[size=30]MilitiaMan and KTFA Members "Change is Coming" Sunday 9-13-2020[/size]
KTFA:Samson: The Minister of Finance and the US ambassador discuss strengthening mechanisms for economic and financial cooperation
13th September, 2020
Today, Sunday, Minister of Finance, Ali Allawi, discussed with the US Ambassador to Baghdad Matthew Toller the strengthening of the economic and financial cooperation mechanism.
The media office of the Minister of Finance said in a statement that Mawazine News received, a copy of it, that “Finance Minister Ali Allawi met today 9/13/2020 at a library in Baghdad with the US ambassador to Iraq,” pointing out that “during the meeting, mechanisms were reviewed and discussed. Strengthening economic and financial cooperation between the two countries."
For his part, the American ambassador affirmed his country's "full support for the plans and procedures that the Iraqi government is following, especially with regard to reforming and developing the economic and financial sector under the current circumstances." LINK
MilitiaMan: "A mechanism is a mathematical structure that models institutions through which economic activity is guided and coordinated. ... They seek to do so in ways that economize on the resources needed to operate the institutions, and that provide incentives that induce the required behaviors."
MilitiaMan: The main focus I am seeing in this is now on the economic and financial mechanism to fully support the plans and procedures the GOI and COM are following with regard to the reforms.
We see that in other articles that are out lately that the reform papers and budgets are being talked about. They talk about not only the 2019, 2020 and 2021. They will not hopscotch around any of them They are to be in-sync and in order. They feed off each other.
The Finance Minister has shown the 2020 Draft to the parliament days ago. The draft has the exchange rate at a program rate, as it has been not voted on it yet, a not normal thing at all. But they tell us that the budget can be changed or delayed. In other words the 2020 budget can be amended.
I believe there is support that it will be amended away from a program rate. Because, they are not able to borrow at a program rate or they would have already. They have exhausted all avenues with the IMF, WB, countries, etc. They are outside legal parameters per the GDP requirements per laws, debt ratios are maxed out big time. imo ~ MM
MilitiaMan: " Dagher adds, “The government's goal is to approve a budget for what remains From the fiscal year, it is obtaining additional internal debt, because it has drained previous borrowing, and it cannot borrow from the International Monetary Fund and other international bodies,” noting that “the proposals of the Finance Committee in Parliament are more convincing than the minister's proposals in the current disputes. ”
"In the context, sources reveal that the Iraqi government is trying to send a budget proposal for the remainder of the fiscal year without taking into account the rates of deficit and public debt, indicating that it is a “legal violation” that must be avoided, and economist Ahmed Hathal says,"
MilitiaMan: Now, since they tell us they can change the next or subsequent budgets, then they can also adjust the rates associated to them.
We know the goal is to go to a social market economy. A Market economy is free to trade across borders. A program rate doesn't get into the free markets. But, an international rate does get them into a market economy.
Where they can borrow in effect from themselves with leverage from the value of the new exchange rate / currency. Just as the IMF and World Bank have told them. We see a clear theme lately that is pointing to that Iraq is backed into a corner. They have no liquidity to pay salaries and they tell us they have two choices. Austerity or float the currency.
The former would not go well with the citizens that have suffered enough and would be effectively a poison pill for those that vote for that, whereas, voting to float the currency to get into the market economy where they can borrow from themselves effectively, because they will be able to get into the secondary markets just has the IMF and WB suggest they do.
The COM is to have a special meeting in regard to the 2020 budget then it will be off to the HOR. My view is they will not vote for Austerity. They'll vote for the latter imo. That is Float the currency or a similar manner to allow for new borrowing.. The feasibility study is about value related issues. Issues that those in the above meeting would know all to well about.
So from the looks of things the cards will be on the table soon enough to see if any of this is pertinent or not. My bet is what is in print supports they will see the reforms through now.
The solutions is to raise the value (financing by inflation) and floating the currency. imo ~ MM
**
Two solutions to the problematic of the Iraqi economy
"In another context, independent politician Ibrahim Al-Sumaidaie believes that the Iraqi government has two solutions to the problem of the Iraqi economy, “either financing the economy by inflation by floating the currency, or taking austerity measures and reducing employee salaries and operating expenses,” indicating that “the best solution is financing by inflation,” and he adds. For "The Independent Arabia", "floating the currency helps stimulate domestic production, and reduces the import that drains the country's economy."
