Dinar Observer Daily

Dinar Investor – Jeff   IMO…when you’re setting the stage for a big event you can’t have that big event until the stage is set…that’s really all what you are waiting on is for them to set the…stage & then it’s game over.  So, going back to 2014 the CBI made it very clear that until Iraq achieved political stability they would not change the rate or delete the zeroes…  Now let’s fast forward to 2019…at the beginning of  ’19 they did not start working on the formation of the government, they went straight into setting the stage.  At the beginning of  ’19 they told us that in the budget they would have monies for HCL, Article 140, all of that…  What they are telling us…is that the 2019 budget has post RI monies and that they anticipate or plan on changing the rate within the year 2019.   [post 1 of 3]

Kaperoni – Dinar Guru  People need to get over the idea of a “revaluation” of the Iraqi dinar.  It’s not happening.  Not how monetary policy works.  Just look at other emerging markets.  Iraq plans to include the significant increase in spending ($70 billion) in its 2020 budget.  But will investors come and participate?  Iraq has about 4 months to pass the laws needed to encourage investment along with passing the 2020 budget.  We will see if they can get this done. So what happens if they pass the laws and budget and nobody invests in rebuilding Iraq?  Interesting question.  Time will tell if the free market economy is a flop or not.  In either case (investment or not) there will be no overnight “RV or RI” of the dinar.  What we can expect is similar to Egypt..which is a gradual increase (8-15% a year) via a float. But only if investment comes and creates pressure on the banking system.

Chattels – Dinar Guru   [Do you believe it will happen one day?]  I am here because that is my belief.

Dinar Investor – Jeff    …Notice the corruption news didn’t really start until about mid July…suggesting to me that they started making their moves on the corruption most likely towards the beginning of July.  Yes we do need to see the corruption come to an end because that’s a huge factor and layer of the political stability that the CBI is seeking before they’ll even agree to delete the zeroes or change the rate.   …I think most of it is probably already dealt with and all you are just hearing now is the aftermath of it within the news.  …the progress is probably further along than we are privy to know.   [post 2 of 2]

Dinar Investor – Jeff   Let’s talk about corruption, IMO…there’s no way that any type of legal authorities are going to give criminals the upper hand…they’re not going to come out and say we are going to file sanctions against you or we’re going to freeze your assets or arrest you…they’re not going to do that.  Well, that’s what you are seeing in the news right now.  Articles are coming out saying we’re going to put sanctions on this one…there’s no way they would release that information prior to making a move or enacting on the person...if they did they would give the upper hand.  [post 1 of 2]

Future – Dinar Guru   ...Iraq has said the notes [3 zero notes & lower denominations] would CO exist…iraq has no hyper inflation…they have kept inflation at bay for years…so…Iraq and Iran arent the same…there are different types of scenarios with redenominations that pertain to certain countries issues…will Iraq gain more purchasing power? of course when they revalue substantially.

Mountain Goat – Dinar Guru   [I read that an interm CBI head has been appointed but not fully confirmed…]  new CBI director is confirmed and ratified last Thursday by parliament. Effective Sept 1st when Alaq leaves. They are transitioning now until then.

Kaperoni – Dinar Guru   …Iraq is planning…a market economy, stock market and private sector…investment will fuel the growth of Iraq and allow Iraq to prosper.  What can happen is Iraq will transition to a market economy, create a private sector and achieve billions in foreign investment.  If it happens, that will drive the currency (dinar) value up gradually.

Dinar Investor – Jeff    I told you that they have some key laws…3 laws…Article 140, HCL and the Federal Court Act… that can only happen after the rate change…Article 140…has been on the books and ready to go since 2005… why would they have been just talking about them instead of enacting them.  It’s very clear we are waiting on a rate change. But now they are telling you they are going to try and tackle them starting in the next legislative term which is September…September is coming together right before your eyes…IMO… [post 2 of 2]

Dinar Investor – Jeff   Article quote:  “…noting that the House of Representatives is determined to enact the outstanding laws 15 years ago, the most important oil and gas and the Federal Court…”  The article tells you that these laws are 15 years old…waiting and pending to be enacted…   And now they are telling you in the news that Parliament is going to try and get these laws enacted in the next term which starts in September.  Since July I have put a large emphasis on September for many reasons and now you are starting to see September come together before your eyes…  [post 1 of 2]

Mountain Goat – Dinar Guru    First what did the Parliament tell us way back in March 2019 about the dinar?  I quote from the article – “THE COMMITTEE WILL MOVE DURING THE CURRENT LEGISLATIVE TERM TOWARDS CHANGING THE FISCAL AND MONETARY POLICY IN THE COUNTRY in general,”  So from this news from parliament in March they planned to get the dinar reform done within the first legislative term. This term is just now ending.  It was supposed to end way back at the end of June but was delayed and they extending the session until now.   So technically the session can continue right up until September 3rd, even though members may now be physically in the house and on recess.  We see the next term starting on September 3rd. Is this maybe a window of opportunity for us to see some progress in the dinar reinstatement or will they postpone it to the 2nd legislative term?

