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

Originally Posted by texaslonghorns

The guy on the calls formula was based on 12 trillion in circulation with a prewar price of $3.22. Also he was counting oil at $20.00per barrell. When you adjust for the $60 oil we now have he says a $3.00+ rate can be suported just based on the future oil income. FreeDinar had a opening at between .30 and $1.40 I believe I heard.

That's a pretty wide spread. How about if we go for half of $1.40...for now. Gotta hold some back for later.

What the heck is this guy....

Originally Posted by CLM

Fsn,
Did they say what they thought the Dinar would Peg at?
CLM

There guest speaker thought at about .30cents. I ersonally disagree as there is other things that need to be put into the mix, such as if its to low, some one could go in and buy up a unbievleable amount of stocks for example, and a lot of other things with to low of a reval. JMO

Originally Posted by shotgunsusie

last rumor i heard was the 30th.

hang in there, its going to hit by the time they get their article 8 which is to be signed on the 30/31 meeting. we are closer than soon even!!! WOoT!!!

Don't ya just love that Susie. She brightens my day!!!

Originally Posted by $onedaysoon$

you should take the time to read this one, not just because it took me 20min to clean up. lol Its a VERY good read and just 3 days old.

Undersecretary of the Ministry of Finance spoke to Kamal visual «life» from inflation and the decline of purchasing power عامل والدعم الحكومي 480 مليون دولاربسبب ضعف الانتاجIraq : the public sector is 580 thousand industrial workers and government support 480 million Dolarbsbb weak production
بغداد - عادل مهدي الحياة - 23/10/06//Baghdad-Adel Mahdi life-23 / 10 / 06 / /


Najaf refinery, which opened in early this month. (أ ف ب)(AFP)
Said Undersecretary of the Iraqi Ministry of Finance Kamal Al-Basri «life», The policy of economic reform required to reduce the financial allocations to support petroleum derivatives for the current year by half, to become a $ 200 million monthly. instead of 400 per month in 2005, This is based on the government's desire to reduce the subsidy gradually, and make prices consistent with the neighboring countries.

He disclosed that the scheme had been providing for the issuance of a presidential decree, summarized end the State monopoly for the import and sale of oil derivatives, and to allow the private sector to participate in the practice activity, but this has not taken place, The fuel crisis as it is.

He explained that the recent period of 2005, have stopped importing oil derivatives from Turkey, due to the irregular payment of financial dues of the Turkish side, what makes prices more than the regular market prices are not supported. As a result, the rate of domestic spending on oil derivatives, approximately 40% of the family income, according to the statistical survey of the city of Baghdad. conducted by the Central Bureau of Statistics this year.

He pointed out that the rate of inflation in the months of July (July) and father (August) two years 70%; , and 76.6%, respectively, reflected negatively on the Iraqi economy. The negative effects, a reduction in the purchasing power of individuals, as well as the decline in the real value of savings and deposits, especially if the inflation rate is higher than the rate of interest, what led to a decrease in the volume of investment in the national economy, and discourage the process of economic development.

He added that despite the government's support for importing oil derivatives, to meet the shortfall in production internally, the local market has been experiencing a big shortage in bridging the growing demand, because of the entry of a large number of cars imported by the private sector. The constant interruptions to electricity, increased use of generators that rely on the operation of these derivatives, as well as the suffering of the distribution sector major problems, The existence of administrative and financial corruption. وكلها عوامل ساهمت في ارتفاع المعدل العام للأسعار، ما انعكس سلباً على سلة الغذاء.These are all factors that contributed to the rise in the overall level of prices, , which impacted negatively on the food basket.


التضخمInflation
He attributed the reasons for the high inflation rate to several factors other, the most important of the high prices and scarcity of oil derivatives, power outages, impedes the production of goods and services, The downsizing of the supply on the market. weak capacity of the government machinery in the implementation of projects services. as well as the deterioration of the security situation, which contributed to the irregular supply of goods and services. The weakness of the structure of GDP.

He pointed to the negative consequences resulting from the weakness of the banking system to attract cash. He said that the Central Bank of Iraq, In an attempt to curb inflation, the oldest recently to raise interest rates from 10 to 12%. وObservers believe, This increase was unable to make any positive impact, They are unprofitable, Valtakl impact of inflation in the capital. more interest rate, Therefore, this policy is not sufficient to maintain the purchasing power of the Iraqi currency.


البطالةUnemployment

In analyzing the growing problem of unemployment. he said that the unemployment rate is 27-30%. although the majority of the workforce is in the services sector with marginal influence in the overall GDP, while they do not exceed 2% in the oil sector, the backbone of GDP.

