Thread: Iraqi/Dinar news until March 1st, 2007

Iraq-Currency
Lower exchange rate propels dollar bids in foreign transfers high
Baghdad, Feb 27, (VOI) – Dollar demand jumped more than $35 million on Tuesday in Iraq’s central bank daily auction, reaching $81.545 million compared to $45.050 million on Monday.
In its daily statement the bank said it covered all bids which were $11.185 million in cash and $70.360 million in foreign transfers at an exchange rate of 1,281 dinars per dollar, one tick lower than yesterday.
None of the fourteen banks that participated in Tuesday’s auction offered to sell dollar.
Economist Abdul-Razzaq Sadeq al-Abaiji told the independent news agency Voices of Iraq (VOI) "the lower exchange rate at today's auction propelled dollar bids in foreign transfers high."
He added "the banks that participated in Tuesday's session were reluctant to offer selling dollars as the rate in the auction was lower than that at the local market."

Iraq-Currency :: Aswat al Iraq :: Aswat al Iraq

GCC ReValue Its Currencies!!
GCC set to revalue its currencies
BY ISSAC JOHN (Chief Business Reporter)

27 February 2007



DUBAI — The currencies of the UAE, Bahrain, Oman and Saudi Arabia face the imminent prospects of getting revalued by up to 30 per cent in the wake of meeting of the governors of the GCC Central Bank scheduled for next month.
At their meeting in Saudi Arabia, the central bank governors are likely to review currency pegs to the US dollar and may agree to switch to another currency or a currency basket.
According to Deutsche Bank AG, the UAE dirham and Bahrain dinar would be revalued by between 10 and 15 per cent while Saudi and Oman currencies could be revalued by 25 to 30 per cent. The bank did not rule out the revaluation of Kuwaiti dinar and Qatari riyal, but pointed out that they are estimated to be around fair value.
In its "GCC macro outlook" report, the bank said large current account surpluses in the GCC suggest currencies may have been overly competitive. However, the bank, noting that forex appreciation will not change the US dollar price of oil, said current account surpluses will be fairly unresponsive to any revaluation.
The International Monetary Fund recently said both currency revaluation and measures to stimulate economic growth in the GCC would be on its agenda.
Currency revaluation speculation is normally focused on the Chinese yuan but GCC currencies also increasingly under scrutiny these days as $250 billion US trade deficit with the Middle East oil producers are higher that the $200 billion trade deficit with China.
According to analysts, the immediate fallout of a dirham revaluation would be that euro-priced products will become cheaper, dampening consumer price inflation. "There would also be a one-off currency gain for the owners of local real estate. But on the other hand, the region would become more expensive for some tourists and the inflow of foreign money might falter as assets would be more expensive."
The UAE Central Bank governor also hinted out on the possibility by saying "we (the governors) could come to the conclusion that we need to change." Speculation about a revaluation was rife since the dollar fell around 10 per cent against the euro in 2006.
The dollar's slide has driven up the cost of imports in the region, where some countries, such as Kuwait, pay for half their imports in euro and yen.
Kuwait, which allows its dinar to trade in a 3.5 per cent band around a reference rate set in 2003, revalued the currency in May for the first time in 17 months, allowing one per cent appreciation against the dollar. The move sparked a currency rally across the Gulf, as investors bet other countries, especially Saudi Arabia, would follow suit. GCC countries except Kuwait have been maintaining fixed currency pegs to the dollar for the past three decades.
The bank also said that GCC hopes of launching a common currency by 2010 may be delayed. “Conflicting statements from GCC officials during recent months leads us to believe a delay to the 2010 date.”
Oman recently questioned the viability of 2010 as the year for a scheduled monetary union in the GCC. The UAE Central Bank has suggested that a more limited currency union might be achieved without a central bank through the fixing of currency rates and issuing of currency rather than an institutional union. This is practical as long as the dollar peg is maintained

Khaleej Times Online - GCC set to revalue its currencies

I know this has nothing do with the Iraqi dinar right now, but it could in the near future and the new values of the GCC currency gives some what of target for Iraqi!!!!
I love this statement:
The International Monetary Fund recently said both currency revaluation and measures to stimulate economic growth

Darock

U.S. to attend Iraq regional conferences
Reuters
Tuesday, February 27, 2007; 1:47 PM


WASHINGTON (Reuters) - The United States said on Tuesday it would attend two planned conferences on stabilizing

Iraq in coming months that may bring it in contact with Iran and Syria, nations Washington has been reluctant to engage.




