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Sunday, July 26, 2015

My Ladies and Friends Sunday Night Chat: "International Bonds"

Thank You My Ladies for letting us share from your Private chatroom:

MY LADIES:  SO LISTEN UP I ALMOST WANT TO SHARE SOMETHING WITH YOU GUYS AND I ALMOST DONT WANT TO ALSO

NOVA AND I ARE LOOKING AT SOMETHING AND SCRATCHING OUR HEADS...VIENNA TRANSLATED IT WORD FOR WORD BUT WE ARE STILL A BIT CONFUSED...

DO YOU WANT TO TAKE A LOOK AT IT???

OK I'M GOING TO POST IT IN ENGLISH AND PUT THE ARABIC LINK, YOU READ IT AND GIVE ME FEED BACK OK???

Memphis:  if it is of interest I will study it
....
MY LADIES:  OK MEMPHIS GOOD...HERE WE GO AND VIENNA TRANSLATED WORD BY WORD SO THERE IS NOTHING LOST IN THE TRANSLATION...

MY LADIES: BANDITO BROUGHT THIS TO ME THIS MORNING

Baghdad scales News

The central bank announced on Sunday his intention to put up bonds for the benefit of the Ministry of Finance worth two billion dollars, and as pointed out that the bonds due and payable by the end of 2016, said it can be used as collateral for loans or facilities require collateral.

The bank said in a statement received / scales News / copy of which he "will ask the delivery term bonds in dollars to the bearer on behalf of the Ministry of Finance, starting from the second of next August to 31 of the same month," adding that "Asdarih will be four categories (in 2500 and 10000 and 50000 and 100,000) US dollars and the total amount of two billion dollars. "

The bank said it "will sell that amount in Iraqi dinars and the price of 1095 dinars per dollar and payable by the Ministry of Finance in December 31 2016, to be paid in dollars at maturity" .anthy 29 / d 25  LINK

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AW:  Are these the soveriegn bonds due to be sold in August 2015?

MY LADIES:  YES AW

PrincessDD:  So August 2nd through the 31st.

AW:  The CBI stated sovereign bonds in August followed by the international bonds in September 2015.

MY LADIES  : THE SALE WILL START 8/2 UNTIL 8/31

NF:  Well we like the 1095 better than 1200 or 1166.  The rest I am going to have to read again.

MY LADIES:  SAME ANIMAL AW…: SOVEREIGN BONDS INTERNATIONAL BONDS...SAME THING

MUNICIPLE 90 DAY BONDS ARE DIFFERENT

MY LADIES: YEP NF 1095 IS BETTER

AW:  I thought that the sovereign bonds were not being sold through the international bond market.

AW:  Oh........ok

MY LADIES:  THOSE ARE THE 90 DAY MUNICIPLE BONDS YOU'RE THINKING OF

JP:  But does 1095 continue to work within the new economic system?

MY LADIES:  DOES 1095 WORK??? HUMMM I SURE DON'T KNOW...I WANT TO SAY NO OBVIOUSLY...BUT I SURE DON'T KNOW

NF:  so if they are the same thing then they are selling international bonds starting 8/2?

MY LADIES:  YES NANCY YOU CAN GO BUY THEM IF YOU WANT...THEY ARE IN 4 DENOMINATIONS AND A CONVERSION RATE OF 1095 - 1

PrincessDD:  Thats one week from today.Things are changing and moving in the right direction it seems.

NF:  wow, that is exciting!  We are REALLY close

MY LADIES: NOVA SAYS THE SAME THING...HUMMMM..

MY LADIES: SOMETHING IS NOT CONNECTING FOR HIM OR ME...THIS COULD BE EXCITING FOR US OR MAYBE NOT...

WELL LET'S TAKE OF THE DINAR GOGGLES AND LOOK AROUND OK??

JULY 30 BRICS STARTS LENDING MONEY

AUGUST 2 BONDS GO ON SALE

WHAT OTHER TIME LINES ARE THERE PRINCESS

Bandito Rox:  Well custom tariff and I know what you are going to say.  By Aug 1st

MY LADIES:  OH RIGHT ALL THE BORDERS ON THE SAME TARIFF SYSTEM FOR AUGUST 1

MY LADIES:  ABADI GOES TO CHINA EARLY AUGUST TO TALK ABOUT INFRASTRUCTURE

ABADI TO CHINA EARLY AUGUST .   http://ift.tt/1HTvQUA

JP:  I’m puzzled Mary, how cold 1095 be possible exciting for us??

PrincessDD:   I am looking for proof of the UN declaring chapter 8 status for Iraq tomorrow. Ive heard it but have to see for myself.

SSS:  are we sure these are international bonds?

JP:   Something is not adding up in light of what Turki recently said about returning to pre-2003 rates.  Maybe we are  seeing some deception or political games.

