Iraqis are waiting for the value of the Iraqi dinar to rise after decades of collapse

[yota691]

'temporary problem'

The appearance of Muhammad Saleh determines the reason for the discrepancy between the “official” and “parallel” exchange rates

2023.02.12 - 09:29

 

Baghdad - Nas   

Experts in finance and economics have expressed optimism that the Central Bank of Iraq's agreement with a major US financial institution to make payments to China's banking system will contribute to bridging the wide gap between the "official" and "parallel" rates of the dollar.  

  

  

And the advisor to the Prime Minister for Financial Affairs, Dr. Mazhar Muhammad Salih, stated that "the function of the monetary policy of the Central Bank is to impose stability, so when exchange rates began to approach (two decimal places) due to current inflation expectations, monetary policy entered with its reserves to raise the value of the Iraqi dinar."  

  

He pointed out that "the reason for the difference in the official exchange rate from the parallel rate is not economic, but because of an international administrative regulation caused by transfers that constitute about 90 percent of the demand for currency, and these transfers are subject to compliance rules imposed by the US Treasury and the Federal Bank."  

  

He stressed that "all these are temporary problems, and that with the regularity of Iraq's foreign trade and its submission to compliance, transparency and governance controls, as was the case in Washington in terms of agreements and firmness, over time the exchange rates will stabilize."  

  

Salih pointed out that "the Iraqi Central Bank's announcement that trade between Iraq and China, which exceeds $53 billion annually, will take place directly with China through the mediation of an American bank, which will bring the official price of the dollar closer to the parallel price by 50 percent."  

  

In addition, the expert on economic affairs, Dr. Nabil Al-Marsoumi, said, "The gap between the official exchange rate and the parallel rate is expected, because the problem today is in bank transfers and restricting imports, so when bank transfers decrease by the range of 85-90 percent of foreign trade financing, the trend is Towards the (cash dollar) for which the demand has increased, so that we have two prices, the "parallel" that takes place between merchants at home, and the official exchange rate regulated and determined administratively by the Central Bank of Iraq.  

  

Quoted from the "official newspaper"  

[yota691]

Saleh: The price of the dollar in the parallel market is artificial to achieve fake profits

• Time: 02/12/2023 13:28:04
•  
• Read: 1,898 times

  

{Economic: Al Furat News} The financial advisor to the Prime Minister, Mazhar Muhammad Salih, described the price of the dollar in the parallel market as "artificial to achieve fake profits."

Salih told {Euphrates News} agency: "The effects of the mysterious parallel markets on the country's markets mostly come from their weak knowledge of the positive signs of the strength of the national economy and the strength of its reserves, which exceeded 115 billion dollars. The market is still with distorted and false information that is based on rumor to generate artificial price deviations to achieve fake profits on Calculating the effect on price stability itself.
He stressed "the importance of realizing two important things, the first is the foreign trade arm of the government that operates in accordance with international rules of trade and carries flexibility and a very high possibility in providing commodity supply at stable prices at any moment, and the second is the role of effective packages launched by the Central Bank of Iraq on which the policy is working." Cash in accelerating the openness of the levels of meeting the demand for foreign currency, with the degree of progress of the banking system in the transparent use of foreign trade financing documents for the private sector, in order to increase the conversion in foreign currency in accordance with the rules and provisions of international trade and international compliance controls.
The Council of Ministers approved in its meeting last Tuesday the decision of the Board of Directors of the Central Bank of Iraq to amend the exchange rate of the dollar against the dinar, equivalent to 1300 dinars to one dollar.
About four days after the government's decision to reduce the exchange rate of the dollar against the dinar, and two days after the talks of the Iraqi delegation in Washington, the dollar's prices did not stabilize in the parallel local markets.
The rate adopted by the Central Bank of Iraq for the dollar against the dinar, which is 1,300 dinars for one dollar, led to a temporary decrease in the price of the dollar, but it returned to rise to record more than 1,500 dinars, which means that the difference in the parallel market remains from the official price.
The reason, according to observers, is related to the lack of clarity in the final results of the discussions being held in Washington by the Iraqi delegation, headed by Deputy Prime Minister and Minister of Foreign Affairs Fouad Hussein, and the Governor of the Central Bank, Ali Al-Alaq, with officials in the US administration.

Raghad Daham

[yota691]

The central bank improves disclosure standards for banks that require foreign currency to finance trade

 

February 11, 2023

Baghdad / Obelisk: The financial advisor to the Prime Minister, Mazhar Muhammad Salih, suggested, on Saturday, February 11, 2023, that the monetary authority in the country would take more measures aimed at controlling the exchange rate in the parallel market, including dissolving obstacles to external transfer.