Vice President Cheney made an unannounced visit to Islamabad and Pakistani President Pervez Musharraf to address resurgent Taliban and al-Qaeda fighting along the border with Afghanistan. (Pakistan Press Information Department/AP)


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The State Department would not rule out the possibility U.S. officials might hold bilateral talks with Iranians at the first conference, to be held in Baghdad in March, but the White House played down the chances of such talks.

The United States accuses both Iran and Syria of fomenting the violence in Iraq and has repeatedly spurned suggestions -- including in the December report of the U.S. blue chip Iraq Study Group -- that it engage both to try to stabilize Iraq.

The first conference, which is expected to gather mid-level officials, would be a rare meeting involving envoys from the United States and two nations it considers state sponsors of terrorism, Iran and Syria.

"We will be there," State Department spokesman Sean McCormack said.

Asked if he could rule out the possibility of bilateral U.S.-Iranian talks on the sidelines of the meeting, McCormack said: "We'll see. The focus is on Iraq. The Iraqi government is convening the meeting. We look forward to attending it."

U.S. Secretary of State Condoleezza Rice later said Iraq also planned to convene a ministerial meeting of its neighbors and the Group of Eight countries as early as the first half of April to help stabilize the country.

"(Iraqi) Prime Minister (Nuri al-) Maliki believes, and President Bush and I agree, that success in Iraq requires the positive support of Iraq's neighbors. This is also one of the key findings of the Iraq Study Group," Rice said in excerpts

of congressional testimony released by the State Department.

"So I'm pleased to inform you that the Iraqis are launching a new diplomatic initiative that we fully support," she said.

"The Iraqi government has invited Syria and Iran to attend both of these regional meetings. We hope these governments seize this opportunity to improve their relations with Iraq -- and to work for peace and stability in the region," she said.

White House spokesman Tony Snow cast doubt on chances for any bilateral talks with Tehran during such a conference, saying Washington had already laid out conditions for such direct discussions.

President George W. Bush has ruled out direct talks with Iran unless it suspends uranium enrichment that Washington believes is aimed at developing a nuclear weapon, a charge Tehran denies.

Iraq witnessing clash of identities
Web posted at: 2/26/2007 3:50:57
Source ::: The Peninsula
Dr Maisam Janabi, Dr Jassim Sultan and Ali Rabee, at the Iraq forum yesterday. (Shaival Dalal)
Two-day forum on the challenges of unity and reconstruction in Iraq begins

DOHA • The failure to integrate the political identity and the sectarian identity after the American invasion has led to the current conflicts in Iraq, speakers at a two-day forum on Iraq here observed.

The two-day forum titled "Iraq – the challenges of unity and reconstruction", is being organised by the Al Jazeera Centre for Studies.

Addressing the inaugural session of the meeting, Waddah Khanfar, managing director of Al Jazeera, said the channel has been trying to present the Iraq issue in a scientific and logical manner.

“Iraq is a sensitive issue and is important not only for the region but also for the whole world. This discussion is to understand what is happening inside the country. The mass media across the world is discussing the issue in a massive way while we are trying to approach it in a scientific and logical way," said Khanfar.

Mustafa Sawaq, director of the Al Jazeera Centre for Studies, said this is the second forum being organised by the Centre on a regional issue. The first one focused on Somalia. He later told The Peninsula that most of the speakers are from Iraq, though some of them have been staying outside the country. The forum, telecast live on Al Jazeera channel, would help create awareness on this major issue, he hoped.

