Thread: Iraq/Dinar News. 09/05 to 01/14/07

Originally Posted by kiko

Does anyone know if the CBI was also down for 10 days in the past years? Maybe it has been told over here, so I don't know!

Exchange Rates - then hit "History Exchange Rates" in the blue box, mid-page.

Originally Posted by Adster

Political bullshit, just an hour of dribble. Bush is not going to 'diss' Maliki publically....

I thought the press conference was excellent - and needed. It makes me shudder to think where we would be if, during WWII, we would have had a play by play of every failure made by the politicians, generals, etc played out every day in the homes of Americans. We wouldn't have made it 6 months in that war. We would have pulled out after Normandy. Can you imagine? Yes we've lost 2,800 men and women. Yes, IT SUCKS! I have a little brother who could be called out anytime. Sorry, Adster, your amazing and I admire your brain and your posts - but this wasn't political BS. Success in Iraq means more security and more control over a region that is lethal - We leave with anything less then success and this thing will come back to bite us (and the rest of the world) in ways we can't even imagine. I WANT THIS THING TO RV as bad as anyone - but come one people . . . .are we so far gone that we think Bush is just pulling our chains on this? That there really isn't a threat? That it's all just double talk?

Yes Maliki has got problems - Maybe he is to close to Al Sadr, maybe he is weak - Hell, I don't know. But what I do know is he was democratically 'elected' by the Iraqi people only 5 MONTHS AGO, and people are already clammoring for the man's head. Unbelievable. It's just a damn good thing we didn't have televisions and radio, and INTERNET when our country was trying to claim it's independance, create a government, fight a war, back in 1776-

I don't mean to stir the pot. But let's have a little perspective.

Baghdad, 25 October 2006 (Reuters)

America's civilian and military leaders in Iraq linked Iran and Syria with Al Qaida yesterday as forces trying to tear the country apart and prevent the United States from establishing a stable democracy.

The comments from ambassador Zalmay Khalilzad and General George Casey were among the strongest US officials have levelled against Iraq's two neighbours over alleged support for armed groups behind much of the bloodshed.

Khalilzad depicted the struggle to build a united, democratic Iraq as "the defining challenge of our era" and said it would shape the future of the Middle East and global security.

"Those forces that constitute the extremist camp including not only Al Qaida, but Iran and Syria are at work to keep us and the Iraqis from succeeding," Khalilzad told a rare joint news conference with Casey, two weeks before US Congressional elections.

"They fear Iraq's success. They want to undermine our resolve by imposing costs on us in terms of prolonging the conflict, imposing casualties and creating the perception that Iraq cannot be stabilised," said Khalilzad.

'Foreign rivals'

Al Qaida and Iraq's "foreign rivals" were trying to tear the Iraqi people apart along sectarian lines, Khalilzad said, naming Iran and Syria as countries that "cynically support rival groups involved in the violence". Iran, which has close religious ties to Iraq's majority Shiite population, and Syria, largely Sunni, both deny supporting armed groups in Iraq.

Cheers!
DayDream

This a little biased...but it does show the economic realty Iraq is facing

Last December the US-backed Iraqi government agreed to a $685 million loan from the International Monetary Fund, and effectively sold their country down the river called economic slavery—the master being the Free Market Economy.

They will have a lot of company. Many of the world’s so-called third world and developing nations are already on that river, barely afloat. Most of Latin America has been under the thumb of the IMF’s brutal austerity programs for decades, though certain countries, most notably Venezuela and Bolivia, who are nationalizing their resources, are testament to the pervasive undercurrent of socialist ideals.

For Iraq though, the journey has just begun.

That $685 million loan came with a heavy price tag: end oil subsidies and open Iraq’s economy to the free market. In other words, dismantle any form of socialised society and make it a commodity.

Just days after Iraq’s constitutional election gave oil companies their first taste of Iraqi crude by requiring all unexplored fields be open to the highest bidder, Prime Minister Al-Jaafari implemented the first of the IMF policies, cutting fuel subsidies. Nearly overnight fuel prices rose nine-fold. Now, five months later, a canister of gas costs about $14 USD in a country where the average monthly income is maybe $200 USD.