He continues, "The Iraqi economy has paid exorbitant costs in attempts to stabilize the exchange rate of the dollar through the currency sale window in the Central Bank, which has been exploited by great corruption and wasted half of the country's economic energies."
"the 2020 budget will also include a request from the government with the approval of Parliament to allow it a new loan, and this will depend on the feasibility study of the request by the Finance Committee,"
"the government informed us that it will send the 20-20 budget at the end of this week, indicating that the budget will be simple, but it will include a request for Parliament's approval to allow new borrowing.
"Al-Jubouri added that, "Until the next budget, there are paragraphs for internal and external borrowing to pay salaries, and therefore there is nothing new about them apart from the investment framework and appointments."
**
Exchange Rate Mechanism (ERM) Definition
By ADAM HAYES Updated Oct 21, 2019
What Is an Exchange Rate Mechanism (ERM)?
An exchange rate mechanism (ERM) is a device used to manage a country's currency exchange rate relative to other currencies. It is part of an economy's monetary policy and is put to use by central banks.
Such a mechanism can be employed if a country utilizes either a fixed exchange rate or one with floating exchange rate that is bounded around its peg (known as an adjustable peg or crawling peg).
"What is a Free Market? The free market is an economic system based on supply and demand with little or no government control. ... Free markets are characterized by a spontaneous and decentralized order of arrangements through which individuals make economic decisions.Apr 28, 2020"
MilitiaMan: Think about this.. They talked about special details for the 2020 Budget and they will discuss it more after the approval of it. Note that it included bonuses.. Wow.. They have no money for liquidity? Or do the special details that are not disclosed bring us to how they have the money to pay bonuses? As in the special session is about the 2020 Budget tomorrow that may have changes in it There could be and has been talk of the mechanisms today with the FM and the USA Ambassador to Iraq..... imo Change is coming. lol ~ MM
************
GodLover: This article & many others are pretty telling in where we are in our speculative investment imo.
1) The 2020 budget per this article is a prelude to the 2021 budget....remember they need this done for accounting purposes, along with other previous budgets per articles imo.
2) They can & likely will imo borrow from the IMF or others imo.
3) Per past articles, the 2020 budget will not include investments as the 2021 budget will imo.
4) Lets not forget the Kurds have a temp deal for this budget & a permanent deal/agreements are in the works for the 2021 budget per articles imo. This to me is very telling imo.
5) Per articles...at least implying article 140 will be included in 2021 budget....which is on the table for discussion with Kurds along with other things imo.
6) 2020 budget to be voted on before the white papers are to be sent is my interpretation per articles imo.
7) White papers are to be sent prior to or along with 2021 budget mid Oct is what I recall an article stated (can't remember for certain) imo.
MilitiaMan: Godlover:
"This article & many others are pretty telling in where we are in our speculative investment imo.
1) The 2020 budget per this article is a prelude to the 2021 budget....remember they need this done for accounting purposes, along with other previous budgets per articles imo.
2) They can & likely will imo borrow from the IMF or others imo.
3) Per past articles, the 2020 budget will not include investments as the 2021 budget will imo.
4) Lets not forget the Kurds have a temp deal for this budget & a permanent deal/agreements are in the works for the 2021 budget per articles imo. This to me is very telling imo.
5) Per articles...at least implying article 140 will be included in 2021 budget....which is on the table for discussion with Kurds along with other things imo.
6) 2020 budget to be voted on before the white papers are to be sent is my interpretation per articles imo.
