Established in 2006 as a Community of Reality

Welcome to the Neno's Place!

Neno's Place Established in 2006 as a Community of Reality


Neno

I can be reached by phone or text 8am-7pm cst 972-768-9772 or, once joining the board I can be reached by a (PM) Private Message.

Join the forum, it's quick and easy

Established in 2006 as a Community of Reality

Welcome to the Neno's Place!

Neno's Place Established in 2006 as a Community of Reality


Neno

I can be reached by phone or text 8am-7pm cst 972-768-9772 or, once joining the board I can be reached by a (PM) Private Message.

Established in 2006 as a Community of Reality

Would you like to react to this message? Create an account in a few clicks or log in to continue.
Established in 2006 as a Community of Reality

Many Topics Including The Oldest Dinar Community. Copyright © 2006-2020


+13
Diamond
Screwball
mochasmom
annieharbers
ron-man
noced71
Early1
zimi31
sassy
Proven
Lobo
weslin3
Rocky
17 posters

    Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Rocky
    Rocky
    Admin Assist
    Admin Assist


    Posts : 267081
    Join date : 2012-12-21

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Rocky Sun 10 Dec 2017, 7:03 am

    First topic message reminder :

    [size=30]Saleh: Great question marks on mechanisms to convert foreign currency to Iraq[/size]
    10/12/2017 02:13 | Number of readings: 102
    font size: [You must be registered and logged in to see this image.] [You must be registered and logged in to see this image.]
    Trend Press / Baghdad
     
    The appearance of Mohammed Saleh, the economic adviser to the Prime Minister there are significant question marks on the mechanisms to convert foreign currency to Iraq.
     
    "There is a question mark on the currency sign caused by confusion between the implementation of monetary policy of the central bank to control the liquidity levels and at the same time trade finance, which led to the creation of this ambiguity," Saleh said in a press statement.
     
    "If the Iraqi government finances its trade through documentary credits, why not finance the private sector in the same way," he said, pointing out that "the argument of not funding is that there are no possibilities to download documentary credits as a more transparent tool in trade finance. There are not a number of international correspondents cooperating with Iraq to create or Open these credits, because of the long isolation of the sector of the Iraqi bank. "
     
    He added that "the Central Bank has a project to rebuild the institution to finance the foreign trade of the private sector by opening the establishment of the so-called Cdbank, which is a collective bank, which contributes to all Iraqi banks, civil and government banks to finance foreign trade."
     
    He pointed out that "the acquisition of a currency under the pretext of financing trade causes monopoly," pointing out that "an alternative to this by rebuilding new criteria for financing the private sector through the establishment of a large bank to finance this sector."
     

    [You must be registered and logged in to see this link.]
    Early1
    Early1
    Getting It Investor
    Getting It Investor


    Posts : 61
    Join date : 2012-12-26
    Age : 72
    Location : Phoenix

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Early1 Tue 12 Dec 2017, 6:25 pm

    Screwball wrote:If auctions end they they need new monetary policy to manage exchange rate..


    Agreed - but here is where it gets trickey - auctions can continue , but at a rate that will be noninflationary - that's why I say 10 cents to the dollar - for a long time, I have been able to see that an instantaneous RV of say - $3.41 won't work for the economy - would be huge inflation -I see more like a dime to move things forward - than in 4 - 5 years hit real value - what ever that is ?
    Screwball
    Screwball
    Interacting Investor
    Interacting Investor


    Posts : 3484
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Screwball Tue 12 Dec 2017, 6:33 pm

    I am not saying what the rate will be, disagree with .10.... a higher rate will not cause inflation Other. H ages  will need to occur including rebalancing of books, accounts, Price adjustment in country. A revalue always causes inflation that’s why it needs to happen in conjunction with other changes. What will cause inflation is massive spending without any adjustment...
    Screwball
    Screwball
    Interacting Investor
    Interacting Investor


    Posts : 3484
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Screwball Tue 12 Dec 2017, 6:36 pm

    You see here lies the problem, people think iraq is like any other country that has devalued their currency...how many countries have been completely ravaged by war? One- Germany! How many countries have the Marshall Plan to rebuild? One - Germany! How many countries have a stabilisation Plan? Actually a couple.....Germany and Spain that I know off...you can’t compare turkey or any other countries to Iraq!
    mochasmom
    mochasmom
    Interacting Investor
    Interacting Investor


