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The Parliamentary Economic Committee meeting begins, in the presence of the Central Bank Governor, to discuss the rise of the dollar


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A source for the Euphrates News: The Central Bank sets a new price for the dollar, starting from Sunday
  
{Baghdad: Al Furat News} A private source revealed that the Central Bank of Iraq will soon set a new price for the dollar exchange in Iraq.

The source told {Al-Furat News} that "the central bank, starting next Sunday, will adopt a new price for the dollar at a value of 1450 dinars for one dollar {ie 145 thousand dinars for one hundred dollars}".
It is noteworthy that the Central Bank of Iraq is currently selling dollars for 1190 dinars.
The Parliamentary Finance Committee hosted, yesterday, the Governor of the Central Bank, Mustafa Ghaleb, to discuss the economic crisis and the implications of the high exchange rate of hard currency on the Iraqi market situation.
The central bank governor explained to the committee, according to a statement that "the bank is preparing to launch a package of measures that will achieve a comfortable balance in the exchange rate for the year 2021, including launching an initiative in the amount of 3 trillion to support low-income people, doubling the provision of hard currency in the market, and increasing interest rates on the Iraqi currency deposited in Banks. "
According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars. The estimated revenues from exporting crude oil were also calculated on the basis of the price of 42 dollars per barrel, and the rate of exporting 3 million And 250 thousand barrels per day, including 250 thousand barrels exported from the Kurdistan region.
The former Undersecretary of the Ministry of Finance, Fadel Nabi, attributed the decline in the value of the Iraqi currency against the dollar to banks and currency dealers who are working to raise the price of the dollar in order to achieve profits. 
The leakage of the draft budget to the media and social networking sites caused widespread controversy and turmoil in the foreign currency market in Baghdad, as the exchange rate of the dollar rose in the local market in a frenzy and exceeded 1340 dinars before it fell to 132 thousand dinars after government and parliamentary assurances that the draft is not final and subject to modification. 
Ammar Al-Masoudi

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Man, did Adam know what he was talking about!!!  He said, "Bring on the bad news."  Darn right it's smoke and mirrors.  This is about to pop.  Sunday would be just fine.

1450 sounds like $1.45 to me!!!! 😬

I have a few issues with the ton of articles saying the dinar rate will devalue down to 1450 per dollar..   1,  have you noticed there has been a huge amount of articles all saying the same thi

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28 minutes ago, yota691 said:
A source for the Euphrates News: The Central Bank sets a new price for the dollar, starting from Sunday
  
{Baghdad: Al Furat News} A private source revealed that the Central Bank of Iraq will soon set a new price for the dollar exchange in Iraq.

The source told {Al-Furat News} that "the central bank, starting next Sunday, will adopt a new price for the dollar at a value of 1450 dinars for one dollar {ie 145 thousand dinars for one hundred dollars}".
It is noteworthy that the Central Bank of Iraq is currently selling dollars for 1190 dinars.
The Parliamentary Finance Committee hosted, yesterday, the Governor of the Central Bank, Mustafa Ghaleb, to discuss the economic crisis and the implications of the high exchange rate of hard currency on the Iraqi market situation.
The central bank governor explained to the committee, according to a statement that "the bank is preparing to launch a package of measures that will achieve a comfortable balance in the exchange rate for the year 2021, including launching an initiative in the amount of 3 trillion to support system" rel="">support low-income people, doubling the provision of hard currency in the market, and increasing interest rates on the Iraqi currency deposited in Banks. "
According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars. The estimated revenues from exporting crude oil were also calculated on the basis of the price of 42 dollars per barrel, and the rate of exporting 3 million And 250 thousand barrels per day, including 250 thousand barrels exported from the Kurdistan region.
The former Undersecretary of the Ministry of Finance, Fadel Nabi, attributed the decline in the value of the Iraqi currency against the dollar to banks and currency dealers who are working to raise the price of the dollar in order to achieve profits. 
The leakage of the draft budget to the media and social networking sites caused widespread controversy and turmoil in the foreign currency market in Baghdad, as the exchange rate of the dollar rose in the local market in a frenzy and exceeded 1340 dinars before it fell to 132 thousand dinars after government and parliamentary assurances that the draft is not final and subject to modification. 
Ammar Al-Masoudi

“According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars.“ and “draft is not final and subject to modification.”

Like I said yesterday.. sounds like $1.45 to me!! LETS GO!!!!

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19 minutes ago, Jaygo said:

“According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars.“ and “draft is not final and subject to modification.”

Like I said yesterday.. sounds like $1.45 to me!! LETS GO!!!!


If $1.45 be true .... well, just to be on the safe side, I slipped on my 1st pair of “Depends” this morning. This is Iraq after all: ya never can tell.

