Recommendation from an economist for those who own dollars in Iraq

[6ly410]

Recommendation from an economist for those who own dollars in Iraq

2023.02.04 - 12:52

Recommendation from an economist for those who own dollars in Iraq (nasnews.com)

  

Baghdad - Nas  

Economist Salam Simaism on Saturday made a recommendation for those who own dollars in Iraq.  

  

  

  

In a post followed by "Nas", (February 4, 2023), "Beware of speculation and do not fall prey to rumors, wait for the exchange rate to stabilize, otherwise some may tempt you to sell your dollars at a low price and then return to sell them at a higher price, wait for the market to stabilize."  

  

  

  

Earlier, dollar exchange rates jumped again, amid turmoil in Iraqi market trading prices.  

  

Prices in Sulaymaniyah now:   

100$=167,000     

  

The dollar exchange rates as announced by the exchange offices at the opening of the market in Erbil and Sulaymaniyah on Saturday (February 4, 2023) were as follows:  

  

In Sulaymaniyah:-  

100$=165,000        

100€=107.5$/108.5$        

100£=$119.5/$120.5        

100$=1850 /1900 lira turkey        

1000 k swede =93.5$        

1000 k narwej=96.75$        

1000 k danimark=139$       

  

In Erbil:-   

  

On Saturday morning, dollar exchange rates witnessed a "significant decline" in Iraqi local markets, according to specialists.  

  

The selling prices of the dollar recorded 161,000 dinars per 100 dollars, while the purchase prices of the dollar recorded 159,500 dinars per 100 dollars.   

  

Earlier, Fadi al-Shammari, political advisor to the prime minister and leader of the Wisdom Movement, set a date for the stability of the dollar's exchange rate against the dinar.  

  

Al-Shammari said, in a tweet followed by "NAS", (February 4, 2023), "the success of the Istanbul meeting between the Central Bank of Iraq and the US Treasury."   

  

He added, "The central bank announces a set of new measures that will contribute significantly to the decline of the exchange rate, accompanied by strict security measures in the pursuit of smugglers and speculators."   

  

"Within two weeks, the exchange rate will stabilize at its normal rate, and there is no consolation for speculators and corrupt people," he said.   

  

  

  

Earlier, Central Bank Governor Ali Mohsen and his accompanying delegation concluded their meetings with US Assistant Secretary of the Treasury Brian Nelson and his accompanying delegation in Turkey.  

  

During the meeting, according to a statement by the Central Bank, a copy of which was received by NAS (February 3, 2023), "they discussed prospects for cooperation and coordination between the two sides in a way that contributes to achieving the stability of the exchange rate in Iraq and the mechanisms associated with that."   

  

The US Treasury Department affirmed, "its support for achieving economic stability in Iraq, in reference to strengthening what was discussed between the Iraqi Prime Minister and the US President in the phone call that took place between them on Thursday, in emphasizing the importance of Iraq's stability for the region."   

  

It also expressed its "willingness to have the flexibility necessary to achieve common goals. It was agreed to continue coordination and cooperation during the meetings to be held in Washington, D.C., before the middle of this month," the statement said.   

  

Earlier, the Central Bank of Iraq issued the first package of facilities to meet the demand for the dollar, on both the monetary and external remittances sides.  

  

According to a statement by the Central Bank, a copy of which was received by NAS (February 3, 2023), the facilities were as follows:   

  

1- Increasing the ceiling of cash sale for travel purposes to (7000) dollars per month (seven thousand dollars per month), and it is sold to adults (18 years and over) exclusively.   

2- سيكون بيع الدولار لأغراض التحويلات الشخصية من خلال وكلاء شركات التحويل المالي (ويسترن يونين وموني غرام) بالسعر الرسمي (١٤٧٠) دينار للدولار، ويتولى البنك المركزي العراقي تعزيز أرصدة هولاء الوكلاء بالدولار بالسعر الرسمي.          

3- Expanding the scope of transactions allowed to be financed in foreign currency to include:   

a) Import of goods and merchandise permitted to be imported by law.   

b) Purchase and equip legally permitted services, including shipping services.   

c) Financing the import part of the contracts of contractors with state departments.   

d) Requests received by the Central Bank of Iraq from government and public institutions and self-financing bodies for their needs for which there is no allocation in dollars within the federal budget of the State, supported by official documents supporting such requests.   

e) Strengthening the balances of the sub-accounts of banks and electronic payment companies opened with JP Morgan, which has a major membership with international card companies (Visa, Master).   

f) Strengthening the balances of the sub-accounts of Iraqi financial institutions opened with Citibank that have major members in international remittance companies (Western Union, MoneyGram) to settle their obligations with those companies after submitting the required statements.   

g) Transfers for asset transactions for the purchase of real estate abroad.   

h) Treatment abroad and the transfer from the account of the customer or one of his relatives of the first or second degree to the account of the hospital abroad after submitting a medical report from the hospital concerned.   

i) Payment of tuition fees abroad, and the transfer shall be from the account of the student or one of his relatives of the first or second degree to the account of the university in which he is studying or to the account of the student himself in the country of study after submitting proof of his registration in the study certified by the Iraqi Cultural Attaché in the country of study.   

Transfers related to foreign investments in Iraq.   

Transfer the proceeds of the sale of shares distributed inside Iraq to the Iraqi resident abroad or foreign (principal value plus its returns, if any) in the event of their sale, provided that the support of the Iraq Stock Exchange is provided.   

Compensation determined or approved by Iraqi official bodies for foreigners or for Iraqis residing abroad.   

m) Profits of shareholders in companies originally registered in Iraq.   