Saleh said, in a statement followed by the obelisk, that “the first round of negotiations between the Central Bank and the US Treasury Department in Turkey gave clear flexibility to the process of selling the dollar and the exchange rate, and I believe that the Istanbul meeting is successful, and that success will reflect positively on the Washington meetings that ended yesterday and which will take place in the future.” At the same time, praising the recent package of reforms put forward by the Central Bank with the aim of confronting the rise in the exchange rate of the dollar against the dinar, which includes dissolving obstacles to external transfer, purchasing real estate, transferring profits, and others, indicating that the liberalization of the current account of the balance of payments is a positive step and is consistent with our relationship with the World Bank. ".

And the financial advisor to the Prime Minister expected that “the central bank will tend to take more steps aimed at controlling the exchange rate, especially with the improvement in disclosure standards for banks and banks that request foreign currency for the purpose of financing trade, as these procedures will be greatly facilitated, to then lead to conformity.” price.”

And Saleh indicated that “the exchange rate in the general budget represents a contractual price between the Ministry of Finance and the Central Bank, so there should be great understandings between the two sides to determine the exchange rate for the purposes of calculating oil revenues in the budget, as this matter can be directly or indirectly reflected on exchange rate".

[yota691]

Counselor Mazhar Saleh: The price of the dollar in the market is artificial to achieve fake profits

 

February 12, 2023

Baghdad / Obelisk: The financial advisor to the Prime Minister, Mazhar Muhammad Salih, described, on Sunday, the price of the dollar in the parallel market as artificial to achieve fake profits.

 

Saleh said in an explicit statement followed by the obelisk: The effects of the mysterious parallel markets come mostly on the country’s markets and their poor knowledge of the positive signs of the strength of the national economy and the strength of its reserves, which exceeded 115 billion dollars. Same price stability.

 

And he stressed the importance of realizing two important things, the first is the foreign trade arm of the government that operates in accordance with international rules of trade and carries flexibility and a very high possibility in providing commodity supply at stable prices at any moment, and the second is the role of effective packages launched by the Central Bank of Iraq on which monetary policy is working. In accelerating the openness of levels to meet the demand for foreign currency, with the degree of progress of the banking system in transparent dealing with foreign trade financing documents for the private sector, in order to increase the conversion in foreign currency in accordance with the rules and provisions of international trade and international compliance controls.

 

The Council of Ministers approved in its meeting last Tuesday the decision of the Board of Directors of the Central Bank of Iraq to amend the exchange rate of the dollar against the dinar, equivalent to 1300 dinars to one dollar.

 

About four days after the government's decision to reduce the dollar's exchange rate against the dinar, and two days after the Iraqi delegation's discussions in Washington, the dollar's prices did not stabilize in the parallel local markets.

[yota691]

The appearance of Muhammad Salih identifies two considerations behind the big jump in central bank sales

 

money and business
   

Economy News-Baghdad
The financial advisor to the Prime Minister, Mazhar Muhammad Salih, explained, on Sunday, the reasons for the large increase in the Central Bank’s sales of hard currency.

Salih told "Al-Iqtisad News" that "the increases in sales of the Central Bank of Iraq's window of foreign currency are due to two considerations, the first: the high degree of compliance of private banks, participating in the Central Bank of Iraq's window, with the requirements of the regularity of international trade financing, which were brought by the joint auditing platform."

 

He added, "The second consideration is due to the strength of the package of facilities launched by the Central Bank in the matter of small and direct transfers to small merchants and various small transfers through the mediation of the highly compliant international banking system."

 

Today, Sunday, the central bank’s sales of hard currency achieved a big jump, as it exceeded the ceiling of $300 million for the first time since 2022.

 

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Views 513

Added 02/12/2023 - 1:01 PM

Updated 2023/02/12 - 6:38 PM

[6ly410]

Saleh: The price of the dollar in the parallel market is artificial to achieve fake profits

• Time: 02/12/2023 13:28:04
•  
• Read: 5,252 times

  https://alforatnews.iq/news/صالح-سعر-الدولار-في-السوق-الموازي-مصطنع-لتحقيق-أرباح-وهمية

{Economic: Al Furat News} The financial advisor to the Prime Minister, Mazhar Muhammad Salih, described the price of the dollar in the parallel market as "artificial to achieve fake profits."

