A source at the bank: No control over the flow of dollars abroad

[yota691]

02/14/2015 (20:30)   -   the number of readings: 182   -  number (3288)

 

 

A source at the bank: No control over the flow of dollars abroad

BAGHDAD / Amer Mohi 
 

Demanded an official source at the Central Bank of Iraq, on Saturday, monitoring the movement of the dollar and put controls on foreign exchange companies and check receipts and money transfer. While an economist pointed out that determining the amount of dollar selling in the auction currency lowers the price of the dinar, the Iraqi government called for a work of non-interference of the Central Bank.

 

An official source at the Central Bank, 
"long", that "the most important causes of decline of the dinar is the use of the dollar import process, so the need for it is greater than the Iraqi dinar, therefore, the money supply of the dollar is strong," stressing that "the Iraqis are forced to use the dollar transactions Foreign, a large demand for the dollar shall be measured in dinars. " 
The source, who declined to be named, said that "the Iraqi economy is not affected by a decline or rise in the dollar only, but there are other effects such as the security situation and financial and administrative corruption," pointing out that "the high exchange rate dollar against the dinar, affect the processes of buying and selling and import. " 
He called the source to "put a fixed exchange abide by remittance companies price, in addition to the control of receipts under which the transfer of funds, as well as determine how the entry and exit of the dollar", calling for "activating laws Product and protect the goods, because in the national product protection promotes the local economy, thus eliminating the need to import and have a few dollar exit, which leads to be less than the dollar's exchange rate against the dinar. " 
He predicted "a strong dollar, because the budget law for 2015 select sale of the Central Bank $ 75 million per day, which led to weak demand for the dollar because the central bank was selling from 100-150 million dollars a day to meet the need of the market, but in light of determining the amount of dollar selling will increase demand and rising prices. " 
For his part, said an expert on economic affairs spokesman Anton, "long", that "the rate of the dinar started to decline after the approval of the federal budget in 2015, after the government set the dollar amount of the sale of $ 75 million per day," noting that "it is wrong to interfere with the process of the Iraqi government to determine the amount of the sale the dollar. " 
Anton predicted "continued decline in the value of the dinar because of the great demand for the dollar, and because determining the central bank selling $ 75 million only, so the dinar will fall," calling on the government to "cancel its decision to select the sale of the dollar." 
He held Anton some traders responsible for the low dinar exchange rate, "because the dealers to sell additional quantities of dollar per day," and urged the government to "follow the work of traders and control money laundering, which is in a significant way, in addition to the demand for the dollar control." 
He called the appearance of Mohammed Saleh Economic Adviser to the Prime Minister Haider al-Abadi (February 3, 2015), the Central Bank to clarify the reasons for the low value of the Iraqi dinar against the rise in the dollar price in the local market. 
Saleh said on "the central bank need to clarify the reasons for the high dollar rate against the dinar, though slight, and shows what actions and policies taken to preserve the value of the dinar. " 
He pointed out that "a determining central bank sales of the dollar in its daily auction was due to financial hardship, home to Iraq and maintain the bank's reserves of foreign currency which is linked revenues Iraq to fall and rise and be maintained by reducing its demand for the dollar and cover basic needs it. " 
And "we have in Iraq uncontrollable commercial and there are goods in the market is not worth the import where there are stocks of durable household as materials and cars suffice Iraq for several years, but the import is continuing and this exhausts the state budget." 
The prime minister for economic affairs, "adviser strength of the dinar Iraqi. It is covered in foreign currency, according to the monetary mass defined by more than one and half times but at the same time, we must achieve a balance in maintaining the amount of foreign currency exchange rates and the value of the Iraqi dinar, " 
and discussed the Cabinet in its meeting (February 3, 2015) The reasons for decline of the dinar against the dollar at the forefront of trading this week. 
A source familiar with the Council of Ministers that "the central bank was wary of the consequences of entering the parliamentary finance committee in the dinar exchange rate under the pretext of controlling the exchange rate and quantity," adding that "Parliament intervention in this matter is something fishy some thing, especially since Parliament tasks recede legislation, oversight and not draw a certain fiscal policy. " 
He added that "the Council of Ministers did not put in the agenda the subject of discussion of the causes of decline of the dinar, but the objection of the Central Bank on some materials and items of Federal Financial Budget Law for the year 2015 paid to think to discuss the subject at the meeting. "

 

[yota691]

The government is seeking to increase dollar sales to 125 million to reduce the value

15/02/2015

 
 
