Dinar Observer Daily

Breitling – Dinar Guru   …It doesn’t match with the production.  So you have the production going up but the value of their currency going down?  The value of oil is based on the U.S. dollar…so obviously it’s manipulated.  If 90% of your country’s money that’s coming in from trade is from oil and everyone is killing it in the energy markets then that is a manipulation…if you’re attaching the value of the price per barrel to the dollar and supposedly the Iraqi dinar is pegged by the US dollar this tells you it’s manipulated… [Post 2 of 3]

Breitling – Dinar Guru  …Obviously there’s a lot of drama going on in the Gulf of Oman.  People are concerned…How is this going to effect our investment…?  The timing of the Iraqi dinar?  The economy in general?  …if the Price Per Barrel goes up then Iraq is not going to be as motivated to add value to their currency.  But the price keeps going down because of the United States.  They [Iraq] are going to be forced to [add value to the currency]…Let’s say the value of oil goes up…Iraq knows it’s not going to be able to do that forever.  So no matter what they are going to change the value of their currency.  They have to…If you look at the value of their currency it doesn’t match with the oil markets.  [Post 1 of 3]

Mountain Goat – Dinar Guru   The other BIG news from Iraq is all about finally Mahdi being forced to submit some candidates for his unfilled cabinet positions. We know two of these positions are critical to the reconstruction efforts and may even be a sever damper on being able to obtain funding from investors for the reconstruction efforts. So some of the candidate names have already been forwarded to parliament and let’s see what they do with them. Mahdi still has until the end of June to fill these positions or be subject to a “No Confidence” vote. These next couple weeks are going to be interesting.

Adam Montana – Dinar Guru   Well, we did it! We weathered another Ramadan, and Eid al fitr. I am going to state the obvious: Despite no RV announcement during the Big Holiday, this was a more eventful one than normal. All positive, too!  …Historically, many of the bigger milestones have happened around this time of year. Chapter 7 was lifted in late June, for example. A few others have also occurred right around now as well…I have reason to believe we are entering a unique week for the Iraqi dinar...

Mountain Goat – Dinar Guru   …The CBI already told us they will NEVER put the (program rate) (currency auctions) on a float while it is on the de-facto peg with the US dollar. So, the only other conclusion we can make is they intend to reinstate the dinar and put it back on a float as all currencies are when they are on FOREX...  …the…articles tell…us they intended to raise the value of the dinar and get it to compete with the international currencies by the end of the current legislative term?...  I can hardly keep from jumping up and down…lol…June is almost half over already. So we have about 2 more weeks of expectations and excitement.   [post 2 of 2]

Mountain Goat – Dinar Guru   I have some fantastic news for you about the reinstatement.  …I told everyone I was working on getting a legitimate new timeframe for the RV. ...So, now we have a new timeframe and it is very close at hand.   What do we know…:   We know that Mahdi has until the end of June to “complete” his cabinet. …it appears the end of June is the end of the current legislative term. Why is this important?  If all of this information is correct, we should be expecting something of a reinstatement and the completion of the “project to delete the zeros” by the end of June.   [post 1 of 2]

Sandyf – Dinar Guru    holiday inn is actually accepting other currencies for motel room payment.  This idea is incorrect and obviously causing some confusion. Online payments are invariably done by a payment processor and they determine currency requirement, not the company concerned…It should also be borne in mind that in order to make the payment you would need a card funded in the currency selected. If Iraqi banks issue cards in IQD it would be up to the processor if such cards were accepted, nothing to do with Article 8, although wider use of the currency is a move in the right direction.

Delta – Dinar Guru   Article:  “Deputy Prime Minister for Economic Affairs and Minister of Finance chairs the first meeting of the preparation of the State Budget Strategy 2020-2022”  Quote:  “On the other hand, the exchange rate policy and the monetary policy strategy of the Central Bank were discussed” MORE CONFIRMATION THAT THE COMING 2020 BUDGET WILL BE IN NEW RATE…

MilitiaMan – Dinar Guru   Article quote:  “This bank will settle the cards abroad by selling them dollars at a price. Aqh sell the currency, the dollar against the sale of citizens at the price of 1.200 dinars through purchases of cards.”  If I read this correctly they look as though they are telling the citizens and others they will be effectively 1:1.20 soon…IMO, they are trying to tell us they will be at 1.200 to the USD not 1,200. Then by applying the new international calculation to that and we are back to the glory days…imo…   [post 2 of 2]