Salih told {Euphrates News} agency: "The effects of the mysterious parallel markets come on the country's markets mostly and their poor knowledge of the positive signs of the strength of the national economy and the strength of its reserves, which exceeded 115 billion dollars. The market is still with distorted and false information that is based on rumor to generate artificial price deviations to achieve fake profits on Calculating the effect on price stability itself.
He stressed "the importance of realizing two important things, the first is the foreign trade arm of the government that operates in accordance with international rules of trade and carries flexibility and a very high possibility in providing commodity supply at stable prices at any moment, and the second is the role of effective packages launched by the Central Bank of Iraq on which the policy is working." Cash in accelerating the openness of the levels of meeting the demand for foreign currency, with the degree of progress of the banking system in the transparent use of foreign trade financing documents for the private sector, in order to increase the conversion in foreign currency in accordance with the rules and provisions of international trade and international compliance controls.
The Council of Ministers approved in its meeting last Tuesday the decision of the Board of Directors of the Central Bank of Iraq to amend the exchange rate of the dollar against the dinar, equivalent to 1300 dinars to one dollar.
About four days after the government's decision to reduce the exchange rate of the dollar against the dinar, and two days after the talks of the Iraqi delegation in Washington, the dollar's prices did not stabilize in the parallel local markets.
The rate adopted by the Central Bank of Iraq for the dollar against the dinar, which is 1,300 dinars for one dollar, led to a temporary decrease in the price of the dollar, but it returned to rise to record more than 1,500 dinars, which means that the difference in the parallel market remains from the official price.
The reason, according to observers, is related to the lack of clarity in the final results of the discussions being held in Washington by the Iraqi delegation, headed by Deputy Prime Minister and Minister of Foreign Affairs Fouad Hussein, and the Governor of the Central Bank, Ali Al-Alaq, with officials in the US administration.

Raghad Daham

[yota691]

Iraqis are waiting for the value of the Iraqi dinar to rise after decades of collapse

 

February 14, 2023

Baghdad / Obelisk: Iraqis hope to raise the value of the Iraqi dinar against the US dollar, after the exchange rate reached 1,700 dinars against one dollar, and this prompted the government to make a controversial decision, making the exchange value of the dollar about 1,300 Iraqi dinars.

 

The appearance of Muhammad Salih, the financial advisor to the Prime Minister, confirms that the decision is commensurate with the increase in the current account of the balance of payments, as well as supporting the increase in foreign reserves, which touched $115 billion.

Before 2003, the year in which Saddam's regime fell, the Iraqi dinar became worthless in the global market.

 

However, there are those who see in the decision repercussions on the ability to pay public financial expenditures if crude oil prices decline.

 

The International Monetary Fund required the Iraqi government in 2020 to implement a package of economic reforms, including changing the exchange rate for a period of 5 years.

 

The economist, Salam Sumaisem, talks about important conclusions, which is providing subsidized dollars to banks, and they will obtain profits that satisfy them after days of drought. The concerned authorities will also receive the Iraqi dinar, which qualifies them to pay their expenses, especially salaries, in order to pass the 2023 budget  .

 

And the former deputy, Hoshyar Abdullah, says that those who have control and influence over the market are trying to break the Iraqi dinar in favor of the dollar! Because all their imports, especially oil, are in dollars, and their real estate transactions are in dollars, and their transfers are in dollars. Indeed, some of them do not even know how to deal in dinars.

 

 

The writer, Falah Al-Mashaal, says that raising the price of the Iraqi dinar against the dollar is an important step for the Sudanese government, if we consider it an achievement to bear the price difference of approximately 10%, which relieves the burden of citizens, provided that there is a decrease in the prices of rising materials, so that it becomes a beneficial step for everyone.

 

Hisham al-Rikabi, advisor to Prime Minister Muhammad al-Sudani, considered that the government's battle against speculators and hard currency dealers enjoys internal and external political support, and that the process of controlling commercial transactions according to global contexts continues, and the Iraqi economy will not be determined by shop brokers and street speculators, but only by the state.

 

The Iraqi dinar suffered from decline during the era of the previous regime, and after the invasion of Kuwait, the government began to obey the dinar in Iraqi printing presses, which led to the spread of currency counterfeiting and a complete collapse of the value of the Iraqi dinar, which reached about four thousand dinars to one dollar.

[6ly410]

Mazhar Mohammed Saleh: Private Banks' Compliance Will support Exchange Rate Stability

Al-Eqtessad News Agency - Mazhar Mohamed Saleh: The compliance of private banks will support the stability of the exchange rate (economy-news.net)

Economy News-Baghdad

Economic adviser to Prime Minister Mazhar Mohammed Saleh revealed on Wednesday the date of stability of dollar prices and the disappearance of price differences.

Saleh said in a press interview that "with the progress of the degrees of compliance practiced by private banks in the demand for foreign exchange, especially foreign remittances responsible for financing foreign trade for the private sector, the money market will move towards stability and then exchange rates in the parallel market will approach the official market and the price differences that we are currently witnessing will disappear.