He said that there are flaws in the structure of the Iraqi economy, In the industrial sector, public works 580 thousand, However, the weak production, push the government to support at $ 480 million, He pointed out that government support direct and indirect in the state budget constitutes about 80% of GDP. Therefore there is a clear imbalance between the sectors of production and services sectors.
He believed that dealing with the phenomenon of inflation come through steps including the stabilization of the security of confidence in the local market. and to address the scarcity of oil derivatives, by ending the monopoly of the State, and to allow the private sector to import. The increase of interest rates in general. have a role in collecting cash, It is an established procedure in many countries stable, However, the impact will not be significant, due to the lack of a tendency to save, The absence of investment opportunities that can be fed savings. The understanding of the rich prefer to transfer their capital abroad. Therefore it is hard to imagine that the rate of interest rate role, as long as the difference between the inflation rate significantly.

The rise in the value of the Iraqi currency against the dollar would reduce the value of imports, and raising the value of exports. As exports are negligible, the economy will benefit from the policy of raising the rate of the Iraqi dinar. He emphasized that this action has positive effects, when used with other procedures, the most important financial policy, which is based on controlling public spending, The use of fiscal policy to reduce the cash, They are difficult to apply.


Translated version of http://www.alhayat.com/business/10-2006/Item-20061022-7127d4b7-c0a8-10ed-0055-76e2e1003b17/story.html

AND ONCE AGAIN I GOTTA SAY....

WOOOOOOOooooooTTTTTTTTTTTTTTTTTT!!!!

Originally Posted by cigarman

Why did he say .30 for a reval? I think it will be middle of the road at $1.46 or higher. Remember, their revaling to lower the cost of imports for the people. To do that it at least needs to be equal to $1.00 USD. Then again, it might have to be higher if they import most of their stuff from Jordan or Kawait. Does my theory make sense? It does to me but us rednecks like to simplify everything.lol

Hey fellow redneck, I totally agree with you, there was a lot of things that he didn't take into account. I think that they will peg it around the $1.50 figure and then allow it to float from there, I do not believe they will start that low (.30) and then float after a year or two later.

Originally Posted by dinarminar

What is your point in posting this irrelevant article other than supporting the efforts of the radical left downstream media who hates all things Bush and Cheney, Republicans, conservatives, patriots, etc? (Hint) It's a rhetorical question. The media's obsession with demonizing Cheney who has done more to serve this country than will ever be reported has gotten very old and is now being rehashed ironically just in time for the November elections. Ignorant postings like this confirm my inference. You might consider refraining from expressing your Travis County mindset because this conservative sees right through it. If this is a political thread (which I'm certain it is not), then be prepared to be challenged when you opt to post a politically biased article that has NOTHING to do with the dinar.

yeah, man i never read no articles that are rah rah G.O.P.
sheesh, how one sided can ya be???

Translated version of http://www.alsabaah.com/ (Just click on the Economic tab on the left side, look for the subject that tickles your fancy! October 26th, 2006)

Economic

The call to launch a comprehensive outreach program for economic reform

In the Economic Forum of the Ministry of Industry and Minerals
Baghdad Yasser incumbent
Raised Economic Forum organized by the Central Committee of the economic reform of state-owned enterprises in the Ministry of Industry and Minerals very important subjects on economic reform and shape new insights in the areas of application.

A comprehensive reform of the functions of the trade sector

Najm Abdullah Hussein
Company for Electrical Industries
The trade sector plays important roles and personalities inside and outside Iraq, It is the sector responsible for the link between production and import activities, and so through the provision of intermediate and investment goods imported from abroad for the operation of productive activities and building of new productive capacities. It is also responsible for the link between production and importation activities of the hand and consumer activity

Call for restructuring Iraqi banks

To activate its role in the processes of reconstruction and development
Baghdad Yasser incumbent
Economic expert disclosed that the banking system in Iraq is suffering from deficiencies in the performance of its core functions, stressing the need for restructuring government banks. He said Dr Maged fictitious expert at the Central Bank of Iraq in an interview with the (morning)

The investment law seeks to enhance the competitive edge of the Iraqi economy

Baghdad-Sabah
Dr. Mahdi Al-Hafiz member of the House and former minister of planning, it is acknowledged the existence of divergent views and opinions on foreign investment, It is not confined to Iraq, but extend to other countries, constitute one of the themes of the controversy between experts and economic policy makers in the world, therefore encourage substantive discussion on the subject.

