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

A revaluation or a release of the currency in international markets can happen when the domestic banking systems are able to handle free or open market operations. Currently, the CBI is conducting the everyday operations. Shabibi made a statement the other day concerning the local bank systems ability to service import/export business now done through the TBI. He also mentioned a possible change in the required capital rquirements. This leads me to believe that once the banking system is able to deal with "normal" operations, the CBI will make the recommendation to the GoI to accept the Article IV sections.
To prepare for all this, I expect the CBI to change the bank capital requirements very soon and possibly raise deposit rates to recover more dinar from circulation. A steady decline in the CBI USD auctions will show me that the local banks are gearing up for a change from USD to NID.

Hi sorry if posted before.

Here are the numbers from todays CBI auction.

Details Notes
Number of Banks: 10 -----
Auction price selling dinar / US $: 1465 -----
Auction price buying dinar / US $: 1463 -----
Amount sold at auction price (US $): 24.880.000 -----
Amount purchased at Auction price (US $): 2.500.000 -----
Total offers for buying (US $): 24.880.000 -----
Total offers for selling (US $): 2.500.000 -----

• Cash amounts sold to the bank and its customers were USD(22.180.000) at a rate of(1465+1+10=1476)IQD\USD .
• The amount sold to make transfers abroad was USD (2.700.000) at a rate of (1465-2)+ one dinar as a bank fee and exempt the transferred amount from conversion fee.

Hmmm????
This is the lowest volume since July 2-2006.
I wonder if this means something cangeing from the highest volume ever last week (109.105.000) to less than 1/4 of that volume today (24.880.000)

Now this is good news......


Make the title of this article was sent to a friend of Page Source :Zawra 12 / 11 / 06 74730-1 - 1 - 6. jpg News releases, the Kuwaiti Cabinet discussed yesterday at its six alternatives for dealing with the Iraqi debt amounting to 27 billion dollars in compensation from the Iraqi invasion of Kuwait in 1990 and it arose.Alternatives include Iraq's debts, according to the meeting to drop the remainder of the damages and up to 27 billion dollars.or waiver of the remainder for the implementation of resolution 256, which could bring the amount of five billion until 2013,or set up a fund to help Iraq be capitalized compensation,This could be based developmental projects in return.The sources said that the agreement includes a fourth alternative to receiving compensation public sector after 2013 directly and indirectly,With the fifth alternative is the establishment of a fund for the reconstruction of Iraq capital nominal value of the compensation and lowered with the increase of development projects.The sources pointed out that the alternative is the sixth in the sale of public property damages or transferred to another party.

Originally Posted by day dreamer

Advance Financial showing
dinar--- traded at 05:59:58 (time),
doesn't normally show traded time nor last traded ADVFN - Monitor

Hey day dreamer

I can't find IQD on the site. Do I have to uppgrade my membership to see it?

The governor of Najaf, Assad Abu-Kalal, confirmed the Iraqi Finance Ministry intended to open a bank account in the Shiite holy city of Najaf to deposit US $25m, the governorates share of the reconstruction program fund for areas demolished by wars, encompassing four provinces including Najaf, relayed az-Zaman.

Noozz.com | IRAQ

It is the second country in the world possessing oil reserves in the third transparency of the Office of the Inspector General in the Ministry of Oil
Source : Al Sabah-12 / 11 / 2006
A report transparency third issued by the Office of the Inspector General at the Oil Ministry said Iraq lost revenues estimated at more than 24 billion dollars for the period between 2004 until mid-2000.
The report pointed out that the export depends on the levels of production volume of crude oil which has fluctuated from a plan for the three years mentioned.

The report pointed out that the planned production for 2004 at 2.686 million barrels a day was made with actual production of 1.995 barrels / day and 691 thousand barrels a difference Losses have been estimated at 21.829 million dollars per day. The planned production for 2005 was at 2.427 million b / m, while the actual production 1.856 million b / m and 571 thousand barrels a difference and losses estimated at 25.99 million dollars. Such is the case in the first half of 2006 was 2.665 million barrels planned and verified 1.950 million barrels and 715 thousand barrels a difference and losses estimated at 40.66 million dollars and brings the total losses of 24 billion dollars.
The report attributes the reasons for the low levels of crude oil production to other problems and obstacles, including the lack of implementation of the relevant investment plans to increase production.
The report alluded to the percentages achieved in the implementation of projects of the investment plan for the oil sector that produced the report, the results of counting closed as the specialties annual investment in 2005 at 450 billion dinars, $ 1.7 billion, in 2006 amounted to 632 billion dinars of $ 3.1 billion.

