Dinar Observer Daily

Breitling – Dinar Guru  If you look at the Saddam Hussein era the currency was worth $3.25 cents…How many people were buying Iraq’s energy?  It was a lot but it’s not as much as it is today…$3.25 with less customers!  You understand what Iraq can do…Iraq needs to sell energy through the U.S. dollar and at the same time add value to their currency.  Those are different markets.  They have to add value to their currency as a policy so they can create the markets…If you look at it through that direction it’s crystal clear.  [Post 1 of 2]

Breitling – Dinar Guru  This last year they kept talking about adding value to their currency and complying with what Trump’s trying to do…the next thing you know they devalue it.  What are they doing?  They’re trying to negotiate because they’re on the edge of doing this.  They want to devalue their currency so they can pay off debt – get the payments down…then they’re going to start adding value to their currency.  Iraq needs to get out from under the U.S. dollar… adding value to their currency there’s more than one path…it’s very simple.  It’s a policy based investment.  [Post 2 of 2]

Kaperoni – Dinar Guru   Changing the exchange rate has reduced demand on dollars.  This is the result of a 22% reduction of the dinar exchange rate which made the dollars cost 20% more in Iraq…

Mountain Goat – Dinar Guru   So, the questions on everyone’s minds are: 1) will we get the reinstatement in early 2021?  2) has the CBI truly been planning for this event...?  Well…to answer these questions…the CBI is, in fact, planning to reinstate the Iraqi dinar. The plan has not changed and this is a necessity...this is at the heart of the financial issues they are now facing in not doing it earlier. So, what do we know as FACT?  We know they had planned to complete the project to delete the zeros by mid-year 2020 and they told us this was their goal a year ago in news articles and from my CBI contact, but this did not happen. So, it may not seem like it, but the CBI is on a timeline. This timeline keeps getting bumped or pushed out due to circumstances…  [post 1 of 2]

Mountain Goat – Dinar Guru   What are my feelings if this reinstate will happen in early January 2021?   If you look on the surface and didn’t know any better you would say Iraq is in chaos and the economy is about to crash. You might say there is no way they will raise the value of the dinar over the dollar. …First, you must understand that the sole de facto peg of the Iraqi dinar to the US dollar is part of the problem too. The IMF and the World Bank wants desperately to re-peg the dinar to a basket of currencies and out it on a FLOAT to control it better and level off it’s rate. This way the global community determines the rate and not the average citizen in Iraq who is open to rumors and speculation. They want to open the dinar up to the world and let the investors determine the rate.   [post 2 of 2]

Breitling – Dinar Guru  There is a misunderstanding with Iraq.  What is it is they’re doing and how specifically are they doing it?  …The parliament, the Minister of Finance, the Ministry of Planning and the CBI they’re all talking about adding value to the currency.  But you look at the people and they’re all in poverty and it’s sad.  Here’s what you guys don’t understand.  The rate it not based on the market.  It’s based on the policy.  Iraq is trying to get a market rate currency…If you can’t understand that the Iraqi dinar is based on policy and not the market you don’t need to be in this investment.  You’re gonna go for a rollercoaster ride.  There are going to be a bunch of questions that you’ll never be able to answer because you are looking at it incorrectly…

Dinar Investor – Jeff  …what they’re doing is injecting more U.S. dollars into Iraq’s economy that when the rate changes they have dollars instead of dinar…when the rate does change they have take their dollars into the bank for dinar.  It’s just another step to pull the dinar out of circulation – to remove the 3-zero notes out of circulation inside the country of Iraq…

Mountain Goat – Dinar Guru   …The recent devaluation is hoped to accomplish the following: 1) limit the currency auction theft; 2) collect the other 30% of the three zero notes, 3) cause the citizens to buy US dollars by speculating that there will be further devaluation of the dinar soon. This is why they are spreading the 1660 rumor now…Will they devalue the currency yet again to 1660, as the rumors now say and the BIS is suggesting? What would be the impact? I am told this will only happen as necessity prevails. In other words, they want to leave it just as a rumor but if the 1450 devaluation does not work they will go further. THEY MUST COLLECT THE 3 ZERO NOTES prior to the reinstatement!   [post 1 of 2]

Mountain Goat – Dinar Guru   I want everyone also to remember they have not forgotten about the 3 zero notes that we hold. They must also collect these notes too. This is part of the project to delete the zeros. We have the larger 3 zero notes and so they must collect them and delete them. We have been faithful investors in the Iraqi economy and have helped Iraq through their financial difficulties of the past. The US customs could have easily blocked the dinar from entering the country and limiting us from our purchases. So why did our government allow us to invest in so much dinar? …There is a reason and there is a plan to use the dinar…  We too need to be paid off.  We would have already been paid off if it had not been for all the corruption causing the delays in this process. I also want to bring to your attention that the Iraqi 2021 budget passing as this is very important to the process as is the US elections.  We sit, wait, PRAY and watch what happens next.   [post 2 of 2]

