Thread: Iraq/Dinar News. 09/05 to 01/14/07

Originally Posted by CharmedPiper

They have to reval according to the ICI Iraq is responsible for making their payments on whatever debt has been unforgiven....there is no way they will make those payments with this rate of currency.

I see your point but I think the CBI is starting to try and strengthen he dinar first in country that way there is no need for smaller demos. The whole key to a high RV as you say is you have to have smaller demos! No one has seen any at all. That makes me think a slow steady rise in country only! That way no speculators can buy up the country!

Originally Posted by Caddieman

I see your point but I think the CBI is starting to try and strengthen he dinar first in country that way there is no need for smaller demos. The whole key to a high RV as you say is you have to have smaller demos! No one has seen any at all. That makes me think a slow steady rise in country only! That way no speculators can buy up the country!

Seeing no notes doesn´t mean they aren´t there.

A small and slowly rise in the dinar is killing for Iraq and won´t happen in my opinion.

I agree on Charmed regarding the ICI. There is no donor that would have dropped their debt if there is no profit in it for them. We are talking big business here, no charity. These countries are holding a lot of dinars.

The moves now made by the cbi is the beginning of where we have waiting for I think.

Also the rumor or information about the BoA trading the 13th is running through my head. I know it no guarantee but seeing the CBI taking action in combination with the 13th makes me very hopeful.

Time will tell.

Parliament approves Mecca agreement
Baghdad, 08 November 2006 (NINA)

The parliament voted anonymously on Mecca agreement, during its 48th session on Tuesday. Prior to the vote, some lawmakers have delivered statements, calling for activating the agreement and to form a follow up committee to guarantee its implementation.

Parliament approves Mecca agreement | Iraq Updates

Originally Posted by kiko

Nothing new yet.

There is no news about the 10,000 dinar handout. We don't read about it at all.

It surprise me how little information about the economy itself is coming out at the moment in this stage.

The quiet before the r/v storm?

Originally Posted by bluezzguy

The quiet before the r/v storm?

Let´s hope so. I am ready for it.

Originally Posted by Dinar Madness

You kind of wonder if Iraq can get the corruption under control.

Interesting,

Makes you wonder if Iraq is trying to be number one is something, corruption seems to be in their grasp. (g)

Good luck to all, Mike

Originally Posted by bigred52

THOUGHTS FOR THE DAY
In case we find ourselves starting to believe all the anti-American
sentiment and negativity, we should remember England's Prime Minister
Tony Blair's words during a recent interview. When asked by one of his
Parliament members why he believes so much in America,he said:

"A simple way to take measure of a country is to look at how many
want in .... and how many want out. Only two defining forces have ever
offered to die for you:
1. Jesus Christ
2. The American G. I.
One died for your soul .. the other for your freedom."

DON'T FORGET IT !!!!!!!

Great post, that says it all.

Good luck to all, Mike

Originally Posted by doublescorpio

Or...they could be working towards the goal of 1345 as stated in the IMF report

I don't give 1345 much credence anymore. After Statements such as "significant rise in the rate of the dinar", "return the dinar to previous level" and the infamous 1.48 statement, it stands to reason that Iraq is moving ahead economically much more quickly than the IMF anticipated. Not to mention high unemployment and 50% inflation...

Originally Posted by kiko

I think you are right about that.
Here is an very good article about Iraq and IMF that quotes:

Economic Warfare: Iraq and the I.M.F. | Voices for Creative Nonviolence

...it remains important that the C.B.I. [Central Bank of Iraq] take decisive measures to contain it before inflationary expectations become entrenched, either by an effective tightening of monetary conditions and / or by exchange rate action. The C.B.I. will need to tighten monetary conditions further if inflation does not start to come down soon.

Adster recently also noticed this in the offical IMF documents.

Now we know the inflation is extremely high and has to be handled right now.
I think that what we see by these auctions is that they have started the actions according to these statements and started with tightening the monetary conditions.

So they are reducing the inflation by these auctions and I think they are preparing the second statement the exchange rate action which will be our RV.

Just a thought! Again I am not an expert on this!

I think they are doing everything but raise the value of the exchange rate for the dinar at this time. I think they are using the raising of the dinar value in a peg as kind of a 'ace in the hole'. That way they have not exhausted options. I have no doubt that this whole thing is a thoughtout plan from the beginning. No doubt everything has gone exactly as they had hoped in regard to inflation or the economy but not a suprise either. So its a kind of "alright we tried this ie raised interest rates, now lets reduce the overall M2 to reduce inflation and then as needed raise the value of the dinar based on how everything responds."
Anyway just a thought.
CLM

Originally Posted by TerryTate

Originally Posted by CharmedPiper



Wow, if they continue buying up dinar at this rate, roughly $100 million dollars worth of dinar per day they will be removing roughly 150 billion dinars from circulation a day, or 750 billion dinars a week, or 3 trillion dinars in a month.... Guess thats one way to get your M2 down. Wonder who's in a hurry......

Funny how there is supposedly a high demand for the dollar yet the value of the dinar keeps creeping up in the auctions. High demand usually would indicate a higher value for the dollar, yet the dinar is value is creeping up versus the dollar, not going down. Yes I know its small, but it is still going up when they say the dollar is in demand versus the dinar... Something isn't making sense here????

It has ben posted on here so many times in the last two months. Read the CBI site more carefully and you will see that they are selling USD, They are buying Dinar from their banks.