7) White papers are to be sent prior to or along with 2021 budget mid Oct is what I recall an article stated (can't remember for certain) imo. " ~ Godlover
MilitiaMan: Per item #2. It seems there data out that supports the IMF will not be loaning money or allowing more borrowing while Irag is at a program rate. Once they raise the rate, then imo they can likely borrow again, hence I suspect they will approve the borrowing law within the GOI. The COM will know that is part it the future already. The 2020 can be amended, just as they 2019 FML was. imo
Per Item #5 it is my understanding the 2020 budget may address this as well, again the 2019 budget FMLA should be or needs to be considered and seems to for some reason, gets overlooked? imo ~ MM
" Dagher adds, “The government's goal is to approve a budget for what remains From the fiscal year, it is obtaining additional internal debt, because it has drained previous borrowing, and it cannot borrow from the International Monetary Fund and other international bodies,” noting that “the proposals of the Finance Committee in Parliament are more convincing than the minister's proposals in the current disputes. ”
"In the context, sources reveal that the Iraqi government is trying to send a budget proposal for the remainder of the fiscal year without taking into account the rates of deficit and public debt, indicating that it is a “legal violation” that must be avoided, and economist Ahmed Hathal says,"
" "Member of the Parliamentary Finance Committee, Jamal Cougar, revealed, on Sunday, the details of the 2020 budget that the government submitted several days ago to Parliament, indicating that the budget presented will be for two months and may be approved or delayed.""
Today at 2:18 pm by Rocky
» utube MM&C 4/26/24 Iraqi Dinar - US Treasury Exchange Rates- Focus - Banking Partnerships - Rate C
Today at 2:17 pm by Rocky
» Parliamentary efforts to transform Iraq into a global market for transferring Internet capacities
Today at 2:07 pm by Rocky
» A parliamentary committee that enriches the political forces: Stop plundering Iraq’s wealth and work
Today at 1:56 pm by Rocky
» Politician: Salem Al-Issawi is the most likely to assume the presidency of Parliament
Today at 1:55 pm by Rocky
» The price of the dollar is close to 145 thousand dinars؛ how much is $100 worth of transactions؟
Today at 11:57 am by wciappetta
» Al-Sudani: The world today is witnessing crises whose impact has been reflected in the global econo
Today at 9:50 am by Rocky
» The Federal Court responds to an inquiry by Al-Sudani regarding the powers of the provincial council
Today at 9:40 am by Rocky
» Among them are the Iraqis... a list of the most sought-after immigrants to America
Today at 9:38 am by Rocky
» An expert talks about the "biggest barrier" and the positives of merging Iraqi and Arab banks
Today at 9:29 am by Rocky
» The House of Representatives adjourns its session
Today at 9:24 am by Rocky
» Parliamentary demands to expedite the legislation of the Eid al-Ghadir holiday law (documents)
Today at 9:23 am by Rocky
» Parliament adds the paragraph “Electing the Speaker of the House of Representatives” to its agenda
Today at 9:21 am by Rocky
» Alsumaria publishes the text of the law against prostitution and homosexuality
Today at 9:20 am by Rocky
» A parliamentarian reveals the reason for the failure of the Speaker of Parliament to pass during tod
Today at 9:19 am by Rocky
» Al-Sudani: The government has launched many strategies and initiatives that will improve the reality
Today at 8:42 am by Rocky
» International Business: Iraq has made progress in supporting businesses through investment and priva
Today at 8:33 am by Rocky
» Association of Banks: Iraq is witnessing great development in the transition to electronic governmen
Today at 8:25 am by Rocky
» The House of Representatives votes to add an item to its agenda (election of the Speaker of the Hous
Today at 8:22 am by Rocky
» Parliamentary integrity: Combating corruption requires parliamentary legislation
Today at 8:15 am by Rocky
» Al-Karaawi: America is trying to restrict Iraq
Today at 8:13 am by Rocky
» The State of Law coalition moves to form the local government in Diyala
Today at 8:12 am by Rocky
» The Sudanese and his battle against corruption.. Where is the fault with the government or with the
Today at 8:11 am by Rocky
» Prime Minister's Advisor: We will see the dollar fall on the black market soon
Today at 8:09 am by Rocky
» The Sunni blocs are resolute. The presidency of the Council is ours, away from Al-Halbousi
Today at 8:08 am by Rocky
» Al-Sudani discusses with a workers’ organization his government’s steps in this field
Today at 7:58 am by Rocky
» Parliament holds its session in the presence of 170 deputies
Today at 7:57 am by Rocky
» In the presence of Nechirvan Barzani and Al-Sudani... the State Administration Coalition holds an “i
Today at 7:55 am by Rocky
» The UAE company ADNOC resorts to Iraqi oil. Find out the reasons
Today at 7:53 am by Rocky
» The Iraqi Parliament votes to add an item to elect a president to its agenda
Today at 7:52 am by Rocky
» The Federal Court responds to an inquiry by Al-Sudani regarding the powers of the provincial council
Today at 7:51 am by Rocky
» Al-Sudani: It is necessary to attract women to work as a productive energy that cannot be disrupted
Today at 7:47 am by Rocky
» Zebari regarding targeting the Kormor field: a systematic attack on the economy of Kurdistan
Today at 7:46 am by Rocky
» Saudi Arabia tops, and this is Iraq's rank... a list of major suppliers of crude oil to South Korea
Today at 7:45 am by Rocky
» With a value of 125 million dollars.. Iraq is at the forefront of countries importing Iranian textil
Today at 7:44 am by Rocky
» More than a billion dollars in sales from the Iraqi Central Bank within a week
Today at 7:43 am by Rocky
» Al-Sudani stresses the need for the expertise of the International Labor Organization to legislate a
Today at 7:29 am by Rocky
» Including the return of 21 wanted persons.. The Iraq Money Recovery Fund counts its achievements in
Today at 7:27 am by Rocky
» The path to development is the criterion between true patriotism and political clowning.
