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

Originally Posted by Pooh Bear

Woohoo! Hopefully that is the correct interpretation!

When I first read that statement, I assumed they were referring to the Market Rates posted on the Historical Exchange Rate tables from the CBI. The Market Rate on 12/13 was 1427, in contrast to the Auction rate of 1414. I have noticed the trend of dollar purchasing from the participating banks, that when the auction rate is lower than the market rate, more dinar is sold back to the CBI. This market rate has been the benchmark off of which to set the auction rate and reduce circulation.

I too am hoping that they are referring to the book rate of 0.31, but we could be seeing a reference to the market rate as posted on the CBI. Even so, that market rate has been on a steady increase in value for the dinar, in line with the increased auction value of the dinar, so it is still good news, just not as much of an impact as I think we would all like to see.

This is just one thought on the matter, though, so if anyone expand, or even better, contradict my understanding of this market rate, then please elaborate.

was the dinar ever thirty one cents?? i think what you guys are actually trying to say is 31% of a dollar which is .31IQD:1USD

Originally Posted by DayDream

I thought I would post the auction results off of the CBI website for October to see if there is a mystery here that the CBI didn't want seen. I did notice
that on several occassions the dinar went up instead of down. I don't recall that happening, does anyone else? Anyway heres the mysterious October Auction from the site.

C.B.I. FOREIGN EXCHANGE AUCTIONS

Date Market Price Auction Price Volume
1-OC 1,486 1,472 56,415
2-OC 1,485 1,472 57,010
3-OC 1,485 1,473 44,875
4-OC 1,486 1,473 49,575
5-OC 1,486 1,472 45,890
6-OC NO AUCTION 0 0
7-OC NO AUCTION 0 0
8-OC 1,487 1,473 74,365
9-OC 1,486 1,472 69,980
10-OC 1,485 1,471 53,010
11-OC 1,484 1,471 53,505
12-OC 1,484 1,470 58,810
13-OC NO AUCTION 0 0
14-OC NO AUCTION 0 0
15-OC 1,484 1,470 43,435
16-OC 1,483 1,470 43,800
17-OC 1,483 1,470 54,420
18-OC 1,483 1,470 50,515
19-OC 1,485 1,470 45,915
20-OC NO AUCTION 0 0
21-OC NO AUCTION 0 0
22-OC 1,489 1,473 50,220
23-OC NO AUCTION 0 0
24-OC NO AUCTION 0 0
25-OC NO AUCTION 0 0
26-OC NO AUCTION 0 0
27-OC NO AUCTION 0 0
28-OC NO AUCTION 0 0
29-OC 1,489 1,471 61,420
30-OC 1,484 1,470 82,560
31-OC 1,484 1,470 80,365

Cheers!
DayDream

I would like to point out that between Oct 23 - 26, the CBI did, in fact have auctions....At least 3 during this time, but never posted official results. I find that strange. Also, the mysterious auctions I was referring to, were NOT the regular daily auctions. They would post them as additional auctions and not where they listed the daily auctions. At least one was very large and was listed at 1 billion USD. Never were these auctions posted at the time they happened, but several days or weeks later.

It is this type of info and others, that we no longer have access to because October and August is gone. I think it's on purpose.

However, the biggest issue for me is that the CBI removed more than 5 trillion IQD from circulation in less than 3 months (August - Oct 19) without anyone noticing. That is astounding. No matter how you look at this, the CBI is loaded with enough IQD to do whatever they want.

Originally Posted by Adster

Good work kiko, Susie and the rest of you.

ADAMMMMMMMMMMMMMMMMMM I MISSED YA!!!!

Originally Posted by shotgunsusie

was the dinar ever thirty one cents?? i think what you guys are actually trying to say is 31% of a dollar which is .31IQD:1USD

Along time ago cigarman found out that the CBI had a default rate. 2 sets of books. He also found the .31 that in reallity meant over $3 Maybe cigar can answer these thoughts as he discovered them way back before the Dinar Gang GREWWWWWWW.

Jordanians jailed for seeking to join Iraqi insurgency
13-12-2006 / 11:30
A Jordanian military tribunal jailed three Islamists for trying to join Iraq rebels and acquitted two others.


Judicial sources said Mahmud Abdel Aal and Yussef Shafei were sentenced to three years in jail each, while Khalil Ennabi was sentenced to one year.

