2fast4u2c Posted September 8, 2017 Report Share Posted September 8, 2017 Newshound Guru Kaperoni "The CBI has also requested the technical assistance of the IMF Legal and Monetary and Capital Markets Department to analyze the reasons behind the rise of the exchange rate spread" ...in the last Article IV dated last month, the CBI had requested the UST and the IMF to help them get in compliance...that gives me hope they can get in compliance... and once they do, they will accept Article VIII, which will open the banking system to the world, allowing international investment, etc. So if that occurs, we may see such an effect by end of year. I do believe it is well documented that the world wants to come to Iraq and invest. If, Iraq could ever set the stage, by that meaning pass the laws, get the banking system in order, they have the potential for billions of dollars in private investment. So hang in there. Newshound Guru Kaperoni Article quote: "staff encouraged the authorities to consider creating the conditions which would make possible a move to a more flexible exchange rate policy. " Thats a float people! ...both the IMF and CBI have stated in so many words that it will rise gradually. That is most logical and fits in with the concept of countering inflationary pressure created by an influx of investment. I think once the CBI starts to float the dinar, they could raise the value to 1 to $1 or about within 6 months to a year. Newshound Guru Kaperoni Quote: "Such flexibility could allow a predictable and gradual appreciation of the nominal exchange rate, triggered by strong oil revenues and the Balassa-Samuelson effect," Now keep in mind this was all moving forward under Shabibi...when he had the dinar stable and in compliance...and the Market Rate/Street Rate spread under 2%. Since then, monetary policy has been in disorder and such statements have not been made. But I expect when and if the CBI can get in compliance we will see them start the process. 1 2 Quote Link to comment Share on other sites More sharing options...
2fast4u2c Posted September 8, 2017 Author Report Share Posted September 8, 2017 1 Quote Link to comment Share on other sites More sharing options...
zul Posted September 8, 2017 Report Share Posted September 8, 2017 1 hour ago, 2fast4u2c said: "Such flexibility could allow a predictable and gradual appreciation of the nominal exchange rate, triggered by strong oil revenues and the Balassa-Samuelson effect," Kap needs to move on and stop quoting from 2013 article IV consultations. Those statements were made when Iraq was having a strong oil revenues. But not anymore. The price of oil has plunged since then. In the most recent article 4 consultations, the IMF directors has concluded that " Directors considered that the peg to the U.S. dollar, which provides a key anchor to the economy, remains appropriate. " 1 Quote Link to comment Share on other sites More sharing options...
Gypsygirl11 Posted September 8, 2017 Report Share Posted September 8, 2017 And you have to burst our bubble smarty pants....JK....your always right. I don't like that recent article though! Quote Link to comment Share on other sites More sharing options...
zul Posted September 9, 2017 Report Share Posted September 9, 2017 3 hours ago, Gypsygirl11 said: And you have to burst our bubble smarty pants....JK....your always right. I don't like that recent article though! Haha....but that recent article will set us up for an RV . I always believe they will drop the current program rate, enter the market with a real value and then MANAGE the dinar on a 'predictable' appreciations or depreciations from then on, according to the supply & demand. Quote Link to comment Share on other sites More sharing options...
Gypsygirl11 Posted September 9, 2017 Report Share Posted September 9, 2017 35 minutes ago, zul said: Haha....but that recent article will set us up for an RV . I always believe they will drop the current program rate, enter the market with a real value and then MANAGE the dinar on a 'predictable' appreciations or depreciations from then on, according to the supply & demand. I hope your right. I understood it as they wanted to keep their currency pegged to the dollar as is now. 1 Quote Link to comment Share on other sites More sharing options...
ChuckFinley Posted September 9, 2017 Report Share Posted September 9, 2017 Peg it 1 to 1 and you will have my vote. 1 1 Quote Link to comment Share on other sites More sharing options...
DinarThug Posted September 9, 2017 Report Share Posted September 9, 2017 This Just In From The Phat Bloated Float Goateroni ... 9-8-2017 Newshound Guru Kaperoni 1. The CBI can never revalue for the simple reason there is over 40 trillion dinar in circulation (over 3 times the worlds money supply) which would instantly bankrupt the country, 2. floating the dinar is the replacement for the daily currency auctions in which the CBI profits. If they were to revalue, they would be short changing themselves on the commissions they can make as the dinar appreciates, and 3. nobody would "buy" it up. You cannot buy what does not exist. A float is just like any other country who floats and you can see in those models, nobody is buying up those currencies beyond the international financial environment. The CBI does expect and want it's currency to traded through the global financial system as well as the markets. Though there has been comments published in the past about a 1 to $1 rate, it was never stated it would occur overnight. In fact, it simply cant. 9-8-2017 Newshound Guru Kaperoni And finally...some claim that Iraq needs to get rid of the dollar in Iraq. That will never happen. Countries like Iraq sell oil for dollar and store dollars as reserves. They will always have dollars. What they need to do is reduce the spread before the Official Rate of the dinar and the Market Rate of the dinar within 2% (about 1200 to $1) to meet compliance. In doing so, this will allow them to accept Article VIII of the IMF, and reduce what is termed.."multiple currency practice" which is a reference to pricing of goods at two different rates within the same country as the result of the countries currency exceeding the allowed spread. It has nothing to do with the dollar. The dollar will always be in Iraq. They hope is that once the dinar is worth more, or has a value that exceeds the dollar, citizens would desire it over the dollar. In doing so, the dollar would of course be less prevalent. But that is not a requirement or condition set forth by the IMF. 2 Quote Link to comment Share on other sites More sharing options...
sandfly Posted September 9, 2017 Report Share Posted September 9, 2017 i have said maybe next year 1 1 Quote Link to comment Share on other sites More sharing options...
