Thread: Iraq/Dinar News up until March 28th 8PM CT.

I've been out of the loop for a while, but this is the first time I have seen a phrase like "LOAN VALUE OF 10 MILLION DINARS". I've always seen a "loan of 10 million dinars". It seems the author of this article is taking into account future changes in the dinar's value!

I only hope they can get it done before I have to go back to sea at the end of April!!

Cheers, OSWoman

Found this on an Iraqi ex-pat forum...Oh...the kids at the playground is such a nice normal scene...

Pics From Nasriya :: Something makes you SMILE for real! - aliraqi Community

The Iraqi Central Bank announced a series of measures to provide monetary stability
The Iraqi Central Bank announced its intention to reduce inflation and increase the value of the Iraqi dinar to provide monetary stability and to expand and accelerate economic growth rates.
A statement issued by the Central Bank of Iraq that the bank's monetary policy in the coming months will depend on two basic references raise the exchange rate of the Iraqi dinar and increasing interest rates, the Central Bank of Iraq. It should be noted that the Central Bank took several measures to build a new strategic banking transactions aimed at reducing the phenomenon inflation, which is suffering from Iraq because of the circumstances preceding and the Central Bank of Iraq concluded many agreements with the World Bank and the International Monetary Fund and the Paris Club countries, which seeks to restore Aldenarlemkanth as he was in previous decades
The World Bank in its statement that its activities in implementing the policy will take a few months until the effects on inflation trends and its operations.

Did anyone notice there was no auction on Wednesday the 21st?

http://www.cbiraq.org/C.B.I.%20FOREI...20AUCTIONS.pdf

Was this because of their national holiday (first day of spring) Nau Roy?

Originally Posted by DinarDevildog

The Iraqi Central Bank announced a series of measures to provide monetary stability
The Iraqi Central Bank announced its intention to reduce inflation and increase the value of the Iraqi dinar to provide monetary stability and to expand and accelerate economic growth rates.
A statement issued by the Central Bank of Iraq that the bank's monetary policy in the coming months will depend on two basic references raise the exchange rate of the Iraqi dinar and increasing interest rates, the Central Bank of Iraq. It should be noted that the Central Bank took several measures to build a new strategic banking transactions aimed at reducing the phenomenon inflation, which is suffering from Iraq because of the circumstances preceding and the Central Bank of Iraq concluded many agreements with the World Bank and the International Monetary Fund and the Paris Club countries, which seeks to restore Aldenarlemkanth as he was in previous decades
The World Bank in its statement that its activities in implementing the policy will take a few months until the effects on inflation trends and its operations.

This was posted somewhere else below on 3-07-2007.

Governor of the Central Bank : This year's budget focused on increasing the volume of investment in Iraq




بغداد ـ علي جاسم:Baghdad : Ali Jasim
اوضح الدكتور سنان الشبيبي محافظ البنك المركزي بأن ميزانية هذا العام ميزانية استثمارية لانها ركزت على زيادت حجم الاستثمار.Dr. Sinan Shabibi Governor of the Central Bank that this year's budget, the budget investment because it focused on the size of the investment Ziada.
واكد الشبيبي بأن دور البنك المركزي يتمثل في معالجة الاختلال الذي سينجم عن عملية التنمية التي ستتمخض عن تغييرات في البنية الاقتصادية الارتكازية.And Shabibi said that the Central Bank's role is to address the imbalance resulting from the development process that will produce changes in the the economic infrastructure master.


مشيرا الى ان عمل البنك المركزي هو تحقيق التنمية في بيئة نقدية مستقرة من خلال الاهتمام بكل الوسائل والسياسات التي تحقق الاستقرار الاقتصادي واعتدال البيئة السوية ونسبة تضخم معتدل.He pointed out that the work of the Central Bank is to achieve development in a stable monetary attention through all means and policies achieve economic stability and moderation in the environment straight and moderate inflation rate.
وتابع: ان علاقتنا بالميزانية تتعلق بالحفاظ على مواردها، ويتم ذلك عن طريق مكافحة التضخم.He continued : "Our budget for the preservation of resources, and will be achieved through combat inflation.
مؤكدا بأن البنك قام بالعديد من الاجراءات ومنها رفع سعر صرف الدينار.Stressing that the bank had several measures including raising the exchange rate of the dinar.
مشيرا الى ان هذا الاجراء اثر على الميزانية من خلال التأثير على القدرة الشرائية للحكومة، وسيزداد من خلال معالجة التضخم.He pointed out that the impact of this action on the budget through the impact on the purchasing power of the government, will increase by addressing inflation.
واضاف الشبيبي: ان هذه السياسة ستعمل على زيادة الثقة بالدينار مما سيسحب نوعا من الاموال للقطاع المصرفي وترشيد الانفاق الحكومي لما له من تأثير على التضخم.He added Shabibi : Such a policy will increase the confidence dinars, which will pull some of the money to the banking sector and the rationalization of government spending for it the impact on inflation.
منوها الى ان هذا الاجراء يؤدي الى خفض اسعار سلع الاستيراد مثل استيراد القطاع الخاص واستيرادات الحكومة للتنمية التي تأتي من تحويل الدينار العراقي الى دولار.He indicated that this action will lead to the reduction of prices of import goods such as private sector imports and the import of the government's development comes the transfer of the Iraqi dinar to the dollar.
واضاف بأن هذه السياسة في الوقت الذي تضعف من قدرة الحكومة على شراء الدينار فإنها تقوي الدينارالعراقي الذي تملكه الحكومة.He added that this policy at the time weakens the ability of the government to buy the dinar, it strengthens Aldenarabraghi owned by the government.
مشيرا الى ان البنك يريد وسيلة تؤثر على السياسة الاقتصادية والنقدية من خلال جعل الدينار ذا قيمة وقوة.Pointing out that the bank wants as a means to affect the economic and monetary policy by making the dinar a valuable and powerful.

