Thread: Iraq/Dinar News. before Febuary 2nd 2006

Iraq struggles to re-distribute oil wealth

Monday, January 29, 2007

Amidst criticism in the Middle Eastern press that Iraq's new oil policy overly favors America, an internal debate rages in Iraq over regional control of oil and its proceeds.
Foreign, most of which are American, are allowed 70 percent of oil revenues to recover their investment initially, then 20 percent of the profits without any tax or restrictions on transferring funds abroad through “product-sharing agreements,” according to the Associated Press. Prime Minister Nouri al-Maliki has pressed hard for a new oil law to be passed since he came to office on May 20. On paper, the law favors central oversight over regional control.

Kurds in the north and Shiite Arabs in the south, where the richest oil fields are located, would like to see more powers conferred to the regions. Sunnis in resource-poor areas prefer central control.

The legislation has not been passed, but sources close to the Oil Ministry are working towards a Feb. 10 deadline.

The draft effectively grants the power of veto to a central committee over new contracts initiated by the regions, but omits the actual word “approve” – a concession to the Kurds. It aims to restructure Iraq's state-controlled oil industry by giving independence — possibly leading to eventual privatization — to the government companies that control distribution and infrastructure.

The law would revive the Iraqi National Oil Company. But there are many gray areas. At the same time, the law would place substantial administrative authority outside Baghdad by allowing any region that produces at least 150,000 barrels of oil a day to create its own operating company, said the New Times. All oil revenues should first go to the central government before being sent back to the regions in amounts proportional to population.

Moot points include how to deal with fields that are already producing oil under existing contracts, how to begin taking bids for drilling new wells in known fields and exploring areas where currently unknown oil fields could be located. The distribution of oil revenues and central control remain the key sticking points. Oil Ministry spokesman Assem Jihad said on Friday the new proposals had been delayed because of "differences among some groups."

He criticized Kurdish lawmaker Mahmoud Othman and said that the constitution passed last year provided for a Kurdish federation in the north that would co-manage existing oil fields along with the central government and have full control over new ones.

Iraq struggles to re-distribute oil wealth - Turkish Daily News Jan 29, 2007

Originally Posted by Inscrutable

1225, so let's call it 1285 for tomorrows auction better then the 1289 I thought earlier.

Agreed.

Originally Posted by Inscrutable

1225, so let's call it 1285 for tomorrows auction better then the 1289 I thought earlier.

what does this mean in laymens terms. thanks Ronnie

I saw a lull in posting and thought I would make mention of an item or two.

I have a bunch of local buds, 'Chaldineans" by their terminology, who fervantly believe we have erred in going into Iraq. I have been told by these guys that they recall Iraq's king saying he sat atop a sewer and that if the top were to be removed you know what would float to the top.

Their tune is now a bit different. It is extremely positive in their skewed sort of way. With the incredible and awesome progress made by our top of the line and gallant military, they now talk of making sure these (I'm trying to be polite) "militants" be employed. Think of it, I was told, who would hire you for what if you played the 'I need to pray five times a day' crap. These guys are on the phone to various places in Iraq, daily. They say these useless pieces of sh** need to be employed so they wont be killing our guys. I see their point. They have also told me that they were raised to stay away from the imams bcause of what they do to young boys. I am just outside of Detooit, where we have the largest concentration of these people anywhere in the west.

We forget that Iraq was a socialist country where people's income was not a function of their contribution to the economy. It was ethnic, tribal and clearly political.

There, Sunni are married to Shia and vice versa. This crap we hear is generated by the US media (may they pass peacefully, but in the total obscurity they so richly deserve). This strife is fomented by outside sources. This is not a civil war.

I am so sorry that I have forgotten the source, but I can prove through convos quoted with the Presidenbt of Iraq and the President of Syria that there is no civil war. If Ido not post support for my assertion within five days, I concede that my credibility is naught.

Scott

As for the role of the budget in raising the value of the dinar against the dollar, Azzubeidi said that a decision was made to raise the value of the dinar against the dollar in the budget, and the rate was determined purely by 1260 dinar, hoping to return to its normal state like the Gulf currency, as befits a country rich in oil and other wealth, and hoping to decrease the rate of the dollar to 1000 dinar during the three or four years.



