Finance Committee suggest the ability of Trade Bank of Iraq take currency auction

[thegente]

http://translate.google.com/translate?sl=ar&tl=en&js=n&prev=_t&hl=en&ie=UTF-8&layout=2&eotf=1&u=http%3A%2F%2Fwww.dananernews.com%2FNews_Details.php%3FID%3D302

Finance Committee suggest the ability of Trade Bank of Iraq take currency auction

2012-04-26 04/26/2012

.. BAGHDAD / JD / .. revealed the parliamentary finance committee a new step the central bank to implement an auction sale is handed over to a hard currency Iraqi banks, weighted assume Trade Bank of Iraq this auction. .". A member of the Finance Committee, the Parliamentary Secretary Hadi Abbas's / JD / "The Central Bank of Iraq plan to give banks a good Iraqis and the Iraqi Trade the responsibility of selling the dollar auction." .". Abbas said, "The central bank wants to get rid of the burden fluctuation of the dollar, especially after it became the demand for the dollar than too few." .". And Abbas, "The demand for the dollar from the central bank declined because of the difficult actions taken by the bank and increased it worse." .He pointed out that "the Trade Bank of Iraq is probably that will be an auction sale of the dollar because it has a good mechanism", citing an interview with officials at the bank that they have the possibility to buy a large amount of dollars. "And the seal member of the Knesset Finance" This step solved the problem of fluctuation of the U.S. dollar and work on this procedure uncertain. "/ ended / 11 n

[bamagirl]

I guess that clears up what bank is gonna handle it....it just still seems wird to me that the CBI is gonna hand this off whenit is suppose to be one of the ways they control the exchange rate.....just seems to me something is up..........thanks for posting thegente!

[thegente]

What bothers me about this, is that Maliki pretty much has direct control of the TBI. Last year he had requested funding, or a loan from the then Director of TBI, who refused him. That Director then fled in fear for his life, and was subsequently brought up on "corruption" charges, and Maliki then placed his own man in control of the TBI last June.

Maliki has been hounding the CBI for loans to cover his budget defecits, and Shabibi always refused; he then tried to put the CBI under the control of the CoM, which failed, and now, all of a sudden, the auctions are being moved from CBI to TBI, which Maliki controls...something stinks. Here's a brief article on the TBI replacement last summer:

http://www.iraq-businessnews.com/2011/06/07/maliki-appoints-new-boss-to-trade-bank-of-iraq/

[Butifldrm]

Also, the CBI will lose the 13 Dinar spread for the sell of the USD. This is so interesting. I wonder if this has been the grande plan all along, or if their is some acute political significance to this move.