 

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Economist: What happened today is a “game” whose goal is to withdraw the money supply from the market to achieve a political goal

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1,207 Policy 12/17/2020 21:46
Baghdad today - Baghdad 

The economic expert, Rasim Al-Akidi, spoke today, Thursday, about political levers that caused the dollar to rise against the Iraqi dinar recently.

"The budget is a hypothetical government vision of financial and economic reality," said Rasim al-Aqidi, in an interview with (Baghdad Today), indicating that "the recent leaks of the budget in the media have been exploited by political and partisan fronts to strike a preemptive strike on the government by withdrawing the dollar that it bought at an official price. From the state from the window of selling the dollar. "

Al-Aqidi added that those interfaces "began to sell dollars on the black market and not to importers in an attempt to control the largest possible amount of the Iraqi monetary mass, especially since the government, within the budget leaks, raised the dollar exchange rate to 1450 dinars per dollar, in an attempt to control the exchange file and withdraw Monetary block. "

He continued, "They are trying to reduce the government's space to expand and control the file of the dinar and dollar exchange rate, before it begins its procedures in implementing what is included in the budget, especially raising the dollar exchange rate to 1450 dinars per dollar."

At the same time, the economist considered the possibility of increasing the price of fuel, "a catastrophic development that will lead to a significant price increase."

The local markets witnessed, this afternoon, Thursday 12/17/2020, a decrease in the exchange rates of the dollar against the local dinar after a big jump in prices since the early morning hours.

And the impact of the leakage of a preliminary draft for the 2021 budget on the exchange rates of the dollar, as its exchange rate jumped to 138 in some exchange in Baghdad and a number of other provinces, as the draft budget text carried the leaked budget, the government's adoption of a financial plan, in which the exchange rate of the dollar would be 145 thousand For every $ 100.

During the last hour, the dollar’s exchange rate decreased, reaching 132,000 dinars in the Kifah Stock Exchange in Baghdad for every 100 dollars, while in the central and southern governorates, the dollar exchange rate came as follows:

Basra 130,000 dinars against $ 100  

Dhi Qar, Maysan, Muthanna, Wasit, Diwaniyah, Najaf, Karbala, Babylon 132,600 for every $ 100.

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27 minutes ago, Jaygo said:

“According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars.“ and “draft is not final and subject to modification.”

Like I said yesterday.. sounds like $1.45 to me!! LETS GO!!!!

That’s what I’ve been thinking (fantasizing, hoping, wishing, praying...)  :undocumented:

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Finance Minister: The previous dollar exchange rate distorted and damaged the economy
21592.jpg18th December 2020

The Minister of Finance, Ali Allawi, announced that the dollar exchange rate of 1182 dinars per dollar distorted and damaged the Iraqi economy, indicating that next year’s budget will impose new taxes

Allawi said in a statement about the 2021 budget seen by "Al-Eqtisad News", that the 2021 budget adopted an exchange rate of 1450 dinars per dollar, because the previously approved exchange rate of 1182 dinars per dollar is distorted and does not reflect the actual reality, stressing that the previous exchange rate hurt the Iraqi economy As a result, the goods are being paid from neighboring countries, which has a negative impact on the local product

He pointed out that the appropriate level of the exchange rate is a confusing question, but the Ministry of Finance believes that for multiple reasons, and after study and analysis, the exchange rate at the present time is 1450 dinars to one dollar, despite our belief that the floating and controlled exchange rate is better, but the best solution at the present time is the price. Above, as it serves the various economic sectors, as the economic competitiveness of Iraq has been seriously affected by the overestimation of the exchange rate, which affected the flow of foreign investments outside the oil sector, stressing that the exchange rate adjustment has a beneficial effect on the deficit and will put Iraq in a position that allows it to re-balance To economize on the background of the most competitive price

He noted that the government of Mustafa Al-Kazemi, managed the financial crisis with very limited resources without any support from the international community, explaining that the failure to issue the Federal Budget Law for the year 2020 created additional burdens when preparing next year's budget, and the reason for not knowing the real numbers required in the spending, pointing to The rise in salaries and pensions has become alarming, as they are now in the range of 120% of oil revenues

Allawi stressed that we have started a process of serious treatment of the deficiencies in the customs and tax administrations, and these reforms will take some impact to show results, but it is expected to maximize these revenues in the year 2021, indicating that the spending was the main issue as the need to rationalize the salary and pension bill, as these rates increased. Year after year, at an alarming rate, it is far from critical levels

The Minister of Finance pointed out that government support programs and subsidies have hit the economy, as subsidies have reached very high levels, and it has become difficult to change or reduce them, and the most subsidy is granted to the electricity sector, as the real economic costs of the electricity sector were estimated at 24 trillion dinars, as about 10% of the GDP The total, indicating that the subsidies to the agricultural sector cost the state 2.5 trillion dinars last year, as the Ministry of Agriculture buys wheat, rice and barley at prices much higher than international prices

