CBI announces the issuance of remittances worth 5 trillion dinars

[Markinsa]

CBI announces the issuance of remittances worth 5 trillion dinars

Tuesday January 13, 2015, Last updated 18:25[/size]
 



In conjunction with the announcement of the Iraqi Central Bank plan to issue Hawwalath of the order of 91 days for this year worth more than 5 trillion dinars, bank adviser said that the sale of remittances represents one means of monetary policy taken by the bank to deal with the levels of liquidity on a temporary basis, as well as it represents free investment risk is making them play an active role in the secondary market.

According to economic expert Essam Mahouelle that the central bank is very keen on the implementation of monetary policy and investment tools to serve the Iraqi economy in general.
Mahouelle also added in a statement: "The sale transfers from the central monetary policy aimed at the cluster of cash outside the banking sector absorption, transformation and forwarded to the banking system tools for intervention credits granted by banks to serve the country's economy and contribute actively in the development process.

[Texstorm]

Ok is this a great big step or another little one ? Someone please chime in.....Thanks Markinsa !

[Goggles]

Go RV! 

[WheresmyRV?]

Whats the nut on this one? Im trying to understand it.

[Markinsa]

Whats the nut on this one? Im trying to understand it.

 

It seems they are trying to pull in currency outside of banks which would lower M1 & M2, which is the #1 thorn of contention among lopsters.  Too much M2 and a 1-1 RV would make the value unsustainable.  

 

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[dantach]

Another 5 trillion on the street to RV? This is good?

[Texstorm]

Thanks for your response Markinsa !  

[Markinsa]

Another 5 trillion on the street to RV? This is good?

 

They're coming off the street.  People use their Dinars to buy into these bonds, securities, or whatever you want to call them.  That pulls the Dinar out of M1 & M2, and puts them into M3 & M4, thereby reducing the number of Dinars out on the streets.  

[dantach]

Thanks Mark. I'm Another know nothing talking.

[SnowGlobe7]

They're coming off the street.  People use their Dinars to buy into these bonds, securities, or whatever you want to call them.  That pulls the Dinar out of M1 & M2, and puts them into M3 & M4, thereby reducing the number of Dinars out on the streets.  

 

 

[dontlop]

Where will they go , into a vault ?

Will 5 trillion dinar out of 80 trillion being temporarily removed be enough to rv when the budget comes out next week ?

[strictlytires]

Lets go RV.  Git R Done Already.

[WheresmyRV?]

Thanks Markinsa!

[tlars brother]

these are just 90 days notes....they have been doing them all along.  They have not been allowed to sell long term bonds by the IMF till the RV occurs.  These were called "Treasure Transfers" by Turki when he ran the show. no big deal one way or the other

[Markinsa]

Apparently they did the same thing back in May 2014.
 

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More than 5 trillion dinars value Auctions Central remittances

 

5/31/2014 0:00 

BAGHDAD - morning, 
the central bank announced its plan for the current year to issue Hawwalath of the 91-day auctions organized in Alpennek.waodh headquarters source at the bank said the plan included the establishment of 26 auction this year, indicating that the value of each auction of 200 billion dinars for the total Asdaria amount of 5 trillion and 200 billion dinars. 

 

The sale transfers the central bank to departments and banks and government, a single monetary policy pursued by central to regulate levels of liquidity and control tools, as well as the achievement of financial benefit to government departments to participate in these auctions through interest rates and discount rates. 

 

differ auctions organized by the Ministry of Finance for the sale of treasury transfers for Auctions central bank to sell Hawwalath clear difference, as the treasury transfers are handled internally (inside Iraq), which is a bond issued by the Government of between three months and full year and do not bear interest, but are sold given the nominal value at a discount, and give Government interest-bearing cash is relatively low compared to the price prevailing on the bank loan interest rates because of the severity of the liquidity of these transfers stemming from the possibility deducted before the date of maturity at Altjarah.oha banks payable borne by the Ministry of Finance to fund my time deficit, while remittances Bank sold at a discount rate of amount Asdaria for the benefit of the community care of minors and retirement. 

 

The central bank acknowledged in May 27 to hold a public auction for the sale of Hawwalath for 91-day and $ 200 billion dinars, where the sale of the amount of 96 billion and 400 million dinars from the amount of Asdaria. 
The total multi-highest interest rate discount rate of 5 percent, participated in the auction 7 participants internalized by 5 banks and the Departments of retirement and care for minors and they provided was $ 101 billion and 400 million dinars. 

 

It is scheduled to be held in the twenty-fourth of this month, an auction last to sell remittances Bank in the amount of 200 billion dinars within the plan announced by the central bank.

[Tripphood]

I'm not sure, what does M stand for?

[new york kevin]

They're coming off the street. People use their Dinars to buy into these bonds, securities, or whatever you want to call them. That pulls the Dinar out of M1 & M2, and puts them into M3 & M4, thereby reducing the number of Dinars out on the streets.

Thanks Markinsa, now I understand that. For my moderately informed butt at first, second, and third read "I dint honor stan." This has got to make all in DV land happy as the money supply, I forgot which M that one is, the physical amount of notes out there will now lower from 6 billion notes to the CBI target amount of 4 billion notes. This is the number of physical notes, not value, they wanted to be at before the CBI RV the IQD.

May they sell all they have in seconds! Adam how can we buy some of these bonds?

[Markinsa]

I'm not sure, what does M stand for?

 

M = Money Supply

 

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[sandfly]

THANKS

[Laid Back]

Sucking dinars off the street.!!

Good news.!

Go CBI

Go dinar

Go strong $1.13:1