Then I found this as a Link Translated Verison of about the same. Dont know if it has been posted before.


Translated version of http://www.newsabah.com/paper.php?name=News&file=article&sid=24693

Originally Posted by Inscrutable

Did anyone notice there was no auction on Wednesday the 21st?

http://www.cbiraq.org/C.B.I.%20FOREI...20AUCTIONS.pdf

Was this because of their national holiday (first day of spring) Nau Roy?

Probably was the reason.

Originally Posted by ordinaryseawoman

The oil and gas law is the center of the Symposium
Translated by IRAQdirectory.com - [23/03/2007]

Al-Rashid Hotel in Baghdad hosted this week a symposium held by the “Iraqi Center for Economic Reform” to discuss the new draft law of oil and gas, which (should say with?) interested experts and all those concerned and which takes into account several aspects relating to encouraging the use of modern technology through attracting international oil companies and the equitable distribution of oil revenues among regions, as well as strengthen the resources of the Iraqi State and provide the necessary finance for the comprehensive development activity in the country.

Iraqi Oil Minister, Hussein Shahrastani, said in the symposium that this “law is a breakthrough for all Iraqis, because of its positive, important and decisive impact on the fabric of national unity”, adding that the law was concerned with the interests of Iraq first and all its articles are based on national considerations, and that its most positive aspect is restoring life to “the national Oil Company“ allocating the greatest productive Iraqi fields to it, in addition to the fields near the current production contracts, amounting to nearly 40 gas fields. Shahrastani also pointed out to another article of the law, which states that all oil revenues, regardless of their sources, will come to one federal fund and then distributed to all Iraqis, regardless of the region in which they are located.

On his part, the Minister of Labor and Social Affairs, Sheikh Mahmoud Radi, said that the law practically contains several positives; mainly the formation of “the oil revenues fund” which brings in all oil revenues to the one fund supervised by the Ministry of Finance, in addition to setting up the law of the “future fund” which stores funds for future generations and does not allow the use of all funds for the benefit of the present generation.

Iraqi Central Bank governor, Sinan Shabibi, said that the new law is important and will accelerate oil production in a way that guarantees the interests of the people and works to strengthen the national economy. He emphasized that the law needs a deeper reading and greater effort, because there are issues that need detailed definition. However, he explained that it was agreed on the general lines of the law and how to contract, and that the law takes into account the interests of the various regions.

Kamal Al-Basri, economic advisor of the Iraqi prime minister, said that the Center will hold similar symposia to view the importance of law and the need to learn the views of the largest number of specialists, pointing out that the oil issue concerns all generations and 93% of the State budget depends on oil revenues.

He pointed out that the law contains a number of strengths, in particular, it encourages the use of modern technology which will be transferred to Iraq through the work of international companies and encourage the production and expedite the process of reconstruction and paves the way for investment.


Loans for 250 thousand unemployed

Iraqi Minister of Labor and Social Affairs, Sheikh Mahmoud Radi, called upon Industrial Bank to expedite the granting of small loans to 250 thousand unemployed, registered in “the social protection network“, confirming the readiness of his ministry to implement this procedure which allows the establishment of special projects for the unemployed, and turn them from consumers to producers.

He explained that the loan value is ten million dinars with low-interests, for a variety of projects in various regions of Iraq to serve the national economy.

He expected a huge turnout by the unemployed to participate in this vital project, pointing out that the ministry had previously provided small-scale projects for the disabled as part of special community-based rehabilitation, pointing out that the average lending for a community-based rehabilitation is three million dinars.