He indicated that the direct support for the ration card is still close to 2.5 trillion dinars, while next year's budget included maintaining and even increasing support for the poor and vulnerable segments of the country, as the Ministry of Finance is working with the World Bank and the Ministry of Planning to expand the scope of the Community Development Fund to more than one billion dollars.  He pointed out that the 2021 budget allocated an amount of 500 million dinars to increase the capital of state-owned banks, and these funds will be allocated to enhance the capital base and operational efficiency

Allawi focused on the financial deficit in the budget next year, as he confirmed that it will reach 95 trillion dinars after approving the budget for all arrears and legal obligations to work and pensions, but after adjusting the dollar exchange rate, the deficit will reach 60 trillion dinars

Allawi pointed to the addition of new sales taxes, in addition to the total salary being subject to tax, as we will achieve an additional revenue of 5.2 trillion dinars, noting that new traffic fees have been imposed on vehicles violating the issue of traffic registration and it is expected that they will collect revenues of up to one trillion dinars, explaining that the sale of oil Crude to refineries and oil companies at world prices

 
 
 
 
 

Representative legal: the wrong actions of the Central Bank cover up the manipulation of whale corruption banks

image.jpeg
17th December 2020

A member of the Parliamentary Legal Committee, Hussein Al-Aqabi, confirmed, on Thursday, that the wrong procedures of the Central Bank cover up the manipulation of corruption whale banks.

"The country has witnessed in the past days great confusion and a direct threat to economic stability after the unjustified rise in the exchange rate of the dollar and the retreat of the Iraqi dinar exchange rate, in return, as a result of the floundering financial policy of the Central Bank," Al-Aqabi said in a statement.

He added, "The central bank's hard currency auction is marred by many wrong actions that may constitute a circumvention of legal contexts and a cover for manipulation in this dangerous file, as hundreds of billions are lost every month in the stomachs of corruption whales and their suspicious banks."

He pointed out, "What is recorded on this auction is the absence of transparency and the blackout policy followed by the Central Bank by blocking the detailed bulletin of the names of banks and their shares, in addition to the mechanisms of classification and evaluation of banks that were not based on standards of integrity and justice, but were done in a manner that raises suspicion and suspicion."

He continued: "We believe that the effective solution to this crisis is to exclude these intermediary banks that do not have any investment or development activity and to sell dollars to merchants and citizens directly and without any means to prevent their acquisition of huge profits that can be employed in the right direction that may avoid the country resorting to borrowing or reduce it." 

 
 
 
 
 

A source for the Euphrates News: The Central Bank sets a new price for the dollar, starting from Sunday

A source for the Euphrates News: The Central Bank sets a new price for the dollar, starting from Sunday12/18/2020 11:00:49
 
A private source revealed that the Central Bank of Iraq will soon set a new price for the dollar exchange in Iraq.

The source told {Al-Furat News} that "the central bank, starting next Sunday, will adopt a new price for the dollar at a value of 1450 dinars for one dollar {ie 145 thousand dinars for one hundred dollars}". It is noteworthy that the Central Bank of Iraq is currently selling dollars for 1190 dinars.

The Parliamentary Finance Committee hosted, yesterday, the Governor of the Central Bank, Mustafa Ghaleb, to discuss the economic crisis and the implications of the high exchange rate of hard currency on the Iraqi market situation. The central bank governor explained to the committee, according to a statement that "the bank is preparing to launch a package of measures that will achieve a comfortable balance in the exchange rate for the year 2021, including launching an initiative in the amount of 3 trillion to support low-income people, doubling the provision of hard currency in the market, and increasing interest rates on the Iraqi currency deposited in Banks."

According to the leaked draft of the federal budget law for 2021, it included fixing the exchange rate of the dollar against the Iraqi dinar on the basis of {1450} and a deficit that exceeded 58 trillion Iraqi dinars. The estimated revenues from exporting crude oil were also calculated on the basis of the price of 42 dollars per barrel, and the rate of exporting 3 million And 250 thousand barrels per day, including 250 thousand barrels exported from the Kurdistan region.

The former Undersecretary of the Ministry of Finance, Fadel Nabi, attributed the decline in the value of the Iraqi currency against the dollar to banks and currency dealers who are working to raise the price of the dollar in order to achieve profits.  The leakage of the draft budget to the media and social networking sites caused widespread controversy and turmoil in the foreign currency market in Baghdad, as the exchange rate of the dollar rose in the local market in a frenzy and exceeded 1340 dinars before it fell to 132 thousand dinars after government and parliamentary assurances that the draft is not final and subject to modification. 
 
 
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Parliamentary Finance: The Central Bank will raise the price of $ 100 to 145,000 dinars

Posted 3 hours ago
News source / Channel change
iraq-news-810x456.jpg
Channel change
News Source / Change Channel

Member of the Finance Committee in the House of Representatives Jamal Cougar announced that the Central Bank will raise the price of the dollar against the dinar, starting next Sunday, to bring the price of the hundred-dollar denomination to one hundred forty-five thousand dinars.