When they refer to "Gulf currency" does anyone have an idea of which currency they are refering to?

Base currency is United States Dollars - USD
Mid-market rates as of 2007-Jan-30

Bahrain= 2.6524526674
Cyprus= 2.2396416573
Egypt= 0.1759157338
Iran= 0.0001086272
Iraq= 0.0007766086
Isreal= 0.2351282660
Jordan= 1.4124293785
Kuwait= 3.4582986875
Lebanon= 0.0006650484
Oman= 2.5976076165
Qatar= 0.2746954002
Saudi Arabia= 0.2666311159
Turkey= 0.6990074095
UAE= 0.2722795343

Thanks, Lewscrew


Perhaps they are refering to the way that the Kuwait
currency has rebounded after it was invaded.

Bush Warns Iran Against Military Action in Iraq
White House Skeptical About Iran's Plans to Expand Economic Ties
By TERENCE HUNT, AP

WASHINGTON (Jan. 29) - President Bush said Monday the United States "will respond firmly" if Iran escalates military action in Iraq and endangers American forces. But Bush emphasized he has no intention of invading Iran.

Vahid Salemi, AP
Iraqi President Jalal Talabani talks with Iranian counterpart Mahmoud Ahmadinejad in Tehran, Iran, in November. Iran on Sunday outlined a plan to expand economic and military ties with Iraq.

Bush also acknowledged skepticism concerning U.S. intelligence about Iran, because Washington was wrong in accusing Iraq of harboring weapons of mass destruction before the U.S.-led invasion in 2003. "I'm like a lot of Americans that say, 'Well, if it wasn't right in Iraq, how do you know it's right in Iran,'" the president said.

The president, in an interview with NPR, said the United States was "constantly evaluating and answering this legitimate question by always working to get as good intelligence as we can."

Sharply at odds over Iran's suspected nuclear weapons program, Washington and Tehran increasingly are arguing about Iraq, where both countries are seeking influence. The White House said last week that American troops in Iraq have been authorized to kill or capture Iranian agents deemed to be a threat. Iran's ambassador followed up by telling The New York Times that Tehran plans to greatly expand its economic and military ties with Iraq and open an Iranian national bank branch in Baghdad.

The United States accuses Iran of supplying terrorists and insurgents in Iraq with improvised explosive devices that have become the most lethal threat to U.S. forces. The Bush administration says it decided to take a tougher line with Tehran after months of evidence showing Iran was assisting anti-U.S. forces.

"If Iran escalates its military action in Iraq to the detriment of our troops and/or innocent Iraqi people, we will respond firmly," the president said. "It makes common sense for the commander in chief to say to our troops and the Iraqi people and the Iraqi government that we will help you defend yourself from people that want to sow discord and harm. And so we will do what it takes to protect our troops."

Bush said it was important to distinguish the nuclear standoff with Iran from the quarrel over Tehran's involvement in Iraq. He said he believed the dispute over Iran's nuclear program could be resolved diplomatically.

Senate Majority Leader Harry Reid, D-Nev., has said Bush does not have authority to launch military action in Iran without first seeking congressional authorization.

Bush told NPR he had no intention of going into Iran. "This is the kind of thing that happens in Washington," the president said. "People ascribe, you know, motives to me beyond a simple statement - 'Of course we'll protect our troops.' I don't know how anybody can then say, 'Well, protecting the troops means that we're going to invade Iran.'"


1/29/2007 20:53:36

2007
Monday, January 29, 2007



Next week we will vote on the budget and end the current controversy on


بغداد-المواطن
Baghdad-Citizen

قال الشيخ حميد معله عضو مجلس النواب عن الائتلاف العراقي الموحد ان تأخير.
Sheikh Hamid Maaleh member of the House of Representatives from the United Iraqi Alliance said the delay in the ratification of the 2007 budget is considerable economic impacts on the pace of project delivery. Yesterday, Sunday, and added : "There are economic impacts to delay ratification of the budget for this fiscal year for projects allocated to the provinces." He continued : "The approval will contribute to the rapid conversion Plassiat to the governorates and the implementation of projects awaiting funding." And between Maaleh : "The reasons for the non-implementation of some projects in the last year was due to the delay in the release of funds for the provinces." He stated : "The Board of Deputies has his own in the budget as there are figures seen by some unnatural a long discussion to reduce or develop a new plan for distribution." He pointed out : "The next week will vote on the budgetary sphere and end the controversy surrounding them