MY LADIES:  EASY...LET'S LOOK AND READ AND TRY TO UNDERSTAND...WHAT WAS SAID BY ANYONE OTHER THE CBI GOVERNOR WE CAN TOSS OUT WITH THE BATH WATER

MY LADIES: OK LET'S READ!!  EVERYONE!! LET'S READ!!

MY LADIES:  OK SIT STILL I HAVE 4 THINGS WE ARE GOING TO LOOK AT TOGETHER HOLD ON

Iraq is seeking to enter the wheat exporters Club
http://ift.tt/1VHWXcL

Central invitation to confirm the warnings of risks  
http://ift.tt/1HTvP35

Economic revival requires global investments 
http://ift.tt/1VHWXsZ

Banking behavior
http://ift.tt/1HTvQUC

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Central invitation to confirm the warnings of risks
http://ift.tt/1HTvP35

MY LADIES:  WOW!! OK SO NO BIT COIN IN IRAQ OR FACE SANCTIONS,

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Economic revival requires global investments  http://ift.tt/1VHWXsZ

MY LADIES:  AHA!! DIDN'T ABADI PROMISE TO TRANSFER ALL THE POWERSOF THE MINISTRIES TO THE PRIVATE SECTOR BY AUGUST????

He noted that the most encouraging investment environment rules is to build a real infrastructure, promote the country to the levels required to Iraq occupies a position between the developed countries and help him to continue the development of its economy, and help to reducing its number of ministries and convert some of them to regulatory bodies as is the case in many developed countries, as well as the conversion of the ministries that are the functions Trchigaha to the provinces in support of management decentralization in the country, pointing out that they dealt with the case of redundant early retirement state in all cases responsible for the payment of their salaries and it is best to encourage them to retire early and take advantage of them in the private sector.

MY LADIES:  SO THIS IS THE TRANSFER OF POWERS

WELL ALL OF THIS SPEAKS TO TRADING GLOBALLY AND DOING IT NOW!!


SO WE JUST HAVE TO UNDERSTAND WHAT THE 1095 IS.

AW:  Lets see if on 2 August the CBI reflects the 1095…. or possibly a higher value...........

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MY LADIES:  IRAN FOREIGNER MINISTER TO BAGHDAD TOMORROW

Zarif today in Baghdad
http://ift.tt/1HTvQUE

7/27/2015 0:00  BAGHDAD - morning

looking Iranian Foreign Minister, Mohammad Javad Zarif, who will arrive in Baghdad on Monday, a number of issues of common interest between the two files, especially the development of bilateral relations between the two neighbors, and security coordination between Iraq and Iran to meet the challenges and the war against terrorism.

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Lisa: I remember on a past CC, you and Nova spoke about the possibility of a two step process. One to introduce their currency to the int'l market, and then shortly thereafter, raising the value to a true level. Did I remember that right, or not? Perhaps 1095 could be a launching position? Just speculating even though I don't like the sound of it!

MY LADIES:  SO YOU SEE THE CAUSE FOR HEAD SCRATCHING...WE NEED TO SEE WHAT 8/2 BRINGS BECAUSE I HAVE A GNAWING FEELING THEY ARE GOING INTERNATIOMAL AT THAT PRICE FOR NOW.

AND YES LISA YOU ARE 100% CORRECT

AW:  If the value increases during the timeframe these bonds are out, Iraq will come out better.......in other words, it will costs Iraq less to pay off the bonds if the value of the IQD increases during the time frame….. IMO,.....stop worrying........this is good.

MY LADIES:  HUMMM LOOK AT THIS; MORE TALK OF TURNING OVER THE MINISTRIES, SO THIS IS ALL IN THE RIGHT DIRECTION

Cabinet Secretariat looking importance of studying the file collection   LINK

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MY LADIES:  THE BONDS WILL BE PAID IN DOLLARS AT MATURITY

NF:   if paid in dollars then buying a bond is not as interesting to us right?

MY LADIES:  WELL THAT'S THE HEAD SCRATCHING PART NANCY

Grateful Heart:  well all those USD that have been printed have to go somewhere!  first BRICS then Iraqi bonds. Interesting.

MY LADIES:  AND DON'T FORGET EVERY COUNTRY TO DEPOSIT IN USD TO THE AIIB

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MY LADIES:   SOLD IN DINARS AND PAID AT MATURITY IN DOLLARS

The bank said it "will sell that amount in Iraqi dinars and the price of 1095 dinars per dollar and payable by the Ministry of Finance in December 31 2016, to be paid in dollars at maturity" .anthy 29 / d 25

Grateful Heart:  yeah...that doesn't sound like a good deal at all to me...especially if the USD is taking its turn at a re-pricing at that time!   is it possible that will ease the landing?

