Dinar Updates:
tman23 The new currency must come first as a prelude to the deletion of the 3 zeros from the currency... This is the biggest statement ever made yet so often overlooked!
If they are speaking of new lower denoms, then they would need a rate other then 1166...and if they come first, then the 3 zero notes will carry high value before removing the 3 zeros at the exchange window...what is the time limit...72 hrs...7 days...who knows...but it is possible!
The other scenario is seeing a 50,000 note come in October...if that hits the streets then it is not looking good no matter how anyone tries to spin it... Make no mistake...the world is on the edge of financial disasters... it is real and live!
There are 33 consulates now opened in Erbil... All these countries are lining up at the feeding trough...IMO it is bigger then Iraq...something BIG is being prepared... and TIME IS A FACTOR!
....
tman23 The new currency must come first as a prelude to the deletion of the 3 zeros from the currency... This is the biggest statement ever made yet so often overlooked!
If they are speaking of new lower denoms, then they would need a rate other then 1166...and if they come first, then the 3 zero notes will carry high value before removing the 3 zeros at the exchange window...what is the time limit...72 hrs...7 days...who knows...but it is possible!
The other scenario is seeing a 50,000 note come in October...if that hits the streets then it is not looking good no matter how anyone tries to spin it... Make no mistake...the world is on the edge of financial disasters... it is real and live!
There are 33 consulates now opened in Erbil... All these countries are lining up at the feeding trough...IMO it is bigger then Iraq...something BIG is being prepared... and TIME IS A FACTOR!
....
*********************************
TNT:
Iko Ward :Hey guys, Forex has now held the Dinar under 1130 for 48 hours straight. No reverting back to the CBI 1166. All polling are incremental now. This is good news. Back in 10 minutes. Dong similar.
Zzzzzzzzz: A very long report but has some interesting info...
http://ift.tt/1hLxyPv
2015 ARTICLE IV CONSULTATION AND REQUEST FOR PURCHASE UNDER THE RAPID FINANCING INSTRUMENT—PRESS RELEASE; STAFF REPORT; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR IRAQ
***************
Tishwash: http://ift.tt/1Jgruc7
Here is a summary
Iraq: 2015 Article IV Consultation and Request for Purchase Under the Rapid Financing Instrument - Press Release; Staff Report; and Statement by the Executive Director for Iraq
Publication Date: August 18, 2015
Electronic Access:
Free Full text (PDF file size is 2,521KB).
Use the free Adobe Acrobat Reader to view this PDF file
Summary: Iraq is facing a double shock arising from the ISIS insurgency and the sharp drop in global oil prices. The conflict is hurting the non-oil economy through destruction of infrastructure and assets, disruptions in trade, and deterioration of investor confidence. The impact of the oil price decline—already felt in 2014—will fully unfold in 2015, affecting the budget, the external sector, and medium-term growth potential.
The authorities are responding to the crisis through mix of fiscal adjustment and financing, maintaining their commitment to the exchange rate peg.
Rapid Financing Instrument: To help address the present and urgent balance of payment and budget needs triggered by the ISIS insurgency and the collapse in oil prices, the authorities have requested financial assistance under the Rapid Financing Instrument (RFI) for 50 percent of quota (SDR 594.2 million). Outlook and Risks: Assuming a resolution of the conflict in the coming years, the baseline medium-term outlook still looks positive, even though it would be significantly less favorable than at the time of the 2013 Article IV report. Under much improved security conditions, the macroeconomic scenario would continue to be driven by the expansion in oil production and non-oil sector growth, assuming the implementation of structural reform to diversify the economy and support private sector development.
But risks remain very high, arising primarily from a worsening of the conflict, political tensions, and poor policy implementation.
Series:
Country Report No. 15/235
"The authorities are responding to the crisis through mix of fiscal adjustment and financing, maintaining their commitment to the exchange rate peg."
TNT:
Iko Ward :Hey guys, Forex has now held the Dinar under 1130 for 48 hours straight. No reverting back to the CBI 1166. All polling are incremental now. This is good news. Back in 10 minutes. Dong similar.
