Thread: New Info....for anything here. Taxes, Chit-Chat, Whatever.

Originally Posted by inquisitive1

The debt has been relieved to everyones satisfaction. Everything that needs to be done is done therefore nothing more regarding debt relief will happen. Remember, it was vital that Iraq complete the debt relief before announcing an RV. Why? Countries would refuse to release the debt from Saddam's regime if they showed post RV assets.

Not quite. Not all of the debt was relieved only portions of it (most relieved 80%), which would indicate that the countries still have a vested interest (20%) in Iraqs future. In most cases, like in Jordan, the debt was relieved based on deals. Jordan gets oil at a discount and is allowed first crack at some contracts for reconstruction. The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

Debt relief goes toward Iraqs balance of payments (Capital and Current accounts).

My thoughts

Originally Posted by EJAMM

Not quite. Not all of the debt was relieved only portions of it (most relieved 80%), which would indicate that the countries still have a vested interest (20%) in Iraqs future. In most cases, like in Jordan, the debt was relieved based on deals. Jordan gets oil at a discount and is allowed first crack at some contracts for reconstruction. The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

Debt relief goes toward Iraqs balance of payments (Capital and Current accounts).

My thoughts

Hey EJAMM, This is very interesting. Can you give some links to this? I noticed "My thoughts" at the end of your post. Is this just your opinion or educated guess? Sure would like to know how you came to this conclusion. Any more insight would be much appreciated.

The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

So countries like Kawait and Saudi Arabia and who ever else is part of the 20% are the ones who will approve an RV?

Originally Posted by EJAMM

Not quite. Not all of the debt was relieved only portions of it (most relieved 80%), which would indicate that the countries still have a vested interest (20%) in Iraqs future. In most cases, like in Jordan, the debt was relieved based on deals. Jordan gets oil at a discount and is allowed first crack at some contracts for reconstruction. The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

Debt relief goes toward Iraqs balance of payments (Capital and Current accounts).

My thoughts

I did not say 100% was accomplished but simply the situation is satisfied to the point that it is no longer an issue.

Originally Posted by EJAMM

Not quite. Not all of the debt was relieved only portions of it (most relieved 80%), which would indicate that the countries still have a vested interest (20%) in Iraqs future. In most cases, like in Jordan, the debt was relieved based on deals. Jordan gets oil at a discount and is allowed first crack at some contracts for reconstruction. The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

Debt relief goes toward Iraqs balance of payments (Capital and Current accounts).

My thoughts

Hi Ejamm
The IMF will allow a par value change to what? USD 1 TO 1, or the outer lying countries, which would bring it to the $3.00 to $4.00 range.
Thanks, any links would be appreciated.
barmurphy

Originally Posted by EJAMM

Not quite. Not all of the debt was relieved only portions of it (most relieved 80%), which would indicate that the countries still have a vested interest (20%) in Iraqs future. In most cases, like in Jordan, the debt was relieved based on deals. Jordan gets oil at a discount and is allowed first crack at some contracts for reconstruction. The country's involved in debt relief will not be "surprised" by a reversion, they actually have to approve the rv. The IMF will allow a par value change of the dinar if 85% of the member country's vote yea. Good luck.

Debt relief goes toward Iraqs balance of payments (Capital and Current accounts).

My thoughts

What is the time frame from when those countries that have to approve a par value change (hence, a reversion / RV) and its' actual implementation by the CBI? My concern is how would a lid be kept on this type of incredibly sensitive data to avoid a run on the dinar just prior to them (CBI) pulling the trigger. Unless there is something in place to address this, it is logical that an undetermined number of member country's key players would likely buy billions of dinar if they knew (and apparently, they would) that the CBI has the green light to revalue their currency. The only unknown factor is when or in Iraq's case IF the CBI would execute the strategy. To me, this could be viewed like inside trader information in stocks but to a potentially much higher and more lucrative windfall. What piece am I missing here?

i dont believe that any other country except the us has any say on an iraqi rv.

Q. do the countries that forgave this debt, know that Iraq is planning a reval?

Originally Posted by deepfreeze

Q. do the countries that forgave this debt, know that Iraq is planning a reval?

I say that they DO, and as part of the debt forgiveness special oil purchase deals and construction rights were given in exchange. Think about it. If we find the articles and information, doesn't it make total sense that countries that have done business with Iraq for years would know EVEN more about what is and will go on?

If I'm not mistaken it is Saudi and Kuwait that are holding out on 100% forgiveness. If you were a country that had oil as it's primary export and source of income, what sort of deal could Iraq offer you that you would be interested in? Also, I think Saudi and Kuwait have a limited reserve of oil left in their soil. They want the money owed cause they know their supply of oil is limited. Just my take.... most likely incorrect, but from a conspiracy theoriest perspective, I like it!