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Thursday, July 9, 2015

OOTW & Member Credit Rating Discussion  Part 2 of 2

Post From Wealthwatch.world Chat Room Thurs Afternoon  Part 2 of 2


quicktolegit96: All other countries (and a limited number of supranational multilateral/regional financial institutions) are classified into one of eight categories (0-7) through the application of a two-step methodology: 

1. The Country Risk Assessment Model (CRAM) produces a quantitative assessment of country credit risk based on three groups of risk indicators (the payment experience of the Participants, the financial situation and the economic situation). 

2. A qualitative assessment of the CRAM results by country risk experts from OECD members, considered country-by-country to integrate political risk and/or other risk factors not taken (fully) into account by the CRAM. Accordingly, the final country risk classifications are achieved through a thorough discussion amongst experts and a consensus-building process.
~~~
quicktolegit96: http://ift.tt/1CsTUhO...

http://ift.tt/1J74YOZ

OOTW: wealthwatch.world/showthr...

http://ift.tt/1NSuWcB

DT N AZ: ITS AT THE BOTTOM OF THE A SECTION BUT STILL A VERY GOOD RATING FOR THEIR POSITION AT THIS POINT

OOTW: DIAGY YOU'RE NOT BOTHERING ME - BUT I'M GETTING INFO FROM EVERY SOURCE OF COMMUNICATION RIGHT NOW LOL

Casperette: So they did get a 7??

OOTW: YES CONSIDERING ITALY'S AT A B- AS POINTED OUT TO ME BY BUTIFLDRM

Doug_W: ‹@Casperette› yes

[01:42:24 PM] quicktolegit96: OOTW CHECK THIS http://OUT...www.oecd.org/tad/xcred/cr...

http://ift.tt/N6Mfxx

disciple7: so a 7 is an A-

quicktolegit96: 7 IS THE HIGHEST

Doug_W: that is a SMALL Ghost  lol

OOTW: YES

OOTW: I STAND CORRECTED

OOTW: ITALY'S AT A BBB-

OOTW: YIKES

quicktolegit96: USA IS AT A 6

OOTW: THANKS QUICK

Donnie: seems Iraq had the 7 rating since June of 2014

OOTW: PATHETIC ISN'T IT QUICK?

Doug_W: thanks again Obummer

OOTW: YES IT'S INTERESTING, ESP CONSIDERING THAT S&P AND MOODY'S STILL HAVE NOT ASSIGNED IRAQ A NUMBER

OOTW: AS FAR AS I CAN SEE ANYWAY

quicktolegit96: YUP

Donnie: ‹@quicktolegit96› where do u see USA with a 6? I see no rating and a Note (6).

OOTW: GOOD SOURCE QUICK TY

OOTW: WE HAVE ANOTHER COMPARISON STATING THE SAME VALUE "7"

OOTW: QUICKS SOURCE STATES IRAQ IS AT A 7 AND HERE'S THE DATE ON THE DOC page 2 - (26 June 2015) http://ift.tt/1J74YP0...

http://ift.tt/1CsTTdT

OOTW: TY DONNIE FOR THE PRINT SCREEN

quicktolegit96: DONNIE THAT WAS JUST A GUESS

Donnie: USA A-

jazzyblue: i am looking at wikipedia and it shows ALL of the credit ratings places and is also up to date, iraq is not listed in any except under the "not listed" category........USA is stable with an A rating ty here is the link IF i can post it in here lol

jazzyblue: http://ift.tt/WhzX4w...

http://ift.tt/1CsTUhW

jazzyblue: you can hit the DATE and it will show the most recent year of ratings

quicktolegit96: http://ift.tt/1J74ZT0...

http://ift.tt/1CsTTdV

jazzyblue: OH and the most recent ARE in 2015 :)

quicktolegit96: WHERE IS IRAQ

Donnie: i like this one - current as of 26 June 2015 ... http://ift.tt/1CsTUhO...

http://ift.tt/N6Mfxx

Donnie: ‹@quicktolegit96› in the Middle East lol

Donnie: ‹@quicktolegit96› sorry - i didn't see the whole page posted with the date on top...

quicktolegit96: I DONT SEE IRAQ ANYWHERE ON THAT WIKIPEDIA SITE

jazzyblue: well the one from wiki shows GREECE :) with a CCC- rating as of June 29 2015 :)

jazzyblue: so that is fairly recent i would say

Donnie: ‹@quicktolegit96› Iraq is in the Not Rate section - scroll down - http://ift.tt/WhzX4w...

