Dinar Observer Daily

Kaperoni – Dinar Guru  Question: “They have a very large budget ,without an increase in rate how do they meet the projects that is lined up?“  External expenses are paid in dollars since their primary revenue is dollars. Dinar is used to pay salaries, etc. in country.

Pimpy – Dinar Guru  Iraq was already a member of the World Trade Organization.  They are going through the ascension process for a second time.  That’s because all the rules, regulations, understandings and business practices…changed once the fall of Saddam Hussein.  Now we have to make sure all their practices, rules and regulations regarding trade line up once again with the World Trade Organization.  Iraq has been a member of the World Trade Organization since 2004.  This is their second time throughout the ascension process…

Samson – Dinar Guru  Article:  “Iraq – Formal Resumption of Iraq’s Accession to the WTO“

Militia Man – Dinar Guru  If they change the value of their currency they’re going to have more surpluses…The oil price is about $70 in the 2023 budget.  That hasn’t changed for ’24 or ’25 because that’s a tripartite budget.  They got a surplus.  Oil is somewhere around $80.  It’s been as high as $91ish.  The expectations of oil is to be somewhere in the neighborhood of $80/$90 and they even talk about $100/barrel…Iraq is going to be sitting pretty good…They have phosphates…sulfur…natural gas…Those non-oil revenue streams...taxes and tariffs are going to come online…Iraq has a good foundation for Alaq to do what he’s supposed to do.

Militia Man – Dinar Guru  If they were reducing the note count all this time, for years, is that 90 trillion outside the [central] bank for real?

Kaperoni  – Dinar Guru  Community Comment: “Hopefully in the next 5 yrs we will see an appreciation of the currency  price, based on the last year of progress.”  I agree!  Iraq has an excellent opportunity now to diversify their economy and develop  the banking system.

Pimpy – Dinar Guru  There’s this misconception that the World Bank, IMF and the BIS get to tell countries what to do.  They don’t…They facilitate.  They make recommendations but they don’t control a country’s bank…

Samson – Dinar Guru Article: “Iraq at the current stage is unable to exit the policies of the US Federal Reserve,”

Militia Man – Dinar Guru  Iraq is moving forward.  They’ve got huge reserves…increased their gold, they’re going to have the private sector, their stock exchange is going to be one to reckon with.  It’s an emerging market and a lot of money is going to be start flowing…

Clare – Dinar Guru  Article: “The Iraqi Parliament receives the 2024 budget schedules”

Pimpy – Dinar Guru  Article:  “A reading in the fiscal and monetary policies of the IMF report – May 2024”   This is not good, mostly because they rely so much on oil revenues and they need to develop the private sector more...Yes Iraq is taking huge leaps and bounds but…there’s a lot of things that still have to be done.

Kaperoni – Dinar Guru  Article: “Specialists: Economic integration and job opportunities await development”  Integration with the global economy, diversifying resources is the only way for Iraq to move forward. Finally we’re beginning to see such steps.

Clare – Dinar Guru  Article:  “The Central Bank begins the second phase of its banking reform strategy”  Quote: “what will be achieved from the second phase of the banking reform strategy will be reflected in the stability of the exchange rate and the recovery of the Iraqi dinar inevitably“

Pimpy – Dinar Guru   Article: “Floating the Iraqi dinar.  A solution to fill a ‘gap’ whose volatile price against the dollar”  If the Iraq dinar floats and for whatever reason a lot of people start investing into the currency and it drives the exchange rate up, if it gets anywhere near $0.25 and higher for me, I’m out of there!  Seriously, I will sell my currency…The cool thing about this is there’s no talk about a redenomination.  So are they actually going to float this currency with the zeros on there and take the risk that sucker is going to jump up really high in the exchange rate?  …Keep an eye on that sucker, watch the exchange rate, if it gets anywhere near where you want to sell it, then jump all over it.  I wouldn’t procrastinate or gamble with it.

Mountain Goat – Dinar Guru  Folks just remember I am telling you that Iraq already has a value to the dinar way above the 1/6 of a penny. They do not have to develop the private sector to raise the dinar, the economy or…export more products…

Pimpy – Dinar Guru  Question:  “Is it true the USA invested $60 billion into IQD?”  No.  That’s a rumor.  That’s been going on for years and years and years.  Nobody and I mean absolutely nobody out there has any proof that that’s true.  It’s just a rumor…just like the rumor about Trump owns it and before that we heard Obama owned IQD and before that Bush owned IQD.  Every time there’s a new president we hear that president owns IQD… There’s no proof out there anywhere.  I made that challenge many time for people to show me any proof that any president or any individual has invested in the IQD specifically. It’s just a rumor that’s been going around.  That’s all it is.

