank suspended four banking companies and financial processing and conversion to the dollar 11/11/2015 It declared the Iraqi Central Bank, on Wednesday, stopping four of the remittance processing companies in dollars, while not explaining the reasons for stopping the processing of these companies.
According to a statement issued by the bank, "the bank's governor on the Keywords agency decided to stop processing companies (Arab financial dart convertible and friends is irrevocably and Castle) in foreign currency (dollar) be it directly or indirectly." Keywords decision did not explain the reasons for stopping foreign currency for these companies processing ~ wealthwatch.world/showthr...
OOTW: I ALSO LIKE THE FACT THAT WE WERE TOLD THAT THIS WOULD BE HAPPENING NEXT YEAR AND HERE WE HAVE THE ANNOUNCEMENT
OOTW: THANKS TOOTSIE YOUR POSTS ARE VERY HELPFUL
OOTW: THERE'S DEFINITELY SOME CONSIDERABLE FORWARD MOVEMENT FORTHCOMING
Tootsie: ‹@OOTW› GM, - just popping in, have to scoot fairly soon.! Good work on this site!!
Donnie: ‹@OOTW› TYVM for this website and all you do to "bring it" every day! :smile:
OOTW: THANKS YOU GUYS, BUT I HAVE A LOT OF HELP FROM EVERYONE HERE OOTW: <3
OOTW: I BELIEVE BUTIFLDRM WILL BE IN LATER TONIGHT TO FURTHER DISCUSS THIS
OOTW: I HAVE TO RUN OUT TO PET SIT SOME KITTIES BUT I'LL BE BACK
OOTW: HUGS AND TAKE A DEEP BREATH, OR MANY, AS IS REQUIRED ;) - IT'S ALL GOOD
Doug_W: be well OO
OOTW: SAME TO YOU ALL
MichelleL: what did i miss, Tlar say anything recently OOTW?
MichelleL: ok, guess its "history time" :)
Comments may be made at the end of Part 2 Thank You