Today at 7:25 am by Rocky
» The file of the Presidency of Parliament is on the state administration table... this evening
Today at 7:22 am by Rocky
» Director General of the International Labor Organization: Many challenges in the world of work and t
Today at 7:20 am by Rocky
» Al-Sudani: The world is witnessing crises that reflect negatively on the Arab and international peop
Today at 7:11 am by Rocky
» Prime Minister: Our government has provided great support for the success of the activities, program
Today at 7:08 am by Rocky
» Al-Asadi: Iraq places the social protection file among its priorities
Today at 7:07 am by Rocky
» Al-Sudani: Iraq is one of the first countries in the region to join the International Labor Organiza
Today at 7:05 am by Rocky
» In the presence of Al-Sudani and Barzani, the State Administration Coalition holds an “important” me
Today at 7:03 am by Rocky
» Appreciating the presence of Al-Sudani... Director General of the Arab Labor Organization: Here from
Today at 5:29 am by Rocky
» Prime Minister: Our government has provided great support for the success of the activities, program
Today at 5:28 am by Rocky
» Al-Sudani: The world is witnessing crises that reflect negatively on the Arab and international peop
Today at 5:24 am by Rocky
» The Parliamentary Development Institute organizes a workshop on the political role of the representa
Today at 5:22 am by Rocky
» With Arab and international participation. Tomorrow will be the start of the Fourth Baghdad Internat
Today at 5:21 am by Rocky
» OPEC Secretary General: The end of oil is not on the horizon
Today at 5:19 am by Rocky
» Closing a number of unlicensed offices and companies south of Baghdad
Today at 5:16 am by Rocky
» Repercussions of the bombing...intensive government movements to resume work in the “Kormor” field
Today at 5:15 am by Rocky
» In the presence of Al-Sudani...the opening of the Arab Labor Conference in its 50th session in Baghd
Today at 5:14 am by Rocky
» Al-Sudani: We are working on drawing future visions regarding the “green and digital” economic secto
Today at 5:13 am by Rocky
» Barzani after the Kormor attack: We are ready to coordinate with Baghdad to put an end to these atta
Today at 5:10 am by Rocky
» Al-Sudani directs the formation of an investigative committee into the circumstances of the Kormo fi
Today at 5:08 am by Rocky
» Bismayah is confused about the new electronic portal.. What about the landlord and the subcontracts?
