WOTS TUE NOV 9 21Central Bank: Direction to open branches of Iraqi banks in Turkey
These are the articles I discussed on the My FX Buddies Podcast:
A despicable terrorist act.. The Pope of the Vatican condemns the attempt to assassinate Al-Kazemi
Today, Tuesday, Pope Francis condemned the outrageous terrorist attack that targeted Prime Minister Mustafa Al-Kadhimi with a booby-trapped drone at his headquarters in Baghdad.
"After the attack on your residence, His Holiness Pope Francis entrusts me to convey his sympathy through prayers for you, your family and the wounded," Cardinal Pietro Parolin, Secretary of the Vatican State, said in a telegram.
"The Pope, who made a historic visit to Iraq in March, condemns the disgraceful terrorist attack and prays that the Iraqi people will have wisdom and strength to pursue the peace process through dialogue and fraternal solidarity," Parolin added in the telegram.
The international community, including the United States, Iran and the UN Security Council, condemned the attempt to assassinate Al-Kazemi, which was not claimed by any party, amid escalating tensions after the legislative elections that were held last month
After the rise in oil prices: demands to reduce the exchange rate of the dollar and the government responds
After fixing the exchange rate of the US dollar in the 2021 budget at 1450 dinars per dollar, which came as a result of the drop in global oil prices, which is the main resource for Iraq’s general budget, it sparked many reactions among citizens and also among some specialists from economists and financials because of its negative economic and social consequences On the general public from the high unemployment and poverty, at a time considered by the Ministry of Finance as a breakthrough for the Iraqi economy suffering from a crisis in financial liquidity and a correction of the course of the Iraqi economy.
And the Central Bank of Iraq decided last December to raise the price of selling the dollar to banks and exchange companies to 1460 dinars, from 1182 dinars to the dollar, with the aim of compensating for the decline in oil revenues caused by the deterioration in oil prices, which caused raising the price of the dollar and decreasing the value of the Iraqi dinar in a decrease in capacity Citizens purchasing.
At a time when oil prices gradually rose to reach more than 80 dollars per barrel, citizens and economists demanded the need to re-reduce dollar prices in the next year's 2022 budget or reduce its effects on society.
Compensation for the poor
The economic expert, Basem Jamil Antoine, said in an interview with Shafak News Agency; The dollar price is the outcome of the white paper that organized the process from 3 to 5 years and considered it part of the economic reform process with regard to the financial situation and banks, noting that “the state cannot change its currency, but the important thing is the real reform that serves the poor classes of the people.”
Antoine adds; The exchange rate is not important and not the origin as much as there is compensation for the poor classes that make up the majority, and there will be social assistance, the provision of the ration card and the creation of job opportunities is a basic issue, pointing out that “there is a rise in the unemployment rate and a rise in poverty rates due to the lack of job opportunities Also, the private sector is frozen and does not practice its work.”
He pointed out that "the rise in oil prices must first compensate people to cover the deficit and create opportunities for the unemployed young people, and therefore there will be a recovery in the market and an end to waste and corruption and the employment of the private sector, and the white paper dealt with that."
gradual reduction
from his side; Economist Durgham Muhammad Ali confirmed that he is with the reduction with conditions.
He explains to Shafak News Agency; These conditions are that “the exchange rate of the dollar will be gradually increased to 1300 dinars per dollar, with high control over sales operations and an increase in sales outlets at the official price in cash directly to the market without going through secondary rings that create a black market for the dollar, preventing dollar smuggling and tightening control over import operations.”
He adds on; That "the results that resulted from the rise in the exchange rate were negative, as it raised inflation rates and increased poverty rates and did not achieve any development dimension at all. It also increased the smuggling of currency abroad and did not decrease."
neglect of the private sector
The merchant, Amir Muhammad al-Hasani, said in an interview with Shafaq News Agency; "The government did not contribute to reducing the poverty and unemployment gap after it raised the price of the dollar, which harmed all classes of society. Rather, its concern was how to pay the high salaries of officials and ministers without looking at the negative aspects that resulted from the rise in the price of the dollar in terms of poverty, unemployment and stagnation in the markets."
Al-Hasani adds; “It would have been better for the government to combat rampant corruption in the Iraqi state and revive the private sector by addressing the problems facing this sector and activating laws that would provide support and protection for this important sector, in addition to providing support to owners of small and medium enterprises in a real way that is the backbone of the national economy and not only in the media."