Salim al-Jabouri told the nation : 2007 budget is not an investment

(Voice of Iraq) - 30-01-2007
This issue was sent to a friend

Salim al-Jabouri told the nation : 2007 budget is not investment and interact positively with the next cabinet reshuffle
Baghdad Mazen's :

Dr Salim Abdullah Al-Jabouri, the spokesman for the Iraqi Accord bloc, the bloc interact positively with the amendment next ministerial including help reform the military and the balance career, as well as the completion of file militias, but he criticized the budget for 2007, which he described as an developmental rather than investment.

The target in an interview with homeland realistic to deal with no indications of Ministers Accord Front by the other political parties and by the Prime Minister, but saying wish to be more objective observations from being personal.

He criticized al-Jabouri, the budget submitted by the Iraqi government for 2007, said bloc, the Iraqi Accord that I a set of remarks on the budget, as it is in the basis, not the budget development or investment, but consumer, the amount allotted to it is a very substantial sum of $ 41 billion on the grounds that the exchange rate of $ 1260 dinars, and this amount can be increased.

He added Other amounts, given to the Prime Minister and the Presidency of the Republic, under the title social benefits millions of dollars, without compiling clear and true, as there was for investment projects, especially in the oil sector, any allocations in the budget, while granting the Office of the National Security Adviser 13 billion dinars, which is not with the legislative or executive, we do not know how spending this amount.

Explaining facts make us feel included in the budget great frustration, particularly since two trillion Iraqi dinars allocated to the state of emergency, as part of the power of the Minister of Finance, and the fact, we doubt and uncertainty as may accrue to these vast sums.

He refused to Al-Jabouri described bloc compatibility Balmattarad Permanent on the draft Alqguaniin put to the vote in the Parliament, saying While entered Accord Front political process, and participated in many of the institutions of state, it realizes Voice reflect the views public, and consequently, all observations raised, but also raise the formula objective is not for the purpose of the opposition or rogue, the government should be held responsible before the parliament and should therefore be to Aithass some of the submission of many of the proposals and observations, for the purpose of building a state of law and institutions.
Kuwaiti homeland


Now There's an Idea!


Lewscrew

The USD/EUR exchange rate is @ 1.2919

Move the decimal place by three and round = 1,292

Thats the curent value of USD/IQD

USD/IQD exchange rate dropped (raise in value for the dinar) during November, ...the process accelerated in December, in what almost seemed like a mad dash to end the year at 1,325.

That also happened to be the USD/EUR exchange rate (with three decimals moved) at the end of December.

This USD/EUR vs IQD ratio has continued from end of year to the present.

The two have been tracking each other very closely.....

Anyone for a 1 EUR to 1 Dinar reval?

The dinar has been almost exactly at the USD/EUR (three decimals) for the last 30 days!!!!

As of today that would be 1 Dinar = 1.29 dollars

I don't have any inside information, but these to track each other so closely is a mathematical improbability.

Originally Posted by Coolespirit

The USD/EUR exchange rate is @ 1.2919

Move the decimal place by three and round = 1,292

Thats the curent value of USD/IQD

USD/IQD exchange rate dropped (raise in value for the dinar) during November, ...the process accelerated in December, in what almost seemed like a mad dash to end the year at 1,325.

That also happened to be the USD/EUR exchange rate (with three decimals moved) at the end of December.

This USD/EUR vs IQD ratio has continued from end of year to the present.

The two have been tracking each other very closely.....

Anyone for a 1 EUR to 1 Dinar reval?

The dinar has been almost exactly at the USD/EUR (three decimals) for the last 30 days!!!!

As of today that would be 1 Dinar = 1.29 dollars

I don't have any inside information, but these to track each other so closely is a mathematical improbability.

Great Find! That is quite amazing...Really makes you think...hmmmm. Thanks & Welcome to RC!

Lewscrew