Addressing the next session titled "Roots of the Iraqi crisis", Ali Rabee, a noted expert, said Iraq didn't develop any political thinking during the Saddam regime. There was no distinction between the state and the ruling elite. The only way to ensure a secure life for the people was to get a job in the government. The situation left people frustrated, he said.

The American invasion, on the other hand, led to a conflict between the national identity and the sectarian identity. The political leaders as well as the sectarian leaders have failed to address the issue. People are following the sectarian leaders. Even after the elections, the government continues to be dictatorial in nature. If the leaders and the people fail to uphold the national identity over the sectarian identity, the situation will become catastrophic, he noted.

Dr Maisam Janabi, another speaker in the session, said in the current situation, Iraq must look for enlightened political leaders who can raise above sectarian interests and work for the nation. Dr Jassim Sultan chaired the session.

Addressing another session, Dr Amal Hindi Al Khazali, a political scientist from the Baghdad University, urged Iraqis not to surrender themselves to sectarianism.

“We must fight it until we defeat it," she said. She noted that sectarianism is not related to religion but it is only using religion to achieve its goals.

I know we've seen this story many times over the last couple of days. That is my purpose of posting this again. This story came out of the UK...isn't that great!? This story has gone world wide...

Iraq cabinet approves new oil law: Business news

Iraq expecting wheat, rice
Posted: Tuesday, February 27, 2007

Baghdad

Iraq said ships carrying 52,000 tonnes of Canadian wheat and 62,000 tonnes of US rice would arrive at the southern port of Um Qaser next month.

A statement from the Trade Ministry said the vessels would arrive on March 3.

It also said a ship carrying more than 59,000 tonnes of Canadian wheat and another carrying US wheat would arrive between March 11-12.

Iraq needs around 3 million tonnes of wheat a year to help feed a population of 27 million people.

Iraq has been quiet over the timing and the amounts of its tenders since the government of Prime Minister Nuri Al Maliki took office last year.

In 2005 and until mid 2006, it had tendered for at least one million tonnes every two months in a plan to raise imports to build up reserves after shortages plagued the state-run food distribution system.

But Iraqi trade sources said the government had moved to a plan to buy small quantities of wheat when needed to prevent market price fluctuations.Reuters

(Voice of Iraq) - 27-02-2007
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The Republic of Iraq
Council of Ministers-the National Center for Media
Media Relations
A press statement / Press Release
Tuesday 2-27-2007

Oil Minister confirms the continuation of discussions on the Law of Allen only in order to reach a compromise formula

The Minister of Oil, Dr. Hussein Shahrastani continued the discussions in the corridors of the Council of Ministers with a view to reaching formula bringing together divergent Alnizarhol oil and gas law , adding that the draft is no disagreement in the Energy Commission The submitted to the Cabinet in two consecutive been in the Ha discussion of this law and we hope that the end of this anguish Khat very soon, where will the law to the a deputies of the event held after the end of the current vacation.

After the legislation law Stentfateh doors for tours of the negotiations and invite qualified companies to submit their offers hour the presentations to be held in public and open competition will be Akhtia R. supply, which provides the highest value and benefit of Iraq and the e and criterion for the selection of contracts.

The Minister pointed out a discrepancy in the views of Anad R. especially between brothers in the territory and Cordstan between the Ministry of oil, a number of members of the Committee on Energy on some aspects of this the law, particularly the negotiation of new contracts and the lei approval and review mechanisms contracts concluded in a for the past both in the Ministry of Oil or in the territory of Corps Destin.

He added that there Shahrastani media campaign shaded Utek Dr. groups this campaign does not want the good of Iraq and Teh R. keenness on Iraq, and does not want this government to succeed, does not want the Iraqi people to proceed with the plan for the development of INA Mar country may be some of them engaged in this campaign propaganda tendentious, but the primary engines parties does not want the good of Iraq, pointing "to confirm that there is confusion accepts Badrur e to be beneficial for Iraq, the highest possible, in a contract Almtarfh for oil in the world and transparently through us Vssa Atnzar free, open to the nationality of the companies in the background the companies, but with companies capable of qualifying Cta Ware these fields.