ChuckFinley Posted September 9, 2017 Report Share Posted September 9, 2017 Better get with other organizations like IMF. Groups like that are trying to push Iraq away from MC. Something has to give. Also, where did that 40 trillion number come from world wide. Just trying to rembers what was out there. 1 Quote Link to comment Share on other sites More sharing options...
zul Posted September 9, 2017 Report Share Posted September 9, 2017 17 hours ago, DinarThug said: The CBI can never revalue for the simple reason there is over 40 trillion dinar in circulation (over 3 times the worlds money supply) which would instantly bankrupt the country, Kap has a point there.... 40 trillion Iraqi dinar? Over 3 times total money supply in the world? Ok....let's forget that iraq has been reducing their notes count for sometimes now, thru auctions, not replacing damaged currencies, selling of local bonds, selling gold coins and most recently the introduction of e-dinar.... Let's us instead, play with some numbers, as food for thought. Total US total debt: USD 67 trillion, how many times world's total money supply is that? How about the total of future derivatives in the world. A whopping 1.2 quadrillion USD. What?? The value of All the Government Bonds (Debt) in the World - USD 58 trillion.USD 116 trillion is the value of all stock and corporate bonds in the world. But how much is the global financial assets? - stocks, bonds, and all of the various securities in between you can invest in. * Deutsche Bank's Sanjeev Sanyal estimates the value of the whole market to be about $294 trillion (2014). Sooooo in theory, at least, the total losses could add up to more money than there is in the entire world, hundreds times over. Are we doomed? Where did they get all the money to buy those bonds, those future market, those stocks in the first place? - which is a few hundred times over the total money supply in the world! 1 Quote Link to comment Share on other sites More sharing options...
alreis Posted September 10, 2017 Report Share Posted September 10, 2017 Anybody remember how many ton of gold Iraq bought? Quote Link to comment Share on other sites More sharing options...
King Bean Posted September 10, 2017 Report Share Posted September 10, 2017 (edited) 15 hours ago, alreis said: Anybody remember how many ton of gold Iraq bought? https://tradingeconomics.com/iraq/gold-reserves Iraq Gold Reserves Notes Gold Reserves are country’s gold assets held or controlled by the central bank. This page provides - Iraq Gold Reserves - actual values, historical data, forecast, chart, statistics, economic calendar and news. Iraq Gold Reserves - actual data, historical chart and calendar of releases - was last updated on September of 2017. Actual Previous Highest Lowest Dates Unit Frequency 89.82 89.82 89.82 0.00 2000 - 2017 Tonnes Quarterly Edited September 10, 2017 by King Bean 1 Quote Link to comment Share on other sites More sharing options...
ChuckFinley Posted September 10, 2017 Report Share Posted September 10, 2017 I remember reading that Iraq stated that they could cover all the remaining dinar out there on a RV. Plus I think it was Laid Back or someone that stated that Iraq had pulled in enough dinar to be close to meeting the IMF goal. 1 Quote Link to comment Share on other sites More sharing options...
ChuckFinley Posted September 10, 2017 Report Share Posted September 10, 2017 Oh, I still have not given up hope on 2017 yet. 3 Quote Link to comment Share on other sites More sharing options...
King Bean Posted September 10, 2017 Report Share Posted September 10, 2017 13 minutes ago, ChuckFinley said: Oh, I still have not given up hope on 2017 yet. 1 Quote Link to comment Share on other sites More sharing options...
ChuckFinley Posted September 11, 2017 Report Share Posted September 11, 2017 Hey KB as long we have been in this we are probably in the running for the nut house. 3 Quote Link to comment Share on other sites More sharing options...
rayh56 Posted September 11, 2017 Report Share Posted September 11, 2017 Nothing came Easy, Nothing came Free, Nothing came at all, Until they came after Me! 2 Quote Link to comment Share on other sites More sharing options...
zul Posted September 11, 2017 Report Share Posted September 11, 2017 18 minutes ago, rayh56 said: Nothing came Easy, Nothing came Free, Nothing came at all, Until they came after Me! Alice Cooper ~ Killer 1 Quote Link to comment Share on other sites More sharing options...
Freedomwish Posted September 11, 2017 Report Share Posted September 11, 2017 On 9/9/2017 at 3:07 AM, sandfly said: i have said maybe next year No worries, I'll join ya at the bar brother and continue to wait it out with drinks in hand lol Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.