Citizen Hussein Al-Khafaji, an employee in the Ministry of Education, said in an interview with Shafaq News Agency; "The rise in the price of the dollar by the government harmed us, as food prices rose to more than 30 percent, despite the stability of our salaries."
He points out that "the salary he receives is not enough for him for more than half a month, forcing him to look for another job to meet the family's needs," calling on the government to "re-lower the dollar exchange rate from what it was previously."
Government source: No change in price
for his part; A government source confirmed in an interview with Shafak News Agency that "the price of the dollar will remain the same during the next year's 2022 budget."
The source, who preferred not to be named, added that "there is no change or occurred according to which the exchange rate is changed," noting that "the Ministry of Finance, in turn, confirmed this thing."
And the Ministry of Finance considered on October 5, 2021, that “the ministry has continuously followed up the indications of devaluation of the currency against the dollar and over the past nine months.”
And it was found that the change in the exchange rate contributed to the increase in foreign reserves with the Central Bank of Iraq to “60” billion dollars in April 2021, after it was “54” billion dollars in December 2020.
The change in the exchange rate also helped "a decrease in the demand for foreign currency, which was positively reflected in a decrease in imports and an increase in domestic production," according to the Ministry of Finance.
The Ministry of Finance indicated that "a clear improvement in commercial activity in the past nine months of the current year 2021, in light of the crisis, the spread of the Corona virus." The ministry revealed that it is working to "reinvest the generated revenues with the aim of building a targeted production base outside the oil sector and relying on other sectors, which will contribute to a decrease in demand for the dollar as a result of compensating some of the goods produced, which made the proportion of imports to local consumption decline."
It is noteworthy that the ministry has adopted, since the formation of the current government, the development of plans and mechanisms to work on reforming the financial policy of Iraq, and culminated in the adoption of the reform paper "the White Paper" that outlined future economic and financial policy steps to advance local production and reduce imports into the country.
The Commission sets the date for sending appeals to the judiciary
The Independent High Electoral Commission has set, on Tuesday, the date for sending the results of the appeals to the Judicial Commission for Elections.
Commission spokeswoman Jumana Al-Ghalay told Mawazine News, “The results of the appeals are in the process of being audited and will be sent to the judicial authority within the next few days.”
She indicated that “most of the election results are compatible and there is no significant difference, but rather minor and will not affect the results of the elections,” noting that “there are appeals recommended by the Council to be rejected, and the opportunity was opened to send appeals appendices and they were submitted, and counting and sorting took place on all appeals and all of them will be sent to the Judicial Commission. for the elections.”
And she pointed out that “the appeals that were recommended to be dismissed for a number of reasons, either were calling for a general counting and sorting, or a re-counting and focused sorting.”
Who will lead Iraq for the next year?
Observers: The general situation is still foggy, and there are expectations that the selection of the person who will lead the country may be postponed for the next year
Foggy is the general situation in the country. The issue of forming a government and consensus regarding the next prime minister is still undecided, at a time when expectations indicate the postponement of the selection on the person who will lead the country for the next year.
The Scene in the country is still confused, as the crises are many, and all possibilities are possible, and the attempt to assassinate Al-Kazemi came at a delicate and critical time. The new government is still undecided, whether by those who object to the election results or even the winner Sadrist Movement, the candidate most likely to nominate a prime minister, did not specify the exact name of a specific person to nominate him, whether it was a rude Sadrist or another candidate, or even Al-Kazemi himself
According to local observers, the deterioration of the political situation inIraqIt is not in anyone's interest, and it harms even those who object to the election results
The situation is occurring among the further escalation The importance of reaching an agreement with rejecting the parties to the results of the ballot or recognition has become a necessity for quiet , the situation
According to several parties, the chances Kazmi still exist, but there are other names may be of consensus, including former Prime Minister and ChairmanSupreme Council To the judiciary, Faiq Zaidan, in addition to a number of names that will be presented during the next few days
According to expectations, the new government and its head will be agreed upon in the first quarter of next year, and the latest assassination attempt on the Prime Minister will certainly cast a shadow over how the government will be formed
Central Bank: Direction to open branches of Iraqi banks in Turkey
The Governor of the Central Bank, Mustafa Ghaleb Makheeb, discussed, on Tuesday, cooperation in the banking sector with the Turkish side, when he received the Turkish ambassador to Baghdad, Alireza Günay and his accompanying delegation.
A statement by the bank, received by Al-Iqtisad News, stated that "the Governor of the Iraqi Bank, Mustafa Ghaleb, received the Turkish ambassador to Iraq, Ali Reza Günay, and the delegation accompanying him from Turkish banks."