Cougar, who was present at the meeting, said that the central bank governor informed the committee to raise the price of the dollar early next week, based on the proposal of the International Monetary Fund and the World Bank.

Currently, the Iraqi Central Bank sells the dollar for one thousand one hundred and ninety dinars, while financial experts are selling the value of the Iraqi currency against the dollar to banks and currency dealers who are working to raise the price of the dollar in order to achieve profits

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The Iraqi dinar collapses against the dollar. Learn the reasons 

Posted 7 hours ago
News source / Independent Press Agency
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Independent Press Agency
News source / Independent Press Agency

 

The Independent / Sri Jayad / In conjunction with the critical economic situation in the country and the crises of delayed payment of employee salaries, Iraq has witnessed a sharp rise in the exchange rate, which led to the depreciation of the Iraqi dinar against the dollar. 

The economist Hazem Hadi says to the Independent that the main reason for the budget includes the paragraph of increasing the exchange rate of the dollar against the dinar to 1145, meaning that there is a very large variable equal to the exchange rate of the dinar, which is proposed by the Ministry of Finance and is uploaded within the annual budget bill that will be discussed in the Council of Ministers and then presented to the Council Representatives, as a legal article, leave their appreciation to the House in case of approval, rejection, or appreciation.

Thaer Al-Faili, the economist, attributed the reason to the control of a group of private bank and bank owners in agreement with the Central Bank to transfer most of the transfers with fake or forged invoices without returning goods in exchange for these dollars and a speculative process to obtain the largest possible amount of the price between the central bank and the exchange rate.

He described the fictitious adjustments and credits that correspond to ordinary goods with complete dominance in the market and the rise in the dollar price to obtain the largest possible profits.

For his part, Hamza Al-Hardan, an economic expert, confirms that the reason is due to the financial crisis and the Corona pandemic, and the lack of hard currency flowing from what it used to be in selling exchange rates, with rumors of the government floating the exchange rate of the Iraqi dinar, all of which led to a decrease in the currency auction, 

He added that all citizens know that the Central Bank of Iraq covers the hard currency and the Iraqi market through the currency auction, but the auction today is witnessing a lot of events about operations described as suspicious of corruption that led to the purchase and hoarding of hard currency by the citizen as a result of which the demand in the Iraqi market increased for it from previous days. . 

One of the owners of banking shops gives his opinion that the sudden rise of the dollar and the decline of the dinar due to the presence of people benefiting from it and they themselves are the ones who leaked the 2021 budget in which the exchange rate becomes 1145

They are the owners of the banks, and he added that there are expectations of a slight decline, but this case affects the materials and goods in the market as they are imported and their prices are in dollars, which harms many, especially those who earn and have limited income.

The post The Iraqi Dinar Collapses Against the Dollar Find out the reasons appeared first on the Independent Press Agency

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Conscious / Parliamentary Finance: The Central Bank will take action on the exchange rate

Conscious / Baghdad / M.A.

Today, Friday, the Parliamentary Finance Committee confirmed that the central bank governor will take measures regarding the exchange rate of the dinar.

A member of the committee, Representative Ahmed Al-Saffar, said in a press statement that “the leaked budget project is not official, and no one knows who is behind its leakage, what is the purpose of its diversion, and what is meant by the diversion.” Citizen ”.

Al-Saffar added that "the Financial Committee met with the Governor of the Central Bank, and that there are some measures that the governor will take," noting that "the committee is continuing to follow up the matter, and is awaiting the arrival of the draft budget until it has its own opinion in this regard

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The dinar-dollar conflict in Iraq is “promised” that “decisive” measures will be taken by the Central Bank: The government is the cause, and this is what will happen!

2020-12-18
image.jpg?resize=570%2C253&ssl=1

Yes Iraq - Baghdad

Today, Friday, the Parliamentary Finance Committee confirmed that the central bank governor will take measures regarding the exchange rate of the dinar.

A member of the committee, MP Ahmed Al-Saffar, said according to state television: “The leaked budget project is unofficial, and no one knows who is behind its leakage, what is the purpose of its diversion, and what is meant by the diversion,” pointing out that “the leakage of the budget has affected the market situation and Citizen Psychology ”.

Al-Saffar added that "the Financial Committee met with the Governor of the Central Bank, and that there are some measures that the governor will take," noting that "the committee is continuing to follow up the matter, and is awaiting the arrival of the draft budget until it has its own opinion in this regard."

For his part, a member of the Parliamentary Finance Committee, MP Naji Al-Saeedi, said: “The governor of the Central Bank, during his hosting by the committee regarding the repercussions of the high exchange rates of the dollar towards the Iraqi dinar, indicated that this increase was caused by the government, not the central bank, considering that the dollar comes from Iraqi oil sales, which go down in the Development Fund for Iraq in the United States of America, therefore the real owner of the dollar is the Ministry of Finance, which sells the dollar to the Central Bank as the government accountant.