He explained Mr. Alozerban ministry to be careful of the Iraqi oilfields will remain the hands of the Iraqis and fields of giant and the giant and very large and very large b the hands of the Iraqis and will be in accordance with "the law foundation the Iraqi National Oil Company and these contracts in Alka N. exclusively to the Iraqi National Oil Company to the vacant P Maiangeolon and lie about it in this campaign, the media here is unfair and we want to assure the Iraqi people that Law n develop Iraqi hands keen to protect the interests and says future generations.

Dhi Qar : Conference for businessmen to evaluate the projects in 2006
(Voice of Iraq) - 27-02-2007 shall Sotaliraq.com - ÕæÊ ÇáÚÑÇÞ

Nasiriyah News Network / Mortada Hamid :

Under the banner (for the development of a better strategy in Mahafezt Na) filed the businessmen of Dhi Qar, the reconstruction Wa for economic development in the Dhi Qar and the Conference Hall refuge The danger was attended by a large number of officials, clerics marking oasis Sheikh Mohammad Mehdi Nassiri, Mr. Ahsan Tai President of the Provincial and Mr. Aziz Kadhim Alwan governor Dhi Qar and members of the Iraqi parliament has been through a discussion of the recommendations and studies on projects implemented in 2006 and the problems they faced and caused confusion in the implementation, and the extent of benefit to avoid recurrence in 2007 and had the number of engineers and members of the preservation d the head on this subject has met Nasser News Network Yeh Engineer Kazem Hussein Jaber, deputy chairman of the Federation of men a to work in Dhi Qar on the purpose and objective of the conference and the a confirmed (that the objective is to gather officials and Amestthmri n to the same table for discussion in the projects implemented in in 2006, which passed through the drawbacks and take need not to repeat these mistakes of 2007 ... and Sekou n debate by all officials present at the pain Atmer) note that the number of projects carried out during the age e years has received a lot of resentment and the officials citizens of poor implementation.

Iraq-Australia ties boost
Posted: Tuesday, February 27, 2007

Baghdad

Iraq will resume trade ties with Australia after families of Iraqi bodyguards shot by Australian security men by mistake last year accepted compensation from Australia, a statement quoting the trade minister said.

Minister Abdul Falah Al Sudany said he had accepted an invitation to visit Australia to 'turn the page of the past' and discuss new tenders. No date was set yet.

Australia had been Iraq's dominant wheat supplier for years, a position that has been gradually eroded after the invasion of Iraq and after a scandal over kickbacks from Australia's monopoly wheat supplier to the former regime of Saddam Hussein under the oil-for-food programme.

Last June, Australian security guards protecting a trade delegation in Baghdad mistakenly opened fire on the bodyguards of the trade minister, killing one and wounding others.

Iraq, one of the world's biggest wheat buyers, imports around 3 million tonnes of wheat a year to help feed a population of 27 million people.

Iraq-Australia ties boost - Middle East Business news related to travel, food, hotel, real estate, health, oil and more