Ayman al-Khawaldeh and Jamil Rayan were acquitted of any wrongdoing, the sources added.

The five defendants faced between three to five years in prison on charges of "carrying out activity that undermines Jordan's security and its ties with a foreign country", according to court papers.

Their trial opened in June, three months after they were arrested when they returned home from neighbouring Syria, from where they had hoped to travel to Iraq to join insurgents fighting Iraqi US-led coalition troops.

In addition, Khawaldeh was accused of having slandered the king.

The charge sheet had said Khawaldeh "has accused Arab regimes, including Jordan, of failing to abide by the rule of Allah and their constitutions were drawn up by the British and the Americans".

According to Jordanian law such views are considered "slander" against the king.

When the verdict was read, Khawaldeh bitterly told the court: "What is the point of acquitting me. I have already spent several months in jail".

Those of his co-defendants who were sentenced to jail chanted Islamic slogans when the judge read the verdicts.

"Allah is our master, not your master," they said.

Originally Posted by neno

Along time ago cigarman found out that the CBI had a default rate. 2 sets of books. He also found the .31 that in reallity meant over $3 Maybe cigar can answer these thoughts as he discovered them way back before the Dinar Gang GREWWWWWWW.

New Page 1

Balance 2004



General Budget 2004



Chairman of Managing Council Speech:



Ladies and Gentlemen stockholders of Baghdad Bank:

Iraq had been through some unusual circumstances within the last two years like instability and lack of security that have had a destructive impact on economy, investment and industrial production, but, despite of all that Baghdad Bank achieved a big success during the financial year of 2004 in comparison to the previous financial year and the most important index to that is balancing US dollar price with the current price of 1460 ID



Baghdad bank has taken also serious steps towards opening Al-Bayaa branch at the end of 2004 and rented a location for Al-Suliemaniya branch which shall be opened in March 2005 in addition to the expansion of Baghdad bank activities on the international level as it has made banking connections with many international banks. worth mentioning that Baghdad Bank started putting into practice new systems in Mansour, Palestine and Bayaa branches.

Presently such systems are being put into practice in the general center and general management to be spread later on to the other branches. Baghdad Bank has also signed a contract to use (SWIFT) system in external transfers in 2005. This system shall be run during the above mentioned year.

I would to inform all the stockholders of Baghdad Bank that the report of the managing council 2004 was prepared according to the demands of Central Bank of Iraq to balance US dollar price to0.310 ID instead of its real value (1460) ID per 1 US dollar, so, the report and general budget do not necessarily reflect the actual situation of Baghdad Bank and the volume of economical incoming indexes, so, this report was issued in order to meet the demands of the rules and instructions.

The General Institution of Baghdad Bank that was held on November 16 2004 had taken a decision to make a partnership with Gulf Bank and Iraqi Payee Company with percentage of 49 %, increasing Capital to approximately 10.000.000.000 ID. We would like to inform stockholders of the bank that Central Bank of Iraq reclaimed that the increase of capital to 52.963.600.000 ID all at once instead of two stages. The managing council of the bank and new stockholders agreed to meet the demands of Central Bank of Iraq as long as they do not affect the basis of partnership that all sides have agreed upon in the previous meeting of the General Institution of Baghdad Bank and we are waiting for the final resolution of Central Bank of Iraq about our above mentioned approval.

And hereby I express my deep appreciation to Central Bank of Iraq and department of company registration to their utilitarian and constructive roles in supporting Baghdad Bank and Iraqi economy in general. I also appreciate the honorable situation of all personnel of the bank for preservation of bank properties and for their exceptional efforts in hard times that Iraq had been through within the last two years.



Dr. Monib Khalil Al-Skooti

Chairman of managing council

Here is the Yasiri in the article....

He expected to Yasiri, a bank dealers with the auction in a statement to the News Agency (Voices of Iraq) Independent, to witness the auction, the return of normal circulation during the forthcoming meetings due to equal the official exchange rate with the rate of exchange in the local market.

(12-05-2006) Presentations sale of the dollar exceeds the purchase orders for the first time in the Iraq Central Bank Auction

For the first in the Central Bank Auction, last Wednesday, offers to sell the dollar exceeded the purchase orders significantly. A statement by the Bank said that the purchase orders by the four banks participating in the auction stood at 330 thousand dollars in cash for 20 million and 850 thousand dollars in cash yesterday.

