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

Dinar-into-dollars.com publishes analysis and the latest news, of how and why Iraq would zero lop the Dinar.

Minneapolis, MN, 13 July 2006 (PR Newswire)
Dinar-into-dollars.com has published a free analysis on the latest speculation about Iraq zero lopping their currency that every Dinar investor should read. This zero lop analysis includes historical implications and the history of Iraqi Dinar. These facts are in contrast to the rumors and amature speculation running rampant on many Iraqi Dinar Forums of how and why zero lopping would occur to the Iraqi Dinar. What Dinar investors need now, more than ever, is facts and history related to the recent comments and an examination of the possible policy changes relating to a zero lop of the Dinar.

Here is that analys!

Both Russia and Afghanistan are countries who have zero lopped their currency.
Lets look at their situations in relation to the Iraqi Dinar and the speculation and
rumors about Iraq doing a zero lop on their currency:

Afghanistan had 4 types of currency in circulation as a result of a civil war.
It was unknown how much of each was in circulation. For the people and the
government, this was a very difficult situation. As a result, the currency kept
losing it's value. They needed something both credible and efficient to use as
currency. You did not want people carrying around bags of money since
everything is cash based. Their zero lop happened at the same time as they
printed new currency to replace the confusing mix they had before. This ensured
everyone had the same currency, there was a known amount in circulation, and
people could buy and sell things with few notes. It has little in common to the
Iraqi Dinar and the speculation about the zero lop. Iraq has already
printed and established a single national currency, with secure features
and knows exactly how much is in circulation. The Dinar denominations are
already designed to carry high or low values without carrying around sacks of
money. It makes no sense for them to change the face of the currency, when they are talking about increasing the value to fit their economic goals.

Russia performed zero lopping to their currency in 1998. They did this in
response to hyperinflation and to restore confidence in their currencies structure
and value. Iraq has roughly only 20% inflation. Russia also had denominations
that went too high - they had denominations of 5k, 10k, 50k, 100k, and 500k -
which were replaced with denominations of 5, 10, 50, 100 , and 500. In
comparison, Iraq's highest denomination is the 25k and has denominations all the
way down to 25 Dinar. If Iraq did zero lopping off the structure of the bills,
they would overlap denominations that already exist. This does not make
sense or fit the stated goals with the Iraqi Dinar. It seems that a zero lop, or
zero lopping would not occur with the denominations of the Dinar, but by
increasing it's value with a revalue that would benefit their economy and their
poor in a positive way.


We are almost there!!

Raditz, actually this is only a summary of what Adster posted yesterday about zero lopping. You seem to have missed the last line:

This is a summary from the information found at Iraqi Wiki

oops.

Well it is always good with summarys

Republic of Iraq

Council of Ministers - GCD

Media Relations

Press Release

Thursday July 13, 2006

The Security Situation Ahead

Prime Minister Attends Parliament's Session and Affirms: Nobody Can Threat Iraq Security

· Security is the basic thing within the government program.

· Government is a partner in building the state.

· We are determined on reconciliation, we will go on.

· Dealing with gulf countries to establish finance bank.

· 500 thousands lands for citizens in Baghdad and provinces.

The Prime Minister (Nouri K. al-Maliki) said: we have to communicate through partnership we agreed on, this government with all related facilities and NGOs are partners in building this country and face challenges. H.E. added, through speech recited in Parliament session yesterday, that the top concern is the security file, daily atrocities wee see along with blood smell everyday, he affirmed that security in government program is the basic feature, because we can not imagine the possibility of presenting services, development or political stability with the current security situation. Al-Maliki affirmed: reconciliation, we declared, is for security and bridge holes among partners to build the country and protect it along with removing all dangers available, external relations we move within is related to the security side to shape full image for those who care about Iraq, in addition to approaches determined by the government in the fields of services, which is highly appreciated in establishing a concrete base that supports the security operation. He referred to challenges in this field concerning the attempt of terrorists to occupy (Kharkh), he affirmed that security forces are able to defeat any body thinks like that, they tried and failed, he stressed on being sure that nobody, ever, can threat Iraqi security or take a piece of its' lands. He referred that Iraqi forces started marching to hot spots and control them, he considered mass killing and other atrocities as tragedies which are hard to face due to its dirty intention full of envy and soul of crime instilled within criminals' minds, the difficult thing is how to protect innocent people from these criminals, saying that this mission is one of the program we are aiming to start, because it does not depend on military force, otherwise they won't kill or abduct anyone, but it depends on intelligence effort we lack to face such evil criminals, he stressed that the government are determined to promote this file aiming to face murderers. He explained results of his last tour referring to an agreement for establishing a bank to finance people as a part of a plan to offer (500) thousands pieces of lands to people in Baghdad and provinces, project of investment law will offer full chance to investors to contribute in reconstruction of Iraq. He referred to hold an international conference regarding Iraqi debt and trying to make cuts after the promise we had from Gulf leaders, in addition to the donors bid to help Iraqi government through many useful projects, along with Paris Club promise to present a financial support, even if conditioned. Arguments were opened after P.M. conclusion, and questions were addressed by lawmakers concerning the government plans in facing security threats, along with results of his tour. Security situation controlled the session discussions, ministers of defense and interior will be summoned. Iraqi Accord Front recited a statement concerning boycotting Parliaments' sessions.

