Dinar Observer Daily

Militia Man – Dinar Guru    Iraq is still moving forward with their monetary reform and the project to delete the zeros. Alaq has stated this and Sudani refers to it. In the 2024 budget they mention numbers that mirrors what Al Sudani says. They are doing a $4.9 billion dollar pipeline to go through Jordan. If you do the math –the rate comes out real close to what Al Sudani said…which is about $1.32. This effectively deletes the zeros IMO… It is not a lop…

Clare – Dinar Guru  Article: “For the first time in history…a direct air transport line was launched between Erbil and London“

Mailman17 – Dinar Guru  Some gurus state that Iraq has to have more than oil to export to be on par with Kuwait. Every export Kuwait has is from oil..oil, gas, alcohol etc..all made from oil. Iraq has all that and then some. Oil, gas, sulphur, dates, gold and a few more. Do not compare Kuwaiti exports with Iraq..Iraq wins hands down and has more of it..food for thought.

Militia Man – Dinar Guru  Article:  “The Iraqi government is currently weighing the question of changing the currency so the official cost of the US dollar will be 1.32 Iraqi dinars instead of 1320.  Implementing such a decision is likely significantly increase Al-Sudani’s popularity.”  That was March 11, 2024.

Mountain Goat – Dinar Guru   Do they have to RV to make the budget work?  If you take what the prime minister told us about the dropping of the zeros…in an April 2023 article, we can see that taking the 1320 rate and dropping the 3 zeros makes it $1.32. If we take the 6.5 billions dinars allocated for the new pipeline construction it is actually about $4.9 billion dollars.  If we divide 6.5 / 4.9 we get 1.32…is this a coincidence? Can you see now why I am so excited...WOW! WOW1 WOW! …Many believe it is not coincidental and so I agree…Do they need the change in rate to build the pipeline? What about the other projects too like the 7 new refineries?  …if it does they will have to get their act in gear real soon, as they also told us they plan to begin this new pipeline now NOT in 2025.

Kaperoni – Dinar Guru  Question: “What happens now that the auctions are soon to be over? What does this mean for the  Dinar holders out there Kap?”  It means monetary policy is changing after 20 years to reflect the economic changes in Iraq. We’ll  have to wait and see what happens.

Sandy Ingram – Dinar Guru    We are looking for the Development Road Project to eliminate the IMF’s concerns over revenue outside of the oil industry and increase Iraq’s GDP to the point of increasing the currency’s value against the dollar as we have seen happen with the Mexican Peso against the USD…Iraq is working towards the goals of the IMF…

Militia Man – Dinar Guru   Article:  “Iraq is preparing to establish a project that will change the oil map.. Will it affect energy producers?”  Quote: “Included the project of this new pipeline with an estimated amount of 6.5 billion dinars or $4.9 billion.”  Think about what they just said, 6.5 billion Iraqi dinar equates to $4.9 billion...It is like saying the dinar is worth 1.32 to $0.76…That to me will be considered a REER.

Clare – Dinar Guru  Article: “Iraq is preparing to establish a project that will change the oil map.. Will it affect energy producers?” Quote: “Iraq’s budget for the current year 2024 allocated an amount of up to 4.9 billion dollars to establish a pipeline extending from Basra in the far south of Iraq on the waters of the Gulf, to the city of Haditha, located in the far west of Iraq within the Anbar Governorate”

Mountain Goat- Dinar Guru  ..the “icing on the cake” for today’s news…It’s about the huge ATM installation and testing going on in Iraq. Why is this so important? We were told by the CBI not too long ago the significance of that the ATMs role will play in the Project to Delete the Zeros…its all interconnected…To get petty cash they will need the ATM machines. At this time the petty cash will be set to the newer lower denominations post delete the zeros.

Pimpy- Dinar Guru  There’s been many people saying come on Pimpy tell me what is your gut feeling about the Iraqi dinar?  I said look, I tell you guys the truth…I’m not going to lie about it…That drives people crazy, I’m not going to blow smoke up your guys’ ass.  I think it’s a great investment.  My fingers are crossed that they will increase the exchange rate without removing the zeros…Is that realistic?  I don’t think so but we’re going to find out…

Clare -Dinar Guru  Article:  “The European Union mission expresses its readiness to cooperate with the Iraqi banking sector”

Sandy Ingram – Dinar Guru Countries could require that their oil be paid for in their currency.  This would greatly affect the Iraqi dinar in a good way for investors.

Samson- Dinar Guru  Article: ”China acknowledges: Iraq is our largest trading partner and must actively participate in the “Belt and Road” and “Development Road” plans.”

Mountain Goat – Dinar Guru   Article:  “DETAILS OF THE MEMORANDUM OF UNDERSTANDING SIGNED BETWEEN IRAQ AND HONEYWELL OF AMERICA”  Quote: “The memorandum that was signed aims to develop projects for developing refineries…noting that “raising the refinery capacity to 40 percent will add value to the crude oil produced and lead to raise financial returns and thus support the national economy.”  Folks, they just told us they will be expanding their oil capacity…Iraq will also be selling these refined oil products to the rest of the middle east and probably Europe and the US.  How much more revenue will Iraq generate before they finally give us the new rate? …Yes, there is a plan in place…all the signs are pointing now to much, much sooner than later. I certainly hope its June…

Pimpy – Dinar Guru   Sudani is really doing a remarkable job. …This project [oil pipeline] he’s getting ready to fund, if it’s successful and he pulls this off, this is really going to change the landscape for Iraq, especially against other oil powerhouses in the region…This is going to be a pretty big move.

