In my recent past news letters I explained fully to you why they must use the dollar to pay debts outside the country since Iraq is still a “closed” economy and can not use their dinar to pay foreign workers or investors for services and goods that reside outside their boarders. Iraq will remain a “closed” economy as long as they do not have a currency that is traded globally and managed through the WTO for it’s trading partners.
I also told you many months ago when the Customs & Tariff law was passed that it would be very difficult for Iraq to collect any real significant tariffs from large shipping and air carriers since they are not yet hooked fully into the WTO banking system and there is a special software system used for collection of tariffs that used currency rates from the global exchanges.
How can you determine the tariff amount and convert it to the currency of the country of origin if you can not convert their rates to Iraqi dinar? We also know corruption is ripe in Iraq and it is not safe to say anyone is trustworthy. We know for a fact that the opportunity for revenue from tariffs alone can rival if not surpass the revenue from oil exports. So why would you want to manually manage such a high source of revenues manually? You are opening yourself up for yet more corruption. We know Iraq is on an economic crisis and needs these revenues.
Why am I telling you all this?
I am trying to make a point that the GOI knows that they need to get their act together and pass all these banking reforms to conform to the WTO so they can hook into their systems for international trade and payment systems. The quicker they do it the quicker they can get their currency back online.
Again I have to ask what are they waiting for since they know and we all know this is the very essence of their economic problems they are now facing. It is also the ONLY solution that will resolve their economic crisis and must be done before the CBI reserves are depleted.
ECONOMIC ANALYST: THE DOLLAR AGAINST THE IRAQI DINAR IS NOT THE REAL PRICE
Said economic analyst David Zayer said the US dollar against the Iraqi dinar in the country, not the real price.
Said Zayer told all of Iraq , that "the dollar exchange rate since 10 years is supported by the central bank, a dollar pumped into the market determines the price, this is not the real price, and is supposed to be now costs 1500 dinars to the dollar."
He said Zayer that "the decline of the dinar against the dollar is the beginning of its collapse under the difficult financial situation of the country, because there was enough money to support the dinar and now that the lack of funds began the real exchange rate shows."
He noted that "should the government raise support for the dinar, and that depends on the real price in the market, in order to avoid depletion of the currency commodity uneconomical and shows the reality of the dinar real strength.
"The economist Ahmad Kanani, attributed the rise in the dollar's exchange rate against the Iraqi dinar, to non-possession of the Central Bank of Iraq sufficient liquidity to cover the market needs. The dollar saw the domestic market during the past ten days at prices fluctuation of the dollar against the dinar, where he arrived the exchange rate in the past few days in 1227 dinars to the dollar (127 000 dinars per hundred dollars).
Update: Abadi Economic Reforms
I want to once again emphasize and caution all of you not to stake timelines of an RV based on the publishing of the 2016 budget or any future budget in the official gazette. Have we not learned your lesson yet? How many years must we go through the anxieties of waiting in anticipation for the Iraq to open their budget thinking the new rate will surface when they do?
Let me clearly state it again – THE BUDGET HAS NO SIGNIFICANCE IN THE TIMING OF THE RV. Did you get it this time? Must I scream it again?
Shame on all of you who think otherwise and it only shows you have been falling asleep while reading my news letters. There is absolutely NO proof of any sort that the budget contains a new dinar rate value of any significant increase. Sorry folks read it for yourselves!
If you have been paying attention to the news lately you should know the IM is now working very closely with Iraq and through a MOU they have agreed to work on certain issues, pass certain laws and work toward “full” release of all restrictions in their currency exchange rate. Their words not mine…NO Hype, NO Rumors just the facts.
But we don’t ever want to learn of news that tells us about a realistic distant future timeframe for an RV window. We want it now and on our timing and so we would rather listen to some foolishness about bank memos, speeches in the mosques or movement of global funds or even the publishing of a budget.
PARLIAMENTARY FINANCE: THE BUDGET HAS NOT BEEN PUBLISHED IN THE OFFICIAL GAZETTE AND ITS DEFICIT STOOD AT $ 74 BILLION
Information / special .
