Dinar fall against the dollar after the central bank's actions and recommendations budget

[yota691]

 

 

Iraqi currency in a bank

Dinar fall against the dollar after the central bank's actions and recommendations budget

 

Author: BS, MK 
Editor: BS 2.2.2015 eighteen past three p.m. number of readings: 266 

 

 

Long-Presse / Baghdad

Economic Commission attributed the Iraqi Council of Representatives, on Monday, rising dollar exchange rate of the dinar in the Iraqi market to the decisions taken by the Central Bank during the past few days to support the economic development that, while likely economist return of the dollar to normal rates through a simple period, attributing the reason for the rise to "rush" banking offices to buy the dollar, as well as reducing the quantities sold by the central bank as recommended by the general budget.

She said a member of the Economic Committee Najiba Najib in an interview with the (long-Presse), "The Central Bank has taken new measures that would provide cash to cover the shortfall in the budget in light of falling oil prices to below $ 50," noting that in light of the lack of financial revenue was on the state to take a range of actions to provide the largest possible number of the currency bloc to consolidate the increased revenue size. "

Najib has ruled that "these measures are working to reduce the value of the Iraqi dinar or cancel support him," indicating that "the bank will maintain the exchange rate and the price of the dollar against the dinar will rise from what it is now."

For his part, economist said on behalf of Antoine "The budget amounts identified by The Central Bank sold the currency to $ 75 million," noting that there Thavta by banking offices to buy the dollar for fear of re-evaluation of the dollar and raise the price. "

Antoine and ruled that "the Iraqi Central Bank to take any decision or action to reduce the rise in the dollar's exchange rate against the Iraqi dinar in the markets."

He favored the economic expert "does not continue to rise in the dollar's exchange rate against the Iraqi dinar according to the current price, but it declined gradually returning to normal after a few days," asserting that "the central bank has large amounts of dollar is continuing sell and will not stop."

Antoine promised to "cut the central bank to sell the dollar is only natural, especially with reducing the amount of the general budget of $ 150 billion to $ 100 billion," following up "can not pump the same amount of dollar with the budget cuts the fact that this will lead to a surplus of currency smuggling." .

The Iraqi markets witnessed a rise in the US dollar against the Iraqi dinar, amounting to US dollar exchange rate per 1260 dinars, and the rise came just days after the adoption of the general budget for 2015 (January 29, 2015)

 

Paragraph 50 of the Federal Assembly of the Budget Law 2015 provides that "the central bank is committed to identifying sales of foreign currency (dollar) in daily auction ceiling does not exceed 75 million dinars a day with exercise justice in the sales process, and calls for participating in the auction the bank providing the introduction of cargo documents Data and settling accounts and tax savings Alkmarki within 30 days from the date of purchase of the amount and otherwise apply to the bank penalties stipulated in the central bank law or instructions issued by him, and the use of other banking tools to maintain strength of the dinar against the dollar.

The Central Bank of Iraq announced on Sunday (February 1, 2015) to take five resolutions for "support" the development of the Iraqi economy, and confirmed his agreement to cover bank accounts abroad to "US dollar" to cover imports, and as he emphasized the importance of "accelerating" legislation Deposit Insurance Act , praised the formation of a committee to reconsider the benefits of the restructuring of its "approval of the Central Bank to cover the bank accounts abroad in US dollars to cover imports of customers and for other purposes without the need to pass a window sell the currency at the Central Bank of Iraq."

The Iraqi Central Bank announced last week, to take the necessary measures to boost liquidity in the banking system, while decided to facilitate the procedures for the sale of foreign currency "to sustain the exchange rate."

The Central Bank of Iraq, had announced in (18/01/2015), that the financial reserves of Iraq equivalent and a half times the weakness of the money supply, they returned it was "best rates" in the countries of the world, as he emphasized that Iraqi financial institutions are "unable" to cover The fiscal deficit, he stressed the need to reconsider the structure of the budget and spending and diversify sources of income and achieve investment more broadly to address the decline in oil prices.