Kaperoni – Dinar Guru    …No need for any lower denominations at the current time…

Clare – Dinar Guru  Article Quote:  “Members of the Security Council support ending the mission of the UNAMI mission in Iraq”  Quote:   “A number of members of the UN Security Council – including Russia and China – yesterday, Thursday, supported Baghdad’s request to end the mission of the United Nations Mission in Iraq (UNAMI) by next year, but Washington did not immediately provide its support for this step.“

Samson – Dinar Guru  Article: ”The Security Council supports Iraq’s request to end UNAMI’s mission… and an ambiguous American position“

Militia Man – Dinar Guru  Saleh says if you do a float it’s dangerous, it’s going to turn out to be unruly...He also said he’s going to have a mixed or managed float, which is going be stabilizing…They had about 4 articles about that…Why are  they saying it and giving one specific option?  Because that’s what they’re going to do…All the different ways of doing it were  negative but the one [positive one] was a managed float.  That’s a mix between a floating currency and a fixed.  They manage it and  that’s the most stable…

Clare – Dinar Guru  Article “Adjourning the session to elect the Speaker of Parliament until further notice”   Quote  “It is noteworthy that a quarrel and fistfight occurred between representatives Muthanna Al-Samarrai and Haibat Al-Halbousi inside the House of Representatives hall during the third round of electing the president, creating massive chaos, which prompted the postponement of the decision-making session until further notice.”

Clare – Dinar Guru Article: “Floating the Iraqi dinar…a solution to fill the “gap” of its troubled price against the dollar”  Quote: “The flotation scenario also means “the withdrawal of the monetary authority as the main central offerer of foreign currency, and its replacement by new forces of free market makers, which certainly have only a weak, limited supply of foreign exchange, according to Saleh.”

Samson – Dinar Guru   Article 1:  “Floating the Iraqi dinar…a solution to fill the “gap” of its troubled price against the dollar“  Article 2: “The persistence of the dollar gap disturbs the Sudanese government’s service successes..’Newspaper’ analysis“

Mountain Goat – Dinar Guru   Yes, we all want to know what is the holdup of the RV and I say there is no holdup, only time…The process must just play out. The plan of Dr Shabibi must be executed and there are many stumbling blocks and deviations along the way. But Iraq must and does, always come back to the 2011 Dr Shabibi plan… I know through the past articles and my CBI contact that the reinstatement will happen and has to happen if Iraq is to regain their national sovereignty.

Militia Man – Dinar Guru  Article:  “The Finance Committee ‘knows nothing’ about the budget tables”  Al-Sudani has been holding his cards so ever close to the chest. The looks of it now is that he will not expose the 2024 schedule data until after there is an exchange rate change that will reduce the deficit.  Will that be after the vote for the Speaker of the House of Representatives in the HoR and or before extraordinary session for Sunday by the Prime Minister of Iraq, Al-Sudani.. Time will tell. But, since the CoM nor the HoR have yet to receive the 2024 Budget schedules we can deduce, it is going to be a very tight window for events to occur.

Pimpy – Dinar Guru  We are seeing a renaissance take place over in Iraq. But the same issues that are keeping it from really taking off and giving Iraq the type of boom it really needs in its economy and its growth is being held down by the same corrupt politicians that have been holding Iraq back for the past 20 plus years...But overall the report from Jeanine Plasschaert was very very uplifting and praising.  It showed a lot of positive things taking place in Iraq so don’t let the bad things overshadow all the progress Iraq has made…We look forward to Sudani continuing this for at least another four years we hope.

Militia Man – Dinar Guru  Article:  “Securities Commission: We are studying the possibility of licensing brokerage companies to trade in shares on international stock exchanges”  Get ready because each and every one of us that have a brokerage account may in the future have the potential to buy stock in Iraq….You might find some fascinating companies.  There could be some index funds that you want to try to tap into…

Kaperoni – Dinar Guru  Article:   “IMF Executive Board Concludes 2024 Article IV Consultation with Iraq”  My preliminary review are the Article IV Consultation clearly emphasizes the urgency to diversify their economy in raising non-oil revenue…There’s also significant discussion encouraging Iraq to continue to develop their banking system and remove excess liquidity.   [Post 1 of 2]

Kaperoni – Dinar Guru   These comments from the IMF are obviously meant to encourage them that the opportunity is now to develop and accelerate economic growth…as well as to take significant steps forward with their banking system engaging with banks outside of Iraq.  From these documents, it is very clear that Iraq still has a lot of work to do. And I do not see in the near future any change in monetary policy until progress is made.  Again, creating the conditions for economic  growth appears to be the focus.     [Post 2 of 2]

Clare – Dinar Guru Article: “Iraq increases its possession of gold by more than three tons, bringing the total to 145,661”  Quote “Iraq’s gold reserves witnessed a noticeable increase during the month of February 2024, as International Monetary Fund data showed that Iraq has increased its possession of the precious metal by 3,079 tons, bringing the total to 145,661 tons.”