Bond and cracked plane glass

[yota691]

The effectiveness of monetary policy in Iraq

 

Ahmed Hazal

Ahmed Hazal * Monetary policy is one of the most important tools used by countries to deal with economic problems, whether at the level of growth, unemployment, poverty, inflation and monetary stability. There is no distinction between economic and monetary stability. Economic stability is linked to economic policy as a whole, This is different from the monetary stability, which aims to achieve balance in the exchange rate and safe levels of inflation rate and increase economic growth rates through monetary policy instruments, which naturally leads to economic stability if the response of the sectors The Central Bank of Iraq Law No. (56) of 2004 affirmed that one of the central objectives of the Central Bank is to achieve monetary stability. As a result of the non-response of the real sector to the variables of monetary policy, this reflects the structural imbalances in the Iraqi economy. After 2003, the Iraqi economy exercised the tools of transition to a market economy, which has certain principles and rules committed by countries. Monetary policy has used the most influential tools in the exchange rate, which is the currency's window in balancing demand and supply. This depends on oil revenues. Public finance relies on (89%) of public revenues as in the budget of 2019 and more in previous budgets. The oil sector accounts for more than (60%) of GDP, and notes the structural imbalances in public finances first, in the economic sectors Second. These imbalances result in instability at the economic and monetary level. Thus, money supply is an internal variable of fiscal policy (as we always confirm) as long as the Ministry of Finance is responsible for selling the dollar to the central bank. By reducing or increasing public spending, as well as that every rise in the budget deficit leads to an increase in money supply because public finances resort to the instrument of public debt (internal and external) to meet the needs of the budget, which leads to the occurrence of inflationary waves pushing monetary policy to fill them through Window Currency is the most influential instrument because of the low interest rate flexibility in the banking system as a result of the separation between the real and monetary sector. The monetary policy practiced the type of exchange rate nominally valid for monetary stability due to imbalances experienced by the economy. Statistical data issued by the Statistics and Research Department of the Central Bank show that the exchange rate for the years 2015-2018 reached a maximum of 1190 dinars (1180) dinars per dollar. As for the parallel market price, the maximum limit reached (1281) dinars per dollar, while the minimum reached (1215) dinars per dollar. The foreign exchange reserve is a cover for the local currency and this ensures its stability and achieves development if it remains within the normative limits. The data indicate that the reserves index is moving towards safety according to international standards and covers more than 6 months of imports in case of lack of oil revenues. Including the so-called double shock in 2014, namely, the sharp drop in oil prices on the one hand, and the military strike against the organization calling on the terrorist on the other. This necessitated the intervention of the Central Bank to achieve stability and to meet the funding needs to face the financial and military shock Indirectly through the marketing of public bonds.  The reserves are not frozen, but are used in the management of currency and foreign cash investments, in addition to providing security for the national currency. If the demand for the dollar does not meet an equal offer, it means that it is one of the indicators of the collapse of the currency. Therefore, we note that the central bank is keen to cover domestic demand and demand for Import, and after 2015, I used a package of measures aimed at reducing the gap between my official and parallel prices. When the central bank sells the dollar, it aims to preserve the value of the currency, so it does not practice a commercial process as much as it activates its tools to achieve stability. The international standards stipulate that the difference between the official bank price and the parallel price (2%) should not be noticed. More than (8%) This is a serious indicator that threatened the value of the currency at the time, but now we note that the monetary policy was able to achieve convergence between the official and parallel exchange rates and a difference acceptable globally and according to the agreement signed by Iraq, which stipulates that the difference (2%), The official exchange rate for this year (1190) dinars per d This means the reduction of the gap to less than 2%. This also means the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's law to achieve stability first and to raise the value of the local currency. It is possible for the citizen to benefit when buying goods  * Economic Researcher Views 43   Date Added 15/04/2019

[KDuesing]

Here let me fix the mistake in the title.

Quote

The INeffectiveness of monetary policy in Iraq

 

[Synopsis]

10 minutes ago, yota691 said:

This also means the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's law to achieve stability first and to raise the value of the local currency. It is possible for the citizen to benefit when buying goods

 

Although an opinion piece, one MUST wonder IF THIS is ALSO an educational article for the Bicraqi Iraqi ON UP COMING CHANGES!!!

 

      

 

Go Moola Nova!

[2fast4u2c]

I think we are looking at Jan 2020

[pokerplayer]

This looks pretty Promising !!

