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

Hi,

I go back to one of my previous postings in which I asked how long are they going to take to enact the FIL and HCL, the FIL was passed at the beginning of October and the HCL is very close, what was the point of passing these laws when they did and then do nothing for several months, seems absolutely illogical, and it is obvious that they cannot enact them without a revalue as we have been all saying everything will be bought up for peanuts- also the economy needs a kick up the pants sooner than later.

Originally Posted by Gloribee

http://66.249.93.104/translate_c?hl=...first_page.htm


This site talking about Iraqi peoples and with Ramadan month we must have to stop the problems between SUNA and SHEAA and forming committees in Baghdad for doing that and it talking how application this subject

Coutesy of my Interpeter Mohommed. As Well there was a photo attached at some point in time.

Gloribee

PS sorry it took so long Susie, Mohommed is in Baghdad and that 12 hour time span and all

Gloribee

so im assuming with all those signatures on it that it would be the reconciliation agreement in its final stage. this is VERY good.

Originally Posted by Offshore-Wealth.com

Interesting,

We know the IMF is not in power to induce CBI to do anything, it is simply a recommendation, and CBI is conforming to demonstrate that they do indeed have control of dinars value, and this will bode well when the time comes to revalue.

All along this was the goal, to establish stability of dinar, and in my years of following it, they have indeed proved this. It first was demonstated with very little movement up or down, and now with reason of inflation, they are again proving they have total control over currency, and even better sign of stability in the eyes of the world, which is where the focus is at the moment with FIL and HCL done.

We all know Iraq is now in the mode of attracting investors to restore and create the largest oil reserves in the world, and this has always been the main goal. All the rest is just the crawling before walking, and now that walking stage is complete, we will be off and running any minute. (g)

Happy Holiday Season to all, Mike

Thanks Mike,

Are you still hearing that the HCL is done?

CapeK

Finally mainstream media has picked up on Iraq economy. I just heard on CNBC (financial network) headlines that say..."yes, you are not going to believe this but Iraq economy is booming..." I will keep you updated as they discuss it further.

Earlier this week, Iraqi Oil Minister said that his country will offer contracts to develop 60 oil fields in several batches, starting next year, Canada's National Post reported.

The minister said that only 20 of 80 discovered oilfields are in production
in the holder of the world's third-largest oil reserves.

The government is waiting for parliament to approve a new hydrocarbons law early next year to start offering contracts to develop the remaining fields, the official said.

Contracts to develop oil fields were given about a decade ago by the regime of former president Saddam Hussein to companies such as Total SA, OAO Lukoil and China National Petroleum Corp. Wars and sanctions have curtailed Iraq's ability to develop its oil wealth.

Iraq to offer contracts for developing 60 oil fields | Iraq Updates

Voices of Iraq: Iraq-Currency
Posted by: nadioshka on Tuesday, December 19, 2006 - 04:22 PM

Iraq-Currency
Dollar demand down in Iraqi central bank auction
By Dergham Mohammed Ali
Baghdad, Dec 19, (VOI) – Demand for U.S. dollars was down to $10.605 million in Iraq’s Central Bank auction on Thursday compared with $12.095 million the previous day.
The central bank covered all bids from banks at $8.980 million in cash and $1.625 million in transfers abroad, all at 1,380 dinars to the dollar, down eight dinars from yesterday.
Eight banks taking part in the auction offered to sell $10.880 million which the bank bought at 1,378 dinars.
Economist Abdel-Razzaq al-Abaiji attributed high selling offers to fear that declining exchange rates would cut the value of unneeded dollars.


What is your (anyone) take on this last part of the article.

Robbers in Uniforms Hold Up Baghdad Bank
Robbed of $709,000

BAGHDAD, Iraq (AP) - Gunmen in military uniforms raided a Baghdad bank Tuesday, stealing the equivalent of $709,000, police said. The attackers drove up to the Zuwiyah Bank in the Karradah neighborhood in four vehicles, jumped out and fired their weapons into the air, police said.

They handcuffed guards outside the bank, then stole money from accountants for the Ministry of Industry who were leaving the building, police said.

The gunmen then fled the scene.

The bank reopened within two hours of the robbery.

It was the second such robbery in Baghdad in a little more than a week. Gunmen disguised as Iraqi soldiers stopped a bank truck carrying $1 million, stole the money, and kidnapped its four guards on Dec. 11.



Associated Press Business News: Robbers in Uniforms Hold Up Baghdad Bank - MSN Money

Originally Posted by Adster

1 SDR = $1.48 multiplied by 2.21 = around $3.22.

I respect my source who has high up contacts. Have got to know him well over the last 18 months.

Thanks for that one Adster!

Yesterday I posted some nice positive statements made by officials and mentioned in articles. By reading those old articles I already believed in a RV with a minimum of equal to the dollar.

Yesterday I also received an e-mail from Mr. M. from the Warka. In that e-mail I asked him about the recent article about no change in the currency and adding new categories.

