Dinar Observer Daily

Militia Man – Dinar Guru    Fundamentals are ready for the REER – real effective exchange rate.  They have the revenue streams… electronic payments…the ASYCUDA.  All of those things you should be paying attention to…I think the foundation for the country is 100% solid and it has been for some time but they needed to massage things along…I think the execution phase is underway.

Jeff – Dinar Guru   No body can tell you when the rate is going to change.  Right now it can be March.  It can be April.  It’s based on how long the war takes and how long it takes for Iraq to move forward with the formation of the government.  That’s what all this hinges on.

Samson – Dinar Guru  Article: “IRAQ’S OIL REVENUES EXCEED $6 BILLION IN ONE MONTH“

Sandy Ingram – Dinar Guru  I want you to truly understand the situation Iraq is in.  Iraq’s economy is based on US dollars…They trade mass amounts of monies across the border from Iran.  Iran also provides electricity to keep the lights on in Iraq.  Iran is also intertwined into Iraq’s government…Iran…is sending missiles to the Kurdistan region really, really bad and also attacking Basra in southern Iraq…the most painful for the entire global world is shutting down the Strait of Hormuz…Iraq does not want to hurt Iran’s feelings.  If you were in Iraq’s shoes I don’t think you would either.  But Iraq cannot afford to upset the United States.  There’s $100 billion dollars in their Federal Reserve account in US dollars…

Militia Man – Dinar Guru   Real effective exchange rate as a simple adjustment can…be simple and electronic.  The digital infrastructure …allows instant nationwide propagation.  There will be no need for massive physical note exchanges...The CBI can adjust the rate with minimal friction.  The system is already tested for large-scale electronic transactions.

Jeff – Dinar Guru    We all want to know when the rate is going to change.  Let’s talk about not only when the rate is going to change…but what’s really happening…Are they even having sessions of parliament?  Is the government doing anything?  Absolutely not.  Zero in Iraq.  They’re not doing anything right now…The formation of Iraq’s government is the lynch pin to the rate change…The formation o Iraq’s government gets them back on the world stage.  It’s a critical level of stability needed…

Mountain Goat – Dinar Guru  I encourage you not to give up. Iraq will reinstate the dinar and Trump will move ahead with his plan to revitalize the middle east and Iraq is a huge part of the plan. The Iraqi dinar is going to be a hinge-pin of a new basket of currencies. This new basket will support many currencies…

Mountain Goat – Dinar Guru  Can the Coordination Framework still be able to pick their candidate or is this now not allowed since they already pasted all the constitutional deadlines?  Parliament turned this over to the Judiicary to decide what to do next. If it is to be enforced, we can be assured that al-Sudani will be the candidate, since his party has the largest winner in the elections, as the ruling states….according to this ruling, al-Sudani is already now the candidate. If this ruling holds true the Coordination Framework no longer gets to choose the nominee... WOW! WOW! WOW! again…  [Post 2 of 2]

Samson – Dinar Guru   Article:  “MINISTRY OF FINANCE: IRAQ’S REVENUES EXCEEDED 124 TRILLION DINARS DURING THE YEAR“

Militia Man – Dinar Guru    Iraq is ready now for integration.  The CBI’s actions show the sectors being prepared for the next level.  They have a stronger capital base, better ability to finance trade projects.  It had digital upgrades…seamless integration with Swift MX, ISO-2022 and future CBDC corridors.  Compliance enforcement meets the gatekeepers (IMF, BIS, FATF -Financial Action Task Force) standards.  This positions Iraq to handle large-scale capital flows…without systemic risks, meaning integration for the WTO, capital markets and their REER (real effective exchange rate) readiness.  It all can proceed when prudent.

Sandy Ingram – Dinar Guru   Iraq has announced it is reducing production at major oil fields because the Straits of Hormuz is effectively closed.  So yes, oil is headed to $100 a barrel, it was $80 a couple of days ago, but it does little good if Iraq is reducing oil production…

Samson – Dinar Guru  Article: “90% of the cash block outside the banking system“

Militia Man – Dinar Guru  The CBI can and likely will proceed with a managed REER adjustment independent of the banking sector’s final consolidation.  As long as the core system is stable and compliant, which it increasingly is, mergers and compliance are ongoing, not prerequisites that must be 100% complete...Iraq is ready now or very close for the next phase.  The CBI  can move on a REER when prudent while the sector continues to consolidate in parallel.

Sandy Ingram – Dinar Guru  Many see light at the end of the tunnel for an IQD adjustment after this conflict is over.   We do not know when the IQD will adjust…If Iran is attacking northern Iraq, it is difficult to export oil through the north.  And if the Straits of Hormuz is closed, there is no way for Iraq to get its oil to market.  We can only hope this conflict ends before  Iraq experiences financial difficulty.