While the actual annual spending for 2005 at 160 billion dinars, or 5.942 billion in 2006 actual spending was 108.05 billion dinars 5.215 billion dollars, the ratio of annual achievement as follows in 2005 by 36% local and 55% foreign, and in 2006 accounted for 17% of achievement domestic and 6.9% foreign.
The report points out that among the reasons for the low level of implementation of projects due to delays in the release of financial payments from the Ministry of Finance, bold and the reluctance of international companies and contractors to participate in the bidding, behind the implementation of the projects to ensure the American side and weak coordination between the Ministry and the oil companies affiliated to it and find materials processing applications contracted part of the Memorandum of Understanding with the United Nations. The lack of sufficient flexibility to the oil companies in the field of contracting and referral of the bids it requires the implementation of many projects and ministerial approvals, and approval by the Council of Ministers. As well as the failure of Oil Projects Company in the implementation of projects allocated to it and poor follow-up and accountability by the ministry on the implementation of projects with the oil companies affiliated to it.
That report focused on other reasons for the low levels of production, including low productivity wells producing oil and the failure to develop new oilfields and draining wells. كل ذلك ادى الى عدم توسيع القدرات الانتاجية.All of this led to the expansion of productive capacity.
The report also stressed that the lack of transparency III flexibility necessary for the export of crude oil, one of the reasons for continuing low levels due to the lack of export capacities Khazneh, The damaged pumping stations Chairperson and systems problems and weak export electrical power generators and depending on the national network intermittent discharge systems and the loss of flexibility and others, the report concluded that the pipe crude oil and oil wells to sabotage addition to the lack of benefit from the fields of Iraq border Yeh and exploitation of the neighboring countries behind these failures and the decline in the export of crude oil as Iraq possesses fields runs along the border with the neighboring countries.And Iran, Syria, Kuwait and Saudi Arabia.
The report states that there is the developer and productive fields and the seven discovered fields and nostalgia. Synthesis and 11 hitherto seismic survey and engraved with Iran either with Syria are one field developers and producer and famous Mcchvan and engraved and discovered five runs and nostalgia, There are two famous Matoran, and 4 discovered and dug and the discoverer of one installation and engraved with the State of Kuwait, with Saudi Arabia are discovered six runs and nostalgia.
The report emphasized that the former conflict with neighboring countries led to a lack of hard work for, and implementation. The transitional periods in their planning and follow-up of the oil sector are the causes of the decline, according to the report.The report concluded that Iraq, which possesses the second or third among the nations of the world in the volume of its oil reserves and retreated to the last rank in the production and export.

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Source : Dar Al-Hayat-12 / 11 / 2006
The Jordanian official figures that the Iraqi investors stayed on the top of the list of non-Jordanian investors in Jordan. as the investments around 118 million dinars during the first ten months of this year.


According to a publication of «the Ministry of Industry and Trade» that these investments represent about 12% of the total investments in companies registered in Jordan during the first ten months of this year, which amounted to 982.4 million dinars. also representing about 32.5% of the investments by non-Jordanians that their bulletin about 336 million dinars.

The bulletin pointed out that the number of Iraqi investors registered with the corporate control until September (September) hit about 3927 investor, estimated volume of their investments over the past six years at about 345.7 million dinars distributed to the various productive sectors.

The Iraqi investments in the services sector amounted to 140.3 million dinars. while hit 127.9 million dinars in the trade sector, about 58.7 million in the agriculture sector, and about 15 million dinars in the industry. and about 3.5 million dinars in contracting.

According to figures issued by the Department of Lands to the Iraqis bought during the first ten months of this year, real estate and land, including the equivalent of 76 million dinars. a total of 1.9% of the total sales in this sector. and about 50% of the total sales of non-Jordanians in the same period. And this, replace the Iraqis on the top of the list of investors in the land and property of non-Jordanians. , followed by Kuwaitis who used to occupy the first place, The Saudis ranked third, followed by Holders of American citizenship then the Syrians.

The hundreds of thousands of Iraqis arrived in the Kingdom after the lifting of the travel ban them in 1991 following the end of the first Gulf War, since that Jordan was the only legitimate outlet to get out of Iraq. While some Iraqis used Jordan conduit to travel to various countries around the world, Others settled in and was in the form of illegal for a large number of them, what makes difficult to obtain accurate statistics of the number of Iraqis living in Jordan. However, the estimates indicate about a quarter of a million Iraqis.

After the American occupation of Iraq in 2003 and the subsequent disorder. Numbers of other Iraqis are migrating to Jordan. While Araghio first phase, which lasted until 2003, mainly intellectuals and academics and fugitives from the system on political grounds. and many of them poor strata, The second phase of the displacement of large numbers of businessmen and investors and wealthy Iraqis who fled the security situation and reduced investment opportunities and increasing incidents of kidnappings and the seizure of hostages. They felt in Jordan a stable and attractive investment because of the facilities offered by the Jordanian Investment Law.