Well as expected he didn't react on the lower denoms but said again that there will be no reprint. He said and I quote:

"As stated in my previous email it is not the decision of the Ministry of Finance to implement such a matter but the move of the CBI. The CBI has rejected this proposal."

Ok, we already knew that and I didn't ask him that but ok. First of all I am not bringing that subject up again, but this and the statements made me think all the time.

So I went back to the old articles of june/july from Zubaidi about raising the value of the dinar.

I mention the most important statements:

* Iraqi dinar Value should be raised
* One Iraqi dinar was valued at 3.33 US dollars
* The proposal has support and approval of the World Bank
* Three zeroes be taken from Iraqi Dinar to raise its value
* Minister confirmed that 2007 would see a qualitative budget and first of its kind in Iraqi history and that the new program would pinpoint economic indicators

Link: http://www.iraqdirectory.com/DisplayNews.aspx?id=1593


This article was at that point directly pushed into the zero lop and reprint direction while it's a lot mentioning "the value".

As we have read lately it is the goal to improve purchasing power of the Iraqi people by improving the exchange rate. In other words, improving the real value of the Iraqi Dinar.

Another remarkable point is that we now know that there will be no reprint/zero lop. IMF/World Bank wouldn't approve this and we now that now for a fact.

How is it possible that the World Bank gave support and approval on something that isn't going to happen? Unless they already knew then that they were talking about returning to the real exchange rate of $3.33 but not with a reprint!

Another point, now that I read it back, is that also remarkable words about the budget of 2007 are mentioned and linked to this article.

I think we have seen lately that the budget increased and its booming, something that makes you go hmmmm!

They also mentioned "studiying the proposal". Well in my opinion there is nothing to study about if you do not have the intention to go back to a previous level of the Iraqi Dinar!

I think they have studied about how and when they have to withdraw money from circulation and when to set the real exchange rate!
Then they were of course more statements, like:

"Zubaidi on this subject : the two split the price and that the financial and talk about the monetary side. Monetary value of the Iraqi dinar must revert to the previous level, or at least to acceptable levels as it is in the Iraqi neighboring states."

Link: Translated version of http://www.alsharqiya.com/display.asp?fname=aboutus%5C2006%5C008.txt&storyti tle=

They were telling again the $3 rate or at least equal to neighbouring states. For example Jordan where 1 Jordan Dinar = $ 1,41.

Then of course we have other important issues:

* CBI binder 12, which also is mentioning the $ 3.2169 rate in the
footnote
Link: http://www.cbiraq.org/binder12.pdf
* The books that are kept on $1 = 0.31 NID (=$ 3.22)


So as you can see I am also convinced that they will return to the previous level of $ 3.22 and I also think it will not be done at once but in 2 or 3 steps.

Personally I think (also hope) that they will return to a level around the $ 1.30 and $ 1.50.

This will be exactly in line with 1 SDR ($ 1.48), equal to Jordan which is important to Iraq ($ 1.41) and all the statement that is must have the value of 1:1.

I also thought about the IMF rate of 1345. Lately we saw the Dinar increasing from 3 points a day to 12 points a day and we were hoping that we should see more increasement now by the day, but instead of that they fall back to 8 points.

It seems they are trying to end exactly on the last day of 2006 on the IMF program rate of 1345 dinars to a dollar.

It just a thought, but HCL must as good as done and will be enacted in January as we have read. We also read that Maliki urged Barzani to put it into Force for the Iraqi people.
I still think they are trying to put in action, together with the FIL and ICI on their start of January. As Susie mentioned 2 or 3 January.

I think it is also quite possible that they end 2006 on the rate 1345 or nearing it and then move the decimal to $1.34 or $1.35.

That rate is also nearing 1 SDR, is more than 1:1 level and around neighbouring states.

I also still believe they always can set it overnight. They have proven that in the past and the dinar was also set to the program rate in one night.

My opinion is that they have all planned this out and that they can do whatever they want to do, also setting the rate back overnight.

I will sit on my Dinars untill the exchange rate is at least $1 or higher. We know what the potential is and that will set the value eventually.

Originally Posted by CharmedPiper

Finally mainstream media has picked up on Iraq economy. I just heard on CNBC (financial network) headlines that say..."yes, you are not going to believe this but Iraq economy is booming..." I will keep you updated as they discuss it further.

The media can spread the good word faster than the internet. This may be a shot in the arm if it opens more eyes to the east and what lies burried under all that sand...I think its time to sit down, breath through our nose and everything is going to be all right. The dinar is moving and moving faster in the past few days. We need to be patient and let is grow. Lets not forget, that our future wealth was paid in blood by our US troops. Christmas would be a fantastic time to re-value high, but anytime a lump of money falls in your lap it's CHRISTMAS.

Just a little reminder this is the 2nd day the Gazette website has been down.