ronscarpa Posted July 19, 2013 Report Share Posted July 19, 2013 Stryker Update - 07/18/2013Bond SalesA very good sign when Saleh is talking international government bond sales, as he is in this article:LINK: Saleh appearance: Iraq can be classified as credit through government bondsBig corporations and governments will have bond sales for many reasons but sometimes they use this tool of raising money (taking a loan) to pay off existing debt, as a means of a debt consolidation tool. Well it looks like Iraq is about to enter the global bond market as soon as they get their official credit rating, which could be any day now. According to this article the process started last year but no credit rating could be placed on Iraq because they were considered to still be a threat to the international peace and security. Now that Chapter VII has been moved to Chapter VI and those days, we hope are things of the past we see Iraq preparing themselves for the global market. Selling bonds is considered taking out a loan as defined in Wikipedia and has options on how these bonds are paid off at maturity: QUOTE: Although bonds are usually discussed in terms of a government 'selling' a bond, what is really happening is that a government is taking out a loan against the ability of its population to return that loan over time through taxes. QUOTE: Government bonds are usually referred to as risk-free bonds, because the government can raise taxes or create additional currency in order to redeem the bond at maturity. Link 4 Government bonds:https://en.wikipedia.org/wiki/Government_bondDeferring debt is exactly what Iraq needs but it must be arranged first.By raising money this way, it takes the responsibility off the oil revenue to pay debt payments or whatever they use it for, which assents that money can then be used for other projects. The purpose of a free market economy for Iraq or any country is to build the private sectors which then increases Iraq's tax revenue and could put repayment on taxation over a longer period of time. OR, they could create additional currency (post currency reform) in order to redeem these bonds at maturity, as I point this part out again:QUOTE: or create additional currency in order to redeem the bond at maturitySee, IF they were to use those funds to pay off other debt, let's say Kuwait's $11 billion for example, then they can get released completely from that last remaining piece of the puzzle that lingers over Iraq from Chapter VII, which in return will give Iraq their own protection of their own assets as a real full sovereign state, no more US protection required. BTW, Iraq can't enter the global market and be under the protection of another sovereign country, if you can't control your own funds in your own country how can you be taken seriously in the global stage? The answer is, they can't, and it just makes common sense that they need these debts arranged before they can play with the big boys, in the big playground.They may not do what I just described, but when this country of Iraq continues to have a surplus of budget funds year after year and doesn't have a cash flow issue, then it makes aperson wonder what the big picture is. Also, remember that the last we heard about the Standby Agreement from the IMF was; Iraq has not needed to borrow much from this fund because they can't even spend all their budget funds in a calendar year, thus the surplus last year and the last two years before that.The question should be, why Iraq just did not use their assets to pay Kuwait off, we know they have other liquid assets that they could use other than their nations hard currency reserves? Unless they want all their assets to justify something much larger. Regardless, Iraq once again is showing signs of re-entering the global market and that Folks is good for us investors. They need a convertible currency to also play in that big playground, to be able to exchange their dinar with other countries’ currencies, so they can accomplish transactions like bond sales, dinar exchanged through market makers, other countries stock markets, etc.... See this link for more information on: Currency ConvertibilityBond sales are used to stabilize economies and offer protection to investors as well.Have a great day, Stryker 6 Link to comment Share on other sites More sharing options...
sandfly Posted July 19, 2013 Report Share Posted July 19, 2013 THEY ARE GOING TOO Link to comment Share on other sites More sharing options...
SgtFuryUSCZ Posted July 19, 2013 Report Share Posted July 19, 2013 ***/// ... and Iraq is still under the protection of the US.... saw article recently renewing that deal... guess that means nothing soon for the currency, eh...? 2 1 Link to comment Share on other sites More sharing options...
Silverdinar Posted July 19, 2013 Report Share Posted July 19, 2013 Well if they are still under US Protection, who gives the right to release the Perverbial RV RATE. Is it still in the hands of IMF, US, or CBI. Link to comment Share on other sites More sharing options...
dontlop Posted July 19, 2013 Report Share Posted July 19, 2013 (edited) that was the best article i personaly have seen by striker .. .. the trade surpluss also feed into what hes talking about .. the bonds will play a big role in the future .. all countrys do it .. they need that credit rating .. they can increase oil production anytime they need to pay more bills ..or like he says print more dinar or raise taxes and tarrifs .. they got to get this end rolling i read where iraq would raise production levels to 12 million barrels a day and hold that level for a few years and then lower production levels to what is necessary .... why raise it temporary in my hopes is to pay for a rv of their currency and to do a cash in for dinars coming in externally .. meaning dinars owned by people like us.. but the only cash in will be paid in oil .. from dinars converted into petro dollars before they return to iraq.. not exchangd into petro dollars ... converted . meaning destroy the dinars when they are turned into petro dollars and petro dollars used to pay back kuwait .. pay for the bonds issued .. build that new port .. improve their rail roads for frieght trains to deliver product to iraq from that port Edited July 19, 2013 by dontlop 2 Link to comment Share on other sites More sharing options...
waterman13 Posted July 19, 2013 Report Share Posted July 19, 2013 I agree dontlop, I read on another thread you are going to be gone awhile looking for a house. I'll miss you, really like your posts. Good luck my friend. Maybe we won't be here much longer anyways, I hope. GO RV WM13 1 Link to comment Share on other sites More sharing options...
hame55 Posted July 19, 2013 Report Share Posted July 19, 2013 THEY ARE GOING TOO Who else is going? They are going too? They and another country? Confused here. 1 Link to comment Share on other sites More sharing options...