Granted, in most countries of the world, especially the developing including the role of the central banks in the management of Uncle Why due dominated those items on the totality of cash transactions related to the fact that most banks branching m Nha feed and financed and guided through its guidelines BOSS the forty directly or indirectly, other than the industrial countries and a to be developed by the private banks and companies Alserv global e-funded Brsamil huge industries pain evolution aircraft and auto industries and Alpetroki Miaouih, which kept pace with its banks and a stock the global spot, it evaporated the banks have the upper hand in this Almadma R. compared with the central banks, therefore Bastta made us acutely emphasis on the impact of the Central Bank of Iraq j plans and programs in our federal and private ( after independence from the Ministry of Finance 2004), 1996/14 to the course of the economic wheel and specifically the impact p Lee cash and the reduction of the phenomena of inflation and now Kamash, which Tutheran positively or negatively to the strong WALSH Raih of the entire social strata and the movement of ESO Requests pension and the situation of the citizens, especially if the gendarmerie a The official reports indicate a cash surplus up Dr. forty billion dollars in 2005 and double that amount of for the financial year 2006. From here we have the role of the Central Bank enormous if plans Pa Moan in the light of modern scientific programs of the operation of the entire economic and special prices and Oscillation-a for normal in the Iraqi market, which so far has not developed scientific mechanism and process to reduce or at least stop when alone to prevent the deterioration of the pitfalls and things secretions serious Kalexad and economic stagnation. It suggested guided by the following :-1. State intervention by the Central Bank to strengthen a force the purchasing of cash (National) compared Bala Mulat and other special (from the U.S. dollar through Ar z quantity balanced and according to laws of supply and demand is not for sale Mtassas the largest possible quantity of the dinar to strengthen the value you Mia traded in the market, which would lead to lifting the cascade. uh purchasing dinars compared to what they were previously, the first positive gesture by senior Central Bank has enhanced status, the Iraqi dinar improved the rate of exchange of 1500 dinars to the dollar to the borders of 1300 dinars vinegar the short period, which led to increased demand in the ESO Requests the local circulation of the national currency in Altam Latt Journal, which directly impact on the phenomenon of inflation and Art month prices generally had a positive impact on the Madj Latt and citizens, especially those with fixed incomes. For Taiz Iz this achievement we call the Central Bank to continue this approach step by step, gradually, assigning y you subscription process for securities and offering price utility prices up to a limit of 16% as is the case with banks only Hlih 5% instead of a dealer, which currently lead the j remarkable retreat in inflation and of 76% for the Year the current fiscal 2006 to levels much lower. 2. b what the movement under the market economic activities T. Aatmad in sales and purchases on humored Alciolten friendly dinar and the dollar side by side and even in the solution peoples minimum of economic transactions it can to say that it would inevitably lead to lower power Shara Teh for the dollar and that had prevailed previously (in a market the national exclusively) compared Iraqi dinars and would y you positively on the commercial operation of Foreign t State and private enterprises, especially if the gendarmerie a count and that we are based on foreign imports e industrial, commercial, consumer and by more than 95% and in strengthening the purchasing power of the national currency Su P does not resort drops and the other to raise salaries and wages, other than a lot of negative effects on the totality of economic activities. 3. to continue to pursue this, Alan Aj and deliberate push speculators and currency dealers in the inside and outside the national currency to buy either by Walsh Arkat banks and global banking or savings and other m this leads to a strengthening of the role of the Iraqi dinar and Asta this prestige in international transactions (as happened in the States e Kuwait in 1992) departed after the invasion, where the price Kuwaiti dinar rate of 700 dinars to the dollar 3 dollars for the Kuwaiti dinars per despite m n enormous devastation caused by the invasion. We say in the coffee Yeh infrastructure and immense natural wealth orphaned p Iraq whether in the earth Kthalth Sewa Bared camps oil in the world, or at the level of surface rich that Radi arable land and water available and Alkthav e modest population demographic and industry Elsie Acheh and good investment opportunities, especially after the adoption of S44 Nee new investment in Iraq and in the federal Agle m Cordstan and all these programs will lead to the period after the T. Aziz, the national currency and recover and Alm'm l, according to analysis in magazines and newspapers, a specialist according to the universality and conclusions advisers gradual n the world and the Internet sites and competent as a result of the new political circumstances and developments which dominate the event Oh, modern strategies designed for this purpose usage Lamia all these reasons will play after a short period e to the possibility of convergence of the Iraqi dinar exchange rate during the the first quarter of the year 2007 to the borders of 1000 dinars% pw Laar and the American one, so we will have achieved a leap pw Tassadeh will have social and political repercussions and the security Yeh positive at the state level federalism.