Zzzzzzzzz: A very long report but has some interesting info...
http://ift.tt/1hLxyPv
2015 ARTICLE IV CONSULTATION AND REQUEST FOR PURCHASE UNDER THE RAPID FINANCING INSTRUMENT—PRESS RELEASE; STAFF REPORT; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR IRAQ
***************
Tishwash: http://ift.tt/1Jgruc7
Here is a summary
Iraq: 2015 Article IV Consultation and Request for Purchase Under the Rapid Financing Instrument - Press Release; Staff Report; and Statement by the Executive Director for Iraq
Publication Date: August 18, 2015
Electronic Access:
Free Full text (PDF file size is 2,521KB).
Use the free Adobe Acrobat Reader to view this PDF file
Summary: Iraq is facing a double shock arising from the ISIS insurgency and the sharp drop in global oil prices. The conflict is hurting the non-oil economy through destruction of infrastructure and assets, disruptions in trade, and deterioration of investor confidence. The impact of the oil price decline—already felt in 2014—will fully unfold in 2015, affecting the budget, the external sector, and medium-term growth potential.
The authorities are responding to the crisis through mix of fiscal adjustment and financing, maintaining their commitment to the exchange rate peg.
Rapid Financing Instrument: To help address the present and urgent balance of payment and budget needs triggered by the ISIS insurgency and the collapse in oil prices, the authorities have requested financial assistance under the Rapid Financing Instrument (RFI) for 50 percent of quota (SDR 594.2 million). Outlook and Risks: Assuming a resolution of the conflict in the coming years, the baseline medium-term outlook still looks positive, even though it would be significantly less favorable than at the time of the 2013 Article IV report. Under much improved security conditions, the macroeconomic scenario would continue to be driven by the expansion in oil production and non-oil sector growth, assuming the implementation of structural reform to diversify the economy and support private sector development.
But risks remain very high, arising primarily from a worsening of the conflict, political tensions, and poor policy implementation.
Series:
Country Report No. 15/235
"The authorities are responding to the crisis through mix of fiscal adjustment and financing, maintaining their commitment to the exchange rate peg."
KTFA:
Dnari131 » August 18th, 2015, 7:36 pm
KANI @akaniis 4h4 hours ago
The Fmr Iraqi PM Maliki used sectarianism to divide Iraq, while corruption continued. People of Iraq have now had enough. @AJStream
https://twitter.com/akaniis/status/633725450947284993
*****************
McDan » August 18th, 2015,
IMF Executive Board Concludes 2015 Article IV Consultation with Iraq
Press Release No. 15/382August 18, 2015
On July 29, the Executive Board of the International Monetary Fund (IMF) concluded the 2015 Article IV consultation1 with Iraq.
Iraq is facing a double shock arising from the ISIS insurgency and the plunge in global oil prices. In 2014, real GDP contracted by 2.1 percent mainly due to the impact of the conflict, while oil production and exports increased slightly compared to 2013. This year, overall economic activity is expected to see a modest recovery of 0.5 percent thanks to oil sector expansion, while non-oil activity is expected to contract further.
The decline in oil prices has driven the decline of Iraq’s international reserves (including the Development Fund for Iraq) from $84 billion at end-2013 to $67 billion at end-2014. Fiscal pressures are intensifying, with the government deficit expected to expand from 5.3 percent of GDP last year to 18.4 percent of GDP in 2015 due to continuing weak oil prices and rising humanitarian and security spending.
The authorities have appropriately maintained the exchange rate peg. Liberalization steps taken by the Central Bank of Iraq led to a decline in the parallel market spread to less than 2 percent by end-2014. The imposition of new restrictions triggered significant market volatility and a sharply wider spread in the first months of this year, but their recent removal has helped narrow the spread back to 4 percent by July.
Medium term growth prospects remain positive, though less favorable than before the crisis. Growth will be driven by the projected ramp-up in oil production and the rebound in non-oil growth supported by the expected improvement in security and implementation of structural reform. Risks remain very high, however, arising primarily from an escalation of the conflict, political tensions, and poor policy implementation.