[eburt]

Thanks Yota - Stop crying and RV your currency then you won't have this issue.....

[yota691]

Dollar exchange rates due to reduce hard currency raised by the Central Bank

 BAGHDAD - Iraq Press - February 2: After the rise of the dollar exchange rate against the Iraqi dinar attributed the Economic Committee in the House of Representatives on Monday, the high exchange rate in local markets to Jmmlh of decisions taken by the Central Bank during the past few days to support economic development.

 

 

To this end, a banking expert said "dollar exchange rates will return to normal soon," noting that "the height of the dollar exchange rates against the Iraqi dinar is due to busily banking offices to buy the dollar, and reduce the amount of hard currency sold by the Central Bank in accordance with the recommendations of the the general budget. " Admiral ended 

 

[SnowGlobe7]

ugggggggg

 

Thanks for all your work again today Yota!

[pbtr]

Thanks Yota, could this be a final effort to pull the IQD float down before an RV?

[The Machine]

Well now this is a bit of a head scratcher..... They say there is a daily market cap for auctions at 75 million dinar..... But they sold $91 million dollars today.

Today's auction http://dinarvets.com/forums/index.php?/topic/196090-high-central-bank-sales-of-the-dollar-to-91-million-aktrmen/#entry1491098

Well if 75 million dinar = $91 million dollars then the rate is $1.2133

Or else the translated article is a little inaccurate and they should have said 75m dollar instead dinar for the market cap. But then they've just blown the cap on day 1 lol

I'd be over the moon with a $1.21 rate lol

Edited February 2, 2015 by The Machine

[yota691]

Thanks Yota, could this be a final effort to pull the IQD float down before an RV?

This could be the start...as I said in couple post with sales of CBI and the new limit..it should cause a demand..in which will in turn drive the IQD up...we do need to see that Budget has been signed..in  which contains HCA aka HCL and the aboard part in which the CBI says it will cover to make all this legit....hope this help...wait for it....  

[blueskyline]

I saw that too . But did not think much of it as if that cap were not to start just yet . Very interesting.

[SnowGlobe7]

It does help..you are one smart cookie!!

[yota691]

Highlight this from the above article..which seems to have some of ya'll concerned...

30 days from the date of purchase of the amount and otherwise apply to the bank penalties stipulated in the central bank law or instructions issued by him, and the use of other banking tools to maintain strength of the dinar against the dollar.

Read more: http://dinarvets.com/forums/index.php?/topic/196095-dinar-fall-against-the-dollar-after-the-central-banks-actions-and-recommendations-budget/#ixzz3QaxeGIRg

 

[NeedRv]

Well now this is a bit of a head scratcher..... They say there is a daily market cap for auctions at 75 million dinar..... But they sold $91 million dollars today.

Today's auction http://dinarvets.com/forums/index.php?/topic/196090-high-central-bank-sales-of-the-dollar-to-91-million-aktrmen/#entry1491098

Well if 75 million dinar = $91 million dollars then the rate is $1.2133

Or else the translated article is a little inaccurate and they should have said 75m dollar instead dinar for the market cap. But then they've just blown the cap on day 1 lol

I'd be over the moon with a $1.21 rate lol

I agree....$1.21 would be AWESOME....

I assume since the budget hasnt actually been signed yet that the "cap" is N/A right now... I assume once the budget gets signed then the "cap" will be in place... IMHO

[The Machine]

I agree....$1.21 would be AWESOME....

I assume since the budget hasnt actually been signed yet that the "cap" is N/A right now... I assume once the budget gets signed then the "cap" will be in place... IMHO

I just thought of that after posting... Ah well it was wishful thinking.... $1.21 would be awesome straight out of the gate

[NeedRv]

We dont know what they will RV/RI at...BUT to me (again MHO) they would want to come out at $1 or better just to get rid of the use of the USD.... but I could be wrong... Sh*t.....they carry around 25k notes.... haha... no need for a dollar..... 

