DINARESGURUS.BLOGSPOT.COM_________

Thursday, December 10, 2015

DINAR GURUS UPDATE, 10 DEC

12-10-2015   Intel/Newshound Guru Poppy3    I TALKED WITH A BAGDAD FRIEND...AND HE IS STILL SAYING THAT A NEWS PAPER ARTICLE THERE STATED LOWER DENOMS...ARE BEING DISTRIBUTED TO ALL BANKS LAST WEEK BUT NO DATE ON WHEN THEY ARE TO BE INTRODUCED TO THE PUBLIC.  GOOD THINGS ARE ABOUT TO HAPPEN. 
 
12-10-2015   Newshound Guru OOTW
    "Our Certification Mark Once certified, clients can display our Certification Mark to promote and demonstrate compliance with international standards"  THIS IS FURTHER EVIDENCE (VIA THE MINISTRY OF TRANSPORT) THAT IRAQ IS WORKING TOWARDS PRODUCING AND SHIPPING GOODS TO INTERNATIONAL STANDARDS.  MAY NOT SEEM LIKE MUCH, BUT THESE TYPES OF STEPS ARE EXACTLY WHAT WE NEED TO BE WATCHING FOR, ESPECIALLY CONSIDERING THAT THE CURRENT LEGISLATION OF THE 2016 BUDGET STATES THAT THE GOI PLANS ON IMPLEMENTING THE TARIFF'S IN 2016.

12-10-2015   Newshound/Intel Guru BGG
   [IYO, what does the window look like to you?]  CBI market/sell rate is in compliance with IMF guidelines - miraculously... AND there has been an obscure caviat to the IMF 3 month "waiting period" under such compliance before moving to next step...which I said would happen.  PLAINLY...when it's time - they will have everything in place to go. I will just leave this here...

12-10-2015   Intel/Newshound Guru tman23  "Iraqi Official Gazette published the fight against money laundering and the financing of terrorism law"  ...we have an official posting in the Gazette of the AML [Anti Money Laundering].  The debate of it had been published and is law is over.  It has now been published...

12-10-2015   Newshound Guru Enorrste
    ...some laws still need to be in place and...investment won't come in prior to changing the exchange rate regime.  It's like the chicken and the egg story:  which do you do first?  It seems to me that without a floating and internationally recognized currency the investment won't come to Iraq in any significant way.  At the same time, it is the foreign investment that will be the driving force to raise the value of the dinar.  Thus I conclude that the IMF/CBI has concluded that they will have to have a "dirty exit" in order to get the investment started.  Let's just hope I'm right....   [post 2 of 2]

12-10-2015   Newshound Guru Enorrste   Article quote:  "but who got to the monetary authority continued to approach raising the value of the dinar against the dollar (ie reduce the value of the dollar denominated in dinars) after the decline in the rate of inflation and to control it and install the official exchange rate at a level may not necessarily reflect the level of equilibrium in the market."  The author appears to be asking the rhetorical question:  Who decided to place the rate artificially low at 1166 to 1?  His unstated answer is clearly that the CBI itself has done this.  His opinion is that the time has come to let market forces begin to work through the Iraqi economy so that the value will rise, which he clearly expects will happen.  It is my opinion that this is, therefore, a "setup" argument for what the IMF/CBI plans to do shortly after the beginning of the new year:  float the currency officially.  [post 1 of 2....stay tuned]

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.