Thread: Iraq/Dinar Until June 9th 1PM CST

Originally Posted by fredgwest1999

it was 85 out of the 145 members that were present on the Parliament floor but it was a large enough number of total members present for the vote to count.

Lack of attendance has been the primary cause of non-action by parliament. Many days not enough members show up to be able to vote. The first two votes on the new cabinet were cancelled because of the lack of members present.

Hopefully, they will attend on the vote for the constitutional amendment package on the 17th June.

This is creating a situation when fring groups like Al-sadr's become Kingmakers because they do show up and they do vote in an environment where there is no attendance requirements.

I see....Sadr should have been dealt with long ago....

Originally Posted by Lunar

This observation is based on your opinion and therefore not news...perhaps you can start a thread for it in the rumor section.

Daily auction news is valuable information. The news thread also permits individual observations based on the news.

News + observations based on news.

News - Auction price staying fixed at 1260.

Observation on the news - "Slow grow" option is dead if rate remains fixed. Since "no grow" is not an option, that leaves only one viable alternative - sudden, overnight growth.

No need to apologize.

One-third of GCC foreign assets acquired over past five years

ECO-KUWAIT-GCC-ASSETS
One-third of GCC foreign assets acquired over past five years
By Ahmad Faraj KUWAIT, June 8 (KUNA) -- Around USD 542 billion GCC surplus funds entered global markets in the five year term of 2002-2006, and one third of net GCC assets collected over 50 years have been acquired in the past five years alone, banking executives said Friday.

In other words, during the five year period from 2002-2006 about 36 percent of the net GCC international assets have been injected into global capital markets.

National Bank of Kuwait (NBK) CEO Ibrahim Dabdoub and the Institute of International Finance (IIF) Middle East and North Africa Manager Howard Handy shared at a press conference the latest report prepared by the IIF titled, "Tracking GCC Petrodollars: how and where they are being invested around the world." The total export earnings of the GCC member nations exceeded USD 1.5 trillion during that period, following the global oil prices soars of 2002, said the money report published by the IIF.

The USD 542 in accumulated surplus is distributed across the globe with USD 300 billion in the US, USD 100 billion in Europe, USD 60 billion in each of the Middle East and Asia, and USD 22 billion in other locations.

Gulf Cooperation Council (GCC) member states still favor US dollar dominated assets, which account for 55 percent of the foreign investments, said the analysis.

"There is no evidence in the analysis of the IIF of any significant shift from the dollar in terms of the composition of the foreign investments of the Arab oil exporting countries," the report said.

The GCC investors have shown a "much stronger appetite for direct investments" through acquisitions and mergers, the report said, most notably, in hotels, telecom firms, and downstream energy companies.

The report shows an "increasing focus on US government debt." It adds that short-term security holdings have increased in allocation from 1.4 percent in 2001 to 7.9 percent in 2006.

It also showed demand for long term security holding increased six percent over the same period, from 14 to 20 percent of all holdings.

During the same period, bank deposits were snubbed "down to about 27 percent of total identified assets in 2006 from 45 percent in 2001, reflecting both the rising importance of global capital markets for the allocation of funds, as well as low real deposit rates over the period." Around USD 60 billion, or 11 percent, have stayed in the Middle East, "where quickening liberalization, privatization, and regional integration, as well as an increased pace of project implementation, has lured capital that would otherwise have headed away from the Arab world." In previous periods of high oil surpluses, that percentage of funds would have been lower, the report said. In addition, some of the GCC countries are increasingly investing in neighboring countries.

Europe's share of the funds amounted over the past five years to around USD 100 billion in both equities and real estate, the report suggested.

Europe has attracted around 55 percent of Foreign Direct Investment (FDI) from the GCC. "Notable investments include Dubai Ports' purchase of the UK's P and O for USD 7.8 billion in 2005; Arcapita's purchase of the UK's Virdian Group for USD 3.6 billion last year; SABIC's acquisition of the Dutch firm DSM Petrochemicals for USD 2 billion in 2002; and, most recently, the reported DIFC Investments' purchase of a USD 1.8 billion stake in Deutsche Bank," according to the report.

East Asia has also seen around USD 60 billion, with that number expected to grow as investors have been attracted to Chinese Initial Public Offerings (IPOs) and other ventures, the report said.

The NBK executive told reporters that the bank projections for 2009 show GCC foreign assets around USD two trillion compared to today's USD 1.5 trillion.

Dabdoub said that number was not to be taken lightly as it represented 225 percent of the GCC's GDP, when compared to China's foreign assets which fall short of USD 1.2 trillion or 40 percent of its GDP.

The revenues from these assets ranges from 20-22 percent of the region's GDP, a great influence to the GCC's economies considering the region remains dependant on a single source of revenue, he added.

On the impact of the GCC surplus on the global markets regarding inflation, NBK Chief Economist Randa Azar said that although its effect must not be overlook, it must be seen within the context of a number of factors, namely globalization which has driven inflation down across the globe as East Asian markets have been able to manufacture quality low-priced every-day products.