He added, "It is the opportunity in which the licensed private banks, which number more than 80 banks, will prove their national contribution by intensifying their effective efforts in price stability through their constructive cooperation in providing accurate commercial documents and correct data that do not clash with international compliance or audit bases practiced by the Central Bank of Iraq platform on the transparency of commercial data," noting that "90% of the demand for foreign currency, especially the dollar, is through the demand for foreign remittances.

58 Views

Added 2023/02/15 - 11:21 AM

Update 2023/02/15 - 12:21 PM

[yota691]

The appearance of Muhammad Salih: The compliance of private banks will suppor t the stability of the exchange rate

 

money and business
   

Economy News-Baghdad
Today, Wednesday, the economic advisor to the Prime Minister, Mazhar Muhammad Salih, revealed the date for the stability of the dollar prices and the disappearance of the price differences.

 

Saleh stated in a press interview that “with the progress in the degrees of compliance practiced by private banks in the demand for foreign exchange, especially the foreign transfers responsible for financing foreign trade for the private sector, the money market will move towards stability and then the exchange rates in the parallel market will approach the official market and price differences will disappear.” that we are currently witnessing.

 

He added, “It is the opportunity that the licensed private banks, which number more than 80, will prove to show their national contribution by intensifying their effective efforts in price stability through their constructive cooperation in providing accurate commercial documents and correct data that do not collide with international compliance or the auditing principles practiced by the Central Bank platform.” Al-Iraqi on the transparency of commercial data,” noting that “90% of the demand for foreign currency, especially the dollar, is through the demand for foreign remittances.

 

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Views 194

Added 2023/02/15 - 11:21 AM

Updated 2023/02/15 - 5:20 PM

[yota691]

Sudanese advisor reveals the size of Iraq's internal and external debts

money and business
   

Economy News - Baghdad
The financial advisor to the Prime Minister, Mazhar Muhammad Salih, determined, on Wednesday, the total public debt of Iraq, while indicating that extinguishing and repaying debts are subject to a tight financial program and regular timings.

 

Salih told the official news agency, "Iraq's internal debt, which is exclusively in the possession of the government banking system, is estimated at about $55 billion if it is valued in foreign currency according to the new exchange rate," noting that "a percentage of no less than 63% of the internal public debt is in the possession of the Central Bank." Iraq, whether in the form of government bonds or treasury transfers.

And he added, “The average annual interest on all of them is about 3% with the offer,” pointing out that “the external public debt that must be paid between the years 2023-2028 is estimated at about 21-23 billion dollars, which means that the total internal and external indebtedness is 76 billion.” dollar". 

 

He pointed out that "the total balance of public debt (internal and external) still does not exceed 35% of Iraq's gross domestic product, while international standard ratios allow up to 60% and consider it stable."

 

And he continued, "Based on the rules of discipline or fiscal reinforcement, the fiscal policy should reduce the total amount of public debt annually, as well as gradually reduce the annual deficit rate through rational management of public spending and maximizing total public revenues, especially non-oil revenues, the proportion of which should become About 20% of the total public revenues in the budget instead of the current percentages that do not exceed 8%, according to what was stated in the ministerial curriculum of the government of Prime Minister Muhammad Shia'a al-Sudani.

 

He noted that "extinguishing and repaying debts are subject to a tight financial program and regular timing, especially external debt receivables through the allocations allocated in the general budget for debt extinguishment and services, which still indicates Iraq's high creditworthiness with international credit rating institutions and according to its data issued periodically since its adoption." from 2015 to the present.

 

 

 

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Views 120

Added 02/15/2023 - 4:03 PM

Updated 2023/02/15 - 5:21 PM

[Half Crazy Runner]

Iraqis are waiting for the value of the Iraqi dinar to rise after decades of collapse

Yep. So are we ….  

 

[horsesoldier]

Hurry the heck up would you !!!! Some of us ain't Spring Chickens anymore having to wait on you knuckle heads.

[WheresmyRV?]

37 minutes ago, horsesoldier said:

Hurry the heck up would you !!!! Some of us ain't Spring Chickens anymore having to wait on you knuckle heads.

They're too busy making up the next holiday or vacation. 

[DanP]

51 minutes ago, WheresmyRV? said:

They're too busy making up the next holiday or vacation. 

All we keep hearing is unkept promises. 
 

[screwball]

On 2/12/2023 at 11:36 PM, yota691 said:

major US financial institution to make payments to China's banking system will contribute to bridging the wide gap between the "official" and "parallel" rates of the dollar.  

hmmmm...forex? buy and sell rates?