The parliamentary finance committee, revealed Wednesday that the federal budget for the current year deficit of $ 74 billion of the $ 94 billion is the budget, stressing that the budget has not been published in the Official Gazette until now.
He said committee member Abdul Qader Mohammed told / information /, "The current year budget in 2016 is still just words on paper did not apply its provisions yet," noting that "the draft budget did not now be published in the official newspaper the facts."
"The budget deficit of $ 74 billion of the $ 94 billion is in the general federal country's budget," stressing that "it is supposed to government and related parties should make more effort and seriousness to resolve the outstanding and recurrent cases per year when initiating the preparation of the budget."
He pointed out that Mohammed "a surging budget deficit leads to the need to emphasize the proper planning of the budget and in the early adoption of adequate transparency in their resources and all aspects of exchange and direct resources in order to achieve a real balanced and sustainable development."
It is noteworthy that Iraq is witnessing a severe financial crisis after the fall in oil prices significantly large deficit in the balance of the year 2016, all this with the high costs of the war on terror for the Liberation of Albulad.
Okay so I proved my point once again. Budget is now approved. Where is the RV? Oh- but now you say they can’t open it without an RV. Really? Bet you are wrong! I bet they will open it soon and they will begin spending it without any RV. THERE IS NO CONNECTION! GET IT?
For all those that argued with me saying that Iraq needed the RV prior to the budget being approved–
I hate to say it again but “I told you so as you were wrong once again”.
These same people also argued with me that the RV rate was also in the budget and I told them to show me where it is since I could not find it. After challenging them, they simple put their tails between their legs and ran away since they could not and had nothing more to say.
We (meaning all of you too) must keep challenging these people who bring these rumors and conjecture to the forums and to this dinar investment community. Don’t take this lunacy lying down, stand up and fight for what makes common sense and if it sounds weird it probably is just a lie or a rumor to build yet more hype or confidence for their cause. We don’t need more hype. What we need is more honest FACTS and TRUTH.
NO Hype, No Rumors, just the FACTS.
URGENT 2016 BUDGET ENTERS INTO FORCE AND SANITATION
Iraqi newspaper published the facts, the federal budget of the Republic of Iraq for the fiscal year 2016, which passed the House of Representatives and endorsed by the Presidency of the Republic Act and this is what the budget means the entry into force and sanitation by the government.
The general director of the Iraqi facts circle Muhannad Zebra in a statement received by the agency all of Iraq [where] a copy of it, that "the number of  ensure that the federal budget of the Republic of Iraq for fiscal year 2016, noting that the law was issued based on what passed the House of Representatives in accordance with the provisions of subsection [first] of article 61 and item [III] of article 73 of the Constitution, and endorsed by the Presidency of the Republic.
"He noted that" version to ensure the most accurate details of this law, where the budget was estimated at 81 trillion and 700 billion and 803 138 000 dinars, with the calculated revenue earned from the export of crude oil at a rate of $ 45 per barrel and the rate of export of 3.6 million barrels per day ".
The House of Representatives approved in its meeting on 16 December last, the year 2016 budget total expenses of more than 105 trillion and 890 billion dinars deficit accounted for 22.8%, reaching a total revenue of the 81 trillion and 700 billion dinars formed oil revenues, of which 69 trillion and 773 billion dinars The increase of 85.1% of total revenues, while non-oil revenues amounted to more than 11 trillion and 927 billion dinars The increase of 13.6% of the total revenue.
formed the current expenditures [operating] a salary and other more than 80 trillion dinars, and increase of 76% [of total expenditures 105 trillion dinars] while the capital expenditures of more than 25 trillion dinars, and increase of 23.8%.
The honest president Fuad Masum, the budget law in the third of the month.
In my last news letter I brought you news of the necessity for Iraq to coordinate with the WTO and to reform the Iraqi banking system. Now we hear news of Prime Abadi on Wednesday participating in the Davos World Economic Summit in Switzerland and meeting with the WTO president Jim Yong Kim.
What do you think this meeting was all about?