[bigwave]

We dont know what they will RV/RI at...BUT to me (again MHO) they would want to come out at $1 or better just to get rid of the use of the USD.... but I could be wrong... Sh*t.....they carry around 25k notes.... haha... no need for a dollar..... 

I'm thinking the same.

 

FYI down in Colombia they carry around 50,000.00 notes. They do have a variety of coins too. It seems so weird everything is made in China, the Colombians all get paid dirt to work, banking laws suck, yet daily it is business as usual. 

 

Manuipulation at its finest.

 

Peace,

 

Come on RV

[NeedRv]

50k notes... wow... thing about IQD is that the 25k notes are so big.... imagine trying to fold those in half and putting them in your pocket...let alone trying to find a wallet to fit those big notes.... need backpacks for IQD money.... haha

[Integrativedoc]

We dont know what they will RV/RI at...BUT to me (again MHO) they would want to come out at $1 or better just to get rid of the use of the USD.... but I could be wrong... Sh*t.....they carry around 25k notes.... haha... no need for a dollar..... 

All they have to do is put in a legal tender law as we have. Then dinar only legal tender for the country. Not happening soon though.

[Jaygo]

I agree....$1.21 would be AWESOME....

I assume since the budget hasnt actually been signed yet that the "cap" is N/A right now... I assume once the budget gets signed then the "cap" will be in place... IMHO

Agreed

[umbertino]

I'm thinking the same.

 

FYI down in Colombia they carry around 50,000.00 notes. They do have a variety of coins too. It seems so weird everything is made in China, the Colombians all get paid dirt to work, banking laws suck, yet daily it is business as usual. 

 

Manuipulation at its finest.

 

Peace,

 

Come on RV

Here in Italy  before  the Euro...We had  lots of "big " notes up to 500,000 Liras

 

https://www.google.it/search?q=Banconota+da+500.000+Lire+-+banca+d%27italia&safe=off&hl=it&biw=856&bih=609&tbm=isch&tbo=u&source=univ&sa=X&ei=M43PVM2NKc_paM_ogegB&ved=0CCAQsAQ

Edited February 2, 2015 by umbertino

[bigwave]

Wow 500,000 did that buy a car or a bike?

[The Machine]

Wow 500,000 did that buy a car or a bike?

From memory 500,000 lira was worth about $300

It would buy u a pretty crappy car

Edited February 2, 2015 by The Machine

[TrinityeXchange]

this, to me, is simply organic.  as access to the us dollar becomes restricted, it is only a natural occurrence for it to be more demanded.  higher demanded means increase in value.  however, once the iqd is revalued and confidence in it restored, the local market will not care as much for the usd and demand for it will dwindle.

[Big_J]

 

I agree. Naturally in this direction.

Edited February 2, 2015 by Big_J

[chinadawg]

just all part of the process...... relax and have another cigar.

[vietnam1969]

Well now this is a bit of a head scratcher..... They say there is a daily market cap for auctions at 75 million dinar..... But they sold $91 million dollars today.

Today's auction http://dinarvets.com/forums/index.php?/topic/196090-high-central-bank-sales-of-the-dollar-to-91-million-aktrmen/#entry1491098

Well if 75 million dinar = $91 million dollars then the rate is $1.2133

Or else the translated article is a little inaccurate and they should have said 75m dollar instead dinar for the market cap. But then they've just blown the cap on day 1 lol

I'd be over the moon with a $1.21 rate lol

 Couldn't agree with you more on this one TM.  It didn't sound right to me either.  The 75 million Dinar stopped me in my tracks.  

[ChuckFinley]

Yota, great post and I agree with the concept of demand. As things start developing people will start jumping on the IQD because they seeing things are changing on want to get on board.