quicktolegit96: creditrating.einnews.com/... 1 HR 27 MINS AGO

http://ift.tt/1J74ZT2

Casperette: Donnie thanks--that worked

 quicktolegit96: Iraq eyes July investor roadshow, $5B bond issue Jun 22, 2015 Read More Are bonds in your retirement plan?

They should be "We completed a very successful round of due diligence with the three banks and with the ratings agencies in Istanbul, and I think they are on board," he said.

"We will start our roadshow I think end of July, or early August at the latest, and then we will issue them. So everything is on track." On

quicktolegit96: creditrating.einnews.com/...

http://ift.tt/1CsTUhY

whitelions: ‹@quicktolegit96› that was posted on Jun 22, 2015

Doug_W: ok so WHO is gonna post the RATE AND the date  lol

DT N AZ: my guess is....

DT N AZ: $3.86 15 July

Doug_W: SOLD DT

DT N AZ: lol

Doug_W: color me with a fishing pole then

OOTW: International regulation[edit] Both officially supported export credits and tied aid credit and grants are extended on terms controlled by governments.

Therefore, there is a constant temptation to use these financial instruments to subsidize commercial exports in order to win a temporary advantage on an export market or to counterbalance such an action from another government (matching).

However, the end result of such action is negative for importing countries (usually developing countries), who are rendered unable to choose the best combination of quality and price but consider financing first.

It is also negative for tax payers, who foot the bill. It may only to the benefit of exporters whose government have the deepest pockets and the greatest willingness to subsidize, even though the macro-economic benefit of the subsidy is doubtful.

 In the past, there have been big, government-sheltered companies that were kept alive to a very large extent by export credits and tied aid credits.[citation needed] To avoid these traps, it was considered useful to standardize export credit conditions and to monitor matching and tied aid credits.

This situation has led first to an informal agreement in 1976 among some OECD countries, known as "The Consensus". This was succeeded in 1978 by a gentlemen's agreement facilitated by the OECD's now defunct Trade Directorate, which established a Working Party on Officially Supported Export Credits.

This gentleman's agreement, officially known as the Arrangement on Guidelines for Officially Supported Export Credits, is known as "The Arrangement".

Although negotiations are facilitated by the OECD, not all OECD member countries are participants and membership is possible for non-OECD countries.

The Arrangement is supplemented by so-called "Sector Understandings" with rules tailored to specific sectors of industry, namely ships, nuclear power plants, civil aircraft, and climate change mitigation and water projects.[2] Since 1999, country risk categories have been harmonized by the Arrangem

OOTW: by the Arrangement and minimum premium rates have been allocated to the various risk categories. This is intended to ensure that competition takes place via pricing and the quality of the goods exported, and not in terms of how much support a state provides for its exporters.

[3] The Arrangement does not extend to exports of agricultural commodities or military equipment.

 A recent decision at the World Trade Organization (WTO) indicates that the use of officially supported export credits in agriculture is bound by WTO members' commitments with respect to subsidised agricultural exports (see the WTO Appellate Body decision on the Brazil-US cotton case as it relates to the General Sales Manager (GSM) 102 and 103 programs and other US agricultural export credits, summarized here).

 At EU level, the European Commission, in particular the Directorate General for Trade, plays a role in the harmonization of Export Credit Agencies and the co-ordination of policy statements and negotiation positions. This is based on council decisions 73/391/EEC and 76/641/EEC.

These decisions provide for prior consultations among member states on long term export credits. Member states may ask each other if they are considering to finance a specific transaction with official export credit support. EU members may not subsidize intra-EU export credits.

The application of the OECD arrangement in providing export credit is mandatory in EU countries under Art. 1 of Regulation (EU) No. 1233/2011.[4] The Berne Union, or officially, the International Union of Credit & Investment Insurers, is an international organisation for the export credit and investment insurance industry.

The Berne Union and Prague Club combined have more than 70 member companies spanning the globe. Its membership includes both commercial and state-sponsored insurers.