He expressed his hope that the project would include women, pointing out that women can create a sewing workshop, either in their home or outside, instead of waiting for the salary of the social protection network, which does not fill the needs of her family.

http://www.iraqdirectory.com/DisplayNews.aspx?id=3472

"LOAN VALUE" That's the best phrase in this whole article....OMG!! That's HUGE!!!

Terrific! For the question is...How many big projects in different parts of Iraq can we fund for $ 7,8305.85 USD and pay the interest? The fun part is they even want to use a loan value because they know how much the dinar will increase and they don't want to spend their cash dinar either!

WASHINGTON, March 23 (Reuters) - Iraq promised to make tackling high inflation one of its priorities and said it will gradually keep raising domestic prices of fuel products to curb a thriving black market, according to a letter by Iraq's top finance officials to the IMF published on Friday.

"Inflation has risen to an unacceptable level," the letter, signed by Iraq's central banker Sinan al-Shabibi and Finance Minister Bayan Jabor, told the International Monetary Fund.

Racing inflation of almost 77 percent in August, fell back to 52 percent from September to November, and increased again to almost 65 percent in December. It has caused added hardships among a population struggling with conflict since the U.S.-led invasion in 2003.

Domestic fuel prices have also been driven up with the phasing out of fuel subsidies under a $715 million IMF economic program, which was recently extended by the government to September.

Excluding fuel and transportation, the inflation rate was stable in a range of 30 to 35 percent.

"To curb inflation the CBI (central bank of Iraq) will continue its tight monetary policy stance and allow the exchange rate to appreciate gradually, assuming the inflationary situation warrants a continuation of this policy," the Iraqis said.

The Iraqis said they were committed to facilitate private sector imports of petroleum products, following a new oil law aimed at bringing private firms, both Iraqi and foreign, into oil products distribution.

The oil law illustrated that Iraq was getting closer to setting up a framework for foreign companies to invest in the country's oil production, crWe will make available to the private sector storage facilities and pump stations," the finance officials wrote, adding: "We also plan to organize a conference to promote the import of petroleum products by local and international companies."

Iraq has the world's third-largest proven oil reserves but its refineries have suffered from a decade of sanctions and now greater violence.

Smugglers believed to be funding insurgents siphon off fuel, causing shortages that force people to queue for hours for subsidized fuel at state outlets.

The government said it also planned to significantly boost budget spending on oil and non-oil investments this year that would be overseen by the prime minister's office.

The letter said negotiations with China are underway to resolve outstanding foreign debt with non-Paris Club lenders, while contacts have been made with key creditors from Gulf Arab states.

The Gulf countries are owed about $40 billion by Iraq, with the bulk of the debt owed to Saudi Arabia and Kuwait, which have been urged by the United States to follow the lead of the Paris Club of creditors, which agreed in 2004 to cancel 80 percent of Iraq's debt in three steps over four years.

"A number of non-Paris Club bilateral creditors have indicated a desire to securitize their claims," the letter said. "We will facilitate the development of a Special Proposed Vehicle in order to encourage the conclusion of bilateral agreements with non-Paris Club creditors," it added for rebuilding the economy.

In letter, Iraq tells IMF inflation is a priority | News | Bonds News | Reuters

Originally Posted by inquisitive1

Terrific! For the question is...How many big projects in different parts of Iraq can we fund for $ 7,8305.85 USD and pay the interest? The fun part is they even want to use a loan value because they know how much the dinar will increase and they don't want to spend their cash dinar either!

These are small social service type loans to the unemployed so.....lets think again.....

Originally Posted by inquisitive1

Terrific! For the question is...How many big projects in different parts of Iraq can we fund for $ 7,8305.85 USD and pay the interest? The fun part is they even want to use a loan value because they know how much the dinar will increase and they don't want to spend their cash dinar either!

Yeah, these are loans to be given to individuals. My point is that in the past we've always seen these loans talked about in terms of dinars, period-- as in the amount of the loan is 10 million dinars. This kind of statement is bad because it doesn't allow for a revalue of the dinar.

The statement "the VALUE of 10 million dinars" is good for us because it allows for future changes in the value of the dinar. the loan will be worth approx $7,8305.85 (thanks for doing the math inquisitive1) regardless of what the dinar exchange rate is at the time of disbursement.

I really don't understand why more people aren't picking up on this statement made by the Minister of Labor and Social Affairs...

Loans for 250 thousand unemployed

Iraqi Minister of Labor and Social Affairs, Sheikh Mahmoud Radi, called upon Industrial Bank to expedite the granting of small loans to 250 thousand unemployed, registered in “the social protection network“, confirming the readiness of his ministry to implement this procedure which allows the establishment of special projects for the unemployed, and turn them from consumers to producers.

He explained that the loan value is ten million dinars with low-interests, for a variety of projects in various regions of Iraq to serve the national economy.

I'm liking it. bananas seem to like it too... OSWoman