Defending the cuts, IMF representative Bill Murray told the Cox News Service that Iraq had to "come up with budgetary resources to finance health care, education and other important public services". He failed to mention that Iraq once provided free health care to 93 per cent of its population with its oil revenues and also had the highest literacy rate in the Middle East.

Now, even though the Ministry of Labor and Social Affairs reported in January that poverty among Iraqis had risen by 30 per cent since the US-led invasion, the government is bravely marching toward the free market.

At the end of March, the Ministry of Trade, largely responsible for food distribution, announced that it would cancel several items from the long-instituted food ration program. According to figures from the trade ministry itself, nearly 26.5 (or 96 per cent) of Iraq’s 28 million people are dependent on the monthly ration.

During Saddam Hussein’s reign, 12 items were included in the rations. That’s now been cut to four essential items, including sugar, rice, flour and cooking oil.

The ministry is expecting to cut rations altogether, perhaps by the end of the year, according to the Ra'ad Hamza, a senior trade ministry official. "If you keep Iraq under socialist laws, the economy won't improve," he said to the Integrated Regional Information Networks. "But we'll continue to provide the population with essential items at least until the end of the current year,"

Inflation, which has skyrocketed since the invasion, can be expected to continue unchecked with the IMF policies in place.

Baghdad University economist Omar Abdel Kareem, quoted by IRIN, stated, "Before this decision, prices on items such as vegetables and grains had already doubled in January. Since then, they've increased more than 20 percent a week."

With the elimination of some rations, the price of certain products has risen by as much as 300 per cent. "In 2002 lentil beans were sold for about US $0.50 per kilogramme. Since then, the retail price has jumped to around US $2 per kilogramme."

With half of Iraq’s population under the age of 18, it will be the children who bear the brunt of these tried and failed IMF policies.

UNICEF reported earlier this month that 25 per cent of children in Iraq are now malnourished and underweight; a March 2005 report found that malnutrition had doubled since the US-led invasion. Expect those numbers to rise alongside the inflation rate.

But Mr. Murray is not looking at those indices; he will note, instead, that Iraq’s economy has grown by 10 per cent. By IMF standards, that’s success. The poverty, malnutrition, and inflation don’t count

Hi Everyone,

To me it would make sense to RV and implement FIL and HCL. I know some have stated that they will not RV until the first Quarter or 2007 I just can't see that happening. I think Iraq is doing a lot of hush hush work on the HCL because if speculators new how close they were to all these laws taking affect it would increase speculation and probably by some big player not just us.

One of the reason I see the checks been given out before the Banks open is to make sure everyone has there's while the rate is low so not to create more violence. The other reason is to make every Iraqi open a Bank account. The RV could take place a day or two after they have deposited the check so the Iraqi people would not be in danger to stand in the line with the 10,000 Dinar check. The check maybe takes two days to clear so they can not spend it. I know it is a check so you can't just steel it from the people in the line. But it might keep the insurgent away if they only think it is worth $6-$7 Just a thought.

I do not see them RVing after they enact the FIL and HCL because that would be really hard to change the system. Also the 10,000 gift would be pretty much worthless. Also a regular day you go and fill your tank with gas buy some groceries and spend 25,000 Dinar (just a guess.) and the next day it would only cost you 25 Dinar. I would be upset like I am sure all of the Iraqi people would be upset.

They have stated that the Banking system would be up and running by the end of October.
MENAFN - Middle East North Africa . Financial Network News: ICBG attempts to make late October launch - Iraq

This would be the best time to RV for the fact they are giving everyone 10,000 Dinar and making them open a Bank account. FIL has been passed and I am sure the HCL is probably close if not done but not announced. And ready to implementing these laws which would open them up to the International market. I really can not see them opening there doors at 1470. That would not improve there people lives at all.

Not to mention are Mid-Term elections end early November.

Also I believe there are deadline for some of the debt relief which is up in December which has currency clause's to it. Also they have to have the HCL done before the end of the year it is in there agreement.

