WOTS MON JUN 14 21 The coming days will witness an improvement in the dollar exchange
These are the articles I discussed on the My FX Buddies Podcast
6 unions launch a campaign to support the dinar and the national economy
And 6 unions said in a statement that {Euphrates News} received a copy of it, in which it announced “the launch of a national campaign under the auspices of the Central Bank of Iraq to raise awareness to support the national currency and the Iraqi economy. Dentists, who represent a large segment of Iraqi society.
The statement added, "This campaign aims to shed light on the importance of dealing with the national currency and increasing the citizen's confidence in it, for the contribution of all sectors to maintaining the exchange rate and maintaining inflation at low rates, and reducing the rates of poverty and unemployment through the entry of Iraqi and foreign investors to work inside the country, which will lead to To increase the services provided to citizens, and this is fully reflected in the economy.”
He pointed out that "this campaign also includes a focus on the failure of the owners of retail and service stores to compel citizens."
Targeting a military base at Baghdad International Airport with drones
Local media quoted security sources as saying that "an unidentified drone dropped explosive projectiles, which hit the air force fence inside the military airport in Baghdad with a number of projectiles."
The sources indicated that "the targeting process did not result in any human casualties, only damage to the fence, on which the projectiles fell, while the security authorities are conducting an investigation into the incident."
For months, the Green Zone, which includes the US embassy in Baghdad, as well as military bases hosting coalition forces and convoys transporting logistical equipment belonging to the international coalition, have been under attack.
Washington accuses the Iraqi armed factions, which are funded and trained by Iran, of being behind the missile attacks on the embassy and Iraqi military bases hosting US soldiers.
Parliamentary Energy: The oil and gas law will not pass without political consensus
On Sunday, a member of the Parliamentary Oil and Energy Committee, Ghaleb Muhammad, ruled out the legislation of the oil and gas law without a political agreement between Baghdad and the region, stressing that the law will be transferred to the next parliamentary session.
Ghaleb said in a statement to "The Information", that "political differences led to the absence of the oil and gas fight, and it is the basis of the problem on the division of oil wealth," noting that "oil and gas is the legal cover for the entire oil sector."
He added, "Passing the law requires political consensus," ruling out "the approval of the oil and gas law in the current parliamentary session."
A member of the House of Representatives from Diyala Governorate, Mudar Al-Karawi, had demanded, in a previous statement to "Al-Maalouma", the formation of a ministerial committee to distribute oil benefits in the province.
Al-Rasheed Bank begins installing ATMs in a number of government departments
Al-Rasheed Bank announced the start of setting up ATMs in a number of government departments in Maysan Governorate.
The media office said in a statement today: "The departments in which the monument has been completed are (Maysan Child and Maternity Hospital, Martyr Al-Sadr Teaching Hospital, Maysan Facility Protection Directorate and Maysan Health Department) and work is continuing to complete the implementation of what was set in the bank's plan."
An economic specialist..increasing banks' shares of the dollar increases their profits and does not improve the exchange rate
An expert in economic affairs criticized the Central Bank's handling of the exchange rate crisis by raising the share of banks and offices from the dollar, describing it as "circulating the solution."
Durgham Muhammad Ali said in a statement to the National Iraqi News Agency ( NINA ) that "the increase of the central bank's share of the licensed banks and offices from the cash sale of dollars is an increase in the profits of these banks and companies, as they monopolize the dollar and cause a crisis in prices."
He added: "The central bank, instead of opening windows for direct selling without intermediaries for the dollar, increases the shares of those involved in corruption to make more illegal profits from selling more dollars on the black market, taking advantage of the exchange rate difference," stressing:
The economic specialist wondered about the goal of establishing more than 75 private banks, without any credit contribution in any development field, criticizing “the complicity of the executive authority with cash to plunge the country into economic problems that are difficult to solve.
The fair exchange rate .. Who determines it?
During the past days, the economic circles traded the term fair exchange rate of the Iraqi dinar against the dollar, which was refuted by specialists, and stressed that there is no room to talk about a fair exchange rate at this time and the situation in the country and the approved economic work mechanisms.