 

pp

 

The effectiveness of monetary policy in Iraq

 

Ahmed Hazal *






Monetary policy is one of the most important tools used by countries to deal with economic problems, whether at the level of growth, unemployment, poverty, inflation and monetary stability. There is no distinction between economic and monetary stability. Economic stability is linked to economic policy as a whole, This is different from the monetary stability, which aims to achieve balance in the exchange rate and safe levels of inflation rate and increase economic growth rates through monetary policy instruments, which naturally leads to economic stability if the response of the sectors The Central Bank of Iraq Law No. (56) of 2004 affirmed that one of the central objectives of the Central Bank is to achieve monetary stability. As a result of the non-response of the real sector to the variables of monetary policy, this reflects the structural imbalances in the Iraqi economy.

After 2003, the Iraqi economy exercised the tools of transition to a market economy, which has certain principles and rules committed by countries. Monetary policy has used the most influential tools in the exchange rate, which is the currency's window in balancing demand and supply. This depends on oil revenues. Public finance relies on (89%) of public revenues as in the budget of 2019 and more in previous budgets. The oil sector accounts for more than (60%) of GDP, and notes the structural imbalances in public finances first, in the economic sectors Second.

These imbalances result in instability at the economic and monetary level. Thus, money supply is an internal variable of fiscal policy (as we always confirm) as long as the Ministry of Finance is responsible for selling the dollar to the central bank. By reducing or increasing public spending, as well as that every rise in the budget deficit leads to an increase in money supply because public finances resort to the instrument of public debt (internal and external) to meet the needs of the budget, which leads to the occurrence of inflationary waves pushing monetary policy to fill them through Nafez Currency which is the most influential tool because of the low interest rate flexibility in the banking system as a result of separation winning Yin monetary and real sector.

The monetary policy practiced the type of exchange rate nominally valid for monetary stability due to imbalances experienced by the economy. Statistical data issued by the Statistics and Research Department of the Central Bank show that the exchange rate for the years 2015-2018 reached a maximum of 1190 dinars (1180) dinars per dollar. As for the parallel market price, the maximum limit reached (1281) dinars per dollar, while the minimum reached (1215) dinars per dollar.

The foreign exchange reserve is a cover for the local currency and this ensures its stability and achieves development if it remains within the normative limits. The data indicate that the reserves index is moving towards safety according to international standards and covers more than 6 months of imports in case of lack of oil revenues. Including the so-called double shock in 2014, namely, the sharp drop in oil prices on the one hand, and the military strike against the organization calling on the terrorist on the other. This called for intervention by the Central Bank to achieve stability and to meet the funding needs to confront the financial and military shock Indirectly through the marketing of public bonds.

 The reserves are not frozen, but are used in the management of currency and foreign cash investments, in addition to providing security for the national currency. If the demand for the dollar does not meet an equal offer, it means that it is one of the indicators of the collapse of the currency. Therefore, we note that the central bank is keen to cover domestic demand and demand for Import, and after 2015, I used a package of measures aimed at reducing the gap between my official and parallel prices.

When the central bank sells the dollar, it aims to preserve the value of the currency, so it does not practice a commercial process as much as it activates its tools to achieve stability. The international standards stipulate that the difference between the official bank price and the parallel price (2%) should not be noticed. More than (8%) This is a serious indicator that threatened the value of the currency at the time, but now we note that the monetary policy was able to achieve convergence between the official and parallel exchange rates and a difference acceptable globally and according to the agreement signed by Iraq, which stipulates that the difference (2%), The official exchange rate for this year (1190) dinars per d This means the reduction of the gap to less than 2%. This also means the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's law to achieve stability first and to raise the value of the local currency. It is possible for the citizen to benefit when purchasing goods and services because most commodities are imported and denominated in dollars.
 

* Economic Researcher

Views 216   Date Added 04/15/2019

http://economy-news.net/content.php?id=162

[navira]

We have achieved the 2% gap between the bank official price n the parallel price and its stability..so only one left to be done and that is to raise the value of the iqd(local currency). We have FML to be voted on this Wednesday...and I believe this is very important and the parliamentary finance committee wants the mechanism in place to raise the value of the iqd....and it's coming. Let's go April to may 1. Cheers all.

[navira]

Cheers bro

[NEPatriotsFan1]

1 hour ago, pokerplayer said:

This looks pretty Promising !!