He explained that “the Ministry of Finance, two months ago, refrained from selling the dollar in order to raise its price towards the Iraqi dinar to fill the deficit of the general budget and achieve some developmental processes according to the government’s opinion. Therefore, the Central Bank’s justifications are that the high exchange rate is a government decision, and it was not a decision issued by the bank.” Central, ”pointing out that“ the Council of Ministers until this moment has not voted on the general budget, and that the Finance Committee has not received anything official from the government in this regard. ”

He pointed out that “it is not possible to deduct twice from the employee, as the first deduction will be through the high exchange rate of the dollar towards the Iraqi dinar, and the second deduction is the allocations of state employees, and I think in economic terms this is absolutely untrue,” stressing that “the Finance Committee and the House of Representatives have the power to amend And delete or add what he deems appropriate during this period

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Parliamentary Finance: The Central Bank will take measures regarding the exchange rate of the dinar

Political | 05:57 - 12/18/2020

 
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Baghdad - Mawazine News
The Parliamentary Finance Committee confirmed, today, Friday, that the governor of the Central Bank will take measures regarding the exchange rate of the dinar.
A member of the committee, MP Ahmed Al-Saffar, said, "The leaked budget project is not official, and no one knows who is behind its diversion, what is the purpose of its diversion, and what is meant by the diversion," noting that "the leakage of the budget affected the market situation and the citizen's psyche." .
Al-Saffar added that "the financial committee met with the governor of the central bank, and that there are some measures that the governor will take," noting that "the committee is continuing to follow up the matter, and is awaiting the arrival of the draft budget until it has its own opinion in this regard

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Parliamentary Finance talks about measures regarding the dollar's price and salary deductions

Editing date: 12/18/2020 18:1517 times read
Parliamentary Finance talks about measures regarding the dollar's price and salary deductions
[Baghdad-Where]
The Parliamentary Finance Committee said, Friday, that "the central bank will take measures regarding the exchange rate of the dinar."
She stressed that "the government is responsible for the high price of the dollar, not the central bank," noting that "the budget leak has an impact on the market situation and on the citizen."
"The employee's salaries cannot be deducted twice, the first by raising the dollar exchange rate and the second from the allocations," she said.

Yesterday, the media published a leaked draft of the General Budget Law for 2021, which included deductions for employees' salaries
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Al-Samarrai: The Ministry of Finance's "urgent" measures are behind the currency's decline

Economie

2020-12-18 | 11:07

السامرائي: اجراءات وزارة المالية "المستعجلة" وراء انخفاض العملة3,163 Views

https://www.alsumaria.tv/news/اقتصاد/367313/السامرائي-اجراءات-وزارة-المالية-المستعجلة-وراء-انخ
On Friday, the Deputy Chairman of the Finance Committee, Muthanna al-Samarrai, attributed the Iraqi currency to a set of "urgent" measures that were disclosed in an ill-considered manner by the Ministry of Finance and not coordinated with the Central Bank, in addition to the previous financial policies that adopted an increase in spending in parallel with the increase in the volume of borrowing, In addition to the leakage of the draft budget.

 

Al-Samarrai said in a statement that Alsumaria News received a copy of, that "the exposure of the Iraqi currency to an unprecedented decline recently came as a result of a set of urgent measures and its unprepared disclosure by the Ministry of Finance and its lack of coordination with the Central Bank, in addition to previous financial policies that adopted increasing spending in parallel with Increasing the volume of borrowing, to be followed by the leakage of the draft budget in 2021, to be the straw that put the national currency on the brink of collapse.

Al-Samarrai pointed out that "financial reform must be adopted exactly the opposite, by reducing expenditures and developing plans and mechanisms for austerity until the economic crisis that the country is going through, in addition to maximizing state resources, opening the door to investments, speeding up the implementation of automation programs, completing strategic projects of public benefit and not resorting to borrowing except according to Mechanisms studied to reduce the impacts and burdens they cause.

Al-Samarrai asserted that "the Central Bank is the last bulwark to restore balance to the currency market after it nearly collapsed," calling on the government to "investigate the circumstances of the leakage of the 2021 Budget Law, and hold those responsible accountable with the most severe penalties for the effects and repercussions they caused by speculation." At foreign currency rates. "

Al-Samarrai expressed his hope that "the Central Bank will take all necessary means to ensure the stability of the currency in a way that does not expose the country to the dangers of financial collapse and the ensuing economic collapse that exposes the people, especially those with limited income, to disasters and increases the poverty rate while the rich increase more and more super-rich." , Stressing his "confidence in the plans presented by the governor of the Central Bank at the joint meeting of the Finance Committee and the bank's management in their ability to overcome the crisis if they are implemented efficiently, professionally and impartially

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1 hour ago, stanleypower said:

How is the government able to justify a reduction in the rate as a benefit to the people?? How does this help the massive deficit??

