Dinar Observer Daily

Militia Man – Dinar Guru  When we’re talking about value we’re talking about things that are determined from what?  Income streams beget value…and assets create value.  They don’t want to underestimate the value and they don’t want to overestimate the value.  They want it right it line with what is fair or real – Real Effective Exchange Rate is on the table…

KandG – Dinar Guru   Article:   “The Kurdistan Regional Government announces reaching an initial agreement with Baghdad on the draft budget law”  Quote:  “the Iraqi government revealed, two weeks ago, that the Ministry of Finance had begun to re-prepare the general budget for the year 2023 according to the new exchange rate (130) thousand dinars per 100 dollars.” …Yes – I’m deemed negative but in actuality it is not negativity but looking at ALL articles, not just the ones that are favorable…

Paulette – Dinar Guru  Typically, it [the budget] will go through First Reading and then go to Parliament’s Finance Committee for review.  This review is often at least  2-3 weeks and often much longer.  It then comes back for Second Reading and if all agreed, it can then be passed.  If not agreed it will go out for at least three days before Third Reading and passage paragraph by paragraph with the first paragraph delineating the rate.

Sandy Ingram – Dinar Guru  The exchange rate between the USD and the IQD is still at 1458 on the international currency feed.  We don’t know why it has not calculated to 1300 per the CBI’s rate change…[I’ll] keep you posted.

Pimpy – Dinar Guru  There’s a difference in RV and RI…RV is when you re-value a currency.  We saw a revalue when the Iraqi dinar went from 1190 dinars to 1450.  That is an RV.  An RI is when you had an exchange rate for whatever reason they changed it and then once it was done they just reinstated it.  That’s what happened to Kuwait.

Militia Man – Dinar Guru   There is some really big information that came out today…From The Arab Monetary Fund and Al Sudani talking about joining the International banking system. This is huge. These people are telling us they are going International.

Pimpy – Dinar Guru  The United States has been tightening the screws down in Iraq because they feel money is being smuggled/laundered…over into Iran circumventing the sanctions…which is a no-no…we’ll notice if the Untied States starts loosing up with the dollars…

Militia Man – Dinar Guru  The government returned the budget to the finance ministry in order for them to adapt it to a new exchange rate.  Our view is the 1310 is something in the past.  We believe there’s going to be a different change coming…I hope you guys feel like I do.  You should be excited…

Clare – Dinar Guru  Article:  “Association of Iraqi Banks: Dealing in the Chinese yuan may provide the possibility of reducing import costs”  Quote:  “the Central Bank will consider, after controlling the exchange rate of the dollar in the balance market, by linking the price of the dinar to the dollar immediately and not at fixed prices.”

Deepwoodz – Dinar Guru  Question:  “article says the budget will reach the house this week.so does that mean the com agreed on everything to send it to the goi?”  I think yes…The COM is Sudani’s selected government whom Parliament gave a vote of confidence for. Between them and the PM, they are carrying out what they’ve been calling the government program. It’s supposed to be why they achieved the approval of Parliament in their beginning.  I believe that this budget, like everything else it seems since Sudani came on scene, will pass scrutiny rather quickly. As it should be reflective of all the promises they made in order to gain power.

Pimpy – Dinar Guru   Does the future look bright for Iraq?  Yes, as long as they start getting their shit together and their government starts doing the right things necessary like providing funding for infrastructure and helping with education that helps contribute to the currency exchange rate.

Sandy Ingram – Dinar Guru  Currency Mayhem – IQD from USD to CNY.   Article:  “Iraq, short on dollars, moves to purchases with Chinese yuan”  To compensate for a foreign currency shortage Iraq Central Bank said the country would soon trade with China directly in Yuan…This happened …because the Iraqi Parliament approved a currency revaluation in response to a shortage of U.S. dollars… The Federal Reserve Bank pulled back on U.S. currency in Iraq because it was proven that US dollars were flowing freely into Iran and Syria…  [Post 1 of 2]

Sandy Ingram – Dinar Guru  This is the first time imports from China will be paid for in Yuan. Before now all imports were paid for in U.S. dollars.  The Central Bank of Iraq said this move could boost the balances in Iraqi banks that have accounts with Chinese banks.  It would also boost local bank balances through the central bank’s U.S. dollar reserve accounts with JP Morgan…It would work something like this.  The Iraqi bank would convert U.S. dollars to Yuan and pay invoices in China [Post 2 of 2]

Mountain Goat – Dinar Guru  …the Central Bank of Iraq launched the second package of reforms. In a remarkable statement, the Central Bank of Iraq announced, a plan to allow trade with China in Chinese yuan instead of dollars, in an apparent attempt to improve access to foreign currency and reduce dependence on the dollar. WOW! …we can see this is good news and also bad news as it may lead to complications if the CBI does not manage it correctly. …Would Iraq sell oil for Yuan? …if Iraq did make this move this would certainly push them even more to reinstate the dinar as an international currency once again but only if the CBI can also control these new currencies. We just have to wait and watch. It won’t be long before we see what happens.