 

pp

 

The effectiveness of monetary policy in Iraq

 

Ahmed Hazal *

15/04/2019




Monetary policy is one of the most important tools used by countries to deal with economic problems, whether at the level of growth, unemployment, poverty, inflation and monetary stability. There is no distinction between economic and monetary stability. Economic stability is linked to economic policy as a whole, This is different from the monetary stability, which aims to achieve balance in the exchange rate and safe levels of inflation rate and increase economic growth rates through monetary policy instruments, which naturally leads to economic stability if the response of the sectors The Central Bank of Iraq Law No. (56) of 2004 affirmed that one of the central objectives of the Central Bank is to achieve monetary stability. As a result of the non-response of the real sector to the variables of monetary policy, this reflects the structural imbalances in the Iraqi economy.

After 2003, the Iraqi economy exercised the tools of transition to a market economy, which has certain principles and rules committed by countries. Monetary policy has used the most influential tools in the exchange rate, which is the currency's window in balancing demand and supply. This depends on oil revenues. Public finance relies on (89%) of public revenues as in the budget of 2019 and more in previous budgets. The oil sector accounts for more than (60%) of GDP, and notes the structural imbalances in public finances first, in the economic sectors Second.

These imbalances result in instability at the economic and monetary level. Thus, money supply is an internal variable of fiscal policy (as we always confirm) as long as the Ministry of Finance is responsible for selling the dollar to the central bank. By reducing or increasing public spending, as well as that every rise in the budget deficit leads to an increase in money supply because public finances resort to the instrument of public debt (internal and external) to meet the needs of the budget, which leads to the occurrence of inflationary waves pushing monetary policy to fill them through Nafez Currency which is the most influential tool because of the low interest rate flexibility in the banking system as a result of separation winning Yin monetary and real sector.

The monetary policy practiced the type of exchange rate nominally valid for monetary stability due to imbalances experienced by the economy. Statistical data issued by the Statistics and Research Department of the Central Bank show that the exchange rate for the years 2015-2018 reached a maximum of 1190 dinars (1180) dinars per dollar. As for the parallel market price, the maximum limit reached (1281) dinars per dollar, while the minimum reached (1215) dinars per dollar.

The foreign exchange reserve is a cover for the local currency and this ensures its stability and achieves development if it remains within the normative limits. The data indicate that the reserves index is moving towards safety according to international standards and covers more than 6 months of imports in case of lack of oil revenues. Including the so-called double shock in 2014, namely, the sharp drop in oil prices on the one hand, and the military strike against the organization calling on the terrorist on the other. This called for intervention by the Central Bank to achieve stability and to meet the funding needs to confront the financial and military shock Indirectly through the marketing of public bonds.

 The reserves are not frozen, but are used in the management of currency and foreign cash investments, in addition to providing security for the national currency. If the demand for the dollar does not meet an equal offer, it means that it is one of the indicators of the collapse of the currency. Therefore, we note that the central bank is keen to cover domestic demand and demand for Import, and after 2015, I used a package of measures aimed at reducing the gap between my official and parallel prices.

When the central bank sells the dollar, it aims to preserve the value of the currency, so it does not practice a commercial process as much as it activates its tools to achieve stability. The international standards stipulate that the difference between the official bank price and the parallel price (2%) should not be noticed. More than (8%) This is a serious indicator that threatened the value of the currency at the time, but now we note that the monetary policy was able to achieve convergence between the official and parallel exchange rates and a difference acceptable globally and according to the agreement signed by Iraq, which stipulates that the difference (2%), The official exchange rate for this year (1190) dinars per d This means the reduction of the gap to less than 2%. This also means the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's law to achieve stability first and to raise the value of the local currency. It is possible for the citizen to benefit when purchasing goods and services because most commodities are imported and denominated in dollars.




http://economy-news.net/content.php?id=162

It does look promising, PP ! 🤞🏻

 

 

[NEPatriotsFan1]

52 minutes ago, navira said:

We have achieved the 2% gap between the bank official price n the parallel price and its stability..so only one left to be done and that is to raise the value of the iqd(local currency). We have FML to be voted on this Wednesday...and I believe this is very important and the parliamentary finance committee wants the mechanism in place to raise the value of the iqd....and it's coming. Let's go April to may 1. Cheers all.

Love it Navira! Let’s do this finally

[Laid Back]

 This also means the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's law to achieve stability first and to raise the value of the local currency.