Jeff – Dinar Guru   The Trump administration is saying…the overall progress in the war against Iran is far ahead of schedule, far ahead of what’s expected…The more conservative leaning news was saying the war could take ‘up to’ four weeks.  I’m thinking right now maybe two and a half to around March 17th…

Clare – Dinar Guru  Article: “First political response to the Chief Justice’s proposals: Al-Khanjar supports the winning list’ criterion”  Quote: “The leader of the Sovereignty coalition, Khamis al-Khanjar, affirmed…adopting the ‘electorally winning list’ criterion in determining the largest bloc is a necessary step to protect the will of the Iraqi voter, puts an end to post–election deals, and enhances constitutional security and political stability in Iraq…He added that adopting the electorally winning list standard puts an end to ambiguity, protects the popular will from political manipulation, and establishes long-awaited  constitutional security and political stability…“

Militia Man – Dinar Guru  The stage is set for real effective exchange rate (REER).  They have the digital tools.  They have the non-oil growth.  These things are already in place.  It’s complete.  I think that’s what they’re doing.  We’re waiting for a prudent time frame. The way I see it, the next phase is closer than we’ve ever seen before…It looks really good.

Sandy Ingram – Dinar Guru  The IQD exchange rate is holding its own at 1392.52 IQD to 1 USD.  This is our main concern… However…Iran is playing an entirely different war than expected. Iraqi force fire teargas at pro-Iran protesters…Iran backed militias also attacked US bases in Iraq…However Trump may have used them to do his will…US forces have targeted Iran-backed militias with airstrikes in Iraq.

Mountain Goat – Dinar Guru   Article:  “CASH HOARDED IN HOME SAFES AND LOST TRUST IN BANK VAULTS”   …once again the CBI exposes the vulnerability of the economy lacking this liquidity in the banking sector. So …the CBI told us there will always be cash to some extent in circulation. But what will happen when the digital dinar is rolled out? How can they roll it out unless they retrieve this hoarded cash back to the banks? Will a ‘significant’ revaluation of the dinar then incentive the citizens to bring in these stashes?  [Post 1 of 2….stay tuned]

Mountain Goat – Dinar Guru  Remember we have been reading articles like this about this hoarded cash for years now and still not much has been done. This to me makes me believe that the only solution they have currently on the proverbial drawing-board is the Project to Delete the Zeros with a substantial revaluation of the dinar…remember…that the Project to Delete the Zeros must soon thereafter be followed by the reinstatement, pending inflation does not get out of hand. [Post 2 of 2]

Sandy Ingram – Dinar Guru   Oil price have risen to $80 per barrel.  This is good news within itself for Iraq.  However Iraq has another problem… Article: “Oil soars amid Strait of Hormuz shipping fears as Iran war drives prices higher“

Jeff – Dinar Guru   If they’re not getting closer to forming their government…(government formation is the lynch pin to your rate change) the war is most likely delaying it.  It’s important for you to understand that, this is your investment.

Militia Man – Dinar Guru  It looks really good still.  Obviously the peripheral looks rough, but I think everything’s going great…The expectation, a real effective exchange rate, digital dinar.  To me this is on track and promising for global integration…

Samson – Dinar Guru   Article:  “REUTERS: BRENT CRUDE SURPASSES $82 A BARREL“

Clare – Dinar Guru   Article:  “Trump: The Iranians have lost their military forces and leaders, and it is too late to negotiate”   Quote: “President  Donald Trump asserted on Tuesday that Iran has lost a significant portion of its forces and military leaders, indicating his refusal to negotiate now.  Trump said…Iran tried to open channels of communication with the United States, but he refused to do so…the time is no longer right to talk, the time is too late.”

Sandy Ingram – Dinar Guru   Article:  “Iraqi militia targets US base in Baghdad”  These kinds of actions from Iran backed militants in Iraq could have the US turning around and striking these militants right where they stand in Iraq.  Not a good situation.  Not a good situation at all…This is a developing story and we will continue to monitor updates as they emerge

Jeff – Dinar Guru   I talked about we’re looking to see this go of two directions.  Possibly to where a newly created Iranian regime government is going to want to work with Trump and have dialogue or it’s just going to go ugly sideways and Trump and the rest of the Middle East is going to keep blowing them up…That’s the direction it’s going right now…The news…said the Iran war could last up to 4 weeks.  I don’t think that … I’m thinking two and a half to three weeks…Trumps says the Iran  operation could take 4 weeks or less…

Clare – Dinar Guru   Article:  “Washington Sets Deadline for Iraqi Government Formation”  Quote:  “Washington has set a deadline of next Friday for Iraqi political parties to establish an independent government free from Tehran’s influence…“

Samson – Dinar Guru  Article:  “TRUMP’S PRESSURE GOES PUBLIC … MALIKI’S FATE TO BE DECIDED FRIDAY NIGHT“

Militia Man – Dinar Guru   For those who have followed currency reforms you might remember this.  Iraq’s current phase mirrors Turkmenistan’s transition back in 2009.  Turkmenistan first reduced cash circulation…enforced official rates and built reserves.  All those are things Iraq has done, reduced cash – Zane Cash, key card, electronic payments through the state – reduction.  They enforced the official 1300 rates for three years…Three years of stacking reserves – gold, non-oil revenues, low inflation and note reduction…If all of this holds true, the data strongly suggests it does, the logical next step is a managed REER adjustment when the CBI deems prudent.