Iraqi Dinar Guru opinions 5-7-18
Iraqi Dinar Guru opinions 5-7-18
5-7-2018 Newshound Guru MilitiaMan Article: “National Bank announces the completion of the electronic system for the completion of transactions” The…article tells it plain and simple the system has been tested and…have overcome many challenges along the way… Article: “Monetary stability and financial inclusion” They are imo…are saying to us they are in fact activating the MR of the IQD. The are depending on the Dinar, they are telling us they are ceasing Multi Currency Practices, as they have the rate in a very tight non profitable manner. They even…go so far as to tell you straight up that the value of the Dollar is lower than the value of the Dinar…We are told they are bringing in NEW Currency. E-Dinar is not going to be at a program rate. E- Dinar equates to LDs with that technology in place…imo! …Imo All are ready to be activated, as they are syncronized now, imo.
5-7-2018 Intel Guru Delta Article: “Monetary stability and financial inclusion” I DID READ IT IN ARABIC THE LAST PART IS SAYING THAT THE REAL VALUE WILL BE REVEALED IN THE COMING DAYS…
5-7-2018 Newshound Guru chattels Article quote: “Security forces in Babel have entered a state of ultimatum with the participation of more than “20,000” security elements to secure the general elections to be held next Saturday (May 12th).” 5 days remaining until the election. Maliki went to court to try to stop the use of electronic voting machines. Latest try by ruling parties to get rid of devices.
5-7-2018 Newshound Guru Kaperoni There are people that own dinar that are just learning about the 2% compliance requirement from the IMF…This information is not secret it’s posted in the Article IV Consultations from the IMF. There are some that try to avoid it by saying it doesn’t apply or it’s outdated. The fact is it’s been stated in the Article IV Consultation in 2012, again in 2015 and the most recent September of 2017.
5-6-2018 Newshound Guru Kaperoni The IQD exchange rate is the official rate of the dinar. It is not an artificial rate or a program rate… The CBI has not referred to it as such and if so it would be posted as so on the CBI website… To explain how the rate came about we must go back to post war under Saddam. After the Gulf War, Iraq replaced the old “Swiss” dinars (as they were known because they were printed in Switzerland) with “Saddam” dinars, and then printed ever larger quantities to make up for the government’s chronic budget shortfalls. Though the government maintained the official exchange rate of Saddam dinars at 0.3 to the dollar, the black market exchange rate reached 2,000 to the dollar by the time Coalition Forces attacked Iraq. By the end of April 2003, their value was around 3,000 to the dollar. Until a new system and currency could be established (IQD), the dollar was the “official” currency. The dollar has circulated widely in Iraq for years. By some estimates, Treasury officials say, as much as $500 million may have been circulating before the war. Once the new currency (IQD) was printed and delivered the CBI introduce the new dinar at a 3000 to $1 exchange rate under the guidance of the IMF and Article XIV known as “transitional.”
5-6-2018 Newshound Guru Kaperoni Over the next year, the dinar strengthened as the CBI instituted a managed float to combat inflation reducing the exchange rate to 1500 to $1 USD range. The Central Bank Law was drafted and adopted, presumably with advice from Coalition and IMF advisors, to prohibit Iraq from adopting a currency board. Nevertheless, from about February 2004 through September 2006, the Central Bank of Iraq stabilized the dinar against the dollar at about 1200 and introduced daily sales of dollars to meet demand through it’s daily currency auction. The International Monetary Fund (IMF) endorsed the stable dinar policy in its various country reports during that period. An authority on currency boards, Steven Hanke printed a report at that time indicated that CBI then effectively operated as a currency board, but without calling it that. Since late 2006 the IQD has been moved off the managed float and pegged to the dollar at 1170. A 4 dinar increment was accepted in 2008 making the dinar 1166 to $1. In 2015, as part of a new IMF Staff Monitoring Program agreement…
5-6-2018 Newshound Guru Kaperoni The dinar was devalued to 1,184 per U.S dollar in 2015 December 2015 This is for ease of monitoring through out the 3 year agreement remaining pegged to the dollar…the exchange rate is real, not artificial or temporary. It is sound monetary policy executed over the years by the Central Bank of Iraq and at time with guidance from the IMF. The next stage will be as designated from the IMF. To move to Article VIII upon formal compliance of these measures instituted over the past 3 years. The move is designed send a positive signal to the investor community that Iraq is committed to maintain an exchange system that is free of MCPs and restrictions for current international transactions and thus facilitate creation of a favorable business climate. The peg anchor must also change at that time moving to great exchange rate flexibility which will provide to the CBI additional flexibility in response to external shocks, including large and volatile capital flows (the plan for private investment). This is critical for the CBI to introduce its market maker roll by floating the dinar allow the opening of the CBI’s capital account.
5-6-2018 Newshound Guru Kaperoni There are significant risks to opening the capital account before adopting a flexible exchange rate therefore a float is the only option in this situation. This is also why there cannot be a RI or RV of te dinar. Not to mention, the significant amount of dinar exceeding 60 trillion (which is somewhere around 36 trillion or double the world’s money supply in circulation) that can only be reduced gradually as the dinar appreciates. The only option is a float.