Also what a prime time with the Banks being closed for 10 days to do some major work to their Banking system getting everything in place. When will they get this time again. Not until this time next year and we know they are not going to sit on the Laws and Banking system for a year until they enact it.

These are some of the reason that I can think of right now that they can not wait until 2007 in my opinion.

Dinar-Excited

Originally Posted by NotSoFast

Folks,

As I mentioned a few threads back, the passing of Article VIII is what we are waiting for. Here is my original post:

-------------------------

"It seems to me that r/v will not happen until Article VIII is passed by Iraq. Article VIII is an IMF policy which most if not all countries have agree to and meet specific guidlines to be internationally tradeable. The Jordanian Dinar (JD) is a prime example. The JD was around for awhile like the NID but not internationally tradeable. Jordan met all the guidelines and agreed to policy written in Article VIII.. then the JD pegged and was internationally tradeable.

It seems IMF indicators point toward the passing of Article VIII around November to December 06.. Little ways out.. and r/v should occur anytime afterward."

-------------------------

The timetable seems to have moved up a little..... now we hear October 31 may be the new date for ratification. But IMHO, r/v still scheduled anytime during Nov - Dec.

Its possible that Article VIII has been moved forward to October 31st for a reason. We could still be looking at November 1st for a reval

Originally Posted by shotgunsusie

#1 FACT: THE FOREIGN INVESTMENT LAW HAS BEEN SIGNED AND WILL GO INTO EFFECT BY THE 10TH OF NOVEMBER I BELIEVE IT IS. IF THEY DO NOT REVALUE THE DINAR BEFORE THAT DATE THEN FOREIGN INVESTMENT CAN MOVE INTO THE COUNTRY AND BUY ANYTHING ALLOWABLE IN THE FIL FOR PENNIES ON THE DOLLAR OR .0006 CENTS PER DOLLARS WORTH OF GOODIES.

#2 FACT: IF THEY LEAVE THE RATE OF THE IRAQI DINAR AT CURRENT LEVEL INFLATION WILL CONTINUE TO CLIMB AND AT THE CURRENT RATE OF 70% THERE ISNT A WHOLE LOT OF ROOM TO GO BEFORE THEY CRASH THE ECONOMY. (true the inflation rate decreased by 12% this last month, the previous 2 months saw it climb that 12% so it can increase as fast as it can decrease. not good.)

#3 FACT: AT THE CURRENT RATE OF THE DINAR UNEMPLOYMENT WILL CONTINUE TO SKYROCKET AND CAUSE IRREPARABLE DAMMAGE TO THE IRAQI ECONOMY.

#4 FACT: THE SECOND IN COMMAND OF THE MINISTRY OF FINANCE HAS JUST TOLD US THEY MUST RAISE THE RATE OF THE IRAQI DINAR TO REPAIR THE CURRENT ECONOMIC SITUATION(see my signature).

i can come up with more like this as can adster or anyone who has been keeping track.

*oh, and they have ALREADY implemented the electronic changes at the cbi as per an article from the other day. they just shut down all the banks and the cbi to hook them all together.

*they have been working on the restructuring of the banks as per an article posted here last week as well.

*security issues have improved as per articles from this week.

*they have come to an agreement on dispursment of funds as per an article from this week.

With this and the logic just posted by Dinar-Excited, I really think we are pulling into the station.

Can't hear you!!!!!!!!!!!!
Woooootttttt!!!!!!!

yessssss please let it be a bigggg woooooooootttttttt wooooottttt

Originally Posted by bob1940

I am wondering about the difference In currency in Iraq. I thought that all of Iraq had the same currency. Basically the NID. IF the Kurds Have a different currency, and a different monitory Standard, what is it? Just wondering. even after all the reading, and following of the news events, and announcements< I am still a little confused.

Where did you read that the Kurds have a different currency. In the old regime, it was different currency, but now it is all the same throughout Iraq. We must hope that Iraq remains under one umbrella, same currency, same flag, same government.

So we have no confirmation of the 10k dinar checks being handed out yet?