    Posts : 2993
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by mochasmom Tue 12 Dec 2017, 7:11 pm

    Good stuff SB
    Screwball
    Screwball
    Interacting Investor
    Interacting Investor


    Posts : 3484
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Screwball Tue 12 Dec 2017, 9:29 pm

    How many countries soon after an invasion devalued the currency to 3000:1? Anyone know why this occurred? Purpose? And whybat the same time did they start the auctions and introduce a new currency?
    zimi31
    zimi31
    Interacting Investor
    Interacting Investor


    Posts : 2430
    Join date : 2012-12-21
    Location : New York

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by zimi31 Tue 12 Dec 2017, 9:31 pm

    All very interesting...thanks SB   thumbs
    Proven
    Proven
    NNP TEAM
    NNP TEAM


    Posts : 1853
    Join date : 2012-12-21

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Proven Tue 26 Dec 2017, 9:58 am

    noced71 wrote:
    Proven wrote:
    weslin3 wrote:306 no Anyone... I don't get this. Over my head.


    It will start 1-1-2018.

    It will be used to control liquidity.  The end of auctions is in sight.  

    [You must be registered and logged in to see this link.]
    This is a great post!!!!  Dance banna2 banna3



    But Proven, can you clarify? This article is bringing us to the "conclusion" that the auctions will end. Not actually stating it, correct?


    I suspect we should see some article actually stating the end of auctions..correct?

    Here is your answer:


    To close the selling window of the dollar in the first quarter of 2018, and Iraqi banks to leave living on this window and is directed to the development of the Iraqi private sector and private investment, in order to start a real investment revives work and development in the country through the revitalization of the private sector.



    [You must be registered and logged in to see this link.]
    mochasmom
    mochasmom
    Interacting Investor
    Interacting Investor


    Posts : 2993
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by mochasmom Tue 26 Dec 2017, 10:04 am

    First quarter is good enuf for me, but I still say that budget issue needs resolving and before Isis reappears
    weslin3
    weslin3
    Interacting Investor
    Interacting Investor


    Posts : 7463
    Join date : 2012-12-19

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by weslin3 Tue 26 Dec 2017, 11:46 am

    mochasmom wrote:First quarter is good enuf for me, but I still say that budget issue needs resolving and before Isis reappears

    Agree... Another reason to get this done..
    Proven
    Proven
    NNP TEAM
    NNP TEAM


    Posts : 1853
    Join date : 2012-12-21

    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Proven Tue 26 Dec 2017, 5:20 pm

    Screwball wrote:I am not saying what the rate will be, disagree with .10.... a higher rate will not cause inflation Other. H ages  will need to occur including rebalancing of books, accounts, Price adjustment in country. A revalue always causes inflation that’s why it needs to happen in conjunction with other changes. What will cause inflation is massive spending without any adjustment...

    Agree.  Since Iraq imports 95 percent of all consumer goods, increasing the exchange rate will reduce the price of imports; This would cause deflation in country.  Keep in mind goods are priced in both dinars and dollars.  Price adjustments in goods and services will occur automatically with any change in the exchange rate.  


    A revaluation will initially increase consumer demand as a result of people having more disposable income.  I think this is what would be considered inflation.  This is why they (government and CBI) have been draining the money supply.  By the way, the government will adjust wages (in the 2018 budget) for the change in prices and the exchange rate.   The change in wages would probably occur at the same time or right before changing the exchange rate.

    As they have stated, the increase in exchange rate will occur in conjunction with applying tariffs to jump start domestic production.  Tariffs will increase the price of goods.  However, this increase in prices would be more than offset by the increase in the purchasing power as a result of increasing the exchange rate.    Domestic production will facilitate the change to a net export country and build foreign reserves.  All part of the plan.  


    Screwball, what do you mean by rebalancing the books and accounts?

    Sponsored content


    Saleh -  Saleh: Great question marks on mechanisms to convert foreign currency to Iraq - Page 4 Empty Re: Saleh: Great question marks on mechanisms to convert foreign currency to Iraq

    Post by Sponsored content


      Current date/time is Thu 28 Mar 2024, 11:45 am