Dinar Observer Daily

Pimpy – Dinar Guru  They are going to amend the budget with or without a rate change.…Does it make sense for you to release the budget before they increase the exchange rate because then you have to turn around and redo the budget and make all the changes to the budget using the new exchange rate.  So no, it doesn’t make sense to release the budget before you change the exchange rate.  You would change the exchange rate then go through and amend all of your budget because the money you’ve allocated obviously has changed…The suspension of the funds has to do with corruption.  The reforms can be activated without changing the rate.  They’re going to reallocate revenue from oil to help fund all these reforms…

Dinar Investor – Jeff  Iraq technically does not need to amend the budget if they’re not changing their rate.  The budget already covers their operating expenses.  But they would need surplus funds to cover the reforms.  The reforms are contingent upon the rate changing.  They can’t bring these reform package forward if the rate does not change.  The only reason they’re amending the budget is because the rate is changing…The step of amending the budget can happen either before or after the rate changes … They will probably announce Thursday or Friday as to when they plan to amend the budget, which they’ll probably do around this weekend..

Militia Man – Dinar Guru  If Al-Sudani says, the dinar hold on to it, it’s going too be stronger than the dollar…$0.76 is not stronger than the dollar.  Add the real effective exchange rate and you can easily get over a dollar…

Yada – Dinar Guru   Be of good cheer folks, this is unfolding before our eyes…what we are are expecting is taking place…The articles last week regarding the 1.32 in Iraq was telling the people what to expect. The salaries, contracts, infrastructure are at a point the REER [Real Effective Exchange Rate] will activate it all…Today-tonight is very good for us.

BGG ~ More COMPLETE NONSENSE. Firstly, 1.32 was clearly referred to as the Dinar side of the Dinar/Dollar exchange equation… making the inverse (the USD side) more like .76 USD. Secondly, all of this hype started with Maliki’s crew theorizing what Al-Sudani might want to do… as a way to make him more popular with his supporters. That’s it.

Pimpy – Dinar Guru   Deleting of the zeros means a re-denomination.  Article quote:   “The Iraqi government is currently weighing the question of changing the currency…”  CHANGING THE CURRENCY.  It didn’t say exchange rate. What is says is currency… Definition “Re-denomination is a government policy in simplifying currency values without changing the exchange rate.”  …If we can get them to change the exchange rate without removing the zeros then we’re sitting pretty…

Clare – Dinar Guru  Article: “Iron and Steel Company: Iraq is on the verge of a major industrial revolution”

Dinar Investor – Jeff   One of the major things Iraq has to do before they can revalue the currency is they have to pause all of their money.  They have to suspend it.  Freeze it.  As of Friday both the central bank and the government of Iraq paused and froze all their monies.  What does that mean to us?  …By them suspending all of their monies between the central bank and the government that makes this [past] weekend…the first eligible weekend for Iraq to be able to revalue the currency…

Militia Man – Dinar Guru  Al-Sudani…talked about having the dinar be 1.32 dinars to the dollar…turns out to be around $0.76.  That’s a big bit of purchasing power for the citizens.  Is it what they’re going to end up with in the future based off all the natural resources that they…all the non-oil maximized income…tourism, all the extra stuff you never had when Saddam Hussein was in office?  Saddam Hussein’s $3.22 to 1 dinar was based off about $35 a barrel of oil.  Oil is pushing $85 today…They have surplus money coming from all these different places...