 

What am I missing?

You’re not missing anything a dinar rate of 1450 would make it worse for the citizens so if they do this move I bet it’s only for a very very short period of time then they drop the zeros and revalue the currency to $1.45 it’s the only thing that make sense to me!! The citizens would riot like no other time since now their money would be worth 20% less!!

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I feel bored ( i am sorry guys, no offense to everyone ) just reading the articles about exchange rate that say " the rate increase to 1190, then the rate devalue at 1300/1450/1500 over and over and over again ". " Then increase the rate again at 1182 , then devalue again at 1500 ". This cycle goes on and on and on and never ends . And this is just about a profit taking, not rv. that's why this profit taking is a very good news for dollar speculators who hold a lot of dollars, not dinar investors. Unless the rate increase from 1190 all the way up to 1 dinar, then the rate will be us1:1 iqd and this is called rv. And, the rate at least 1:1 is what we are all waiting for almost 17 years.

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6 minutes ago, GreedyDinar07 said:

Dinarrock,  do you mind me asking where did you get a $1.45 from? That is such a beautiful number!!

 

I suspect its from the rumored 1450 Dinars to 1 greenback. If that happens then moving over 3 decimal places ( removing 3 zeros ) would make the dinar $1.45 each.

 

Hope this helps, if I'm wrong Dinarrock will clarify.

 

  pp

Edited by pokerplayer
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Expert: Bank owners carry out fraudulent transfers with the knowledge of the Central Bank

Posted 10 seconds ago
News source / Independent Press Agency
%D8%A7%D9%84%D8%AF%D9%8A%D9%86%D8%A7%D8%
Independent Press Agency
News source / Independent Press Agency

The Independent / - The disturbances in the Iraqi dinar exchange rate against the dollar have recently led to negative effects, directly affecting the business sector and commodities in the markets, which led to the loss of the confidence of dealers and investors in the monetary authority.

In the midst of the financial crisis that the world is experiencing in general and Iraq, especially in light of the collapse of oil prices and the large deficit in the 2020 budget, the government faces great economic challenges, most notably the difficulty of the central bank being able to maintain the value of the dinar against the dollar due to the corrupt control of the currency auction, according to What he sees officials and specialists in the economy.

The economic expert, Thaer Al-Faili, attributed in an independent press statement the reason for the collapse of the Iraqi dinar to the control of a group of private banks and private banks in agreement with the Central Bank to transfer most of the transfers with fake or forged invoices without returning goods in exchange for these dollars and a speculative process to obtain the largest possible price between the bank Central and exchange rate.

He described the fictitious adjustments and credits that correspond to ordinary goods with complete dominance in the market and the rise in the dollar price to obtain the largest possible profits.

One of the owners of banking shops gives his opinion that the sudden rise of the dollar and the decline of the dinar due to the presence of people benefiting from it and they themselves are the ones who leaked the 2021 budget in which the exchange rate becomes 1145

They are the owners of the banks, and he added that there are expectations of a slight decrease, but this case affects the materials and goods in the market as they are imported and their prices are in dollars, which harms many, especially those who earn and have limited income.

The post expert: bank owners carry out fraudulent transfers with the flag of the Central Bank appeared first on The Independent Press Agency

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22 minutes ago, Dinarrock said:

I bet it’s only for a very very short period of time then they drop the zeros and revalue the currency to $1.45 it’s the only thing that make sense to me!! 

Since you think that way ( i love the way you think ). why don't we just hope that the rate will go all the way down to 3220, then drop zeros, and boom we have the rate $3.22? Does this make sense to you, too?

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4 minutes ago, GreedyDinar07 said:

Thanks Poker! I hope that RV really happens and at a $1.45 I don't know how I would contain myself!!

Me neither! I will be helping a lot of cooks with their businesses,if this (RV) hits! In fact when I was in USAF, the cooks were some my best friends! I never went hungry or had bad food! I loved the men and women in the service squadron! The kitchen was always open for me! JMHO 

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Finance explodes a surprise: the official devaluation of the dinar, starting from Sunday

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 2020-12-18 09:41
https://shafaq.com/ar/اقتصـاد/المالية-تفج-ر-مفاج-ة-خفض-قيمة-الدينار-رسميا-بد-ا-من-ال-حد

Shafaq News / The Parliamentary Finance Committee revealed, on Friday, a decision taken by the Central Bank to officially reduce the value of the Iraqi dinar against the dollar, starting next Sunday.

 

A member of the committee, Abdul Hadi al-Saadawi, told Shafaq News, "The governor of the Central Bank, Mustafa Ghaleb, informed the Parliamentary Finance Committee during his hosting, yesterday, Thursday, that he will officially start from next Sunday to reduce the value of the dinar, to be 145 thousand dinars per 100 dollars."

 

He added, "The Financial Committee informed the governor of the Central Bank of its objection to the devaluation of the dinar, because this would negatively affect the life of the citizen."