BAGHDAD / JD / .. Finance Committee revealed seek Cabinet to increase dollar sales to 125 million instead of 75 million to reduce its value, as pointed out that the rise in the dollar will not continue, and there is a tendency to install its price against the dinar.
The committee member said Masood Haider told / BD /: that there is a different perspective to the Council of Ministers and Central Bank on what came in the budget law which set the sale of $ 75 million a day.
He expressed the belief that it will change the amount of $ 75 million in the near future, because the state needs to sell about $ 125 million a day, which will contribute to reducing its price, indicating that the rise happening in the dollar will not continue, and there is a tendency to install its price against the dinar.
He noted the impact of foreign currency traders in the case of the dollar high at the moment, adding that the central bank the authority to maintain the value of the Iraqi dinar against the hard currency in the budget law. / It's over. Safa Ali / 

Read more: http://dinarvets.com/forums/index.php?/topic/197153-the-government-is-seeking-to-increase-dollar-sales-to-125-million-to-reduce-the-value/#ixzz3Rp5wGc3V

[moneysoon]

Morning Yota,

 

We shall see about this...... I see alot of movement from various sectors. They have an end game in mind!

[Wiljor]

Good morning Yota

To me this is big news because it clearly shows that the daily currency auctions 75 million does not accomplish the necessity and cash flow needs and must be ratified. 125 million still does not reflect a realistic amount so, they can continue to chase a higher amount in daily currency auctions or step up to the plate and do what they need, and have to do, and we all know what that is. Yes yes it is easier said then done as their are still many pieces of the puzzle not in place as of today. Perhaps you are correct Moneysoon in your thoughts of a "end game" and many of us speculating the same. Iraq must fix their cash flow situation and soon and by making the Dinar a more attractive currency on the international arena is the only way a they can have forward looking economy. Security issues prevail and also banking, but day by day we move forward.

Thanks for the post and very much appreciated.

[mr.unlikely]

All of this talk is just rhetoric. In 2012 shabbibi showed the Maliki regime that he could change the rate whenever he wanted to by bumping the rate to 1166 from 1170. We woke up one morning and it had changed. The athourity to adjust the rate lies with the cbi and the rest is just lies. This is all my opinion based on past cbi actions, and I wish I knew why the cbi doesn't just tweak the rate a little to get this party started, they do have the authority. Yota thanks for the relentless news hounding and insight, keep bringin' it!

[captl1]

At 24 dinars per dollar commission that's a lot of revenue they are losing. Banks are in business to make money even in Iraq.

[yota691]

Most....not all of these private banks are politicians and they been profiting enormously...and it starting to effect their pocket...and it why they are complaining...

[aliciadogz]

Lets end this investment come on RV to many people all over the world need this RV thanks Yota you always do awesome job.

[yota691]

Parliamentary Finance: There monopolistic companies belonging to the political control of the central bank sales

• Agency eighth day
• February 15, 2015, 19:11
•  
• 33 Reading

Baghdad _ ((eighth day)) Deputy accused in the parliamentary finance committee, Sunday, monopolistic companies belonging to the political monopoly of the bank sales of currencies, causing serious material losses for the Iraqi economy, explaining that he had been informed of the government to take action and compel the bank put $ 75 million ceiling for higher sales.     Said committee member capable of Mohammed that "the central bank sales of more than need of the Iraqi market, but the scarcity of existing and the rise of the dinar against the dollar caused by monopolistic companies."   He added that "most direct bank sales of currencies go in favor of monopolistic companies affiliated to political figures you sell later at higher prices."   According capable "The committee has informed the presidency of the parliament and the government about it and ordered the bank that does not exceed the ceiling of their sales to $ 75 million". | ST |

Read more: http://dinarvets.com/forums/index.php?/topic/197170-parliamentary-finance-there-monopolistic-companies-belonging-to-the-political-control-of-the-central-bank-sales/#ixzz3RpofyLDs

[watercop]

This is an interesting read.  I want to bump it and say that just the other day when they were talking about making the ceiling for their sales be $75 M. The news said that it would increase the value of the dinar and they had a good case for it now there is this and they have a good case for it  So now I wonder it anyone over there knows what they are doing.

[sandfly]

THANKS

[Big_J]

[BradyBear]

Paragraph to Paragraph it sounds a little like they aren't sure, but I see on occasion signs of intelligence that they are beginning to realize the Dollar and the Dinar Must come into par with each other or nothing is gained! Am I right or do they still have me confused?