PrincessDD:  I'm scratching my head on that 1095

Grateful Heart:  It makes absolutely no sense (at face value) for Iraqi bonds to be sold in dinar and paid in USD.  That would be like US bonds sold in dollars but paid in Iraqi dinar!!!  I'm excited because it's all part of the process...but that is definitely curious

PrincessDD:  I guess I just don't understand their reasoning in doing that

Lisa:  We may not see the whole picture yet.

HummingBird:  Mary, don't understand the point of the 1095--what would that accomplish--or is it like Nova says "Just get started"

MY LADIES:  HUMMING WHO KNOWS..AUGUST 2ND IS AROUND THE CORNER, THIS IS WHY I WASN'T SURE ABOUT BRINGING IT IN...BUT WE CAN WATCH TOGETHER. AND DOLLAR OR DINAR PAYMENT IS OT THE ISSUE BECUAE 2500 WILL BE 2500 EVEN IN PUMPKIN SWEEDS, IT'S THE INTEREST THAT MAKES THE MONEY...

Grateful Heart:  Well on the 1095 I'm with NOVA..............just start already!  At 1166 or 1095 or whatever!

MY LADIES:  HAHAHAAH...I THINK YOUR RIGHT

AW:   Exactly........then go electronic!!!!

MY LADIES:   RIGHT...LET'S GET SOME MOVEMENT GOING...

MEMPHIS CARE TO WEIGH IN???

JMP:  so the lower the number the higher the value ?

MY LADIES:  RIGHT

Jmp:  would they just sell the bonds outright at that price or take bids on them? If they take bids, then that number could just be the starting point ... like at an auction.

Grateful Heart:  when I pull the article up on chrome and translate it -- I found it interesting the CBI is announcing...on behalf of the Ministry of Finance...and mentioned MoF 3 times.

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MY LADIES:  OK SO LETS READ THE ARTICLE AGAIN....THE BONDS ARE BEING SOLD IN 4 DENOMINATIONS...WHAT ARE THEY????

Grateful Heart:  2500  10000  50000  100000

MY LADIES:  OK SO WE HAVE 4 AND THEY WILL SELL FOR 29 DAYS UNTIL THAT PAPER IS GONE AND THE 2 BILLION IS REACHED

Grateful Heart:  interesting length of the term

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MY LADIES:  HERE WE GO A BIT MORE ON THE SUBJECT

Central bank: a bond offering for the benefit of the Ministry of Finance worth two billion dollars in four categories

http://ift.tt/1VHWZ49

[Baghdad-where]

the Iraqi Central Bank announced its intention to launch bonds in favor of the Ministry of Finance worth two billion dollars.

According to a statement of the bank today that he "will ask the delivery term bonds in dollars to the bearer on behalf of the Ministry of Finance from the second of next August to 31 of the same month," adding that "Asdarih will be four in 2500 and 10 050 الف and 100 thousand dollars categories and the total amount of two billion dollars. "

He added that he "will sell that amount in Iraqi dinars and the price of 1095 dinars per dollar and payable by the Ministry of Finance on December 31 2016 to be paid in dollars at maturity."

The crisis cell headed by Prime Minister Haider al-Abadi, decided at its meeting In 15 of July of this start issuing remittances treasury during the remaining months of this year and launch a national bonds to the public and government guarantees and benefits appropriate, in order to enhance the financial position and activate the economy and development movement in the country. "

As Finance Minister Hoshyar Zebari said on 22 June last Iraq He hoped to meet with investors at the end of July Garaard plans on the issuance value of five billion dollars "bonds, stressing that" Iraq has begun promoting these bonds abroad. "

The much-need for government liquidity as expects a deficit of about $ 25 billion this year in size budget of about $ 100 billion .anthy

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AW:  "Asdarih will be four categories (in 2500 and 10000 and 50000 and 100,000) US dollars and the total amount of two billion dollars. "

The bank said it "will sell that amount in Iraqi dinars and the price of 1095 dinars per dollar and payable by the Ministry of Finance in December 31 2016, to be paid in dollars at maturity" .anthy 29 / d 25

After reading this for the fifth time, this shows me that the IQD will be sold internationally starting 2 August 2015......................if in fact these are the international bonds. Again, it is saying the amounts (2,500, 10,000 and 50,000 and 100,000) will be sold in Iraqi dinar...........again, it is saying the exchange will be at 1095 IQD per dollar.

Folks,................I know that I am not to get excited.......however, unless I am reading this wrong, it appears that this is informing us of the initial exchange rate of 1095.

MY LADIES:  ALAN I SORT OF AGREE WITH YOU TOO AND LOOK AT THE EXTENDED VERSION OF THE BOND PIECE, THESE ARE THE INTERNATIONAL BONDS OPEN TO INVESTORS ABROAD!