[yota691]

Counselor Mazhar Muhammad Salih explains the approved standards for the Iraqi credit rating

2023.02.20 - 12:52

 

Baghdad - people  

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, confirmed, on Monday, that Iraq has maintained a stable credit rating during the last eight years, indicating that Iraq has a rating that includes countries, the majority of which are emerging economies.  

  

 

  

Salih said in a statement to the official agency, followed by "NAS", (February 20, 2023), that "the credit rating of Iraq has been adopted since 2015 in our country, which led to a reduction in the cost of external borrowing by 50%, when Iraq issued the European bond called (Euphrates), which Iraq borrowed at that time from the international capital market by about one billion dollars, and is currently circulating in the European secondary markets.  

  

He pointed out, "There is a (Tigris) bond guaranteed by the United States government in the amount of one billion dollars as well, as well as a European bond for Iraq under the name (Iraq / 2028), which is related to the settlement of foreign private sector debts according to the settlement of the Paris Club agreement, with an issue amount of about $ 2.7 billion." .  

  

He explained, "The credit rating of Iraq depends in general, and for the aforementioned bonds, on important macroeconomic criteria, mainly to achieve what is called (the creditworthiness of Iraq) and the ability of the economy to pay its debt services and external obligations without significant failure."  

  

He added, "The economic capabilities are determined by the two issues of deficit or surplus in the current account of the balance of payments and the deficit or surplus in the general budget at the very least, in addition to the role of foreign reserves and their efficiency as an indicator in covering outstanding debts and their short-term services."  

  

He stressed, "Iraq has maintained, over the past eight years, a stable credit rating. Its indicators are issued by more than one of the international credit rating agencies, such as (Clubl Fitch) and others, on a semi-annual basis, which indicates the great capabilities of Iraq to fulfill its external obligations towards creditors and others around the world." .  

  

He pointed out, "The classification that Iraq enjoys today, which is in the B-level range, places Iraq among an important international group of no less than 60 countries in the world, most of which are emerging market countries and emerging economies."  

[yota691]

Mazhar Muhammad Salih: Iraq occupies an important position in terms of credit rating

 

money and business
   

Economy News-Baghdad
Today, Monday, the financial advisor to the Prime Minister, Mazhar Muhammad Salih, confirmed that Iraq has maintained a stable credit rating during the last eight years, indicating that Iraq has a rating that includes countries, the majority of which are emerging economies.

 

Salih told the Iraqi News Agency, "The credit rating of Iraq has been adopted since 2015 in our country, which led to a reduction in the cost of external borrowing by 50%, when Iraq issued the European bond called (the Euphrates), which Iraq borrowed at the time from the international capital market by about one billion dollars." It is currently traded on the European secondary markets.

 

He pointed out, "There is a (Tigris) bond guaranteed by the United States government in the amount of one billion dollars as well, as well as a European bond for Iraq under the name (Iraq / 2028), which is related to the settlement of foreign private sector debts according to the settlement of the Paris Club agreement, with an issue amount of about $ 2.7 billion." .

 

He explained, "The credit rating of Iraq depends in general, and for the aforementioned bonds, on important macroeconomic criteria, mainly to achieve what is called (the creditworthiness of Iraq) and the ability of the economy to pay its debt services and external obligations without significant failure."

 

He added, "The economic capabilities are determined by the two issues of deficit or surplus in the current account of the balance of payments and the deficit or surplus in the general budget at the very least, in addition to the role of foreign reserves and their efficiency as an indicator in covering outstanding debts and their short-term services."

 

 He stressed, "Iraq has maintained, over the past eight years, a stable credit rating. Its indicators are issued by more than one of the international credit rating agencies, such as (Clubl Fitch) and others, on a semi-annual basis, which indicates the great capabilities of Iraq to fulfill its external obligations towards creditors and others around the world." .

 

He pointed out, "The classification that Iraq enjoys today, which is in the B-level range, places Iraq among an important international group of no less than 60 countries in the world, most of which are emerging market countries and emerging economies."

 

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Views 120

Added 02/20/2023 - 12:52 PM

Updated 2023/02/20 - 4:15 PM

[screwball]

waiting for private banks...remove street traders and private banks implement currency boards and exchange desks!

[yota691]

Government advisor: A major force that dominates the financial market in Iraq

 

Economy _Today, 11:51 |

    

 

Baghdad today - Baghdad

Today, Tuesday, the economic advisor to the Prime Minister, Mazhar Muhammad Salih, pledged the stability of the dollar exchange rate against the Iraqi dinar to the “commitment” of banks and merchants to the instructions of the Central Bank, while he indicated that there is a “great force that dominates the market.”