Breitling – Dinar Guru   They want to add value to their currency…They want to be able to participate in the markets.  They want to diversify.  They want to get out of the oil markets.  They’re stuck.  What are they going to do?  They’re going to comply with the United States, the west and our trading…they’re still moving forward…They are going to pay off debt.  They’re going to get their payments lower.  Then they’re going to add value to their currency.  It’s a win, win, win situation for them.  That’s their strategy.  That’s what they’re up to…this thing is coming down the road.  They’re going to revalue their currency…

MilitiaMan – Dinar Guru  I am sure everyone by now can see the postponements are intentional. They clearly have a goal, a purpose and it is on purpose imo. They are holding their cards (exchange rate) close to the chest as long as they possibly can. It is clear…They are going to update the exchange rate before the end of the year. One can say, well they did already from 1190 – 1460 and one can say they are to do it again based off todays articles from 1460 – 1660. …Hindsight shows they did tell us though one way or another that they are or were  going to devalue the currency and also revalue it. 

Dinar Investor – Jeff    CBI’s website…1460 dinar equals 1 U.S. dollar…This was planned by design.  Here’s the two reasons. 1.  …to squeeze more of the 3 zero notes out of the citizens…  2.  …a lot of the dinar actually does go to corruption – into Iran.  By them devaluing the dinar it reduces its spread and it puts a huge financial impact on Iran…they had this planned…everything is looking amazing…

Dinar Investor – Jeff   Article:   “The Iraqi Council of Ministers approves the 2021 Budget”  They told you it’ll take approximately 45 days for parliament to approve it and they told you it won’t be approved until February.  Everything’s right on track.  Their fiscal year starts April 1st that’s why the budget won’t be done until February sometime.  Everything is right on track – moving in the right direction…

Pimpy – Dinar Guru   Article:  “The exchange rate of the dollar in Iraq go down to 140 thousand per 100 dollars”  We’re seeing an appreciation of the dinar.  What I mean by that is they set the rate at 1 dollar for 1450 dinars.  Already it went from 100 dollars for 145,000 to 140,000.  That’s a 5,000 difference already.  That‘s not major but…it looks like it’s starting improve…let’s see if this stays consistent.  Let’s see if the number of dinars continues to go down.  That’s what we want to see…

Mountain Goat – Dinar Guru    I see that there is so much concern about the latest news about how the CBI is now setting the old dinar rate of 1190 (about 84 cents) to 1450 (about 69 cents). What is the CBI doing?  I know we all expected the program rate to get closer 1.00 from the 84 cents prior to the project to delete the zeros. So, what happened and why is the CBI doing this and doing it now? …by doing this the CBI is cutting out the spread that is made in the currency auctions and money exchangers. …by having done this it is hurting the banks and their profit margins and the money laundering going to Iran. Next, it is forcing the banks to invest in other profitable ventures and not get so dependent on the currency auction revenues, which are going to end soon.  [post 1 of 2]

Mountain Goat – Dinar Guru   Next, what was more amazing is at the same time the CBI also announced they are doubling the amount of US dollars for circulation. …The CBI is using the principle of supply and demand. …If this works, and it should, the value of dinar will rise against the dollar as the US dollar drops. Remember the dinar is on a de facto peg to the US dollar…In short, the CBI is manipulating the US dollar to get the dinar to rise…The citizens will then want to take the US dollars and exchange them back to dinars since the dinar will be worth more. The CBI is using the speculators of the US dollar to their advantage…This switch back to dinar is going to happen suddenly and without notice much like the devaluation just happened. …This is when they will issue the lower denominations and the fun begins. It’s all in the timing. Then the fun begins…I feel we will see the rate get better than the 1190 (84 cents) and closer to 1.00. This will happen all of a sudden almost with amazement and shock.  [post 2 of 2]

MilitiaMan – Dinar Guru   Article quote:  “…the bank is preparing to launch a package of measures that will achieve a shifting balance in the exchange rate for the year 2021…”   They are preparing a package of measures that will balance the 2021 Exchange rate. Well, it will not be a future devalued rate of 1460 be sure, imo!! That is to be challenged, rejected or amended. imo…

Kaperoni – Dinar Guru   …The CBI is trying to maintain stability that is a given but it pertains to the market rate and there are several reasons why stability is important… As for the official CBI rate that rate could go up if the conditions are appropriate. Over the last several years they haven’t passed the laws or created any suitable investment environment etc. so it hasn’t.    But believe me once all of that stuff is in place and millions or billions of dollars are pouring in for investment in a private sector/market economy the official rate will change via a float…

MilitiaMan – Dinar Guru  Article:  “Lowering the price of the currency .. What are its implications for the national economy?”  The adjustment to 1460 is a devaluation. They are not going into a market economy with that. They didn’t at 1190, so with the further negative adjustment they won’t either imo…the US FED RESERVE says they can…devalue and revalue. A revaluation to a supported market based exchange rate can change things quickly and on many fronts…

Tman23 – Dinar Guru  Seen the IQD devaluation on ABC news, and to take place after first of the year. Quite frankly, not a surprise or shock due to the fact Shabibi said the change to currency and lifting the 3 zeroes MUST COME AT THE START OF THE NEW YEAR and not in a quarter or middle of the year. The New Year is because banks start their books for the fiscal year and this is the only time this change can occur. A few years ago the budget calculated that a rate might be around 67 cents, today, today’s conditions might take them to 58 cents or thereabouts…Anyhow it’s all speculation but what isn’t is a change after the New Year…A positive part is now to remain anonymous, you can walk into your Bank wearing a mask and not be questioned or look suspicious!!