The academic economist Dr. Qusay Al-Jabri stated that “a fair price is not an opinion that this person or that person puts forward, and when we talk about an appropriate exchange rate, there should be special models for estimating this price, and there are strong arguments to defend a specific exchange rate, and these arguments are behind it. Important economic goals, so they are not opinions to be presented.”
trade balance
He added, “No monetary policy can succeed without corresponding policies in the real sector (production sector) so that it is possible to correct the conditions of the trade balance and the balance of payments, but changing the exchange rate and trying to reduce it is an incorrect policy whose inevitable result is the impoverishment of people and the strengthening of inequality in the distribution of income.”
He pointed out that «strengthening economic stability in Iraq is not possible through monetary policy only or financial policy only, but rather comes from a system of effective and harmonious economic policies to achieve a set of goals, foremost of which is the strengthening of stability and giving a greater role for the private sector to absorb the momentum of unemployment and improve the balance of payments conditions. ».
Currency value
Financial affairs specialist Ahmed Hathal explained that “some research determines the value of the currency on the basis of purchasing power in some countries or in the United States, and this is also inaccurate due to the different structure and structure of the production sector, as well as the quality of the commodity measured by it, even if we assume that the same factory produces in The United States and Iraq will have differences as a result of the difference in per capita income.”
oil revenue
In turn, the economist, Samir Fikri, said: “Who can determine the fair value of the exchange, and our sources of income are determined by external demand and linked to international oil prices, so there is no so-called fair value, as it is a value that fluctuates with the fluctuation of oil revenues, and it continues to do so as long as the growth of government spending depends on the sector.” Oil and non-oil GDP growth exceeds the so-called fair value.
Find out the real price of the Iraqi dinar
In the end, the Iraqi dinar is just a luxuriously printed paper. What determines its value in the first place is the amount of reserves that the Central Bank .has in terms of gold, foreign currencies and foreign investments .
Therefore, what determines the value of the Iraqi dinar is the amount of what is printed from Iraqi currency to the amount of reserves in US dollars
The volume of reserves that were mentioned above in US dollars amounted to 63 billion dollars, in contrast, the Iraqi currency issued amounted to 73.67 .trillion Iraqi dinars
That is, the real value of the Iraqi dinar reached during the month of April 73670/63 = 1168 dinars per US dollar. This is the real value of the Iraqi dinar, which has decreased since last April from 771 dinars per dollar to reach 1168 dinars as a result of the increase in the issued currency and the decrease in the existing reserves
As for the reason that the price of 1450 dinars was set for one dollar from the Central Bank, there are many things that stand in the forefront of the .Ministry of Finance's attempt to reduce expenses by reducing the value of the Iraqi dinar
Oil prices are at their highest levels in several years
Oil prices rose to multi-year highs on Monday, boosted by a better demand outlook as an increase in COVID-19 vaccines helps lift travel restrictions.
Brent crude rose 35 cents, or 0.47 percent, to $73.03 by 05:43 GMT. It rose 1.1 percent last week and reached its highest level since May 2019 at $73.09.
US West Texas Intermediate also rose 14 cents, or 0.2%, at $71.22 a barrel, after hitting its highest level since October 2018 at $71.24 and rising 1.9% over the course of the week.
Car traffic is back to pre-pandemic levels in North America and most of Europe, and there are more planes in the air as lockdowns and other restrictions ease, resulting in a three-week gain for oil standards.
The International Energy Agency said in its monthly report on Friday that the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, need to increase production to meet recovering demand.
The OPEC+ group was restricting production to support prices after the pandemic wiped out demand in 2020.
Goldman Sachs said last week that it expects Brent crude to rise to $80 a barrel this summer, as the start of vaccinations boosts economic activity around the world.
Parliamentary Finance: The coming days will witness an improvement in the dollar exchange rate
A member of the Parliamentary Finance Committee, Jamal Cougar, confirmed, on Monday, that the coming days will witness further improvement in the dollar exchange rate, pointing out that speculators in the strongholds of the black market are behind the scheduled rise in the price.
Cougar said in a statement to "Al-Maalouma", that "the stability of the natural exchange rate as stated by the government and the absence of any intentions to change it," noting that "there is a monopoly by some traders for some basic materials, including the dollar."
He added that "the dollar is a commodity, like all commodities, rising due to the monopoly of some people and companies," stressing that "the coming days will witness more improvement in the dollar exchange rate."
On Sunday, Representative Mansour Al-Baiji confirmed that the unprecedented rise in the exchange rate, which we have always warned of its repercussions, has negatively affected the lives of citizens during the current situation due to the significant rise in food and medicine prices.