 

Saleh said, in an interview with the "Lebanese newspaper Al-Akhbar" and its follow-up (Baghdad Today), that "the problem of the high price of the dollar is the result of wrong economic policies that lack proper planning, especially in the field of the market," noting that "the reform packages presented by the central bank did not solve it." The whole problem is the dollar's rise radically, but only temporarily.

 

He continued, "Private banks, as well as owners of large capitals, were dealing completely freely and randomly, but with the presence of the electronic platform developed by the American side, they discovered that all their dealings were unofficial, and there is also randomness in their data and information with the Central Bank."

He added, "This is what facilitated money laundering and smuggling abroad, which has become a popular trade in the market, without supervision or control by the concerned authorities."

 

Counselor Saleh suggested that the dollar crisis would continue if bank owners, merchants and foreign remittances did not adhere to the new instructions set by the Central Bank.

 

With regard to negotiations with the American side, he pointed out that the crisis is primarily internal, noting that "Iraq did not adhere to international standards in managing the movement of funds."

 

He asked about "the benefit of these dialogues if we are not the decision makers in organizing our financial situation."

 

Saleh ruled out that "the state's intervention in holding the moneylenders and dealers accountable will contribute to addressing the situation," explaining that "this is the result of the dominance of a great power that colonized the market."

 

Yesterday, the Central Bank of Iraq confirmed that it records public complaints and inquiries about selling dollars daily from eight in the morning until four in the afternoon.

And he said, in a statement received by (Baghdad Today), that "the central bank continues to receive public comments, complaints, and inquiries related to outlets for selling foreign currency, the dollar."

 

He added that the public can call for this "from eight in the morning until four in the evening at the numbers 07853330555 and 07809224663."

 

With regard to the visit of the Iraqi delegation to Washington, Foreign Minister Fuad Hussein indicated in his press conference yesterday that "the Iraqi currency is strong for many political and economic reasons, and the Iraqi reserves exceeded 100 billion dollars," stressing that "the dollar crisis has to do with the electronic financing system and before the system was implemented." The economy was dealing with cash.

And the minister stated, "Iraq's dealings with the cash system led to problems for merchants with how to deal with the new electronic platform for dollar financing, which revealed many unreal bills for financing," explaining that "the market need differs from the size of the currency in dollars that was paid before the electronic platform."

And the Foreign Minister stressed, "There will be stability for the dinar currency against the dollar, and the issue is only a matter of time, as the price of the dollar before the delegation travels to Washington and the decisions of the Central Bank and the government differs from what follows these steps."

 

Hussein continued, "The dollar has stopped rising and is now declining as a result of government measures and the delegation's visit to Washington," pointing out that "there are no conditions on the issue of the dollar, but rather understandings and discussions with the US administration about the Central Bank's procedures in cooperation with the US Treasury."

 

 

[6ly410]

Al-Nasiri: The Central Bank's electronic platform for external transfer is the beginning of the solution for banking reform and exchange rate stability

Al-Eqtessad News Agency - Al-Nasiri: The Central Bank's electronic platform for external transfer is the beginning of the solution to banking reform and exchange rate stability (economy-news.net)

 

Economy News _ Baghdad

Samir Al-Nasiri, advisor to the Association of Iraqi Private Banks, confirmed that the Central Bank's electronic platform for external transfer is the beginning of the solution for banking reform, and that bridging the gap between the official and parallel exchange rate actually begins with the application of the instructions and controls of the external transfer platform, which was issued the day before yesterday by the Central Bank of Iraq, which is a new instructions for external transfer for the year 2023 to licensed banks and is based on the amended Central Bank Law No. 56 of 2004.

Al-Nasiri said in an interview with "Economy News" that the instructions aim to strengthen the role of the banking system and non-banking financial institutions in securing foreign currency to the final beneficiaries and controlling its movement internally and externally, leading to controlling and maintaining the stability of the exchange rate and adhering to the requirements of the Anti-Money Laundering and Terrorism Financing Law No. 39 of 2015, which included controls for entering the platform, transactions, entities allowed to be financed legally, procedures and obligations of banks that enter this platform, mechanisms, flexibilities, facilities and expansion of Inclusion in order to allow the financing of all economic, commercial and investment activities and achieve the legal interests of financing citizens in dollars in buying and selling, treatment, study and travel.
He explained that the application of entry controls to the platform for the year 2023 confirms that Iraq is strictly committed to international standards to ensure that the dollar reaches the final beneficiary and preserve Iraq's foreign currency funds from illegal behaviors and adhere to international compliance rules and international standards adopted within the global financial system, as well as commitment to the decisions of the international community related to international banking transactions, and this confirms not to go back because economic reforms cannot be carried out completely without starting reform first in the sector. The banking as modern banking systems, policies and contexts and in accordance with internationally disciplined and controlled standards.
He pointed out that the Central Bank of Iraq aims mainly to achieve economic stability by achieving stability in the monetary system and the financial system through its programs and plans aimed at maintaining stability in the exchange of the dinar against other foreign currencies, provided that the financial policy is combined with it, which must take into account financial discipline in addition to combating economic crime and activities that violate the laws in force, such as financial crimes of all kinds, in addition to building sufficient foreign cash reserves to cover Our local currency is in circulation and control stable rates of inflation rates and interest rates.
Al-Nasiri urged the Iraqi media to be accurate and non-extremist economic and media analyses of the reality of monetary stability in Iraq, so as not to take expectations of media intimidation and create a state of fear among the public and the banking sector.