Dinar Investor – Jeff   Iraq just basically came out saying that the value of the dinar against the dollar has devalued…devaluing the currency, which is reducing purchasing power – it’s a last-ditch effort to squeeze the three zero notes out of the citizens.  That’s all this is…a last-ditch effort to reduce the amount of dinar in the county of Iraq…it’s nothing more than a distraction to mislead us, confuse us and to get us to get rid of our dinar..

Kaperoni – Dinar Guru  As we watch events unfold the past week in Iraq, it appears that Iraq has decided to finally float the dinar.  Today’s initial devaluation appears to be the first step in this process.  Many asked me if they floated what would the rate be?  I said…right where it is right now!  This devaluation hopefully will be the beginning of good things to come.  With the initial devaluation to 1460, it should clear the way for Iraq to launch the private sector.  And in doing so, begin to create a market economy.  The result hopefully will raise the value.  Only time will tell. The next several months should tell a story as to whether or not Iraq’s economy is going to rebound and take off. Today was the first step…

Pimpy – Dinar Guru  Article “Parliament will extend its legislative territory with the arrival of the budget next week”    Quote: “a draft of the physical budget version of 2021 which included a fixing the exchange rate of the dollar against the dinar to 1450.”  …you could buy 1190 dinar for 1 dollar.  What that means is now you could buy 1450 dinar for $1.  That’s not good.  It’s going in the wrong direction.  We need this number to shrink… 

RVAlready – Dinar Guru  [Are we till looking forward to Christmas for this to RV]  Looks like still before Christmas. The sooner, the better, I think.

David M. Witty – Dinar Guru   Iraqi Finance Ministry: the economic crisis is caused by a lack of oil imports & years of mismanagement of our economic system. We will raise the exchange rate but only once & ensure it remains fixed. We have to continue reform.

Pimpy – Dinar Guru   Article:   “Representative economy meets with the governor of the Central Bank”  It looks like they are officially going to change the rate in the wrong direction for us.  They are going to devalue it.  I don’t want you to get discouraged over bad news.  We don’t care about what they say.  We care about what they do.  So let’s see what happens.  Even if they do come out with this…I would not be fooled at all…we don’t know what the rate change is going to be.  This has happened before.  They say one thing and then suddenly something else happens…But even if they come out and they did raise the rate I would not be discouraged.  Just hang tight.  Once they start to rebound then you’re going to see the rate change go in our direction – The better direction in increments at a time. 

Mountain Goat – Dinar Guru   The exchange rates of the dollar against the Iraqi dinar in the markets of Baghdad and Kurdistan rose again after witnessing fluctuations during the past days. …The Deputy Speaker of the Iraqi Parliament, Bashir Al-Haddad, denied, on Wednesday, what was circulated regarding the entry of the Iraqi government into negotiations with the International Monetary Fund to reduce the price of the Iraqi dinar against the US dollar or the secret printing of trillions of dinars by the CBI…The CBI and the Finance Committee asserted that these rumors are just untrue…I am still hearing that the CBI plans to delete the zeros but these rumors and lies is slowing down the process…  [post 1 of 2]

Mountain Goat – Dinar Guru   …This speculation is essentially creating its own kind of FREE float using the program rate and not even on FOREX. This is dangerous and just the issues that economists and financial analysts warned us of. This is why the CBI cannot and will not put the dinar on a free float while on the program rate. …The bottom line is this – the CBI needs to pull the trigger and complete the project to delete the zeros, then move to reinstate the dinar back on the global markets…The plan is being carried out and they fully intend to move ahead with the dinar and its currency reform…It must be done and they know it…the CBI is trying to do it and they plan to do it. This is the good news…  [post 2 of 2]

Pimpy – Dinar Guru  “The Financial Committee announces the details of its meeting with the governor of the Central Bank regarding the price of the dollar”  Don’t be fooled by this…What I think they are trying to do is discourage people from buying them or to get people to turn them in.  I could be wrong.  I’m just saying this did happen with Kuwait.  They told everybody no rate change was going to happen for a while and in fact they were going to go ahead and increase it but they didn’t.  Two days later they came out Boomshakalaka! 

Pimpy – Dinar Guru    Article:   “The Central Bank is preparing for measures to achieve a balance between the dinar and the dollar”   We’ve been hearing a lot of talk about the rate change…I kind of think what they are going to go ahead and do is raise the exchange rate.  But I don’t think it’s going to be for long at all.  We don’t care about what they say, we care about what they do.  They might say they’re going to raise it and then all of a sudden BOOM they lower [Lower it is what we want to see] it’s then we’re celebrating big time.