Clare – Dinar Guru  Article:   “Al-Sudani intends to visit Washington to lift the ban on banks prohibited from dealing in dollars”  Quote: “The head of the Iraqi Securities Commission, Faisal Al-Haimas, announced that three Iraqi banks were sanctioned by the US Treasury, and 25 banks were banned from dealing in dollars.“

Pimpy – Dinar Guru  Everyone is excited that Iraq has completed all the requirements to join the World Trade Organization but the bigger question is what’s next for Iraq?  …There’s this impression going on around the Iraqi dinar community that this is going to happen next week or next month.  Is this true or could the process take longer?  …What’s remaining for Iraq?  Approval by the general council…which is composed of all WTO members. …As of now they don’t appear to be on the calendar to be voted in…We got between now and June to see if indeed Iraq is added to the calendar…unless for some reason the WTO holds a special session…

Militia Man – Dinar Guru  Article: “Parliamentary Finance: The federal budget is in the corridors of the Council of Ministers, and there is no specific date for sending it”  Quote:  “On June 12, 2023, the Iraqi Parliament approved the tripartite budget law for the years 2023, 2024, and 2025.  Last year’s total budget amounted to 197 billion dinars, which is the largest in the country’s history.”  Take note that they used 197 Billion Dinars. That is a little over $150 million USD at the current exchange rate of 1,310 IQD… Seriously? I do not think so, unless they have done something we have yet to see.

Mountain Goat – Dinar Guru   So according to Shafaq News/ The Parliamentary Finance Committee discussed, on Thursday, with the Central Bank of Iraq, the monetary policy and banking system in the country and ways to increase the value of the Iraqi dinar. I quote from the article – “to ​​discuss monetary policy, the banking system in the country, and ways to increase the value of the Iraqi dinar.” Folks I don’t know about you but this article was WOW!

Pimpy – Dinar Guru  I warned you guys about this…that if you get together in a group you can negotiate a different rate.  No, no you can’t.  That’s false.

Samson – Dinar Guru  Article:  “Al-Sudani faces American pressure to resolve problems with the Kurds before visiting Washington”  Quote: “Iraqi  Prime Minister Muhammad Shia al-Sudani is expected to make his first official visit to the White House in April since taking power“

Pimpy – Dinar Guru   Everybody thought Iraq was at the end of becoming a member with the World Trade Organization…Come to find out they’re just barely at the beginning stages.  What does this mean for Iraq?  How long is this going to take?  Wikipedia quote:  “An offer of accession is given once consensus is reached among members.  The process takes about five years on average but can take some countries almost a decade…The shortest accession negotiation was…2 years and 10 months.  The longest were that of Russia lasting 19 years and 2 months.“

Sandy Ingram – Dinar Guru   Iraq has completed the necessary prerequisites to join the World Trade Organization WTO.  This pivotal development reported by Gulf News marks new chapter in Iraq’s economic journey…Joining the WTO is not a mere formality, it necessitates a commitment to aligning with WTO rules by enhancing private sector performance and overhauling trade policies….  Membership in the WTO is a significant milestone for any country.

Pimpy – Dinar Guru  If you go to 1.32, it actually comes out to $0.76. So if I take my 5 million dinars times $0.76 oh yeah!  $3.8 million, we’ll take it!  But…if this is moving the decimal place over 3 positions coming out to 1.320 for every US dollar…they need to change their currency…That’s the deletion of the zeros.  Your 25,000 dinar becomes 25 dinar.  So if I take my 5 million and remove the three zeros and multiply $0.76 – 5,000 dinars x $.76 = $3,800.  Yeah, that’s what it comes down to…When Al-Sudani was talking about he would love to have an exchange rate of 1.32…he was talking about the deletion of the zeros.  I said that’s what we need to avoid…You do not want the deletion of the zeros but it looks now like it’s inevitable.

Dinar Investor – Jeff   They have suspended currency auctions from this point forward, through the remainder of March…giving them eligibility to revalue this weekend – having this weekend being the earliest point throughout this entire year to be able to revalue…Iraq was not even eligible to revalue before this weekend…

Mountain Goat – Dinar Guru  I have to say that the CBI cannot turn back from all the progress already made. Also remember that the citizens of Iraq are reading all these articles too about increasing the value of the dinar and so it is way beyond the point of returning to the same old, same old…Remember two things if nothing else:  1. It’s not IF but WHEN this event is going to happen and;  2. It has to happen and soon.