THERE IS 5 BILLION TO BE SOLD AND FOR AUGUST THEY ARE OFFERING 2 BILLION. THE REST TO COME IN SEPTEMBER

AW:  And the weighing of the currency for the new SDR basket is starting soon too.

NF:  this news of international bonds plus the last article of helping ALL people in Iraq and the surrounding areas with Isis has given me hope that the snowball is rolling starting NOW!  I for one feel great about the coming months.

Lisa:  I suppose the add'l 3 billion to be sold starting in Sept could be at a different rate? No?

MY LADIES:  YES THEY COULD...

Lisa: That gives me hope beyond the hope of jumping to Intl status.

MY LADIES:  YES LISA LET'S GET STARTED WITH SOMETHING AND ROLL FROM THERE

Jmp:and that Iran tanker is suppose to be at its  destination on 8/1

MY LADIES:   OH VERY GOOD JAN I FORGOT ABOUT THAT...YES YES THE ONE FROM FRANCE

Jmp:   I think "they" have this all planned out

MY LADIES:   YES IT SURE LOOKS LIKE IT'S ALL COMING TOGETHER
Memphis:  ML this may not be what your seeing but this is what I came up with after adding some small paraphrase and re-ordering it a bit to fit what I believe it is saying.  Anyway, I got this:

Baghdad scales News

The central bank announced on Sunday his intention to put up bonds worth $2B USD for the benefit of [the proceeds of which will go to] the Ministry of Finance, and as pointed out that the bonds due and payable by the end of 2016, said it can be used as collateral for loans or facilities require collateral.

[acting] on behalf of the Ministry of Finance, The bank said he "will ask the delivery term [upon maturity of the] bonds [to be payable] in dollars to the bearer, [and to be offered] starting from the second of next August to 31 of the same month,"

adding that "Asdarih [denominations] will be four categories (in 2500 and 10000 and 50000 and 100,000) US dollars and the total amount of two billion dollars. "

The bank said it "will sell that amount in Iraqi dinars and [at] the [discount] price of 1095 dinars per dollar and payable by the Ministry of Finance in December 31 2016, to be paid in dollars at maturity"


Memphis:
  So when I re-order the sentence it reads to me that Iraq's gov't is raising $2B to cover the deficit from decreased revenue this year. 

So if I wanted to purchase a bond from the CBI that will mature in Dec2016 and pay me $50K USD I can purchase this now at a discount.  The discount then reflects my return on investment (ROI) as follows:

The dinar equivalent to $50K USD (at 1166 exchange) would be = 58.3M IQD

however I can secure this bond at a discounted price of 1095 dinars/USD such that the $50K USD bond will require an outlay of only 54.75M IQD.

This then yields roughly a ROI of 6.1% over the span of 16mo.

Memphis:  the whole bond thing is much more in the wheelhouse of others here but as to the message and the intent of the bonds?  This is my opinion. 

MY LADIES:  UMM  HUMMM VERY GOOD THANKS FOR HELPING WITH THE REWORDING, BUT THE FACT REMAINS STILL THAT THESE ARE OPEN TO RETAIL INVESTORS AT ANY PRICE MEANS THE DINAR IS TRADING ACROSS BORDERS.

SO THEN WOULD THIS MEAN 1095 IS THE STARTING TRADE PRICE? WE HAVE TO SEE BUT IT SURE SAYS THAT TO US.

THE WORDING FOR ONCE IS CORRECT AS VIENNA WHOSE PRIMARY LANGUAGE IS ARABIC READ IT WORD FOR WORD...SO THE QUESTION IS STILL IS 1095 THE BEGINNING TRADE PRICE.

Grateful heart:  Both of those explanations makes sense to me.  Get a bond at a discounted rate and small term  AND that 1095 is their starting trade price.  Goes hand in hand

Memphis:  yes and not questioning her translation at all.  I simply re-order as I find that the last thing in a sentence is often meant to be the 1st and so on! 

Of interest (goggle on) is that this is defined as IQD in... and USD out.  It will certainly have the effect of removing large numbers of dinars from circulation. 

MY Ladies:  OH YES...YES IT WILL FOR SURE... ALRIGHT TOMORROW IS ANOTHER DAY AND IT'S THE MIDDLE OF THE NIGHT HERE, SO I'M OFF TO BED..I'M SURE I WAKE UP TO A WHOLE NEW WORLD WHEN PRINCESS GETS TO THE COMPUTER..

GOOD NIGHT ALL AND LET'S SEE WHAT TOMORROW BRINGS.

THANK YOU MEMPHIS FOR WEIGHING IN..IT IS NICE TO SEE YOU PARTICIPATING.

GOOD NIGHT ALL...


via Dinar Recaps - Our Blog http://ift.tt/1HTvQUK

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