Jordan looking for carriers of the oil imported from Iraq

Amman-Abdul Jabbar al-Azzawi
The Ministry of Transport Jordanian bidding for the transfer of Iraqi oil sold to Jordan at a preferential price early next year. He said Jordanian Minister of Transport Saud Al-Nusseirat : that a committee headed by the secretary general of the Ministry of Energy will be responsible for this tender. The Jordanian Cabinet approved last August to grant the company the Iraqi-Jordanian Land Transport assigning responsibility for the transfer of Iraqi oil during the next four months

The response rates of investment with the savings rates in the economies of Arab countries

Dr. Khalifa Al-Kubaisi Bata *
* Expert at the Ministry of Planning and Development Cooperation
Economic growth and investment in the economies of Petroleum Exporting Countries strong reliance on oil revenues and are deeply affected by internal and external conflicts in the region. The performance was weak in real per capita income during the past two decades, the economic cycle is subject to external pressure foremost political tensions

The absence of law and the weakness of the procedures behind the worsening crisis

Asked about the usefulness of card distribution of derivatives
Baghdad-Imad Principality
A number of citizens that the card distribution of oil derivatives do not exist in real terms to the expiration of the receipt months without access to one gallon of kerosene or gas bottles and this is our situation in the summer, so the catastrophic winter.

Agricultural expert : investment ascends intensifying work in the agricultural sector

Baghdad Mustafa Majeed
Agricultural expert link between increased rates of investment in the agricultural sector, projects and intensifying between the escalation in the reconstruction of the sector, based on extensive studies of the possibilities available for the development sector so as to achieve the objectives for the development of the agricultural economy in Iraq in the coming period.

Housing address the issue of land ownership

Baghdad morning
The Minister of Construction and Housing statement Dizah Yi need to end the problems of land expropriation carried out by the projects before transmission and to get rid of the problems that appear later on "between contractors and citizens who claim to the right of ownership over these lands, which negatively impacted" on the implementation of projects and delaying the delivery.

Continue to work on the draft restructuring of the tax system

Baghdad Haider spring
Cut the Public Authority for taxes great strides on the road to re-structure the functional basis for the body, which is being implemented by the company (Bernek Ponik) in Iraq.

Originally Posted by badboy

I just listened to the conference call of freedinar & they had a guest speaker talk about the way they might peg the dinar . Start low & get back some currency from the quick sellers then raise a little over time . Seam to have some knowledge even though he didn't understand the question he was asked about method of selling to bank & how they set rate if it changes while in there possesion verifying dinar. F/D still not selling & thinks they may never again after Nov 1st anybody else here the call tonite?

CURRENCY PEG:

In international finance, a Government determination to hold constant the exchange rate of its currency with another currency.

The opposite of a currency whose exchange rate is set on the currency markets with little or no central bank involvement.

A strategy that conforms to IMF and WTO rules as long as it is designe primarily to control inflation and the growth of monetary aggregates and to encourage foreign investment.

.....so if Iraq was to Peg dinar at say .30....its movement would be limited to the currency it is Pegged at...which they have made mention to the US dollar, which might bring small investors to exchange dinar quickly...however would allow large investors the time to evaluate progress in Iraq and buy dinar. If you have millions to invest at .30 to the dollar and then in a year they r/v again to .50 you make a great profit.....however if they r/v money closer to 1.00-1.50 then larger speculators may think twice.

If they r/v dinar and let it free float in currency market...many people might exchange quickly if there is an initial downward trend.....

anyways....it would be nice if Apollo were to make a visit here and comment on this post and give his take on the freedinar call.

JMO

Thanks fsndirector,

I agree with the members of this forum that it is a really great sign that they are not selling Dinars but still having the conference calls. It definitely makes them more credible and that much more exciting.

I do not think it will come in that low .30 just like cigarman said they need it to import goods. Also they have mentioned they need to come in close to the neighboring Country's this will help stop the black market. If they come in that low I think they will defeat the purpose of getting the money back into the Country as very big players will start speculating and they have way more money than us. Also the Country's that wrote off debt want them to come in at a certain amount. And last that I can think of right now is the investors can come in and buy things up for real cheap.

So I agree with you fsndirector 100% on the RV amount not being correct. But all of the other information really confirms all what we members believe.

Thanks to all of the members that post great articles and break them down and keep this forum very positive and are investment exciting.

I look forward to meeting everyone at the RV party.

Dinar-Excited

Originally Posted by warrior44

thanks fsndirector, is there anyway you could find out the formula that the ex-broker was using? also was this the formula that he thinks the dinar will r/v? i know nobody really knows i just find it intresting.

It was a little bit confusing, and I was on the road for part of it so could not write it all down, even some friend that were on the call said it was confusing for them as well, If I hear from any others I will let you know. I do know that he divided by 4 the amount of dinar that Iraq bought and said that that told him they could handle a $3.00+ rv. ??????????