http://www.iraqigovernment.org/index_en_new1.htm

U.S.-Iraqi chamber of commerce and industry to organize investment forum in Amman

/6/
Amman, July 12 (Petra) The U.S.- Iraqi Chamber of Commerce and Industry intend to organize an Iraqi investment forum in Amman next month, Chairman of the chamber Fares al-Mesleh disclosed Wednesday.
He said the forum aimed to explain Iraq's future investment policy including the new market mechanism that will be adopted by the Iraqi government in light of the new investment law approved recently by the Iraqi parliament.
He added contacts were underway to ensure the largest participation of regional and world business community. Mesleh, who didn't give the exact date of the forum said the Iraqi government intends to issue a call to the world community to back economic transformation in the country that will further strengthened through updated laws and legislation.
The forum, he said, was especially important as it would offer a good opportunity to put forward Iraq's basic economic needs and give a first hand look to participants on investment opportunities and economic activities in the country. The forum will be held at this time as part of the chamber's plan to explain the advantages of Iraq Reconstruction Exhibition 2006, that will be organized by the chamber in Sulaymaniah in northern Iraq in mid of next October, Mesleh said.
He added Jordan was chosen as venue for the forum because of it favorable open economic policy drafted by His Majesty King Abdullah and encouraged Arab and foreign investors to come to Jordan and benefit from its inviting investment climate. The Iraqis are willing to benefit from Jordan's leading economic experiment to help revive their weary economy, Mesleh said.
Jordan and Iraq agreed last month to swap Jordan's US$1.3 billion on Iraq with contracts and projects equaling the amount of debts. The projects can be carried out in the frame of Iraq's reconstruction plans.
Petra/Injadat


12/07/2006 12:20:02

http://www.petra.gov.jo/nepras/2006/Jul/12/6000.htm

Hi,

This came from the Central Bank Of Iraq.

The stabilization of exchange rate of Iraqi dinar against the major currency (US dollar) is necessary and appropriate and foreign currency auctions held by the Central Bank of Iraq played an important part in maintaining and stabilizing an appropriate level of exchange rate, When any pressure occurs on exchange rates, the central bank is tightening monetary policy, including lifting interest rates on deposits in Iraqi dinars, and to allow greater flexibility in the management of monetary policy.

The Bank has taken several steps to expand the list of tools available to monetary policy, coverage of reserve required to include governmental deposits and granting facilities on deposits that mature in a short period of time in order to allow banks to manage liquidity in a more effective manner and reducing the risks of liquidity to the Central Bank.

The monetary sector in any economic system consists of a Central Bank, commercial banks and the other financial institutions. And it is the only sector among the four main sectors covered by the national accounting which consists of the real sector, the central government the monetary sector and the external sector.

The objectives of the monetary policy to achieve economic growth, reduce unemployment rates, the stability of goods prices and services, the stability of exchange rates in the case of the floating exchange rate and improve the balance of payments.

The objectives are achieved throught the tools of monetary policy direct and indirect, the latter aims to control the public budgets of the Iraqi Central bank, while direct tools targets to control the balance sheets of commercial bankssuch as the credit ceilings and determine interest. The direct tools lead to efficient use of resources, reducing effectiveness of investment and the multiplicity of exchange rates.

The structural stability of exchange rates have been granted an opportunity for rebuilding the Iraqi economy and its growth , although prices have not fully stabilized, this is due in part to instability and nature of security and political conditions throughout Iraq.

Within this context the Central Bank Of Iraq has succeeded in collecting the reserve at the high level of foreign exchange that requires stabilization of exchange rate of Iraqi dinar against US dollar which is appropriate and required at the current stage. In support of this structure the Central Bank of Iraq is ready to provide the required amounts of foreign currency on the basis of maximum rate in daily auctions.

To allow greater flexibility in management of monetary policy Central Bank Of Iraq has taken a number of steps to expand list of tools available to monetary policy and the Bank granting coverage of reserve that is required to meet governmental deposits planning a critique of the years 2005/6 to set predictions about growth in demand for currency, currency in circulation and expectations about economic fgrowth and inflation.