Ali Al-Yasiri, a dealer with the Iraq Central Bank, attributed the significant drop in demand for the dollar to the decline of trading in the Iraqi market, because of the depressed commercial market due to the deteriorating security situation and the danger of dealing with large amounts of funds.

The statement pointed out that the Iraq Central Bank had covered all procurement requests at 1435 iraqi dinars to the dollar, 2 iraqi dinar lower than the price of yesterday. The dollar, today, dropped 2 iraqi dinar, for the fifth day consecutively, against the iraqi dinar (ID). The participating banks in the auction, today, presented offeres to sell the dollar reaching $ 2 million, bought by the bank in full at the exchange rate 1433 iraqi dinar to the dollar.

Sorry.....it was really really bugging me.

Cheers!
DayDream

Iraqi Trade Unions Criticize Govt's Draft Oil Law





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Thursday, Dec 14, 2006

By Dow Jones Newswires

Leaders of Iraq's labor movement Thursday criticized the Iraqi government's new draft oil law, saying it would "hand control" of the country's oil production to multinational companies.

A statement issued by the movement at the end of a meeting in Amman urged a fundamental rethink of the forthcoming oil law, which is designed to allow foreign investment in the oil sector.

Iraqi trade unionists criticized the major role for foreign companies in the draft law, which specifies that up to two thirds of Iraq's known reserves would be developed by multinationals, under contracts lasting 15 to 20 years.

The negotiations for a new Iraq hydrocarbon law continued this week with the circulation of a draft law that recommends the government sign production sharing agreements and other service and buyback contracts.

The statement was seen by Dow Jones Newswires from Platform, a London-based charity focused on oil's social and enviromental impact, which attended the meeting.

The statement said that trade unions reject handing control of oil to foreign companies, whose aim is to make huge profits at the expense of the Iraqi people, and to rob the national wealth, according to long-term, unfair contracts.

The trade unions were also angry at their exclusion from the drafting process, and called for a delay to the law to allow proper consultation. "The Iraqi people refuse to allow the future of oil to be decided behind closed doors", they stated.

"This law has a lot of problems. It was prepared without consulting Iraqi experts, Iraqi civil society or trade unions. We reject this draft and demand more time to debate the law," the statement quoted Hasan Jumaa, head of the Federation of Oil Unions in southern Iraq as saying.

"The Iraqi national interest is surrendered in this law which allows foreign companies investment terms that exploit Iraq's oil wealth," said Adnan Saffar, member of the Executive Committee of the General Federation of Iraqi Workers.

PSAs, promoted by Washington and London, give huge returns on investment, but deprives Iraq of up to $194 billion, according to the Platform study issued last year, entitled: "Crude Designs: The Rip-off of Iraq's oil wealth."

-By Hassan Hafidh, contributing to Dow Jones Newswires

Originally Posted by Wm.Knowles

He expected to Yasiri, a bank dealers with the auction in a statement to the News Agency (Voices of Iraq) Independent, to witness the auction, the return of normal circulation during the forthcoming meetings due to equal the official exchange rate with the rate of exchange in the local market.

I think the only reasonable way to view this statement is in the positive direction. I.e. an increase in the value of the currency. When you combine past currency rates, previous statements by the GOI regarding increasing the exchange rate, the behavior of the CBI as we have witnessed over the last 2 months, improved oil money, amd the need to increase the purchasing of the Iraqi people, anticipation of the FIL/HCL, and the effects of an increased value of the dinar on unemployment and the economy as a whole, then an increased value is the only direction that makes sense. As we have said before, the CBI is not going to return to the previous rate and undo the work they have accomplished in removing an est. almost three? Trillion dinar from the economy. This is also consistent with statements from the last SBA from the IMF where the exchnage rate was viewed as the main contributor to inflation. I think this also applies to leaving the rate at/or around where it is today. So I am optimistic we are seeing a very important statement being made that works for us. It may well be an exciting weekend. Thank You.

I FEEL THIS ONE COMIN ON SO IM GONNA GO AHEAD AND GRAB YOU UP AND KISS YOU RIGHT ON THE FACE!!!!!!!!!! WOoT!!!!!!

So Susie... Whats your take on that article today?

Cheers!
DayDream