MilitiaMan – Dinar Guru  …they are clearly doing as they told us they would and even on time or early. The CBI told us on the 10th they would have an intensive media campaign. They sure are from the looks of it. There are now out today about 11 articles that support they are doing what they said they were going to do, in that regard to intensive media campaign.  They…say that they are partnering up with banks, money exchanges, airports, hotels, etc… To get them up in running with the new Master and Visa Cards for external expenses to get paid.  They are doing the media blitz to make sure everyone knows that all there is left to do is let their new external exchange rate get applied to those cards. imo… That is where the CBI will need to be timely ahead of the Gazette, imo. That time clock imo is about to sound some alarms…  [post 1 of 2]

Mountain Goat – Dinar Guru    …in the news we see cooperation between Iran and Iraq. This is all good as long as Iran stays out of the internal affairs and politics of Iraq. Also we know that Iraq must become independent on gasoline production and electricity. There is long term plans underway for Iraq to provide both

BobTheTaxMan  …a lot of people have come up and said, ‘well I’ve been told the dinar will be treated as capital gains.’  In [IRS Code] 1256 you have to identify yourself as being a trader and you have to be actively trading.  Which means you have a period of time that you’ve identified that you’re going to hold it and you’re going to sell it.  We’re not doing that.  We’ve all bought dinar.  We’re hanging on to that dinar…And it’s not going to qualify for 1256 because we don’t have a contract date for when we’re going to exchange it.  Simply not going to happen.  1256 is great if you’re actually going to do the forex world…have a conversation with your tax professional… [NOTE:  BobTheTaxMan thinks it’s wise to claim the dinar exchange as ordinary income.  Speak to your tax and financial professional at the appropriate time.]

Mountain Goat – Dinar Guru   Article quote:  “A parliamentary source confirmed on Saturday that Prime Minister Adel Abdul Mahdi WILL SEND THE NAMES OF CANDIDATES FOR VACANT MINISTRIES TO THE HOUSE OF REPRESENTATIVES NEXT WEEK.” (which is this week)  The news channels in Iraq are mostly filled with news of completing the Mahdi government on time. This is going to come to a conclusion one way or the other. Mahdi was hoping that the political blocks could come to an agreement of candidates but this is now not the case.   So, Mahdi has the power to submit his own list of names and let parliament move forward with the vote to ratify them.

Chattels – Dinar Guru   Article quote:  “The House of Representatives is waiting frankly and revealed by Prime Minister Adel Abdul Mahdi on the completion of the cabinet cab and the end of the proxy.”   I do not believe that Maliki or Abadi had a completed cabinet during their governments. The administration by proxy has been a common thread.   Nothing new under the sun, but when a ministry fails and the Prime Minister heads it by proxy there is no one else to blame. Iraqi politicians are all about finding fault and a scapegoat when they should look no further than themselves collectively.

Chattels – Dinar Guru  Article quote:  “The political, economic, and social environment in the area has not changed, …”  The insecurity and instability caused by continuing armed internal conflicts in Iraq are compounded by political stagnation. I fear that we have a long way to go before there is any substantial appreciation in the value of the dinar.  I am invested, but not infatuated. Hopeful, but not optimistic. Bowed, but not beaten.

Kaperoni – Dinar Guru   [can anybody provide some insight as to what is going on with this investment? Why are they not moving forward?]  It’s Eid al-Fitr which is a holiday..so nothing is happening right now.

David M. Witty – Dinar Guru   Iraqi political sources say there are moves by some blocs to replace current PM Abdel-Mahdi with former PM Abadi. Some are irritated at Abdel-Mahdi’s slowness in implementing his planned program & inability to fill all cabinet positions.

Breitling – Dinar Guru   People are asking why has a floodgate opened in Iraq and all the articles coming that’s good news?  A lot of people are asking is it because they’re anticipating the oil prices…Something else has happened…Iraq has made a decision…Iraq has pivoted towards us [United States and the west] and it’s strictly financial and a numbers game and it’s the way it should be.

Larrykn – Dinar Guru  I always thought if the PM can’t get things moving they would replace him but yet he is still there…this is why I say we are sitting here for awhile.

Mountain Goat – Dinar Guru   Article:  “ADOPTION OF THE FINANCIAL MANAGEMENT LAW HAS BECOME A CONTROL TOOL ON THE PUBLIC BUDGET” Quote:  “the budget 2020 will be a control budget enhanced the final accounts from 2012 to 2018.”  WOW…can it get any clearer with telling us they plan to reinstate their currency by 2020 without telling us? Note the 2012 – 2018 talk of the 2020 budget being a “control budget enhanced for final accounts from 2012 to 2018. The question still is when? But we see progress as they are issuing the small category notes slowly.