In order to improve management and transparency of Central Bank of Iraq, the Iraqi government commissioned the international co Ernst & Young to review of operations and financial statements of the Central Bank to monitor the economic performance and analysis of the essence of the monetary policy pursued by the Central Bank of Iraq in this area with a view to achieving the targets and goals of the monetary policy in Iraq.

DOES THIS MEAN THEY ARE READY TO GO???

Originally Posted by abbey56

Hi,



DOES THIS MEAN THEY ARE READY TO GO???

Well, does it? does it? She asked hysterically?

Iraqi prime minister to visit White House
Associated Press
WASHINGTON - President Bush snuck over to Baghdad to meet him last month. Now he plans to welcome Iraqi Prime Minister Nouri al-Maliki to the White House for the first time.

Al-Maliki will visit July 25, the White House announced Thursday as Bush visited Germany.

Bush has praised the new prime minister for his commitment to advancing democracy and reform. Al-Maliki has promised to crack down on militias and sectarian violence, promote national reconciliation, accelerate reconstruction efforts and restore essential services such as electricity.

Tensions have arisen over allegations that U.S. soldiers raped and murdered an Iraqi teenager and killed her family. Al-Maliki has demanded an independent investigation into the case and a review of the agreement granting U.S. forces immunity from prosecution by Iraqi courts. Bush has vowed that if the charges are proved, those responsible will be punished.

Bush and al-Maliki first met on June 13, when the president showed up in Iraq unexpectedly. Al-Maliki had only five minutes notice that the president would talk to him in person, rather than on a videoconference as he expected. He told the prime minister that the United States is committed to helping the new democracy succeed.

http://www.twincities.com/mld/twinci...s/15029021.htm

psted by abbey56:

Within this context the Central Bank Of Iraq has succeeded in collecting the reserve at the high level of foreign exchange that requires stabilization of exchange rate of Iraqi dinar against US dollar which is appropriate and required at the current stage.

It sounds really, really, really good to me!

Originally Posted by abbey56

Hi,

This came from the Central Bank Of Iraq.

The stabilization of exchange rate of Iraqi dinar against the major currency (US dollar) is necessary and appropriate and foreign currency auctions held by the Central Bank of Iraq played an important part in maintaining and stabilizing an appropriate level of exchange rate, When any pressure occurs on exchange rates, the central bank is tightening monetary policy, including lifting interest rates on deposits in Iraqi dinars, and to allow greater flexibility in the management of monetary policy.

The Bank has taken several steps to expand the list of tools available to monetary policy, coverage of reserve required to include governmental deposits and granting facilities on deposits that mature in a short period of time in order to allow banks to manage liquidity in a more effective manner and reducing the risks of liquidity to the Central Bank.

The monetary sector in any economic system consists of a Central Bank, commercial banks and the other financial institutions. And it is the only sector among the four main sectors covered by the national accounting which consists of the real sector, the central government the monetary sector and the external sector.

The objectives of the monetary policy to achieve economic growth, reduce unemployment rates, the stability of goods prices and services, the stability of exchange rates in the case of the floating exchange rate and improve the balance of payments.

The objectives are achieved throught the tools of monetary policy direct and indirect, the latter aims to control the public budgets of the Iraqi Central bank, while direct tools targets to control the balance sheets of commercial bankssuch as the credit ceilings and determine interest. The direct tools lead to efficient use of resources, reducing effectiveness of investment and the multiplicity of exchange rates.

The structural stability of exchange rates have been granted an opportunity for rebuilding the Iraqi economy and its growth , although prices have not fully stabilized, this is due in part to instability and nature of security and political conditions throughout Iraq.

Within this context the Central Bank Of Iraq has succeeded in collecting the reserve at the high level of foreign exchange that requires stabilization of exchange rate of Iraqi dinar against US dollar which is appropriate and required at the current stage. In support of this structure the Central Bank of Iraq is ready to provide the required amounts of foreign currency on the basis of maximum rate in daily auctions.

To allow greater flexibility in management of monetary policy Central Bank Of Iraq has taken a number of steps to expand list of tools available to monetary policy and the Bank granting coverage of reserve that is required to meet governmental deposits planning a critique of the years 2005/6 to set predictions about growth in demand for currency, currency in circulation and expectations about economic fgrowth and inflation.

In order to improve management and transparency of Central Bank of Iraq, the Iraqi government commissioned the international co Ernst & Young to review of operations and financial statements of the Central Bank to monitor the economic performance and analysis of the essence of the monetary policy pursued by the Central Bank of Iraq in this area with a view to achieving the targets and goals of the monetary policy in Iraq.

DOES THIS MEAN THEY ARE READY TO GO???

Is there a link and date to this article? Seems like this one has already been posted are read. Good article just wanted to see where & when it came from and a date. thanks