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  1. OK, so we've all seen the articles today about supposed issues with Baghdad and the Kurds. I must admit that my first reaction was, shall we say, less than a sociable one. But after giving it some thought I have calmed down quite a bit. And I realized that from this point there are only two directions Iraq could go. And to understand the situation completely we must attempt to broaden our minds so that we can see this through the eyes of whoever, or whatever, is directing the events presently unfolding in Iraq. First, Let us not forget how much more Iraq has accomplished in the last few weeks. Much more than they have done at one time since I've been involved. We've seen monies allocated for school children. We've seen hundreds of infrastructure projects being claimed to be starting this month. We've seen the tariffs law implemented. And read more than one report of income taxes coming, along with what they call, "other taxes". We've seen several new banking regulations from many different countries that reference currency transfers. We've seen the Iraqi army, with the assistance of tribal leaders run Qaida right out of town. Thereby showing the world that Iraq CAN control their own security. And lest we forget we've seen REPEATEDLY reports that Iraq and the Kurds have reached an agreement on the issue of oil sales. There are many other things that have been done or being done that time would be lost to state them all. Yet today the Iraqi media wants the world to believe all has been lost. Think of it like this, last week the world was given the issue of Qaida in the Anbar province. And every major lame steam media outlet played it up to the hilt. What do you think that did for world perception of Iraq? Well from the news during the same time It appears to not have been too bad. But I submit to you though people took it in stride, a seed of doubt was planted. And we all know how fast that ,"weed", of doubt can grow. We've also seen more than our share of articles claiming Iraq is creating an atmosphere of unity in the business environment. How many times have we read of their desire to make Iraq easier to do business with? Even today I read such an article. So are we supposed to actually believe that Iraq doesn't understand the worldwide ramifications of today's news? Seriously, I know Arabs can appear to be of less than average intelligence but I strongly suspect that is only a devious ploy. This all begs the question , if there truly is such a big issue with the Kurds over oil why in the heck would you allow that to go public? Knowing full well that the"weed" of doubt has been planted, they certainly understand what this story can do for all their well thought out and best laid plans. However, there exists in the midst of all these plans another very distinct possibility. THEY NEED JUST A LITTLE MORE TIME. We know that the budget seems to have the HCL LAW in its construction. We know that it has been"temporarily" delayed because the Kurds and Baghdad were finishing the final details. And we strongly suspect that once HCL is enacted we will rather shortly after see an increase in Iraqis purchasing power. So if you're Iraq and you simply need a couple of more days to get your budget through parliament (And most importantly if you know that more and more people are beginning to figure out what you're about to do) what do you do? I suspect that Iraq has weighed the odds against the possible consequences and this morning decided it was worth the risk of creating more worldwide doubt in their ability to become an effective government than the risk that Bill Gates, Warren Buffett, and the likes would SUDDENLY realize that Iraq is going to RV there currency. Implying that this is the biggest smoke screen ever. It also has a very beneficial side effect for the CBI. Think of how many thousands woke up this morning and read the Iraqi news deciding that they have had enough and are selling their dinar back to a dealer. And that leads me to the second option. This story is real. There is a MAJOR issue with Kurdistan and Baghdad is going to sue everyone involved. And if the Kurds try to succeed Baghdad will invade. Essentially doing exactly what Saddam did, without the chemical weapons. Is this possibility on the table? Of course it is, but somehow I just don't by it. The full ramifications of this scenario far excels the previous version. Iraq would essentially be destroyed. In conclusion, I have decided that I'm going to be very excited about were we are all standing at the moment. Call me a hopeful fool, but world perception is everything for Iraq (even more important than the RV) and believe you me THE WORLD IS WATCHING.
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