Pimpy – Dinar Guru  Question [If they remove the zeros from the currency what will happen to the old currency?  Is it only the 25,000 note?]  …I’m sure we’ll have time to go ahead and swap our currency out.  You just can’t screw over a lot of people who are legitimately holding on to the Iraqi dinar.  If it were to happen it [the CBI] would give us a window of opportunity in which to go ahead and make the exchange…

Breitling – Dinar Guru  It’s black and white.  Iraq picked the right guys.  They picked us.  They’re going to stay with us.  They’re not going to go with the BRICS.  They’re not going with Asia.  They’re not going to go with the EU.  They’re going to stay with the biggest massive system in the world where they can get capital.  And if they need to raise money through the IMF…they’re going to stay with those guys because Europe doesn’t have any money to lend out.  China doesn’t have any money to lend out and if they do lend it out it’s not worth the risk for them…

Militia Man – Dinar Guru  It’s been 20 years they’ve had this process going and now they’re finally getting to that change.  If we can’t see it now we probably never will but at this stage of the game I’m a believer that they are telling us and they did tell us there’s no going back.  This process is underway.

Pimpy – Dinar Guru  With a strong economy and the gold reserves are up and the foreign currency reserves are up there’s no reason for Iraq not to have a stronger exchange rate once you can start providing more jobs and you start redoing infrastructure but it’s not going to happen overnight.  You’re not going to see no presto huge jump in the exchange rate.  No.  It’s going to go up in increments…

Samson – Dinar Guru  Article:  “An economist expects a third package from the central bank to reduce the dollar”. THIRD PACKAGE OF DECISIONS – POWERFUL.

Sandy Ingram – Dinar Guru  CBI announced Iraq will do business with China using the Chinese currency…this is an attempt the Central Bank of Iraq is saying to stabilize or help stabilize the IQD.

Mountain Goat – Dinar Guru  There is some amazing news and it falls directly in line of what we should be expecting at this point in time. We all should realize by now the IQD is no longer pegged to the dollar…When I reviewed the Dr. Shabibi 2011 plan of the process to reinstate the Iraqi dinar…that part of the process would be to de-peg for the dollar then watch for inflation…This period of adjusting for inflation could take a few days, weeks or even months…We must now settle down and relax while we watch the process play out.

Militia Man – Dinar Guru   Changing from the dollar to the dinar in real estate is going to be a a big thing because multi-currency practices are going to be gone.  They’re making it so that people have to use the dinar.  Whether that’s in real estate, whether that’s in commercial business, the dinar is going to be the main focus…

Pimpy – Dinar Guru    Inflation, unemployment, demand, political stability, supply, future prospects…all play a part in the currency exchange rate.  Is inflation down?  They’re saying it was at double digits last couple years although every time I look at it it’s in single digits.  Unemployment is not under check…Demand for the currency?  There is none. People want the dollar.  That’s why the market rate is so much different than the official rate.  Political stability?  No.  We just watched Iraq go through an entire year of bickering about who is going to run the government.  Supply?  They have nothing to offer the outside world, not yet, but they definitely need a lot of things in country.  Future Prospects?  …over 65% of the people in Iraq over the next couple years will be of working age.  That’s perfect.

Nader – Dinar Guru  If it [The dinar] goes viral you’ll see the bank will sell it and you will change it to wherever you are in any state…Florida…New York..Long Island, California…Arizona, Texas, Georgia, wherever.  The bank would accept it.  You’re not going to travel nowhere.

Pimpy – Dinar Guru  Once Iraq enrolls into the World Trade Organization it opens up big doors for Iraq to do international business.  This also guarantees Iraq is able to do international business.  This organization will facilitate Iraq exports and make sure this gets done…this is a great thing for Iraq who is rebuilding, who is an emerging market…

Mountain Goat – Dinar Guru   …The conclusion of the dialogues of the Iraqi delegation in the United States of America, related to the dollar crisis are completed. In a way this visit was different from all previous delegations that visited Washington previously. We are being told today in an article that the results of this negotiation were more than positive, and there was a very big surprise coming…

Pimpy – Dinar Guru  The more I read about what’s going on with Iraq it really does look like they’re doing what they can to build up the value of the exchange rate for the Iraqi dinar.  Now that doesn’t mean they’re going to jump up to any major value right at first.  I still believe they’re going to up in increments but either way for us it’s good news…

Militiaman – Dinar Guru  2023 budget which is scheduled possibly for as early as Thursday.  It’s coming together because they’re [HCL, budget, etc] all exchange rate oriented.  If they’re on the Swift system and they have calculated a new exchange rate and that needs to be put into the spreadsheet to populate it to get to facilitate/get this going – it’s possible that could be happening in a very short period of time…everything to me is powerful.  I’m very excited.

Pimpy – Dinar Guru    Obviously the currency exchange rate is on the minds of the people from Iraq as well as the United States and they’re saying that they’re putting ‘mechanisms’ in there and that people in Iraq will feel the difference in the near future.  If they’re not doing it now then they’re going to do it later on in the very near future most likely by the time the next budget comes out.

Samson – Dinar Guru  Article:  “The Investment Authority directs the adoption of the Iraqi dinar in the payment of dues for housing projects“.   Ready for Adjustment to come.