He pointed out that through an insight into the state of the monetary trading market from a neutral and transparent point of view, I am sure that the steps, procedures and balanced financing initiatives of the Central Bank and the availability of foreign currency reserves of more than $ 100 billion on average, and in proportion that determines its sufficiency to cover the monetary mass in circulation and to cover imports, the Central Bank will make exceptional efforts in accordance with the applications of monetary policy and that it will maintain the real purchasing value of the dinar and its recovery and the stability of the target rates of exchange rates in the short term.

 

6 Hits

Added 2023/02/22 - 11:56 AM

Update 2023/02/22 - 12:15 PM

[screwball]

13 minutes ago, 6ly410 said:

the Central Bank will make exceptional efforts in accordance with the applications of monetary policy and that it will maintain the real purchasing value of the dinar and its recovery and the stability of the target rates of exchange rates in the short term.

👍😉

[6ly410]

Sudanese Advisor: Central Bank reserves are subject to guidelines on their diversification between currencies

Al-Eqtessad News Agency - Sudanese Advisor: Central Bank reserves are subject to guidelines on their diversification between currencies (economy-news.net)

Economy News - Baghdad

Financial adviser to Prime Minister Mazhar Mohamed Saleh confirmed on Wednesday that the central bank's reserves are subject to guidelines on the subject of diversification between currencies.

Saleh told Al-Eqtesadia News, "The dinar has only been firmly linked to the United States dollar, but the reserves of the Central Bank are subject to guidelines regarding their diversification between currencies."

He added, "One of the components of diversification is the Chinese yuan, which helps to finance direct trade between Iraq and China in the yuan or the dollar itself, as there is no difference in terms of the value of import payments, and this is what was stipulated in the second package of external transfer instructions launched by the Central Bank of Iraq this morning."

It is noteworthy that the Central Bank of Iraq announced, earlier on Wednesday, the second package of facilities to obtain foreign currency.

The media office of the Central Bank said in a statement that "further to what was announced in the first package of facilities provided by the Central Bank to stabilize exchange rates, the second package will include the following:

1- Financing foreign trade from China directly and in Chinese yuan will be regulated through two options:

a) The first option: to strengthen the balances of Iraqi banks that have accounts with Chinese banks in Chinese yuan.

b) The second option: strengthening the balances of Iraqi banks through the accounts of the Central Bank to the ultimate beneficiary in the Chinese yuan currency through our accounts with JPMorgan and the Development Bank of Singapore.

2- Facilities for financial transfers to the United States and Europe will be provided through the same mechanism later.

3- The documents required to apply for the aforementioned foreign financial transfers will be: a commercial list (invoice) only, or the priorities of the documentary credit, provided that the customer submits to the bank later proof of the entry of the goods.

4. Detailed instructions will be issued, including the above.

5- Organizing financial settlements for agents of money transfer companies (Western Union and MoneyGram) through category A exchange companies through an Iraqi bank with one settlement account for all those companies.

6- Citizens can transfer the amounts allowed to be transferred up to a maximum of (7500) dollars per month through the agents of the money transfer companies (Western Union, MoneyGram) at the official rate of (1320) dinars / dollar, and the Central Bank strengthens the accounts of these agents through the window of selling and buying foreign currency.

7- A table will be published that includes the names of the authorized agents and their locations, and citizens who wish to transfer personal amounts for different uses (such as family subsidies, or simple commercial uses), will be able to go directly to these agents (banks, exchange companies or any other entities licensed by the Central Bank or will be licensed later), to transfer at an exchange rate of (1320) dinars/dollar.

8- New uses will be added to the sale of cash dollars, which will contribute to expanding the base of sales to citizens to facilitate the payment of their obligations in US dollars, in a manner that does not conflict with our circulars, and the directives previously issued by the government in this regard.

