BANK AGREEMENT to REDUCE the EXCHANGE RATE of the DOLLAR to 1180 DINARS starting from Sunday (07/19/2013 14:49)

[cyclone]

Could it be a typo ?  

[Boozer]

The bank said they would be closed this Sunday . Because of the heat.

[cyclone]

Could be a recycled artical to.

[yota691]

and another  Economist: reduction of the U.S. dollar exchange rate in the private banks will stabilize the value of the dinar

20-07-2013 06:22 AM

 

 

Baghdad (news) .. Said economic expert on behalf Abdul Hadi, said the agreement private banks to reduce the dollar exchange rate will stabilize the value of the Iraqi dinar. said Abdul Hadi (of the Agency news): The establishment of private banks to reduce the dollar exchange rate to 1180 dinars will lead to the stability of the value of the Iraqi dinar against other currencies and to activate the principle of transparency in dealing with foreign currency, in addition to reducing the speculation. said: that the reduction of the dollar exchange rate is the role of the national play of private banks as well as its economic role. noted that the Association of Iraqi banks agreed with the Central Bank to reduce the dollar exchange rate cash to 1180 dinars as of next Sunday. / End / 5. g. / mm

[MyLadiesDaddy]

Thanks Yota

[Carrello]

***///

 

So not the Central Bank?  CBI not participating? 

 

Don't all the banks have to follow the CBI's lead on these things? CBI sets the rate, right?

 

Kinda thought that was part of the deal when they allowed these "other" banks to begin operating again.

 

The article states "some private banks".  When the time comes for us to cash out, what is the first thing we will do?  Look for the best rate, the best spread, the smallest bank fee.  Wells Fargo or Bank or America?  Who has the best rate?  Okay.  I am not saying whatsoever that this is the reason for the move by a few banks or that the CBI was not a part of this.  I am simply saying this is what they have done -  agreed upon a spread and WF and BoA don't need the Federal Reserve to do that.  

Edited July 20, 2013 by Carrello

[SnowGlobe7]

im sooooo confused!!!!!

Carello...wonderful to see you back...I like the way you think!

[Carrello]

Hi Snowglobe7...good to see you too!

[zigmeister]

Hi Snowglobe7...good to see you too!

We need you around....someone needs to set us straight.....sometimes we get lost in kiss the titty articles.

[SnowGlobe7]

[TBomb]

LMAO...oh my....

[vomer]

Oh .. there's a cat in the picture.

Maybe it's a misprint of 1160?

[doctor robbins]

The way I interpret this is that by "reduce the exchange rate" they're referring to a reduction of the number of dinar per dollar being offered in Iraqi banks.  This has nothing to do with investors' dinars.  They're trying to get the banks to quit gouging their customers by only offering 1200-1250 dinar per dollar.  By bringing the exchange rate from 1200 or more down to 1180 they are reducing the rate and raising the market price inside of Iraq.  That will stop the decline in the market price.

[climber7]

The way I interpret this is that by "reduce the exchange rate" they're referring to a reduction of the number of dinar per dollar being offered in Iraqi banks.  This has nothing to do with investors' dinars.  They're trying to get the banks to quit gouging their customers by only offering 1200-1250 dinar per dollar.  By bringing the exchange rate from 1200 or more down to 1180 they are reducing the rate and raising the market price inside of Iraq.  That will stop the decline in the market price.

You seem like one smart cookie Doc : )

[Carrello]

1180 is the rate a citizen would pay, and it is an increase in value as they were selling at 1189.  The bigger picture here is that the bank rate and the street rates were recently so far apart, that the CBI could not have made a move in any type of revalue or float, even if they wanted to.  The gap needs to be 2%, less, or close to it.   The banks that are not participating in this new, low fee, will have to get on board or the competition will just eat them up.  

 

The difference between 1166 and 1180 is 1.2%, and in the range for a change.  I believe that is where the news is.  JMHO.

 

Zig, Larkburger?  The car is warmed up and the top is down, and Trigger keeps mumbling ... "root beer"  .....  "root beer"

[SocalDinar]

I Wonder if we will see a reduction of banks participating in the auctions at some point here.

 

Good to see you Carrello

[MyLadiesDaddy]

The way I interpret this is that by "reduce the exchange rate" they're referring to a reduction of the number of dinar per dollar being offered in Iraqi banks.  This has nothing to do with investors' dinars.  They're trying to get the banks to quit gouging their customers by only offering 1200-1250 dinar per dollar.  By bringing the exchange rate from 1200 or more down to 1180 they are reducing the rate and raising the market price inside of Iraq.  That will stop the decline in the market price.

 

Except that the rate mentioned here is local bank rates, the rates 

 

​that your referring to are the street vendors rate. In third world countries

 

most people don't even trust banks much less go to them, if they wish to

 

exchange a currency there are vendors on the street that will change it

 

for them. They tend to make a very  good living at this too. Especially when

 

the American Military is in town. I imagine now that we are gone these vendors

 

are more than a little hungry and that probably has allot to do with the higher ]

 

price they were charging.  

[doctor robbins]

There have been articles about the banks in Iraq gouging their customers which contributed to the decline in the market price.  I don't have any links handy but I've read them. 

[Carrello]

SoCal, good to see you!   I saw Caughtinthecrossfire lurking around here earlier too.  

[AustinMom]

Carrello....  Good to hear from you.  I was afraid that our flip=flop ninja team had fallen apart without our fearless leader   Good to see you posting, again.

[Redhorse]

Ok so now we have some kind of disparity between the private banks and the CBI? Do they want their currency to be worth something or not. Looks. Like only time will tell.

[uncirculd]

***///

 

That's what we're sayin'... are these pirvate banks going ROGUE...?

And can they do that - going off-script without the CBI's  blessing...?

or...

Is the CBI "using" them for an "exercise" to test market reaction

before THEY make "the big move"...?

 

we don't know.....

I believe you are on track.  They have gradually increased the value of the dinar, bit by bit.  Remember the giant leap of 4 pips either last year or late 2011?  lol...I think once they have the security in their minds they can cover it and finish the laws and political woes taken care of, it will burst.  There are forces who would never let it happen because they benefit from the PM and his shenanigans.   Hopefully, they can take care of this and get on with it.   The CBI has put out numerous articles in the past about the gradual rise in the value.  Well it has been doing that for years.   Maybe some might mistake this as a float.  Heck, I don't know but it's going in the right direction.  Then the lopsters also can say, it's loping.  It has lopped a few times.  But that is the banks mechanism of preserving the inflation and/or value.  Let's just see if they don't go and do something stupid now that they are released from most of the sanctions.  

[SocalDinar]

I Wonder if we will see a reduction of banks participating in the auctions at some point here.

 

Good to see you Carrello

Announcement No. (2430)

The latest daily currency auction was held in the Central Bank of Iraq on the 21-Jul-2013 . The results were as follows:

 

Details Notes Number of banks 10

 

Its down to 10 Today. LOL