Added to these investors Iraqis living abroad who wanted to be close to Iraq. the ranks of Iraqi community in Jordan, according to the estimates, all informal, between 600 thousand and 750 thousand Iraqis.

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Source : repatriation of Kuwaiti-12 / 11 / 2006
Kurdistan Fair opened Saturday with the participation of tens of international companies, including 74 from Germany and Italy to encourage investments for the reconstruction of Iraq and the presence of the president of the government of the Kurdistan Ngervan Barzani.
He said Raad Amer, the Executive Director of the Chamber of Commerce and Industry Iraqi-American told Agence France Presse that the number of participating companies to 370 companies, including 50 German and 24 Italian companies. "

He emphasized that "there are many exhibitions held outside Iraq, but this exhibition and held in Irbil, foremost of which they were held inside the country." He added that "the security situation in the region greatly help to invest and I think that any investor is not why his life working in the security Drov difficult."

For his part, Mullah Mustafa Farouk head of the administrative cellular phone company Asia curiosity "We participate in the exhibition with a group of companies including Telecom Media cement plant and the Bazian, a lab and a lab Azadi Blanc."

Farouk and senior businessmen in the region, Iraq and the number of subscribers in Asia flood of cell phone about three million, as he owns the majority of shares Bazian Cement Plant, which is one of the largest in the region.

He also said Rahim from the Chamber of Commerce in Sulaymaniyah, which supervised the organization of exhibition activities "prepare for organizing the exhibition since the end of August last has been established on an area of 2, 7 hectares.

For his part, Chairman of the General Authority for Investment in the province Hersh Muharram Mohammad Amin "We are trying to show the territory as a safe area to attract investments I believe that 20% of these companies will invest, which will be of great benefit to the region."
Participate in the expo companies from Arab countries, Iran and Turkey.

For his part, Wako said Mohammed Wahbi Director of the company, "Blanc" active in the areas of Internet and communications, "Security plays a large role in organizing the exhibition."

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COMPARISON OF LAST 5 AUCTIONS....ANY IDEAS OR THOUGHTS.

Number of banks:
11/2/06 (16)
11/7/06 (14)
11/8/06 (20)
11/9/06 (14)
11/12/06 (10)

Auction price selling dinar / US
11/2/06 $1470
11/7/06 $1468
11/8/06 $1466
11/9/06 $1465
11/12/06 $1465

Auction price buying dinar / US
11/2/06 $ ----- -----
11/7/06 $1466
11/8/06 $1464
11/9/06 $------ -----
11/12/06 $1463

Amount sold at auction price (US $)
11/2/06 70.245.000
11/7/06 109.150.000
11/8/06 97.010.000
11/9/06 70.180.000
11/12/06 24.880.000

Amount purchased at Auction price (US $)
11/2/06 -----
11/7/06 3.000.000
11/8/06 3.000.000
11/9/06 ------
11/12/06 2.500.000

Total offers for buying (US $)
11/2/06 70.245.000
11/7/06 109.150.000
11/8/06 97.010.000
11/9/06 70.180.000
11/12/06 24.880.000

Total offers for selling (US $)
11/2/06 ----- -----
11/7/06 3.000.000
11/8/06 3.000.000
11/9/06 ------ -----
11/12/06 2.500.000

US Dollar
USD
11/2/06 1470.000
11/2/06 1469.265
11/7/06 1470.000
11/7/06 1469.265
11/8/06 1468.000
11/8/06 1467.266
11/9/06 1466.000
11/9/06 1465.267
11/12/06 1465.000
11/12/06 1464.268

Another unusal auction from the CBI today. If my math is correct, it seems that they have purchased about 350M USD in dinars from the local banks over the last 5 auctions. At $700000 USD per billion dinar, this is about 500 Billion dinars that have been removed from the economy. If I read this correctly, large amounts of dinar removed from the economy has positve implications for reducing inflation and prepostioning dollars in the local banks in anticipation of an increased demand for dollars. (like what would happen in an RV situation). They have also removed enough dinar from the economy to pay for the 10,000 dinar distribution that is reported to be happening today (Maybe). If they don't distribute the money and delay this, then along with the auction results, I think this is a positive sign and everyone should feep their optimism up and stay positive. As one writer stated, "Why would they continue to delay the distribution if they were not going to RV. If not, then simply insult the Iraqi people and give them the $7 USD in purchasing power (Big Deal). They are simply too rich to have their money worth only 14 dinars to the USD (.01) penny. So, stay determined, stay kind and stay optimistic. (Colin Powell).