He added, "During the meeting, it was emphasized the need to enhance cooperation in the banking sector between the two friendly countries. The Central Bank of Iraq was keen to provide the best facilities to Turkish banks operating in Iraq, and its desire to open branches for Iraqi banks in Turkey, and the importance of reciprocity in providing these services and facilities.”
And the governor indicated, according to the statement, that "the fruitful cooperation between the two countries has positive economic repercussions due to the large volume of trade exchange between the two countries, with the need to adhere to the anti-money laundering and terrorist financing laws."
The European Central Bank introduces a zero-euro coin bearing the image of the late King Faisal I of Iraq
what the heck? why are they doing this and why now?
no details just the headline and this image
Below here is the WOTS the Word on the Street Report for November 9th, 2021:
148,125
....
The price in most Baghdad exchanges
Purchase
147,500
Sale
148,500
———————
Basra - Bursa
148,100
————————
Erbil - Bursa
148,300
————————
Mosul - Bursa
148,300
Favorite Currencies Forex Quotes
| Symbol | Bid | Ask | High | Low | Open | Change | Time |
|---|---|---|---|---|---|---|---|
| USD/IQD |  1432.0000 |  1483.8000 | 1456.8000 | 1456.7000 | 1456.7000 | -0.2000 | 09:58 |
| USD/VND | 22662.0000 | 22663.0000 | 22640.4500 | 22635.6100 | 22635.6100 | 6.3300 | 03:09 |
| USD/CNY |  6.3899 | 6.3919 | 6.3952 | 6.3882 | 6.3917 | -0.0018 | 04:56 |
| USD/KWD | 0.3012 | 0.3022 | 0.3015 | 0.3012 | 0.3015 | -0.0002 | 04:55 |
| GBP/USD | 1.3588 | 1.3591 | 1.3605 | 1.3525 | 1.3562 | 0.0028 | 05:02 |
| USD/IRR | 42000.0000 | 42500.0000 | 42229.4000 | 42213.0000 | 42229.4000 | -0.3000 | 00:00 |
| USD/IDR | 14244.0000 | 14257.0000 | 14267.0000 | 14213.0000 | 14257.0000 | -13.0000 | 05:02 |
Rise of Robots Speeds Up With Labor Scarce...
EVERYTHING Automated...
Crypto World Hits $3 Trillion Market Cap as Ether, Bitcoin Gain...
Oil is falling after Biden's threats and rising US stocks
Oil prices fell on Tuesday, after two consecutive sessions of gains, after Biden's threats and expectations of a rise in US stocks
Brent crude was down 12 cents at $83.31 a barrel by 0510 GMT, after rising 0.8 percent on Monday. US oil fell 6 cents to $81.87 a barrel, also after rising 0.8% the previous day.
Major producers in OPEC+ maintained strict supply discipline in October, sending oil prices to a seven-year high, with fuel prices also rising.
US Energy Secretary Jennifer Granholm said on Monday that US President Biden may take measures early this week to address the rise in gasoline prices in response to the lack of response from OPEC + to raise oil production to reduce prices.
It is also expected, according to specialists, that US crude inventories will rise for the third week in a row, which may help limit other gains in oil prices.
In turn, US President Joe Biden's trillion-dollar infrastructure bill - which passed through Congress over the weekend - and better Chinese exports have helped paint a picture of a more expanding global economy that could boost growth and fuel demand.
Central Bank: Direction to open branches of Iraqi banks in Turkey
The Governor of the Central Bank, Mustafa Ghaleb Makheeb, discussed, on Tuesday, cooperation in the banking sector with the Turkish side, when he received the Turkish ambassador to Baghdad, Alireza Günay and his accompanying delegation.
A statement by the bank, received by Al-Iqtisad News, stated that "the Governor of the Iraqi Bank, Mustafa Ghaleb, received the Turkish ambassador to Iraq, Ali Reza Günay, and the delegation accompanying him from Turkish banks."
He added, "During the meeting, it was emphasized the need to enhance cooperation in the banking sector between the two friendly countries. The Central Bank of Iraq was keen to provide the best facilities to Turkish banks operating in Iraq, and its desire to open branches for Iraqi banks in Turkey, and the importance of reciprocity in providing these services and facilities.”
And the governor indicated, according to the statement, that "the fruitful cooperation between the two countries has positive economic repercussions due to the large volume of trade exchange between the two countries, with the need to adhere to the anti-money laundering and terrorist financing laws."