Dabdoub said local and regional banks must take advantage of these surpluses. He added that unfortunately, these banks were not large enough to play a significant role in large operations.

The largest Arab bank's holdings are under USD 45 million, a "small number" compared with international banks whose assets are over USD one trillion.

Dabdoub predicted several bank mergers and acquisitions in the industry over the next few years, establishing banks whose assets are over USD 100 billion.

Established in 1983, IIF is the world's largest association of financial institutions with more than 360 members from over 60 countries. It has published reports on regional economic developments and corporate governance, and organized conferences that have highlighted major issues of economic development, banking regulation and management. (end) amf.
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KUNA 081155 Jun 07NNNN

Kuna site|Story page|One-third of GCC foreign assets acquired over past...6/8/2007

Originally Posted by billknows

Daily auction news is valuable information. The news thread also permits individual observations based on the news.

News + observations based on news.

News - Auction price staying fixed at 1260.

Observation on the news - "Slow grow" option is dead if rate remains fixed. Since "no grow" is not an option, that leaves only one viable alternative - sudden, overnight growth.

No need to apologize.[/SIZE][/COLOR]

I had no intention of apologizing....a sudden overnite growth is your opinion and not based on fact. The news thread does permit individual observations based on news so feel free to provide a link to back up your claim.

Single Gulf currency faces delay - UAE
Khaleej Times - 08/06/2007

(MENAFN - Khaleej Times) DUBAI � Central Bank Governor Sultan Nasser Al Suweidi yesterday reaffirmed UAE's commitment to the realisation of the GCC monetary union but hinted out at a possible delay in achieving the single currency goal by 2010.


"We remain committed to the monetary union, a goal to be achieved in three phases with the single currency being the final step. If we achieve the first two stages of the monetary union� including the formation of common market� by 2010, that will be sufficient," he said at a conference in Dubai.

The Central Bank governor also ruled out any move to de-link dirham from the dollar in the foreseeable future and said the dollar-peg is a very important stability factor for the economy.

Following Kuwaiti central bank's surprise decision last month to drop dinar's four-year-old dollar-link, speculation about the UAE abandoning its peg to the greenback has been rife until His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, categorically ruled out such a possibility last month.

Suweidi's admission of a possible delay comes amid a warning by Gulf financial analysts that time was running out for the launch of a single Gulf currency in 2010, after Oman said it would not join the monetary union and Kuwait de-pegged its currency from the dollar. "It is true that the time now is short and we need exceptional efforts to achieve monetary union and single currency by 2010," the head of the Saudi Arabian Monetary Agency, Hamad Al Sayari said.

Leaders of the GCC states decided at a summit in 2001 to launch a monetary union and single currency by 2010. The plan, however, has met with a number of snags regarding technical, legislative and fiscal policies required for the planned union between the six GCC states.

Addressing a symposium held by Japanese newspaper The Nikkeii's, Al Suweidi said discussions on a single currency should take place only after the formation of the Gulf common market. "Freeing capital flows among the six states, and reducing the cost of certain foreign exchange transactions, would precede the single currency," Suweidi said.

According to analysts, a delay in GCC common currency as hinted out by Suweidi is not surprising in the wake of conflicting statements from GCC officials as well as Oman's decision to withdraw from the union which was followed by Kuwait's decision to abandon its US dollar peg.

Deutsche Bank economist, Caroline Grady, pointed out on Wednesday that adopting a common currency required structural, monetary and fiscal convergence and although structural and monetary convergence is already well advanced, fiscal convergence has still a way to go. "Fiscal convergence is likely to become increasingly difficult going forward as these economies are set to structurally diverge," she said. The fact that no mechanism has been established to ensure fiscal policy is consistent with a common monetary policy going forward is a major concern. "Business cycles currently show a fairly high degree of synchronisation but these are expected to diverge over time," said Grady.

Last year, Oman said it would not be able to meet the single currency target date, while some countries have reportedly expressed reservations on a number of criteria, fuelling speculation that the launch date may not be met. They have been also divided on the issue of pegging the single currency either with a basket of currencies or to single currency US dollar. The UAE is of the view that the ideal thing would be a free float of the GCC single currency. According to plan, the currency would free float after five years.


http://www.menafn.com/qn_news_story_...yid=1093155813

Subversive elements in Iraq seek to reverse its political gains - PM


Politics 6/8/2007 8:53:00 PM

BAGHDAD, June 8 (KUNA) -- There are subversive elements in Iraq that seek to oust the elected government, reverse all democratic gains, eradicate the constitution, and pave the way for the return of the defunct regime of the past, said prime minister Nouri al-Maliki, in a statement issued by his office on Friday.