I quote from the article below – “"the Prime Minister met today, World Bank President Jim Yong Kim and his entourage, were discussed during the meeting of the World Bank for Iraq SUPPORT EXPERTISE AND SIMPLIFICATION OF PROCEDURES AND ASSISTANCE FOR THE REFORM OF THE BANKING SYSTEM”.
I need everyone to wake up and take off your blinders as to what is going on now in Iraq. The GOI is moving towards a global economy but there are procedures and banking practices that need to first be in place. How many times must I show you this in articles, SMP, MOU, etc before you believe it? You want to know why Iraq does not yet have a global currency…well here it is.
I quote from the article below – World Bank President stressed that "Iraq's success is important to the whole world and they are ready for all that Iraq needs support in the experience."
So do you think Iraq is about to go global with their currency? You tell me.
I can’t give you an exact date but I will say that Abadi is moving aggressively in this direction and it will not be long. But let’s read the articles and listen to the news. They will tell us.
ABADI MEET WITH WORLD BANK PRESIDENT IN DAVOS ON THE SIDELINES OF THE WORLD ECONOMIC
Information / BAGHDAD / ..He met with Prime Minister Haider al-Abadi, Thursday, on the sidelines of the World Economic Forum in Davos, the World Bank President Jim Yong Kim.
Ebadi said Office in a statement received by the agency / information / copy of it, "the Prime Minister met today, World Bank President Jim Yong Kim and his entourage, were discussed during the meeting of the World Bank for Iraq support expertise and simplification of procedures and assistance for the reform of the banking system and provide expertise resources management water. "
The statement added that it "has been discussed participation of the World Bank experts in workshops and help reform the provinces to complete the transfer of powers in addition to their support for the reforms carried out by al-Abadi."
For his part, World Bank President stressed that "Iraq's success is important to the whole world and they are ready for all that Iraq needs support in the experience."
Update: Fighting ISIS
I present the article below on the latest news of ISIS fighting. To me it looks like they are staging equipment and men in preparation for a very large battle. We know Anbar region is already taken and it is very close to Mosul. We are told that Mosul it the last strong hold of ISIS in Iraq.
I wait for news that the battle for Mosul has begun and we anticipate a swift and very aggressive movement on ISIS. We know for FACT that Mosul must be taken prior to any RV.
I keep asking in my news letters “what is Iraq waiting for to RV?” and this battle is one factor.
2,000 SOLDIERS FROM THE 101ST WILL COME TO EIN AL-ASSAD BASE WITH THEIR WEAPONS AND EQUIPMENT
A security source in Anbar province reveal the number of soldiers within the US band 101, which will be lowered on the border between Anbar and Syria, the source said that 2,000 troops will arrive to sitting eye-Assad as well as 50 vehicles and guns, as well as a variety of weapons and tons of ammunition and fuel, indicating that the US force will participate in any military operation carried out by Iraqi security forces at the storming of the areas where elements of al Daash in the western regions is worth mentioning that the band '101' Airborne, which are known as 'Eagles Alzaakh' has more than 280 helicopters, including three squadrons of helicopter gunships Apache.
One more item today:
Let’s not forget to keep praying for the success of THESE IRAQI AND COALITION SOLDIERS. I believe their success is in part some of the acceleration of the process we are now witnessing.
Remember too to pray to the princess of peace – Our Blessed Virgin Mary. She has the ear of Christ and she can intercede in heaven and bring us the peace we all desire here on earth. We can not do it alone. I believe that if we all make this our daily prayer you will see change. It is already working even in the short time since I have been publishing this prayer section. It does not matter what religion you believe, if you pray then to your oven beliefs entity it is still the same powers and good for all of mankind. Ultimately it is all the same God anyhow.
“Lord, protect Abadi and all who stand with him in righteousness, the Iraq and Coalition Soldiers who are fighting the good fight against terrorism, that they would be shielded from the enemy and would be Victorious against them! We ask that the Victory comes swiftly and healing of the Iraqi peoples and all whom have been effected by these evil doers can begin!
We pray for the process of the currency reform, the full implementation of the Iraqi economy to full international status and the bringing of prosperity and wealth to its people“ Amen!
Till next time…. Auf Wiedersehen!
Peace and Luv To Ya All,