 

Al-Saadawi said, "The governor of the Central Bank informed the Finance Committee that the purpose of the process of raising the exchange rate is to provide financial liquidity and secure the salaries of employees in the coming period." 

 

It is noteworthy that the exchange rate of $ 100 reached 136,000 dinars yesterday, Thursday, in Iraq's local markets, after the leakage of the draft fiscal budget law for next year, which estimated the exchange rate of the Iraqi dinar at 145,000 dinars against $ 100.

 

The Iraqi government says that what is contained in the draft budget is only a proposal from the Ministry of Finance.

 

Observers expect that the prices of goods in the country will rise by about 20 percent if the value of the dinar is officially or real in the market, which will directly affect the limited income segment.

 

The Iraqi Ministry of Planning estimates that the poverty rate has risen to more than 30 percent, due to the repercussions of the Corona virus pandemic, which has placed the country in a stifling financial crisis.

 

The government seems to be seeking to achieve an abundance of funds, as it pays the salaries of employees in Iraqi dinars while it receives revenues from the sale of oil in dollars.

 
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Iraq today

Iraqi contractors warn of a disaster in Iraq due to the dollar exchange rate

Posted 4 hours ago
News source / Noon Agency
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Noon Agency
News source / Noon Agency
On Friday, the head of the Iraqi Contractors Union, Ali Sanafi, warned of a disaster in Iraq due to the fluctuations in the exchange rates of the dollar.

"We warn, as the Iraqi Contractors Association, of a new catastrophe that will befall the contractors and ongoing projects when the budget law is passed at the exchange rate for the dollar," Sanafi said in a statement received by Noon news agency.

He added, "We are surprised that there is no serious move by some decision-makers towards this matter, which will greatly affect the movement of projects and infrastructures in the various Iraqi provinces, especially from the ongoing projects. More than 20% and the great and dangerous disaster that it is possible that 70% of the projects important to the Iraqi citizen stop.

The head of the Iraqi Contractors Union stressed that "the financial committees in parliament and the specialists must move as quickly as possible towards this dangerous issue before the birth of the disaster, which will lead to bleeding problems in the various Iraqi provinces."

On Thursday, a member of the Parliamentary Economic Committee, Representative Nada Shaker Jawdat, spoke about the impact of raising the dollar’s exchange rate on employees ’salaries, while describing the rise in the dollar’s exchange rate against the dinar as“ a plunder of the Iraqi people, ”she said.

Jawdat said that she is "surprised by the silence of the Presidency of Parliament on what is happening in the economy file, especially the recent high exchange rates of the dollar and its negative repercussions on ordinary citizens, because all food prices will rise."

She added, "The recent rise in the exchange rate of the dollar and the fall of the Iraqi dinar have made fantastic profits for some banks," stressing that "the state does not have any authority over the markets that will be subject to speculation by influential forces that are important to the general situation."

A member of the Parliamentary Economic Committee indicated that "raising the dollar exchange rate will lead to a catastrophic effect in reducing the value of employees' salaries by a third, or 33 percent."

Regarding the 2021 budget, Shakir confirmed that "the budget has not yet reached the parliament, and all the leaks published in the media are incorrect."

And bank experts' expectations indicate the possibility of returning the exchange rates of the dollar against the Iraqi dinar to its previous state in the event that measures are taken to control the market.

"According to our experience in the banking sector for more than 30 years, the exchange rate in the local market will not return to the barrier of 1180 or 1190 dinars for one dollar," banking expert Abdul-Hussein Al-Mandheri said in a televised statement.

He added that "the exchange rate may stabilize again up to 1210 or 1220 dinars against one dollar," indicating that "the central bank pumps cash from the dollar into the market and through the currency auction from the hard currency reserves it has."

He pointed out, "On the other hand, there is information about discussions with the International Monetary Fund to reduce the value of the dinar against the dollar, and there may be a green light from the bank to adjust the exchange rate, and we believe that the proposals for reducing it are the ones that caused the recent jump in the price of the dollar against the dinar."

He pointed out that he conducted a calculation that sets the exchange rate at 1200 dinars against the dollar, instead of the current price sold by the bank, estimated at 1182 dinars, and got a difference of 900 billion dinars annually, which enters the treasury if the central bank continues to sell 200 million dollars per day in a currency auction.

And he indicated that "in the event that an exchange rate of 1500 dinars is adopted against one dollar, then it means covering the financial deficit with the budget and also an increase in revenues, but on the condition that the state reinforces support for some basic materials and prevents price increases in order to prevent the impact of reducing the value of the dollar on the poor segments."

The dollar exchange rate jumped yesterday, Thursday, to 1,370 dinars, after the leak of an initial copy of the 2021 budget, and its exchange rate was set at 1450 dinars to the dollar.