SamDinar Posted July 19, 2013 Report Share Posted July 19, 2013 Well if they are still under US Protection, who gives the right to release the Perverbial RV RATE. Is it still in the hands of IMF, US, or CBI. The decision has always been in the hands of the CBI period and it is still in their hands, no matter what some say! Link to comment Share on other sites More sharing options...
calkid11 Posted July 19, 2013 Report Share Posted July 19, 2013 GOOD POST RON ,THANKS FOR BRING IT OVER... 2 Link to comment Share on other sites More sharing options...
stealthwarrior Posted July 19, 2013 Report Share Posted July 19, 2013 Like i have stated before,timing is critical. Link to comment Share on other sites More sharing options...
sandstorm Posted July 19, 2013 Report Share Posted July 19, 2013 The decision has always been in the hands of the CBI period and it is still in their hands, no matter what some say!bingo. laws will pass. banking rules and requirements will be made. iraq is converting there economy. but none of that means they have to rv. they dont period. you can look qt all the politics....look at all the economic news......and none of it means iraq has to rv. 1 Link to comment Share on other sites More sharing options...
quadkidd1 Posted July 19, 2013 Report Share Posted July 19, 2013 The decision has always been in the hands of the CBI period and it is still in their hands, no matter what some say! I am not trying to be rude ...really but how is it that you know this? People that speak in absolutes give me that creepy GURU feeling. Unless you are on the inside. I don't think any one aside from the select few (on the inside) REALLY know. Most people take news read or seen on the Internet as fact but the truth is the jury is still out until we SEE currency reform. And of course this is only MHO. 2 Link to comment Share on other sites More sharing options...
Francie26 Posted July 19, 2013 Report Share Posted July 19, 2013 I'm no expert by any means. In fact, extremely far from it. But logic tells me that, even if they aren't legally bound to RV, at some point, they need to do it so they will be able to function financially in their interactions with other countries. Am I wrong? Link to comment Share on other sites More sharing options...
caz1104 Posted July 19, 2013 Report Share Posted July 19, 2013 The decision has always been in the hands of the CBI period and it is still in their hands, no matter what some say! The CBI may be the ones who enact, but its debateable on who is pulling the strings - peace Link to comment Share on other sites More sharing options...
dontlop Posted July 19, 2013 Report Share Posted July 19, 2013 The decision has always been in the hands of the CBI period and it is still in their hands, no matter what some say! thats exactly right ..iraq can set their currency to what ever whenever they choose ..and each country in the world makes its own decision as to whether or not they accept the iraqi dinar ..theres no laws that say you must deal in dinars iraq has to gain the confidence of every nation to have a tradable currency in every nation .. this is established with a credit rating and maintaining that credit rateing .. if iraq shows the world community they are a responsible nation .. they will be treated as one .. it looks to me like iraq has been taking these matters seriously and are getting things in order /.. we all know how long it takes to establish a credit rating .. im sure it takes even longer after what saddam did .. it reflects off the iraqi people even though they had nothing to do with it .. i do believe that is a concideration .. that they all have looked at .. that the entire govt was replaced .. debts forgiven .. and this new govt is spot on in making payments and making good on past debt. now its just a waiting game that may be coming to a close .. they should get a credit rating from moodys .. s&p .. and some of the other world wide institutions .. iraq has accomplished many bi lateral .. tri lateral .. and multi lateral agreements over the past 3 years ..things arelooking good for them .. its just a waiting game .. i dont know how long it takes to establish a credit rating after you had a dictator run your country into the ground 4 Link to comment Share on other sites More sharing options...
sportfisher Posted July 19, 2013 Report Share Posted July 19, 2013 Confused here. that is common for you Link to comment Share on other sites More sharing options...
ronscarpa Posted July 19, 2013 Author Report Share Posted July 19, 2013 thats exactly right ..iraq can set their currency to what ever whenever they choose ..and each country in the world makes its own decision as to whether or not they accept the iraqi dinar ..theres no laws that say you must deal in dinars iraq has to gain the confidence of every nation to have a tradable currency in every nation .. this is established with a credit rating and maintaining that credit rateing .. if iraq shows the world community they are a responsible nation .. they will be treated as one .. it looks to me like iraq has been taking these matters seriously and are getting things in order /.. we all know how long it takes to establish a credit rating .. im sure it takes even longer after what saddam did .. it reflects off the iraqi people even though they had nothing to do with it .. i do believe that is a concideration .. that they all have looked at .. that the entire govt was replaced .. debts forgiven .. and this new govt is spot on in making payments and making good on past debt. now its just a waiting game that may be coming to a close .. they should get a credit rating from moodys .. s&p .. and some of the other world wide institutions .. iraq has accomplished many bi lateral .. tri lateral .. and multi lateral agreements over the past 3 years ..things arelooking good for them .. its just a waiting game .. i dont know how long it takes to establish a credit rating after you had a dictator run your country into the ground Well said dontlop .. (+) Link to comment Share on other sites More sharing options...
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