A parliamentary committee wonders: Has the government started implementing the ?White Paper
Salem Al-Tufaili, a member of the Parliamentary Committee on Economy and Investment, sent a letter to the Iraqi government on Monday, June 14, 2021, regarding its promises of economic and financial reforms, pointing out that there is a parliamentary movement to find out what .has been implemented of them
Al-Tufaili said in an interview received by Al-Masala that the government of Mustafa Al-Kazemi, promised to carry out economic and financial reforms according to its government program, and prepared a paper in this regard (the white paper), but we do not know whether this paper was applied on the .ground or not, stressing that there are no reforms real economics so far.
He added that the competent parliamentary committees will work during the next few days to host government agencies and figures specialized in implementing the reform white paper, to find out what this paper has applied on the ground, and what is the benefit of what has been applied on the .country's economic and financial level
The Prime Minister, Mustafa Al-Kazemi, had said that the country is going through multiple crises and there are attempts to obstruct the government’s work, and we succeeded in preventing the country’s economic and financial collapse, noting that an important reform represented by the white paper, .which contributed to the continued regular payment of salaries
Adviser to the Prime Minister, Mazhar Muhammad Salih, considered on Wednesday, March 3, 2021 that Iraq is entering the stage of economic recovery .after the rise in oil prices and economic reforms
Salih said that Iraq is on the verge of economic recovery because there is a tangible agricultural boom that will achieve a growth in non-oil GDP in 2021 by more than 4%, which is about one and a half times higher than the growth of the population, and the boom in the energy demand sector in the world .is an indicator Positive enhances the general financial capacity of the country
Honest: The citizen and the merchant are at the mercy of exchange rates
link
The Sadiqoun bloc confirmed, on Sunday, that the exchange rates did not affect the citizen only, but also went beyond the matter to the merchants, and both of them complained about the “crime” of the exchange rates.
A member of the coalition, Muhammad al-Baldawi, said in a statement to the "Information" agency, "We warn of the fears of local market traders that they will not enter the market and supply them with goods as long as they remain at this pace of turmoil between high and low exchange rates."
He added, "The government has failed to control the currency auctions run by its financial institutions, and therefore it is unable to redraw an appropriate pricing for the Iraqi dinar against the dollar."
He pointed out that “the central bank sales of dollars are very large, and the volume of quantities in the market is doubled, and this will cause continued unrest.”
Parliamentary Committee: America is a stumbling block to Chinese investment in Iraq
They have said this before too
Deputy Chairman of the Government Program Implementation and Strategic Planning Committee, Muhammad Al-Baldawi, accused, on Monday, the United States of America of obstructing the investment of Chinese companies in Iraq .
Al-Baldawi said in a statement to the "Information" agency that "the American tools contributed in one way or another to disrupting the wheel of Iraqi economic growth," considering that "the entry of Chinese companies into Iraq is the only solution to get rid of American hegemony."
He added, "America has obstructed China's projects in Iraq ."
Al-Baldawi had revealed, in a previous statement to the Information Agency, attempts by the United States of America and Gulf countries to disrupt Chinese companies before their arrival in Iraq .
Below here is the daily WOTS "Word on the Street" report:
The exchange rates of the dollar in the local markets for Monday, (June 14, 2021), according to the monitoring of specialists.
Baghdad - Stock Exchange of struggle الكف
150,200
------------------
Exchange rate (approximate)
149,750
150,750
------------------
Erbil / Bursa
150,325
------------------
Basra / Bursa
150,300
Favorite Currencies Forex Quotes
| Symbol | Bid | Ask | High | Low | Open | Change | Time |
|---|---|---|---|---|---|---|---|
| USD/IQD |  1440.4000 |  1490.0000 | 1458.4000 | 1458.3000 | 1458.4000 | 1.2000 | 14:18 |
| USD/VND | 22944.0000 | 22947.0000 | 22942.7200 | 22940.9900 | 22940.9900 | 2.0300 | 22:59 |
| USD/CNY | 6.3972 | 6.4002 | 6.3977 | 6.3977 | 6.3977 | 0.0001 | 01:03 |
| USD/KWD | 0.3004 | 0.3014 | 0.3006 | 0.3005 | 0.3006 | -0.0001 | 05:05 |
| GBP/USD | 1.4091 | 1.4092 | 1.4118 | 1.4070 | 1.4107 | -0.0004 | 05:25 |
| USD/IRR | 42000.0000 | 42210.0000 | 42097.5000 | 42097.5000 | 42097.5000 |  0.0000 | 00:00 |
| USD/IDR | 14267.0000 | 14272.0000 | 14262.0000 | 14196.0000 | 14204.0000 | 56.0000 | 05:25 |
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Iraqi Articles:
Oil prices are at their highest levels in several years
Oil prices rose to multi-year highs on Monday, boosted by a better demand outlook as an increase in COVID-19 vaccines helps lift travel restrictions.