Dinar Investor – Jeff    This is not my opinion.  This is fact…what they’re gonna do is yes they’ll delete the zeros to replace larger notes with smaller notes and coins.  What they’re gonna do is increase the exchange rate just as they told you on March 20th of this year...what that does is add value to the currency to give purchase power…that’s how simple it is…they’ve also told us the two currencies will coexist together at the same time.  Meaning a 25k note will maintain its value and a 25 note will maintain its value.  They coexist together at an increased rate… [post 2 of 2]

Dinar Investor – Jeff     Delete the zeros can mean one of two things…It’s based on a country’s economy and where their economy and where their inflation is at…some countries…had a poor economy with high inflation.  So what they would do is replace larger notes with smaller notes and they don’t change the rate. What they’ve essentially done is devalue the currency that eases inflation.  That’s one scenario.  Second Scenario which is what the Iraq Central Bank has told us they’re gonna do… [post 1 of 2….stay tuned]

Mountain Goat – Dinar Guru    Many of these stashes of currencies have been hidden for a very long time and are damaged and so the banks must have some standard to reject them. They will be turning them into the CBI and so they must follow the CBI. Folks this is a small indication but an important one that Iraq is getting ready to end the currency auctions andwhen they do we know they must use the Iraqi dinar for trade. When they do this they must raise the value and complete the project to delete the zeros. This is when we go to the bank and not before... [post 2 of 2]

Mountain Goat – Dinar Guru  “CBI SETS THE CRITERIA FOR THE REJECTION OF BANKNOTES OF THE DOLLAR AND THE EURO”  …so this article may not seem so important. But why are they now establishing such criteria and outlining this to the banks now? Remember this is for collection of the Us dollar and the Euro not the dinar. So if the dinar is reinstated and it is higher than the USD and the Euro won’t citizens want to bring these foreign currencies to the bank and exchange them (to get rid of them)?  [post 1 of 2]

Kaperoni – Dinar Guru   …people…won’t take the time to read what MCP is.  It MCP has nothing to do with multiple currencies. It has to do with selling rates for spot exchange transactions between the member’s currency and any other member’s currency such as dinar/dollar. And it must not deviate by more than 2 percent between buying and selling rates…understand the terms of the IMF.

Kaperoni – Dinar Guru   …about Article VIII.  If and when Iraq is ready, the IMF will hold a meeting and a press release will come.  They are not in Article VIII right now…

Adam Montana – Dinar Guru   … now is probably a good time to throw out a couple friendly Public Service Announcements… my friends, be SAFE and SMART when this happens!  1. Don’t hand your currencies to anyone outside of a financial institution or maybe a currency exchange! (Regarding currency exchanges, there’s almost 0 chance you’ll get the “best” rate there.)  2. NOBODY IS CASHING IN EARLY! 3. You WILL pay taxes… or face the consequences. [check with your tax professional at the proper time]  4. The initial rate *may* be the best we will get… or it may be wise to hold out for a subsequent raise. …be sure to keep a cool head when this goes down.

Dinar Investor – Jeff     We have seen more articles…since the beginning of July putting emphasis on both Article 140 and the HCL.  This is huge.  Both of these items have to do with post rate change…both of these steps cannot take place physically until after the rate has changed meaning they can only happen at the very end…they are literally waiting on the rate change.  …We are looking amazing…we have to let this play out…IMO.  The end of September is my personal window for this and you can see the facts are walking you into that period.    [post 3 of 3]

Dinar Investor – Jeff    We learned that Iraq is under Art. VIII guidelines.  They are not Article VIII.   Iraq cannot become Art. VIII until they change the value or rate of their currency and make their currency internationally recognized…that’s what they are waiting on to become Article VIII.  They are only under Article VIII guidelines and policies.  …They have told us at the beginning of this year that the HCL and Article 140 contained monies inside the 2019 budget…that’s fact…and recently released another article telling you…  [post 2 of 3]

Dinar Investor – Jeff   What’s taking so long…why are we waiting?  Since the beginning of the year I said we are waiting on the formation of the government…that’s because the Central Bank directly has told us that they delayed this entire thing because Iraq must have political stability…Now you see at the beginning of July they shifted gears and started going after corruption…so we are waiting for the corruption to be cleaned up and there’s a lot of current government proxy positions that end at the end of September…we are waiting for those to be removed as well.   [post 1 of 3]

Kaperoni – Dinar Guru   MCP or multiple currency practice is deceiving in its words.  It has to do with the price of goods.  And in this case with Iraq, its about maintaining an exchange rate between the Official Rate and Market Rate that does not deviate by more than 2%…It has nothing to do with using one currency.  Both the dollar and dinar will be in Iraq forever due to sale of oil.