The Fund is supporting Iraq through a disbursement under the Rapid Financing Instrument in the amount of SDR 891.3 million ($1.242 billion), equivalent to 75 percent of quota2.
Executive Board Assessment3
Directors noted the severity of the double shock facing Iraq as a result of the continuing ISIS insurgency and the global oil price decline. The risks remain very high, emanating from an extension of the conflict, political tensions, weak policy implementation, and further shocks from oil markets. In this context, Directors noted that the steps taken by the authorities are in the right direction, but urged further determined efforts to address the large financing gap and maintain the momentum for reforms.
Directors welcomed the 2015 budget as a good step toward addressing pressures from lower oil revenues amid higher humanitarian and security spending, and commended the introduction of new revenue measures. While recognizing that the current adjustment plans may be socially and politically challenging, Directors saw a need for additional measures to help close the large financing gap and build fiscal buffers. Some Directors expressed disappointment over the delay in implementing the electricity tariff reform. In this regard, Directors welcomed the authorities’ commitment to implement the reform as soon as possible or adopt compensatory fiscal measures. They also recommended expenditure rationalization while safeguarding priority social and capital spending and making social safety nets more efficient. Directors urged the authorities to tap domestic markets and seek further external financial support, while avoiding the buildup of domestic and external arrears. Over the medium term, strengthening public financial and debt management will be crucial.
Directors noted that indirect central bank financing of the government is necessary at this juncture given the lack of other sources of financing, but stressed that this should not become a recurring source of financing. They, therefore, welcomed the authorities’ intention to firmly limit such support and clarify the terms of the related financial operations between the central bank, the state-owned banks, and the government.
Directors supported the authorities’ commitment to maintain the exchange rate peg, which has served as a sound nominal anchor for Iraq. They also welcomed the steps taken to liberalize the foreign exchange market and urged the removal of remaining exchange restrictions and multiple currency practice as external conditions evolve.
Directors underscored the risks from rising tensions in the banking system arising from the impact of the crisis on the assets and activity of private banks, and the increasing role of state-owned banks in financing the government. In this regard, they welcomed the steps taken to strengthen banking supervision and the authorities’ commitment to press ahead with the restructuring of Rasheed and Rafidain banks. Directors emphasized the importance of bringing Iraq’s frameworks for combating corruption, money laundering, and terrorism financing in line with international standards and implementing them effectively.
Directors welcomed the authorities’ recognition of the need to maintain the momentum on restructuring the economy despite the current difficulties, and emphasized the importance of staying committed to reforms.
They highlighted the need to diversify the economy and improve the resilience and inclusiveness of economic growth.
They supported the focus on strengthening fiscal institutions, completing the transition to a market economy through further private banking sector development and state-owned enterprise restructuring, and improving the business environment, governance, and the labor market. In this context, they noted the need for Fund technical assistance in strengthening Iraq’s institutions.
Recognizing the difficult circumstances, Directors agreed that a realistic implementation timeline is important, while pressing ahead with high-priority reforms. Looking ahead, a forward-looking policy framework could help the adjustment process and allow the authorities to build a track record of strong policy implementation.
http://ift.tt/1J1nHOL
Dnari131 » August 18th, 2015, 7:36 pm
KANI @akaniis 4h4 hours ago
The Fmr Iraqi PM Maliki used sectarianism to divide Iraq, while corruption continued. People of Iraq have now had enough. @AJStream
https://twitter.com/akaniis/status/633725450947284993
*****************
McDan » August 18th, 2015,
IMF Executive Board Concludes 2015 Article IV Consultation with Iraq
Press Release No. 15/382August 18, 2015
On July 29, the Executive Board of the International Monetary Fund (IMF) concluded the 2015 Article IV consultation1 with Iraq.
Iraq is facing a double shock arising from the ISIS insurgency and the plunge in global oil prices. In 2014, real GDP contracted by 2.1 percent mainly due to the impact of the conflict, while oil production and exports increased slightly compared to 2013. This year, overall economic activity is expected to see a modest recovery of 0.5 percent thanks to oil sector expansion, while non-oil activity is expected to contract further.