Militia Man – Dinar Guru   All we’re looking for now, to some degree, is when are they going show these amendments to be law.  We heard different things about the president having to sign, not sign, we have 15 days time frames and people are debating on when that time frame starts – was it June 3rd or was it the day he received it?  Do we know the exact day he received it?  I don’t.   But we know our time is short…Once the amendments are passed into law, we’d like to think that prior to that they’re going to expose the new real effective exchange rate and probably mention they’ve done the project to delete the zeros which get you the nominal effective exchange rate. 

Pimpy – Dinar Guru  An RV and a revaluation is the same thing.  People often confuse a reinstatement and a revaluation…they’re two different things…Not only is a revaluation possible but Iraq has done it a few times already …Iraq revalued their currency or I should say in this case devalued the currency, it went from 1,190 dinars, dropped down to 1450 then revalued up to 1,320 dinars.  So when people say, ‘Man the Iraqi dinar is never going to revalue.’ I always go, ‘What do you mean?  It has revalued a few times already.  As a matter of fact, several times over the past two decades.’

Kaperoni – Dinar Guru Question:  “The redenomination talk keeps popping up; issuing new notes without the three zeros.  Which as you have already commented; ‘is a neutral event’ …If Iraq did actually do this, when would make more sense, before or after forex float (or doesn’t matter).”  I think they talk about it periodically but I don’t think there’s any chance that they will ever
redenominate.  It doesn’t reflect the countries economic success that would come from the actual growth of the currency over time based on success and GDP.

Clare – Dinar Guru  Article: “Tracy Jacobson: I will advance American interests and fight militia influence in Iraq”  Quote:  “Tracy Jacobson, US President Joe Biden’s nominee for the position of US Ambassador to Iraq, gave her opening remarks before the Senate Committee on Foreign Relations.”

Pimpy – Dinar Guru  Article: “Iraq is preparing to establish a project that changes the oil map”.   Does it affect energy producers?  Oh, it’s going to change the map alright!  If they can accomplish this, this is really going to be huge…

Samson – Dinar Guru  Article: “Early elections in Iraq.. Prime Minister stimulates Al-Maliki’s appetite for a third term“

Mountain Goat – Dinar Guru   …the economic and financial advisor to the Prime Minister, Mazhar Muhammad Saleh, proposed an “unusual” idea to establish a sovereign wealth fund. …Unlike the CBI reserves that are mandated by the IMF to cover the government expenses in time of emergencies, the SWF is more flexible and gives an additional pad of money for stability and security. This fund will also cut down the reliance  on oil revenue and help them move more quickly out of the rentier economy.  WOW!

Kaperoni – Dinar Guru For the past 2 to 3 years now Iraq has been trying to diversify their economy so that they are not totally dependent on oil. Although there has been progress, technically they still have at least 85% dependence on oil exports.

Paulette – Dinar Guru  Community Reminder [“He pointed out that the new currency entry does not mean the destruction of ancient coins, but will continue to trade for about ten years, pointing out that this period will enable the central bank to withdraw the old currency in accordance with the dynamics and mechanics in order to preserve liquidity In the market” This 2016 article says.They will coexist with 10 years.]  Exactly! And, this was further clarified that active trading in the Market Place will be upwards of two years while through the banks it would be at least 10…This is what I believe will be told to the citizens when they bring out the Fils and lower notes…IMSO, it won’t be a week or 90 days or even 180…Nor will they be cancelling the 3-Zero series for at least 10 years…They are currently following the Dr S plan to a “T”…

Pimpy – Dinar Guru  If there’s an exchange process all banks that are dealing in currency exchanges will be involved.  All you have to do is find your local bank that buys and sells foreign currency and just wait for the restrictions to be removed off the Iraqi dinar and once they change the exchange rate you can just walk your butt right on in there.  There is no special 800 number for that.  You can just go to your local bank and find out where the nearest bank is that deals with foreign currencies.

Nader From The Mid East – Dinar Guru   Article:   “Iraq Bulks Up Gold Reserves, Inch Up World  Rankings”  Quote:  “Their holdings have grown to 145.7 tons, a bump of over 3 tons compared to 142.6 tons the previous month.  This increase…is enough to nudge Iraq one spot higher in the WGC’s global ranking, landing them 31st place out of 100 countries.”

Sandy Ingram – Dinar Guru   Some of you appear to have lost faith…We know Iraq will thrive if there are no full – blown wars and even then the oil revenue would continue to go up.  No one is giving up on Iraq.

Clare – Dinar Guru  Question: “Since Iraq is removing the zero’s in-country then giving its citizens new currency at  an increased rate (greater than $1.00), will they remove the zero’s out of country (for us) before we can exchange? Will our 25K  notes become the equivalent of the new 25 dinar note then get its new value from Forex or will we get the Forex value for the  entire 25k note?”  WE WILL GET THE FOREX RATE FOR THE ENTIRE 25K NOTE. imo

Militia Man – Dinar Guru   If they have a real effective exchange rate like al-Sudani said, that the dinar is going to be stronger than the dollar, the parallel market goes away…Obviously the stronger the currency is the cheaper it is for Iraq to do what they need to do.  It’s a no-brainer.  It’s that simple.