Today at 5:07 am by Rocky
» Kurdistan Government: Loss of 2,500 megawatts of electricity due to targeting the Kormor field
Today at 5:06 am by Rocky
» Crisis in Kurdistan: 12-hour daily power outage and complaints of “confusion”
Today at 5:05 am by Rocky
» The Supreme Anti-Corruption Commission demands Nineveh for the contracts concluded by “Najm Al-Jubou
Today at 5:04 am by Rocky
» Al-Khanjar, Al-Samarrai, and Abu Mazen are hosted by Shaalan Al-Karim to discuss accelerating the se
Today at 5:03 am by Rocky
» Iraq asks the countries of the world to respond to its requests to extradite wanted persons: We have
Today at 5:02 am by Rocky
» “It is coming soon.” The Sudanese advisor sets the date for the referral of the Baghdad metro and th
Today at 5:01 am by Rocky
» Al-Mubarqa: Iraq reserves its full right to respond to the Australian behavior
Today at 5:00 am by Rocky
» Dollar exchange rates on Iraqi stock exchanges... recorded a decline, and this is the list
Today at 4:58 am by Rocky
» Mr. Al-Sadr supports the position of American university students
Today at 4:56 am by Rocky
» Iraqis are ranked 7th in the Arab world on the list of those most seeking immigration to America. He
Today at 4:55 am by Rocky
» Soon.. 3 new hospitals will open in Baghdad
Today at 4:52 am by Rocky
» Sponsored by Al-Sudani...the opening of the Arab Labor Conference in its fiftieth session in Baghdad
Today at 4:51 am by Rocky
» Al-Shammari chairs a meeting at the controlling headquarters to review the results of the security o
Today at 4:49 am by Rocky
» Arab Labor Organization: We commend Iraq's interest in the Arab Labor Conference
Today at 4:48 am by Rocky
» Al-Sudani: The development road project will provide many job opportunities
Today at 4:47 am by Rocky
» Sudanese advisor criticizes Kuwaiti analyzes regarding the development road project
Yesterday at 2:21 pm by Rocky
» Al-Mandalawi stresses the need to strengthen economic and trade cooperation between Iraq and Poland
Yesterday at 2:04 pm by Rocky
» Power maneuvers: America provides defensive weapons to Kurdistan in exchange for withholding from Ba
Yesterday at 10:26 am by Rocky
» Kuwait is drilling an oil well near Umm Qasr, towards Iraqi territory
Yesterday at 10:24 am by Rocky
» In the document... the first Iraqi ministry identifies the obstacles to changing the new official wo
Yesterday at 10:22 am by Rocky
» Italian Institute: Iraq is stuck in its own crises, including Baghdad’s efforts to undermine the “au
Yesterday at 10:21 am by Rocky
» The head of the Integrity Commission announces the holding of an international Interpol conference i
Yesterday at 10:18 am by Rocky
» Planning: Iraqi companies are not efficient in conducting the population census
Yesterday at 10:14 am by Rocky
» MM&C 4/25/24 National Bank of Iraq goes live with Temenos core banking and payments
Yesterday at 8:06 am by Rocky
» A banking official indicates a "danger" to Iraq by depriving more than half of its banks of dollars
Yesterday at 7:55 am by Rocky
» With the participation of the Association of Private Banks, investment opportunities are on the tabl
Yesterday at 7:45 am by Rocky
» Within a month... an Iranian border crossing recorded a noticeable increase in exports of goods to I
Yesterday at 7:44 am by Rocky
» The Association of Private Banks appreciates the efforts of the government and the Central Bank to c
Yesterday at 7:43 am by Rocky
» Al-Maliki's coalition presents a third candidate for the position of governor of Diyala
Yesterday at 6:57 am by Rocky
» Arab gathering: The Kirkuk problem is getting complicated and the Sudanese must intervene
Yesterday at 6:56 am by Rocky
» Next week.. a Kurdish delegation will visit Baghdad to meet with the Minister of Finance
Yesterday at 6:54 am by Rocky
» Under the pretext of salaries... Al-Party refrains from handing over port revenues to Baghdad
Yesterday at 6:53 am by Rocky
» Association of Banks: For the first time, we are witnessing a clear targeting of depriving half of t
Yesterday at 6:51 am by Rocky
» Parliament does not know the reason for the delay in sending the 2024 budget schedules: Voting takes
Yesterday at 6:49 am by Rocky
» Applicants for the 2024 Hajj are demanding that the Central Bank secure the dollar for them through
Yesterday at 5:09 am by Rocky
» Governmental and private banks will showcase their services tomorrow during Financial Inclusion Week
Yesterday at 5:08 am by Rocky
» Iraq's oil exports rise despite OPEC+ cuts
Yesterday at 5:06 am by Rocky
» A study explodes a "surprise"... Iraq is among the countries that export oil to "Israel": How is the
Yesterday at 5:04 am by Rocky
» Al-Araji emphasizes working to strengthen national identity
Yesterday at 5:02 am by Rocky
» Al-Sudani visits Saudi Arabia to participate in the World Economic Forum in Riyadh
Yesterday at 5:01 am by Rocky