 

The gap has been reduced  +/-2%

Stability has been achieved 

We are just waiting for the CBI to raise the value of local currency 

 

just my opinion.!

[Floridian]

I hope you guys are right, but the way I'm reading it is that the 1190 rate is good for this (whole) year of 2019.  The 2% gap has been reached a long time ago and has been maintained.

 

 

 but now we note that the monetary policy was able to achieve convergence between the official and parallel exchange rates and a difference acceptable globally and according to the agreement signed by Iraq, which stipulates that the difference (2%), The official exchange rate for this year (1190) dinars per d This means the reduction of the gap to less than 2%. 

 

 

From RonScarpa:

 

- Rates Are Within IMF 2% Rule: YES 
- Are Rates IMF 2% Rule Compliant for 90 Days: YES (maintained since ~Mar. 15, 2018 & Iraq Market since ~Nov. 14, 2018)

Edited April 15, 2019 by Floridian

[jake21]

Me too Floridian. Besides, what most fail to recognize is that the CBI is corrupt with Iran controlling it and as long as they have the auctions which are the main ingredient for corruption. There are recent articles out there stating that the auctions need to stop but they've been saying that for years. UNTIL they stop it, no RI!

[GreedyDinar07]

Right Jakes21 and what about the 76 trillion in dinar the other artilce mentioned..can someone explain that?

[blueskyline]

Thank You Yota . GA DV's...The official exchange rate for this year (1190) dinars ..........((((((((This also means)))))))) the monetary authority's affirmation of the need to reduce the gap as a result of its commitment to the Central Bank's (((law))) to achieve stability first and to raise the value of the local currency. ......Onward 

[pokerplayer]

 

Hello yota,

 

  Got your message but how does a person tell when a link is embedded ? I try and make sure that does not happen, but if there is a secret way it is done then that is way above my pay grade.

 

  Thxs again,  pp

[ChuckFinley]

As more and more deals get done there will be an increase in pressure to RV and that is good for us. 

[yota691]

Bond and cracked plane glass

 

Economic Researcher Ahmed Hazal

Articles Ahmed Hazal * I stood a little to think about the incident of the Iraqi aircraft of the Iraqi Airways, which was issued by the Iraqi Airways (on March 26) that the commander of the flight from Baghdad to Ukraine took a decision to land at Ankara International Airport because of the cracking of the plane's glass, Not only the fault of the plane's glass, but the company's reputation and its relationship to the reputation of government bonds when they are affected by financial shocks or political and economic instability. Bonds are a debt instrument used by governments to fund their projects or to finance deficits in the public budget and within acceptable risks to which investors are attracted. Rough-plane glass, government debt, financial viability and investor risk are both alarming at a risk-adjusted rate of return. I think when I hear the reason for the plane crash, I think when I plan to travel to a country I will look at the Kukle engine to show me what companies are This is exactly what the investor is looking for when buying a particular bond. He may accept a low rate of return for a certain bond in which the safety ratio increases, and in order to ensure that his investment is more secure than if he invests in another bond, Yield but does not guarantee refund of the amount Fh as a result of the high risk premium, the Iraqi Valsndhat According to S & P in 2018 was (- B / B), Which means that this bond is unstable and can be affected when marketing or bear the risk premium, on the one hand, and on the other hand when the Iraqi government invests in US bonds and made Iraq fourth place ownership of US bonds and the value of more than (20) billion dollars , This is the meaning of lower returns and less risk. Indeed, it has lost a higher rate of return (opportunity costs) if it invests in high risk bonds. Similarly, the standards of global aviation safety put some airlines of some countries in the blacklist when they violate maintenance and safety, Cell (EASA ), Iraqi Airways was set up in 2015 due to safety standards. Valend and airlines are both very sensitive, because the first interest in the interests and money given by the investor at a high interest rate because of the risks caused by political instability and economic in the country, the second is the most expensive man has a life, when a black signal on a certain airline, Demand will fall sharply on these companies and will move to safer and safer companies, which will cause these companies significant financial losses. *Economic Researcher Views 35   Date Added 04/20/2019

[Half Crazy Runner]

Sorry, I just can’t get past this guy’s hair ...

 

[Big_J]

GM YOTA AND DV. NO DOUBT, THAT HAIR! 

3 hours ago, Half Crazy Runner said:

Sorry, I just can’t get past this guy’s hair ...