Mountain Goat – Dinar Guru   The news today is all very good. Iraq seems to be moving ahead in all fronts. They are now re-building their electric grid. The US under mobile is coming in to build refineries. Trump has beefed up military support to help prevent an ISIS re-insurgence. Mahdi has said he has candidates for his cabinet and they will be voted on very soon. He does plan to complete his cabinet by the end of June after the holiday (holy day). Meanwhile the Eid al-Fitr holiday continues in Iraq.  The ‘Financial Management Law” is passed and…Like the financial committee has told us this is the law the CBI needs to go ahead with the project to delete the zeros and reform the currency (which includes reinstating it back to the currency exchanges so it can openly trade once again).  We still wait and watch.

Chattels – Dinar Guru   Not a lot of news [articles ?] today. I suppose the Eid al-Fitr celebration has something to do with it.

Mountain Goat – Dinar Guru   I hope everyone understands now that we were told in an article by parliament that the “Financial Management Law” (or the “Law of Financial Administration” as is also called) is the parliamentary law, or the vehicle, to which the CBI needs to have to work with the parliament ot orchestrate this change of the currency.  This is why I keep saying to watch now for the progress of this new law in parliament and the implementation of it. Remember the finance committee told us not too long ago…that within this current session of parliament they intend to go ahead with the currency reforms. …This is going to happen! They are working on it.   [post 2 of 2]

Mountain Goat – Dinar Guru   Article:  “DIRECTOR GENERAL OF THE CENTRAL BANK EXPLAINS FUTURE PROGRESS OF REFORMING THE IRAQI DINAR”   This is HUGE! Very good news! This is a WOW article andis once again telling us the project to delete the zeros (and…reinstatement we wait for) is in the control of legislation from parliament and not the central government of the prime minister, as is why it was stopped in 2012 under the corruption of Nori al-Maliki.   [post 1 of 2]

Delta – Dinar Guru   Article: “Stop issuing card “Key Card” and replace it with “Master Card Rafidain” Quote: “Key Card” issued in the past will be replaced by the new issue of cards, “Master Card Rafidain” within a timetable.” WE WERE WAITING FOR THIS…FINALLY MOVING FROM REGULAR K CARD…TO MASTER CARD…BOOOM…HUGE… 

Mountain Goat – Dinar Guru     We have seen the evidence of this recently with the smaller category 50 dinar being reintroduced.  I am told to watch for the 100 dinar notes as this will be a sign that the reinstatement is VERY close… I am told this is not something that is going to happen months from now but is in the implementation phase right now and we can expect something in the next few weeks. Folks this is WOW! news. We can only hold on and wait and see what happens next…   [post 2 of 2]

Mountain Goat – Dinar Guru    So we know we were waiting for the “Financial Administration law” to be passed in parliament. Is it now passed? Some say it is done but I have not see any articles on it. I called my CBI contact in Iraq and they said it is passed and they have gotten the word weeks ago by the finance committee to move ahead with launching more of the smaller category notes for the project to delete the zeros. So they have been doing so.  [post 1 of 2]

Adam Montana – Dinar Guru   Iraq is not specifically included or excluded from it, despite the founding information you can see above, and they are in prime position (GOLDEN OPPORTUNITY) to monetize their place in the deal.  I don’t know what else I can say about it…Iraq is in the best place we could hope for. Ramadan is nearing it’s end, we are looking at a live fuse attached to a financial firework, and I won’t be surprised if they light the fuse before 4th of July.  Not that Iraq cares about the 4th of July… that date just happens to mesh with the “live fuse” metaphor, and the timing is right…I’m excited to be on this side of the microphone as things go down!  [post 2 of 2]

Adam Montana – Dinar Guru   Article:  “Parliamentary Economy: Iraq has a golden opportunity to increase its oil production”  Last week, I was expecting a particular bit of news out of Iraq, based on conversations with my personal contacts.  This isn’t earth shattering news, on the surface…it’s very positive for us…  I’ve been talking about how the current OPEC agreement is a huge “ace in the hole” for Iraq. That article above is the biggest “bat signal” imaginable!  I’ll spell it out real quick – OPEC (The Organization of the Petroleum Exporting Countries is an intergovernmental organization of 14 nations, founded in 1960 in Baghdad by the first five members, and headquartered since 1965 in Vienna, Austria. Wikipedia) currently has an understanding / agreement to limit production.  [post 1 of 2]

G-Lin – Dinar Guru   Article:  “Parliament will resume its meetings on the 11th of June”   Quote:  “The presidency of the Council attributed to the resumption of meetings of the Council after the Eid, on Tuesday, June 11, 2019.”