Brent crude rose 35 cents, or 0.47 percent, to $73.03 by 05:43 GMT. It rose 1.1 percent last week and reached its highest level since May 2019 at $73.09.
US West Texas Intermediate also rose 14 cents, or 0.2%, at $71.22 a barrel, after hitting its highest level since October 2018 at $71.24 and rising 1.9% over the course of the week.
Car traffic is back to pre-pandemic levels in North America and most of Europe, and there are more planes in the air as lockdowns and other restrictions ease, resulting in a three-week gain for oil standards.
The International Energy Agency said in its monthly report on Friday that the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, need to increase production to meet recovering demand.
The OPEC+ group was restricting production to support prices after the pandemic wiped out demand in 2020.
Goldman Sachs said last week that it expects Brent crude to rise to $80 a barrel this summer, as the start of vaccinations boosts economic activity around the world.
Find out the real price of the Iraqi dinar
In the end, the Iraqi dinar is just a luxuriously printed paper. What determines its value in the first place is the amount of reserves that the Central Bank .has in terms of gold, foreign currencies and foreign investments .
Therefore, what determines the value of the Iraqi dinar is the amount of what is printed from Iraqi currency to the amount of reserves in US dollars
The volume of reserves that were mentioned above in US dollars amounted to 63 billion dollars, in contrast, the Iraqi currency issued amounted to 73.67 .trillion Iraqi dinars
That is, the real value of the Iraqi dinar reached during the month of April 73670/63 = 1168 dinars per US dollar. This is the real value of the Iraqi dinar, which has decreased since last April from 771 dinars per dollar to reach 1168 dinars as a result of the increase in the issued currency and the decrease in the existing reserves
As for the reason that the price of 1450 dinars was set for one dollar from the Central Bank, there are many things that stand in the forefront of the .Ministry of Finance's attempt to reduce expenses by reducing the value of the Iraqi dinar
IF BUDGET LAW NOT IMPLEMENTED WITHIN A MONTH, NEITHER SIDE HAS WILL TO ENACT AGREEMENT: PUK MP
If the budget agreement between Baghdad and Erbil is not implemented within a month that means that neither side has the will to do so, member of Iraq’s Council of Representatives’ Economic and Financial Affairs Committee Sherwan Mirza said on Monday (June 14).
Mirza, who represents the Patriotic Union of Kurdistan (PUK), told Voice of America (VOA) that lawmakers should conduct an investigation in order to determine responsibility.
Nevertheless, he said that the Kurdistan Regional Government’s (KRG) negotiating delegation was optimistic that the agreement in the budget law could be salvaged and implemented.
Under the 2021 Federal Budget Law, which passed on March 31, the KRG is supposed to receive 9.5 trillion Iraqi dinars ($6.5 billion) from the budget, which will be disbursed in monthly increments, in return for submitting 250,000 barrels of crude oil per day to Iraq's oil marketer SOMO for export and a portion of the income derived from customs duties at international border crossings with Iran and Turkey.
The KRG has sent no money or oil. As a result, Baghdad has not transferred monthly cash infusions that would enable Erbil to pay public servants their full salaries.
Targeting a military base at Baghdad International Airport with drones
Local media quoted security sources as saying that "an unidentified drone dropped explosive projectiles, which hit the air force fence inside the military airport in Baghdad with a number of projectiles."
The sources indicated that "the targeting process did not result in any human casualties, only damage to the fence, on which the projectiles fell, while the security authorities are conducting an investigation into the incident."
For months, the Green Zone, which includes the US embassy in Baghdad, as well as military bases hosting coalition forces and convoys transporting logistical equipment belonging to the international coalition, have been under attack.
Washington accuses the Iraqi armed factions, which are funded and trained by Iran, of being behind the missile attacks on the embassy and Iraqi military bases hosting US soldiers.