9- Allowing government and private banks and exchange companies of categories A and B to expand the outlets for selling cash dollars in any of their branches, provided that this is through the FITR platform exclusively, while notifying us of the need to increase and diversify the geographical distribution of these outlets.

 

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Added 2023/02/22 - 4:12 PM

Update 2023/02/22 - 5:51 PM

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Advisor to the Prime Minister: The electronic platform will provide a sufficient supply of dollars for the real beneficiary

Iraqi News Agency

Advisor to the Prime Minister: The electronic platform will provide a sufficient supply of dollars for the real beneficiary

 

Baghdad - Waa - Nassar Al-Hajj
Financial Advisor to Prime Minister Mazhar Mohammed Saleh confirmed on Wednesday that the electronic platform for selling dollars will provide a sufficient supply of currency in the markets for the real beneficiary, indicating that the adoption of correct commercial documents by the national banking system will achieve convergence in the exchange rate and pivoting on the official rate rapidly.
Saleh told the Iraqi News Agency (INA) that "monetary policy is working through its operational objectives to build coherent mechanisms in imposing stability in the exchange market, through flexible packages in external transfer and through banking channels that follow international compliance rules," pointing out that "the cash dollar selling platform, which has been in operation since February 20, 2023, will provide a sufficient supply of dollars in cash to the real beneficiary with a high degree of international compliance."
He added that "a full liberalization of transactions related to the current account of the balance of payments has been carried out in accordance with international compliance, whose foreign transfers were previously faltering due to bureaucratic banking customs, including transfers of services, especially shipping and insurance services, investors' profits, labor revenues and inheritance rights for Iraqis or expatriates outside the country, which were completely fundamentally liberalized."
He continued: "In addition to the partial liberalization of the financial account in the balance of payments, foremost of which are real estate investments for housing purposes."
He pointed out that "with the progress of the mechanisms of the national banking system in adopting the correct commercial documents that are consistent with the rules of financing foreign trade in the subject of compliance, the exchange market will approach each other at the price and revolve around the official rate over time and rapidly," noting "the positive role played by government banks in general and in particular the Iraqi Trade Bank currently in promoting requests for external transfer to small traders directly and through international compliance banking whose monthly trade does not exceed 200 A thousand dollars, which dominate their relative weight in financing foreign trade for the private sector, with percentages that may reach 70% of the total import trade of the private sector."

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Financial Advisor to Prime Minister Mazhar Mohamed Saleh: The electronic platform for selling dollars will provide a sufficient supply of currency in the markets for the real beneficiary.

[6ly410]

All New

Sudanese consultant on the electronic platform: It will save the dollar and achieve a convergence in exchange rates

2023.02.22 - 18:19

Sudanese consultant on the electronic platform: It will save the dollar and achieve a convergence in exchange rates (nasnews.com)

l 

Baghdad – Nas  

The financial adviser to Prime Minister Mazhar Mohamed Saleh confirmed on Wednesday that the electronic platform for selling dollars will provide a sufficient supply of currency in the markets for the real beneficiary, indicating that the adoption of correct commercial documents by the national banking system will achieve convergence in the exchange rate and pivot on the official rate rapidly.  

    

  

Saleh said in a statement to the official agency of "NAS", (February 22, 2023), that "monetary policy is working through its operational objectives to build coherent mechanisms in imposing stability in the exchange market, through flexible packages in external transfer and through banking channels that follow international compliance rules," pointing out that "the platform for selling cash dollars, which has been in operation since February 20, 2023, will provide a sufficient supply of dollars in cash to the real beneficiary with a high amount of international compliance".  

  

He added that "a full liberalization of transactions related to the current account of the balance of payments has been carried out in accordance with international compliance, whose foreign transfers were previously faltering due to bureaucratic banking customs, including transfers of services, especially shipping and insurance services, investors' profits, labor revenues and inheritance rights for Iraqis or expatriates outside the country, which were completely fundamentally liberalized."  

  

He continued: "In addition to the partial liberalization of the financial account in the balance of payments, foremost of which are real estate investments for housing purposes."  

  

He pointed out that "with the progress of the mechanisms of the national banking system in adopting the correct commercial documents that are consistent with the rules of financing foreign trade in the subject of compliance, the exchange market will approach each other at the price and revolve around the official rate over time and rapidly," noting "the positive role played by government banks in general and in particular the Iraqi Trade Bank currently in promoting requests for external transfer to small traders directly and through international compliance banking whose monthly trade does not exceed 200 A thousand dollars, which dominate their relative weight in financing foreign trade for the private sector, with percentages that may reach 70% of the total import trade of the private sector."