Pimpy – Dinar Guru  People always think I’m being negative about the Iraqi dinar.  I’m not.  I’m trying to make sure people are grounded…I tell you guys this is what we need to look for, this is what we need to deal with and we don’t want the deletion of the zeros.  We do want the Iraqi dinar to continue to increase in value without deleting the zeros.  That’s how you’re going to make your money.

Sandy Ingram – Dinar Guru  Do not purchase any currency with Saddam’s face on it unless you purchase it as a collector. Purchase currency that is now in circulation in Iraq.

Clare – Dinar Guru  Article: “The Central Bank announces an understanding with the US Treasury to reconsider sanctions and indicates ‘illegal trade‘ “

Samson – Dinar Guru  Article: “Central Bank Governor Announces Understanding with US Treasury to Review Sanctions on Banks“

Pimpy – Dinar Guru I was hoping you guys caught this part of this paragraph… Article quote: “The Iraqi government is currently weighing the question of changing the currency.”  That should have told you everything you should have known right then and there…They‘re talking about deletion of the zeros. If they’re deleting the zeros off of this (1.32) then they’re also deleting the zeros off the currency…That’s exactly doing critical thinking which is what you’re going to need in order to get through this process.

Militia Man – Dinar Guru  Iraq is going to go through that industrial revolution because they’re going to rebuild the country.  The evidence is quite clear. The fascinating part about it is we had Al-Sudani/his government say they were going to do the project to delete the zeros…They were going to have the Iraqi dinar be worth 1.32 dinars to the dollar.  That equates to about $0.76.  Those folks that talk about a LOP, how do they explain that?  They can’t because that’s not what it is.

Pimpy – Dinar Guru   It [the article] doesn’t say the exchange rate is $1.32, more likely what it is Al-Sudani will change the exchange rate where you can buy 132 dinar for $1.  That’s a 90% increase.  I don’t know about you but I’d be pretty happy with that.  I’d be content with that.  I know a lot of you are expecting million, that doesn’t mean it can’t happen but if we’re allowed to keep this currency that we have right now with all the zero and they change the exchange rate I’m going to count my blessing and sell them because I’m not going to take the risk of hoping for a higher exchange rate and then turn around and delete the zeros.  $37,000 is not too bad for less than a $2,000 investment.  

Mountain Goat – Dinar Guru   …the Chairman of the Finance Committee stressed, and I quote:   “the importance of following up on the economic file and monetary policy, based on the supervisory aspect, and finding appropriate solutions to the obstacles facing the work of the Central Bank.”   What they are basically telling the CBI is to follow up and move more aggressively on this issue of increasing the value of the dinar...I believe there is enormous pressure to get the dinar revalued and conduct the 3 zero note changeout (The Project to Delete the Zeros).

BGG – Dinar Guru   Article quote: “The Iraq government is currently weighing the question of changing the currency so that the official cost of a US dollar will be 1.32 Iraqi dinars instead of 1320.  Implementing such a decision is likely to significantly increase Al-Sudani’s popularity.” …The article was published yesterday & I am suspicious of it’s veracity and timing. It always seems to get tossed around during election season.  Furthermore, how they decide to get from 1320:1 to 1.32:1 is another story entirely…Everyone will get all excited, when in reality… even if this is a legit move – it could still go 20 different ways.

Mountain Goat – Dinar Guru   Don’t be discouraged, the currency reform and banking process has come a very long way in a short period of time since January 2023 compared to waiting since 2011, when the plan originated with the IMF on how to turn the currency back on. So we went 11 years with not much progress then suddenly a huge jump which tells us something is up. This alone is all telling...If Iraq is to progress, as they say is their goal, they will need a globally recognized and traded currency once again and get it VERY SOON! 

Pimpy – Dinar Guru   I hold millions of dinar and people act like I don’t want the $3.22 exchange rate with the current currency, ‘No, Pimpy doesn’t like it.  He doesn’t believe in it.’  What the hell are you talking about?  I own millions of dinars.  Nothing would make me more happier than them to jump up to a $3.22 rate and keep the same bank notes that we got now.