Amounts of financial proceeds (sale of real estate or other assets or their revenues) in Iraq to the Iraqi resident abroad, provided that the transfer is from his account or the account of his agent inside Iraq to his account or the account of his company abroad exclusively.   

o) Payments due in relation to banking and credit facilities that the customer has entered into with banks outside Iraq.   

4- Expanding and facilitating the procedures for external transfers to the categories below, as a first stage, followed by other categories later, namely:   

a) All types of companies registered with the Companies Registration Department at the Federal Ministry of Commerce.   

b) Projects registered with the Directorate General of Industrial Development at the Federal Ministry of Industry and Minerals.   

  

c) Simple companies duly established by the Chambers of Commerce (under a memorandum of association certified by the notary public) not exceeding the amount of (200,000) dollars (two hundred thousand dollars per month).   

d) Branches of foreign companies registered with the Companies Registration Department at the Federal Ministry of Commerce.   

Investment projects of all kinds licensed by investment commissions.   

f) Agricultural and animal projects licensed by the Department of Animal Resources, the Department of Agricultural Investments or the Department of Veterinary in the Federal Ministry of Agriculture.   

g) Scientific offices duly licensed by the Pharmacists Syndicate.   

h) Distributors of international factories appointed from those factories for the purposes of working in Iraq, and agents whose appointment is supported by the distributor to work in the Iraqi market who are licensed to work fundamentally in Iraq.   

i) Agents of international companies registered in accordance with the Commercial Agency Law in force.   

j) All types of companies, factories, laboratories and projects licensed in the Kurdistan Region of Iraq after submitting proof of establishment or license from the relevant sectoral authorities legally translated into Arabic.   

5- The Central Bank is obligated to cover all requests for the dollar in cash and foreign transfers for all legitimate purposes, so that each sale at a price higher than the official price becomes an act aimed at speculation or to cover illegal activity, and the Central Bank of Iraq is obligated to compensate the beneficiaries (importers) the amount of the difference that exceeds the official price determined, and this difference is deducted from the account of the violating bank with us.   

  

6- Another important package will be issued soon to stabilize the exchange rate and the general level of prices.   

7- The Central Bank of Iraq is studying various proposals and scenarios related to the official exchange rate.  

  

[Goggles]

19 minutes ago, 6ly410 said:

"Within two weeks, the exchange rate will stabilize at its normal rate, and there is no consolation for speculators and corrupt people," he said.   

Holy Cow!! I can't wait to see what they are considering to be "normal rate"!!  Here's the time frame I didn't see in the other article. If I could see at least .10 cents in two weeks, that would be phenomenal!! 

[screwball]

1 minute ago, Goggles said:

Holy Cow!! I can't wait to see what they are considering to be "normal rate"!!  Here's the time frame I didn't see in the other article. If I could see at least .10 cents in two weeks, that would be phenomenal!! 

You will see more than that…within two weeks I think…but if not it won’t  away….this is what we have been waiting…it’s the start let’s we how it finishes!.please remember Iraq does not keep timelines., expect the unexpected..

[screwball]

34 minutes ago, 6ly410 said:

Beware of speculation and do not fall prey to rumors, wait for the exchange rate to stabilize, otherwise some may tempt you to sell your dollars at a low price and then return to sell them at a higher price, wait for the market to stabilize."  

This is an interesting statement? Do you think?

[Goggles]

3 minutes ago, screwball said:

This is an interesting statement? Do you think?

It sounds like the article advises to sit on their money and not trade in for a few weeks... as to wait for a much better rate. 

[cutter73]

Nice reading on my birthday! 🙏 it's soon...lol. thanks @6ly410

[screwball]

4 minutes ago, Goggles said:

It sounds like the article advises to sit on their money and not trade in for a few weeks... as to wait for a much better rate. 

Exactly…

[screwball]

And be careful of scammers….what going on and concerns me the most is what’s happening in the world at the moment, I see Ukraine surrendering, they are quietly imploding within! Then end of this war is near I say by Feb 28 and this means the cabal are in the death role…anything could happen 

[cutter73]

Before Ramadan???🤔

[screwball]

I am quietly optimistic for a new rate when they open tomorrow, was only just talking to my wife but have been on this roller coaster for years like most and are trying to stay grounded…if not tomorrow within weeks…

[screwball]

2 minutes ago, cutter73 said:

Before Ramadan???🤔

Ramadan/Iraq/Date (2023)

Evening of Wed, Mar 22, 2023 - Evening of Thu, Apr 20, 2023

[Jaygo]

1 minute ago, screwball said:

I am quietly optimistic for a new rate when they open tomorrow, was only just talking to my wife but have been on this roller coaster for years like most and are trying to stay grounded…if not tomorrow within weeks…

Soon.               😂

[screwball]

Just now, Jaygo said:

Soon.               😂

Yep…

[cutter73]

Just now, screwball said:

Ramadan/Iraq/Date (2023)

Evening of Wed, Mar 22, 2023 - Evening of Thu, Apr 20, 2023

Yes... meaning before would be awesome! 😉

[Dandy1]

In the article, #2 was in Arabic. Google translates it to:

Financial transfer (Western Union and Money Gram) at the official rate (1470) dinars to the dollar, and the Central Bank of Iraq is responsible for strengthening the balances of these agents in dollars at the official rate.

[jake21]

Remember, its an opinion piece from an Economist. We've seen thousands of these over the years...

[Half Crazy Runner]

1 hour ago, cutter73 said:

Nice reading on my birthday! 🙏 it's soon...lol. thanks @6ly410

Happy birthday @cutter73!  Today is also my son’s birthday and mine is next week. It would be a great gift for sure!