The decline in oil prices has driven the decline of Iraq’s international reserves (including the Development Fund for Iraq) from $84 billion at end-2013 to $67 billion at end-2014. Fiscal pressures are intensifying, with the government deficit expected to expand from 5.3 percent of GDP last year to 18.4 percent of GDP in 2015 due to continuing weak oil prices and rising humanitarian and security spending.
The authorities have appropriately maintained the exchange rate peg. Liberalization steps taken by the Central Bank of Iraq led to a decline in the parallel market spread to less than 2 percent by end-2014. The imposition of new restrictions triggered significant market volatility and a sharply wider spread in the first months of this year, but their recent removal has helped narrow the spread back to 4 percent by July.
Medium term growth prospects remain positive, though less favorable than before the crisis. Growth will be driven by the projected ramp-up in oil production and the rebound in non-oil growth supported by the expected improvement in security and implementation of structural reform. Risks remain very high, however, arising primarily from an escalation of the conflict, political tensions, and poor policy implementation.
The Fund is supporting Iraq through a disbursement under the Rapid Financing Instrument in the amount of SDR 891.3 million ($1.242 billion), equivalent to 75 percent of quota2.
Executive Board Assessment3
Directors noted the severity of the double shock facing Iraq as a result of the continuing ISIS insurgency and the global oil price decline. The risks remain very high, emanating from an extension of the conflict, political tensions, weak policy implementation, and further shocks from oil markets. In this context, Directors noted that the steps taken by the authorities are in the right direction, but urged further determined efforts to address the large financing gap and maintain the momentum for reforms.
Directors welcomed the 2015 budget as a good step toward addressing pressures from lower oil revenues amid higher humanitarian and security spending, and commended the introduction of new revenue measures. While recognizing that the current adjustment plans may be socially and politically challenging, Directors saw a need for additional measures to help close the large financing gap and build fiscal buffers. Some Directors expressed disappointment over the delay in implementing the electricity tariff reform. In this regard, Directors welcomed the authorities’ commitment to implement the reform as soon as possible or adopt compensatory fiscal measures. They also recommended expenditure rationalization while safeguarding priority social and capital spending and making social safety nets more efficient. Directors urged the authorities to tap domestic markets and seek further external financial support, while avoiding the buildup of domestic and external arrears. Over the medium term, strengthening public financial and debt management will be crucial.
Directors noted that indirect central bank financing of the government is necessary at this juncture given the lack of other sources of financing, but stressed that this should not become a recurring source of financing. They, therefore, welcomed the authorities’ intention to firmly limit such support and clarify the terms of the related financial operations between the central bank, the state-owned banks, and the government.
Directors supported the authorities’ commitment to maintain the exchange rate peg, which has served as a sound nominal anchor for Iraq. They also welcomed the steps taken to liberalize the foreign exchange market and urged the removal of remaining exchange restrictions and multiple currency practice as external conditions evolve.
Directors underscored the risks from rising tensions in the banking system arising from the impact of the crisis on the assets and activity of private banks, and the increasing role of state-owned banks in financing the government. In this regard, they welcomed the steps taken to strengthen banking supervision and the authorities’ commitment to press ahead with the restructuring of Rasheed and Rafidain banks. Directors emphasized the importance of bringing Iraq’s frameworks for combating corruption, money laundering, and terrorism financing in line with international standards and implementing them effectively.
Directors welcomed the authorities’ recognition of the need to maintain the momentum on restructuring the economy despite the current difficulties, and emphasized the importance of staying committed to reforms.
They highlighted the need to diversify the economy and improve the resilience and inclusiveness of economic growth.
They supported the focus on strengthening fiscal institutions, completing the transition to a market economy through further private banking sector development and state-owned enterprise restructuring, and improving the business environment, governance, and the labor market. In this context, they noted the need for Fund technical assistance in strengthening Iraq’s institutions.
Recognizing the difficult circumstances, Directors agreed that a realistic implementation timeline is important, while pressing ahead with high-priority reforms. Looking ahead, a forward-looking policy framework could help the adjustment process and allow the authorities to build a track record of strong policy implementation.
http://ift.tt/1J1nHOL
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