OOTW: I'M QUOTING BUTIFLDRM HERE- "THIS RATING WAS GIVEN TO THEM YESTERDAY AND I VERY MUCH DOUBT IRAQ WOULD BE ABLE TO ISSUE THIS BOND SALE WITH A B- RATING"

OOTW: THIS ARTICLE SUPPORTS BUTI'S COMMENTS

OOTW: FLASHBACK ARTICLE Markets | Thu Apr 30, 2015 7:02am EDT Exclusive: Iraq seeks credit rating before jumbo bond issue DUBAI | BY HADEEL AL SAYEGH Iraq's Finance Minister Hoshiyar Zebari speaks during a news conference in Baghdad February 26, 2015. REUTERS/Khalid al-Mousily Iraq's Finance Minister Hoshiyar Zebari speaks during a news conference in Baghdad February 26, 2015.

REUTERS/KHALID AL-MOUSILY Iraq plans to obtain a sovereign credit rating and is approaching rating agencies as it prepares for a jumbo $5 billion bond issue needed to cover a budget deficit caused by low oil prices, its finance minister said on Thursday.

"We started the process," Hoshiyar Zebari told Reuters by telephone. "The banks are also trying to help us in that direction.” Iraq has said it will issue $5 billion of debt in its first international bond sale for nine years.

Its need for cash is acute; the government has projected a budget deficit of about $25 billion this year, in a budget of roughly $100 billion. Obtaining a credit rating from a major agency, which Iraq currently lacks, could help to persuade global fund managers and banks to subscribe to the issue.

Zebari said Iraq was trying to approach two or three rating agencies, which he did not name. It has been discussing its bond issue plan with Citibank and Deutsche Bank.

The process of obtaining a credit rating could be a delicate one for Iraq, requiring it to open its books to the agencies and disclose new information on its finances. Zebari did not say when he expected the process to be completed.

 Iraq's huge oil reserves in its southern fields, which have not been touched by the Islamic State insurgency, are expected to draw buyers to its bonds. But many fund managers think it would struggle to sell $5 billion in a short space of time, even with generous pricing.

Asked if $5 billion was too ambitious, Zebari said: "We have in the budget a commitment to issue $6 billion. So this is the low - this is how we plan to cover our deficit. But there’s no way we can do it in o

OOTW: "We have in the budget a commitment to issue $6 billion. So this is the low - this is how we plan to cover our deficit. But there’s no way we can do it in one tranche.”

Iraq has an outstanding U.S. dollar bond maturing in 2028 462652AA6=; panic selling late last year as oil prices plunged pushed its yield to a record high of 10.49 percent from around 7.2 percent in September, but it has since dropped back to 8.04 percent.

Iraqi five-year credit default swaps IQGV5YUSAC=MP, used to insure against any sovereign default, are at 539 basis points, near their highest levels since late 2009.

In addition to the international bond issue, Iraq has introduced or is planning other fiscal measures including a local currency bond issue to banks, taxes on some consumer goods and public wage cuts. It has also been considering whether to ask for aid from the International Monetary Fund. http://ift.tt/OQO8sG..

http://ift.tt/1J74ZT4

Donnie: great video to watch regarding current market events - http://www.youtube.com/watch

https://www.youtube.com/watch?v=qMVbO7Uj1AE

] sczin11: A QUICK FLYBY... WITH ALL THE CREDIT RATING TALK AND BOND OFFERINGS THERE ARE A FEW OTHER MAJOR NEWS RELEASES TODAY

sczin11: BASRA IS FULL Of ELECTRICITY IN 85% OF THE PROVINCE 24 HOURS A DAY

sczin11: MINISTER OF FINANCE PAYING SALARIES NEXT WEEK BEFORE EID HOLIDAY

sczin11: AND HUGE NEWS !!! Government intervention of the World Bank as a partner in the formulatING 2016 BUDGET

sczin11: BRING ON THE WORLD BANK TO MAKE SURE THE GOVERNMENT PLAN FOR THE CITIZENS OF IRAQ, AS FORMULATED BY PM ABADI, IS FUNDED PROPERLY IN THE BUDGET.... NAMELY THE ACTIVATION OF THE PRIVATE SECTOR

http://ift.tt/1RmGhYn

Donnie: ‹@chattels› GA sir

gold642: "Central" Iraqi sells money orders worth 200 billion dinars July 9, 2015 16:37 Direct: The Central Bank of Iraq said on Thursday that he sold the bank remittances for 91 days at $ 200 billion dinars.

 The central bank said on its letter, that was sold at the price of full Alasaddarah and multi-utility and the highest discount rate of 4.8%.