Parliamentary Finance reveals weak implementation of the decisions of the supplementary budget
The two-and-twenty-one budget items open the doors to controversy between the legislative and executive authorities. Parliament, according to members of the Finance Committee, confirmed that more than forty books were sent to the Ministry of Finance, addressing it about the reasons for the delay in implementing the budget items, but the answer was not enough, which called them to submit a request for interrogation, which is likely to lead the minister to dismissal in case he did not respond to Parliament’s request
Parliament was not the only party that diagnosed the disruption in the implementation of the budget items.. Economists and through their follow-up pointed out some notes, including the non-distribution of financial allocations concerned with the private sector, despite the passage of a long period of time since the approval of the budget
Parliament has no options but to go towards impeachment. This is what the deputies spoke of, intending those who refuse to attend to ask and inquire about the implementation of some of the enacted laws, including the two-thousand-and-twenty-one budget
CBI Update: Just a note:
including $43,500,000. CASH THIS AUCTION IS DATED JUNE 15th, 2021
ISX Update: Shares Traded: not updated for todayValue Traded: not updated for today
6-13-2021 Intel/Newshound Guru Frank26 Article: "A group of unions and federations announces the launch of a national campaign to support the Iraqi dinar" The CBI is now doing the campaign exactly as we told you it would come out therefore, in my opinion the rate is either with this campaign or follows just shortly after...as everything and everyone waits for the CBI governor to announce a new exchange rate for a new small category note, Introducing a reinstatement of their currency... the RI ...SMILE...Make sure you praise God today and thank you for what you are about to become...I may have pain in my body but soon family you will have gain in your hands...
6-13-2021 Intel Guru MarkZ [via PDK] the biggest thing to remember when you look at these currencies …we get our reset then everything moves into parity ..when you look at currencies now and see a large discrepancy between values…keep in mind they are shooting towards a 1 to 1. That to me using common sense tells me that it has good potential.
6-13-2021 Newshound Guru Pimpy There really has been a lot of talk about the rate change - not just by so-called gurus but in the news. Very interesting. Very very interesting that once again this topic is being brought up. You have a group of people not happy about the change that took place in the first place - saying that they should not have devalued the Iraqi dinar against the U.S. dollar...I know they said, 'we're gonna keep the same rate for 3 year.' Will they do that? There's always a good chance they might do that...
6-13-2021 Newshound Guru Jeff The first one is the parliamentary finance committee [the second a GOI advisor]. That's NOT the CBI! ...they made a key statement here. Quote: "Cougar said, "changing the exchange rate is the responsibility of the Central Bank." No body else. The CBI... only the CBI has anything to do with the value of Iraq's currency/changing the rate...This general daily news suggests to you Iraq might change the rate next year when they implement the economic White Paper reforms...none of this news is from the CBI. With that said none of this news holds any credibility. [post 2 of 2]
6-13-2021 Newshound Guru Jeff Article: "Parliament: The exchange rate of the dollar against the dinar will be fixed for at least a year". Article: "Al-Kazemi's advisor reveals the details of the first economic reform program in Iraq and its launch date". Quote: "Starting in the years 2022-32 it'll be the first development decade for Iraq..." They're going to launch the white paper reforms in 2022...Based on general daily news they're probably planning to change the rate next year when they implement the 'White Paper' reforms. But...let's look at the sources of these articles... [post 1 of 2....stay tuned]
6-13-2021 Intel Guru Frank26 Everyone knows. Everyone is talking about the exchange rate. Not just the citizens of Iraq but in many countries...the talk is all over the place about the exchange rate needing to go up in value...from the CBI to Iraq to the World Bank and many others are pointing the finger at the CBI and telling them, 'Raise the value of your currency.' The only one pointing their finger at the CBI and Kazemi and telling them to decrease the value of their currency is Iran and the Parliament of Iraq but they are a minority...they are but a drop of water inside of an ocean. The talk is opposite all over the Middle East. They are implementing a new 'mechanism' which is a new exchange rate...
6-13-2021 Newshound Guru MilitiaMan Why is the world Bank so giving now? "With regard to the role of the World Bank in improving Iraq’s economy, Numan stated that “the Bank is working with the Government of Iraq to implement the reform items that it has drawn up, and we are working through all our projects to approach the economic crises that we have previously identified, and all the projects we undertake are within the framework of supporting the paper White reform. He pointed out that "Iraq has drawn up a policy to improve the country's economic reality by adhering to the reform white paper approved by the Council of Ministers, and work has begun to implement its contents."…. There you go. They are implementing the WPs [White Papers]…
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