The European Central Bank introduces a zero-euro coin bearing the image of the late King Faisal I of Iraq
what the heck? why are they doing this and why now?
no details just the headline and this image
After the rise in oil prices: demands to reduce the exchange rate of the dollar and the government responds
After fixing the exchange rate of the US dollar in the 2021 budget at 1450 dinars per dollar, which came as a result of the drop in global oil prices, which is the main resource for Iraq’s general budget, it sparked many reactions among citizens and also among some specialists from economists and financials because of its negative economic and social consequences On the general public from the high unemployment and poverty, at a time considered by the Ministry of Finance as a breakthrough for the Iraqi economy suffering from a crisis in financial liquidity and a correction of the course of the Iraqi economy.
And the Central Bank of Iraq decided last December to raise the price of selling the dollar to banks and exchange companies to 1460 dinars, from 1182 dinars to the dollar, with the aim of compensating for the decline in oil revenues caused by the deterioration in oil prices, which caused raising the price of the dollar and decreasing the value of the Iraqi dinar in a decrease in capacity Citizens purchasing.
At a time when oil prices gradually rose to reach more than 80 dollars per barrel, citizens and economists demanded the need to re-reduce dollar prices in the next year's 2022 budget or reduce its effects on society.
Compensation for the poor
The economic expert, Basem Jamil Antoine, said in an interview with Shafak News Agency; The dollar price is the outcome of the white paper that organized the process from 3 to 5 years and considered it part of the economic reform process with regard to the financial situation and banks, noting that “the state cannot change its currency, but the important thing is the real reform that serves the poor classes of the people.”
Antoine adds; The exchange rate is not important and not the origin as much as there is compensation for the poor classes that make up the majority, and there will be social assistance, the provision of the ration card and the creation of job opportunities is a basic issue, pointing out that “there is a rise in the unemployment rate and a rise in poverty rates due to the lack of job opportunities Also, the private sector is frozen and does not practice its work.”
He pointed out that "the rise in oil prices must first compensate people to cover the deficit and create opportunities for the unemployed young people, and therefore there will be a recovery in the market and an end to waste and corruption and the employment of the private sector, and the white paper dealt with that."
gradual reduction
from his side; Economist Durgham Muhammad Ali confirmed that he is with the reduction with conditions.
He explains to Shafak News Agency; These conditions are that “the exchange rate of the dollar will be gradually increased to 1300 dinars per dollar, with high control over sales operations and an increase in sales outlets at the official price in cash directly to the market without going through secondary rings that create a black market for the dollar, preventing dollar smuggling and tightening control over import operations.”
He adds on; That "the results that resulted from the rise in the exchange rate were negative, as it raised inflation rates and increased poverty rates and did not achieve any development dimension at all. It also increased the smuggling of currency abroad and did not decrease."
neglect of the private sector
The merchant, Amir Muhammad al-Hasani, said in an interview with Shafaq News Agency; "The government did not contribute to reducing the poverty and unemployment gap after it raised the price of the dollar, which harmed all classes of society. Rather, its concern was how to pay the high salaries of officials and ministers without looking at the negative aspects that resulted from the rise in the price of the dollar in terms of poverty, unemployment and stagnation in the markets."
Al-Hasani adds; “It would have been better for the government to combat rampant corruption in the Iraqi state and revive the private sector by addressing the problems facing this sector and activating laws that would provide support and protection for this important sector, in addition to providing support to owners of small and medium enterprises in a real way that is the backbone of the national economy and not only in the media."
Citizen Hussein Al-Khafaji, an employee in the Ministry of Education, said in an interview with Shafaq News Agency; "The rise in the price of the dollar by the government harmed us, as food prices rose to more than 30 percent, despite the stability of our salaries."
He points out that "the salary he receives is not enough for him for more than half a month, forcing him to look for another job to meet the family's needs," calling on the government to "re-lower the dollar exchange rate from what it was previously."
Government source: No change in price
for his part; A government source confirmed in an interview with Shafak News Agency that "the price of the dollar will remain the same during the next year's 2022 budget."
The source, who preferred not to be named, added that "there is no change or occurred according to which the exchange rate is changed," noting that "the Ministry of Finance, in turn, confirmed this thing."
And the Ministry of Finance considered on October 5, 2021, that “the ministry has continuously followed up the indications of devaluation of the currency against the dollar and over the past nine months.”