Breitling – Dinar Guru    Question “There appears there will be a new governor of the CBI.  Is that good, bad or indifferent?”  It is indifferent.  Remember it is parliament.  Parliament has the Ministry of Planning and then they have the Minister of Finance and then…the CBI manages it…The governor of Iraq [CBI?} doesn’t have their own agenda…they’re managers…They’re independent but they’re managers and they’re given orders and that’s it.  It’s indifferent.  The agenda came from parliament.  Went to the Ministry of Planning and went to the Ministry of Finance and then goes up to the CBI.  So that hasn’t changed.  People don’t realize with the different factions they have in Iraq they all agreed they want to change the value of their currency…none of that has ever changed.

Chattels – Dinar Guru  Article “The central bank sells more than $ 229 million at a currency auction Thursday 01 August”…Contrary to Breitling, the auction(s) in Iraq have actually been a bit ” higher ” in volume…

Dinar Investor – Jeff    …The #1 thing we are waiting on is for them to have a completed government…that’s political stability…So that’s part of the 10-1, Q4 [Oct. 1 st, Fourth Quarter]…the amended 2019 budget starting 10-1, Q4, they have a new CBI governor to start on 10-1, Q4, they also have a new software stock trading platform that gets implemented on 10-1…    So here’s the part that’s my opinion:  I just rattled off a bunch of stuff pointing to 10-1 and we know we’re waiting for the formation of the completed government..they most likely will finish the formation of the government during the second half of September.  IMO, I strongly feel that they are going to change the rate and the end of September, probably the weekend of September 21, 22 because I fee they have to walk into 10-1, Q4 with a brand new rate in hand… [Post 3 of 3]

Dinar Investor – Jeff   …since the beginning of July you have seen tons of articles about Article 140 & the HCL…  All of that is post rate change & cannot be implemented or added to the constitution until the very end until they are ready to change the rate.   That’s why you are seeing it now.   So roughly 2 weeks ago the Kurds came to Baghdad & they heavily discussed the Oil & Gas Law and Article 140…What I am trying to stress is that for the Kurds to come and discuss the HCL and Article 140 that can only take place at the end because they can’t amend it, add it to the constitution or implement it until after the rate has changed…they have to save those items until the very end & it started at the beginning of July.  So now you are seeing them set the stage for the citizens...  [post 2 of 3]

Dinar Investor – Jeff     The intel I’m going to share is probably just about 100% accurate…It’s going to paint a pretty good picture of where we stand…  Everything that gives the citizens an improved better life is inside the 2019 budget suggesting that the rate was going to change this year in 2019 budget because they allocated money for it inside the 2019 budget. Iraq has been setting the stage for the rate change this entire year.  Setting the stage has to happen in 2 layers.  They have to have to set the stage for the country for the rate change & then they have to set the stage for the citizens for the rate change…   What we saw they they were setting the stage for the country during the 1st 6 months…   [post 1 of 3]

G-Lin – Dinar Guru   What I do know is the IMF pounced pretty hard on Iraq in this latest consultation. The corruption must be dealt with and the unrest with the Iran situation is worrisome to say the least. IMF has a hard time auditing the banks when they do not receive data. Auctions are huge again the last few days. Corruption galore. Most of that is from Iran. It will continue as long as they are financially crippled. They will manage to get their $’s.  …I think the majority have returned. Ali Abdul Amir Allawi was mentioned as new CBI director but nothing official yet.   [post 2 of 2]

G-Lin – Dinar Guru   Well it is clear that a general census will need to be conducted and a permanent constitution must be ratified.  I have always felt that the census needed to be in place in order for Art. 140 and the HCL to be activated…We have all been told by our dinarland colleagues over the last 10 or 15 years of this investment that there will be no increase in value of the dinar until Art. 140 and HCL are in place. I’m really not so sure of that opinion. It seems that they would need a strong and stable economic system to be able to apply needed monetary structures involved with Art. 140 and HCL. I don’t know.   [post 1 of 2]

Breitling – Dinar Guru    Question – “I understand Iraq slowed the currency auctions down does that effect their currency in any way and put pressure on the revalue?”  Absolutely it does.  And I don’t think it’s a coincidence that they’ve slowed the auctions down.  They’ve shrunk their money supply…people are having problems buying currency in the United States.  You can’t get it.  I know there’s the hype and all of that too but people don’t realize that Iraq is short in their currency.  They probably have a little bit more to go.  I really don’t know because it’s changed so much…