Some of those elements reside under the roof of the parliament, he said, as he warned anti-government conspirators to watch their backs because the new Iraq would not allow them to weaken it or interfere in its domestic agenda for the welfare of the nation. Al-Maliki's statement reviewed details of his visit today to the city of al-Kut, south of Baghdad, and his meeting with heads of tribes in that region. He affirmed in the statement the imperative that the nation's borders be adequately monitored and urged all factions of society to abide by the conditions of the national cociliation, which have been legally codified for the benefit of all Iraqis.

Those who profess that they seek to take part in the national conciliation process ought to put their money where their mouths are by standing up to terrorism and get involved in the political process, he said.
There is no room amongst the Iraqi people for those who say one thing and do another; the government needs true partners who mean what they say and do what is right for the country, he urged.

The door is open now for everyone to help in the decision-making process through democratic means; Iraq is no longer manipulated by one party acting as a baton in the hand of a dictator. Those days are gone, he said.
What the country needs most, he added, is the ability to spread the rule of law in all corners of the nation and that is what the government is currently expediting through extensive training of national security forces.

While he acknowledged subversive infilterations among the ranks of the police and security forces, he promised that all efforts would be exerted to beef up these forces and deploy them where security is most fragile.
The sooner Iraq could handle its domestic security with adequacy, the sooner the multinational forces would be ready to leave, he underlined, as he noted that the government does not have a magical wand to solve the nation's problems with, especially that the defunct dictatorship of the past left behind a horrendous legacy of entangled problems that require a long time to disentangle. Nonetheless, he said that up till now Iraq has done very well. (end) mhg.ajs KUNA 082053 Jun 07NNNN

http://www.kuna.net.kw/NewsAgenciesP...10&Language=en

Originally Posted by Lunar

I had no intention of apologizing....a sudden overnite growth is your opinion and not based on fact. The news thread does permit individual observations based on news so feel free to provide a link to back up your claim.

I don't think you really read my post.

You don't need a link to the CBI website to know that the rate is staying at 1260.

From that factual basis it's all to simple to see, using normal deductive reasoning (which we are allowed to use on the news thread),that if the rate is fixed at 1260 - the "slow grow" theory is dead in the water.

That leaves only two other possibilities - "no grow" and shall we say "sudden grow".

"No grow" is not a probable option.

"Sudden grow" is the only avenue left.

Pure, logical deduction from a simple fact.

Shake out?

Originally Posted by billknows

I don't think you really read my post.

You don't need a link to the CBI website to know that the rate is staying at 1260.

From that factual basis it's all to simple to see, using normal deductive reasoning (which we are allowed to use on the news thread),that if the rate is fixed at 1260 - the "slow grow" theory is dead in the water.

That leaves only two other possibilities - "no grow" and shall we say "sudden grow".

"No grow" is not a probable option.

"Sudden grow" is the only avenue left.

Pure, logical deduction from a simple fact.

My point is that your posts are based on your opinion and speculation.....not on any facts. The CBI rate is currently 1260 but there is nothing to indicate it will stay there or if it will move...therefore you are just speculating what it will do next.

Iraqis to U.S. Congress: Back off oil law
Fri, 08 Jun 2007

WASHINGTON, June 8 Iraqi union leaders met with a U.S. congressman they say is their biggest friend in Washington, urging a united front against Iraq's draft oil law.

Faleh Abood Umara, general secretary of the Iraq Federation of Oil Unions, and Hashmeya Muhsin Hussein, president of the Electrical Utility Workers Union, called the proposed law a theft of Iraq's oil.

"We believe this is a new invasion of our economy and especially to take over our oil fields," Umara told Rep. Dennis Kucinich, D-Ohio, in a private meeting Thursday in the congressman ' s inner office, which UPI was allowed to attend. Kucinich is a presidential candidate and Congress ' most vocal war opponent. The law, which is stuck in negotiations, is feared by the unions as giving foreign oil companies too much access to Iraq's oil.

Umara was one of 10 union leaders for whom arrest warrants were issued earlier this week as Iraqi Prime Minister Nouri al-Maliki responded to a strike of oil workers, who are demanding improved working conditions and a seat at the oil law negotiating table.

The unions began a strike Monday over the law, as well as working conditions, but the work stoppage has been temporarily halted as negotiations continue in Basra.

"Therefore we believe this is a very aggressive act to take over our resources," Umara said. "The oil law, in its current status, does not serve the Iraqi people." Umara said foreign companies were welcome to Iraq's oil sector, but warned it should be limited.

The unionists urged the United States, via Kucinich, to oppose the law. President Bush and the Democratic-led Congress have called on the Iraq parliament to pass the law soon, both in official speeches and as part of legislation funding the war through September.

"Mr. Kucinich, we see you as a friend of the Iraqi people and that is the general belief over there," Umara said. "We would hope that your government could put pressure on our government to not pass the oil law." Kucinich replied, "Unfortunately our government is putting pressure on your government to pass it." Ben Lando, UPI Energy Correspondent

Iraqis to U.S. Congress: Back off oil law