According to the statement, the number of participants reached about 7 banks has won 6 participants Tdmnoa 4 banks and the national pension and the Department of care of minors has won the amounts provided by.                                                                                                  
                                                           

sczin11: A QUICK FLYBY... WITH ALL THE CREDIT RATING TALK AND BOND OFFERINGS THERE ARE A FEW OTHER MAJOR NEWS RELEASES TODAY

sczin11: BASRA IS FULL Of ELECTRICITY IN 85% OF THE PROVINCE 24 HOURS A DAY

sczin11: MINISTER OF FINANCE PAYING SALARIES NEXT WEEK BEFORE EID HOLIDAY

sczin11: AND HUGE NEWS !!! Government intervention of the World Bank as a partner in the formulatING 2016 BUDGET

sczin11: BRING ON THE WORLD BANK TO MAKE SURE THE GOVERNMENT PLAN FOR THE CITIZENS OF IRAQ, AS FORMULATED BY PM ABADI, IS FUNDED PROPERLY IN THE BUDGET.... NAMELY THE ACTIVATION OF THE PRIVATE SECTOR

sczin11: READ MORE wealthwatch.world/showthr...

http://ift.tt/1RmGhYn

sczin11: BBL

OOTW: THIS "THE LATEST" ON IRAN

OOTW: wealthwatch.world/showthr...

http://ift.tt/1CsTTe0

OOTW: HERE'S THIS SUPPORTING SCZIN11'S STATEMENT

OOTW: 09/07/2015 11:04 Directed the General Secretariat of the Council of Ministers and the Ministry of Finance to increase the capital of the Iraqi Commercial Bank. 

This came at the Council of Ministers, which approved the recommendation of the Committee on Economic Affairs decision, which states the bank's capital increase of 750 billion dinars for up capital to 1.75 trillion dinars and its profits or assets, to enable it to exercise banking business more effectively. http://ift.tt/1BNbkWF...

http://ift.tt/1CsTTe2

OOTW: AND THAT WAS FROM THE CABINET SITE

OOTW: THIS WILL SUPPORT PRIVATE SECTOR DEVELOPMENT/PROJECTS

OOTW: ‹@gold642› I SAW THIS SAME ANNOUNCEMENT " "Central" Iraqi sells money orders worth 200 billion dinars" POSTED AT MUBASHER END OF JUNE

OOTW: TY

sczin11: RE: THE ABOVE CABINET SITE STATEMENT, RE THE BANKS INCREASE CAPITAL

sczin11: HERE IS MY COMMENTS

sczin11: SCZIN11- WHAT BANKING BUSINESS WILL BE EXERCISED MORE EFFECTIVELY WITH THIS KIND OF INCREASE IN CAPITAL? THIS IS A HUGE MOVE TO PROVIDE LIQUIDITY TO THE BANKS FOR LOANS........ WOULDN'T YOU AGREE? Content originally from wealthwatch.world

http://ift.tt/1SvYJuY

gold642: the float fanatic better not come in here

gold642: :whistling:

gold642: i prefer people who have an open mind to where this might go, not a tunnel one

tourman: they are loaning money to private sector to prime the economic engine of iraq. At a rate of 1166? Or is there a rate we are not privey too?

OOTW: EVERY CURRENCY FLOATS LOL

OOTW: AS WE KNOW

OOTW: IRAQ HAS ONLY EVER HAD A MANAGED FLOAT..THAT DOESN'T MEAN IT CAN'T "FREE FLOAT" - IF IT COMES OUT AT .10 CENTS AND THEN HAS A "CORRECTION" OR EVEN TWO, IT WILL THEN BE A MANAGED FLOAT

OOTW: BECAUSE WE WEREN'T FLIES ON THE WALLS OF IRAQ'S "ARRANGEMENTS" WITH THE IMF..WE HAVE NO IDEA

OOTW: I DON'T CARE HOW INSISTENT PEOPLE ARE ABOUT THE FACT IT WILL "FREE FLOAT"

OOTW: WE...DO.....NOT.....YET....KNOW...WE'RE WATCHING ALL OF THE STEPS..AND THERE ARE MANY UNFOLDING BEFORE US...ALL GREAT NEWS..STRONG PRIVATE SECTOR STRIDES BEING MADE..I FEEL VERY GOOD ABOUT WHERE WE ARE RIGHT NOW

OOTW: AND AS YOU ALL KNOW...I'M A SKEPTIC WITH POSITIVE LEANINGS LOL

Donnie: personally i don't care what rate Iraq goes international with as long as it's a lot better than 1166 = $1.00   


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