The draft law included the federal budget (initial version), setting the dollar exchange rate on the basis of 1450, which is equivalent to 145 thousand per 100 dollars, and restricting all actually realized revenues as final revenues to the state treasury account.

The budget stated that the number of state employees is 3.25 million, including (682 thousand employees in the Kurdistan region), salaries 41.5 trillion dinars, other salaries 6 trillion, retirement 20 trillion, social security 9.6 trillion, interest on debt loans 4,6 Trillions, offshore loan payments: 6.8 trillion.

The project also included the reduction of all allocations granted to employees of all government departments financed centrally and independently, according to the percentages specified against each of them and granted to them by virtue of laws in force and decisions of the Council of Ministers and came as follows:

(Risk allowances 50%, hospitality 20%, exceptional 20%, sustenance 33%, certificate 50%, lump sum, 40%, special 60%, university service 60%).

The bill also stipulated raising the price of fuel (gasoline) from 450 dinars per liter to 540 dinars per liter.

The budget authorizes the Minister of Finance to fill the actual deficit in the budget according to the amounts indicated in the sources mentioned below:

1- Issuing treasury transfers, 2- Issuing national bonds to the public, 3- Issuing bonds and treasury transfers to government banks, to be debited with the Central Bank of Iraq, 4- Loans from commercial banks, 5- Issuing foreign bonds, 6- Borrowing from international financial institutions, 7- Borrowing with the guarantee of international export guarantee institutions.

The budget indicates that all loans, bonds, transfers and project contracts financed by loans will be exempt from taxes and customs fees for ongoing and new projects, including the loan granted by the World Bank to the Ministry of Finance for the PFM contract project for the years 2016, 2017, 2018 and 2019.

The 2021 budget obliged federal ministries and entities not associated with a ministry and all governorates to cover their needs of local products, including private sector products that have an added value of more than (20%).

The draft budget concluded that the Council of Ministers may not issue any decisions that include granting an advance to any ministry or entity not linked to a ministry without having allocations for it in the general budget approved during the fiscal year.

The project included the suspension of all cabinet decisions and laws in force that allow the centralized state departments to dispose of the revenues collected through them for the purposes of operating expenses, and their revenues are transferred as final revenues for the account of the state's public treasury, including the state's public treasury's share of the profits of public companies and self-financed bodies and departments.

The fiscal deficit in the budget reached (58260763114) one thousand dinars (fifty-eight trillion two hundred sixty billion seven hundred and sixty-three million one hundred and fourteen thousand dinars), and in the case of excluding all arrears, indebtedness, and foreign and domestic loans that will finance investment projects amounting to (23229017817) one thousand dinars (three Twenty trillion two hundred twenty-nine billion and seventeen million eight hundred and seventeen thousand dinars).

The indebtedness represented by the internal and external debt installments reached (14761959590) one thousand dinars (fourteen trillion seven hundred and sixty-one billion nine hundred and fifty-nine million five hundred and ninety thousand dinars).

 

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On Friday, the Deputy Chairman of the Parliamentary Finance Committee, Muthanna Al-Samarrai, attributed the Iraqi currency to a set of "urgent" measures that were disclosed in an ill-considered manner by the Ministry of Finance and not coordinated with the Central Bank, in addition to the previous financial policies that adopted an increase in spending in parallel with the increase in the volume of borrowing In addition to the leakage of the draft budget.


Al-Samarrai said in a statement, that "the exposure of the Iraqi currency to an unprecedented decline recently came as a result of a set of urgent measures and their unconsidered disclosure by the Ministry of Finance and their lack of coordination with the Central Bank, in addition to the previous financial policies that adopted increasing spending in parallel with the increase in the volume of borrowing, to follow This is the leakage of the draft budget for 2021, to be the straw that put the national currency on the brink of collapse.


Al-Samarrai pointed out that "financial reform must be adopted exactly the opposite, by reducing expenditures and developing plans and mechanisms for austerity until the economic crisis that the country is going through, in addition to maximizing state resources, opening the door to investments, speeding up the implementation of automation programs, completing strategic projects of public benefit and not resorting to borrowing except according to Mechanisms studied to reduce the impacts and burdens they cause.

Al-Samarrai asserted that "the Central Bank is the last bulwark to restore balance to the currency market after it nearly collapsed," calling on the government to "investigate the circumstances of the leakage of the 2021 budget bill, and hold those responsible accountable with the most severe penalties for the effects and repercussions they caused by speculation." At foreign currency rates. "
 

Al-Samarrai expressed his hope that "the Central Bank will take all necessary means to ensure the stability of the currency in a way that does not expose the country to the dangers of financial collapse and the ensuing economic collapse that exposes the people, especially those with limited income, to disasters and increases the poverty rate while the rich increase more and more super-rich." , Stressing his "confidence in the plans presented by the governor of the Central Bank at the joint meeting of the Finance Committee and the bank's management in their ability to overcome the crisis if they are implemented efficiently, professionally and impartially

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