And it was found that the change in the exchange rate contributed to the increase in foreign reserves with the Central Bank of Iraq to “60” billion dollars in April 2021, after it was “54” billion dollars in December 2020.
The change in the exchange rate also helped "a decrease in the demand for foreign currency, which was positively reflected in a decrease in imports and an increase in domestic production," according to the Ministry of Finance.
The Ministry of Finance indicated that "a clear improvement in commercial activity in the past nine months of the current year 2021, in light of the crisis, the spread of the Corona virus." The ministry revealed that it is working to "reinvest the generated revenues with the aim of building a targeted production base outside the oil sector and relying on other sectors, which will contribute to a decrease in demand for the dollar as a result of compensating some of the goods produced, which made the proportion of imports to local consumption decline."
It is noteworthy that the ministry has adopted, since the formation of the current government, the development of plans and mechanisms to work on reforming the financial policy of Iraq, and culminated in the adoption of the reform paper "the White Paper" that outlined future economic and financial policy steps to advance local production and reduce imports into the country.
CBI Update: Just a note:
including $62,690,000. CASH
ISX Update: Shares Traded: not updated for todayValue Traded: not updated for today
11-8-2021 Intel Guru Frank26 You may say, 'Oh...as soon as Kuwait is paid off we're going to see the monetary reform of the Iraqi dinar.' I would say to you, no. You don't need to pay off Kuwait in order lift the value of your currency. You need to pay Kuwait in order to be lifted from the sanctions and those sanctions are a tangibility of why they haven't raised the value of their currency. Even though they are not directly related...they certainly are indirectly related...all that is being done to allow Iraq to lift the value of their currency is before us and it is just extremely exciting...
11-8-2021 Newshound Guru Sandy Ingram Article: "Iraq pays $490 million in war reparations to Kuwait" Iraq has lived up to its obligations and paid Kuwait over 490 million in war reparations...
11-8-2021 Intel Guru Holly ...right now it’s better to still remain quiet...I’m hearing positive news and that is all I will say as to not disrupt the process.
11-8-2021 Newshound Guru Kaperoni Though none of us want to see them re-denominate/LOP, it must be known there are various colleges in Iraq hosting seminar / symposiums on the subject. So as dinar investors we should all be aware a re-denomination / LOP is a real possibility. What that means is the IMF is encouraging Iraq to float the dinar. Not RV the dinar. [Post 3 of 3]
11-8-2021 Newshound Guru Kaperoni Floating the dinar would give the CBI a mechanism to allow the currency to gradually appreciate to counter inflationary pressure created by investment and growth in the economy. It also would give them a mechanism to remove the dinar gradually from circulation as the dinar appreciates in value. This IMO is the only way I can see them significantly reducing the money supply. The alternative is a re-denomination (LOP). [Post 2 of 3....stay tuned]
11-8-2021 Newshound Guru Kaperoni ...The IMF clearly stated in the Article IV Consultation from 2013 with Iraq that..."staff encouraged the authorities to consider creating the conditions which would make possible a move to a more flexible exchange rate policy...Such flexibility could allow a predictable and gradual appreciation of the nominal exchange rate,..." [Post 1 of 3....stay tuned]
11-8-2021 Intel Guru MarkZ [via PDK] A number of key people including the Iraqi Prime minister were targeted last weekend. IMO this is the last ditch effort to derail everything…because things are all coming together.
11-8-2021 Newshound Guru MilitiaMan Article: "Al-Kazemi receives Al-Abadi and confirms: We are proceeding with the reform project" Enough said...Show time...The looks of it is per the PM is that we are proceeding with the reform project...In other, words, thank you for all of your GLOBAL SUPPORT!! Be rest assured your investments in Iraq are safe, stable and secure and we are moving forward with the reform project...imo.
11-8-2021 Intel Guru Frank26 They have over 60 billion in gold reserves. That's not even...the USDs. The revaluation of the Iraqi currency has so much potential. It's insane the potential that Iraq has. The reserves that they have and the gold that they have it'll cover the new exchange rate with no problem whatsoever. They are primed. They are ready. They're teaching the Iraqi citizens this is what is about to come out to you. It's no secret...no doubt about it is extremely exciting...
11-8-2021 Intel Guru MarkZ [via PDK] [Rates on the dong?] I am still hearing our rates will be around $2.25- $2.50…. I hear it will be a fixed rate but we have seen bank screens where the rates vary greatly. We have seen rates go to $4 and up to $7 or $8 on bank screens. Most of my bankers believe it will be in the low $2 range when we go in.
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