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Thursday, April 21, 2016

Tidbits From KTFA Members Late Wednesday Night 4-20-16

KTFA:

Islandg1211:  Who and how? Jack Lew RVd through the IMF. 

For a year I've been looking at the end of April because it's the preferred time of the IMF (or those behind the IMF) to RV countries currencies, whose Central Banks are independent of their governments. That's why I look at April, and not what the GOI is or isn't doing.

Mountainman:   GREAT POINTS......ISLAND....{REMEMBER} JACK LEW (Was There and Apart of) "WHEN" KUWAIT REVALUED their CURRENCY in the 1990's......Actually was A Key Component....So HIM being there NOW at {THE END} is PARAMOUNT in the BIGGER PICTURE......

And These LONG MEETINGS.....Are About.....The TERMS/GUARANTEES for the USA to {COVER} their ASSETS=HOW/WHEN IRAQ Pays Back the "GUARANTEES".......and Just In Case There  is A DEFAULT on Said LOANS to them=From IRAQ= (WHAT) the Repercussions Would Be/TERMS of the AGREEMENT on {ALL SIDES}.......
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Mountainman:  With IRAQ being The WEALTHIEST COUNTRY In the WORLD and The KNOWLEDGE the USA has About the [NEW GLOBAL REALITY] and {ALL} Involved.....It's Really NOT A Problem......To {GUARANTEE} w/J.LEW'S /U S A 'S    Blessing......

To Me, It's ALMOST like [INSIDER TRADING].....Yet this is ALL LEGAL.......therefore, The LOSS or NO PAYBACK is "MINUTIAE" w/Said {KNOWLEDGE}......IMO
 
Blessings,Mountainman   (8)=New Beginnings......SOON......IMO

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KTFA Wednesday Night Conference Call  4-20-16

Approx.126  minutes long

The first part is Business Promo and the second part is Dinar/Iraq Intel

PLAYBACK # : 641.715.3639     PIN: 156996#

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Don961:  Iraqi Cleric Calls For Protests, Global Intervention To Force Reforms


Prominent Iraqi Shi'ite cleric Muqtada al-Sadr called for renewed protests and global intervention after reform efforts stalled again

April 21, 2016

Iraq's influential Shi'ite cleric Muqtada al-Sadr called for renewed protests and international intervention after powerful factions in parliament once against blocked a government reform effort.

Prime Minister Haider al-Abadi has been seeking to overhaul the government and rid it of corruption, having offered a new cabinet of technocrats earlier this month to replace officials who obtained their positions through political patronage.

But entrenched interests have used parliamentary tactics to block those and other changes, delaying installation of the new government past a deadline of April 19 laid down by the cleric.

That led Sadr on April 20 to call for "continuing peaceful protests in the same intensity and even more...to pressure the politicians and the lovers of corruption."

He also warned Abadi not to restrict a resumption of protests in Baghdad's Tahrir Square. "Nobody has the right to stop it, otherwise the revolution will take another turn," he said.
And Sadr appealed for international aid.

"We call upon the Organization of Islamic Cooperation and the United Nations to interfere to get the Iraqi people out of their ordeal and to correct the political process, even through holding early elections." 

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Don961: From WalkingStick  last thread :

Reforming the international monetary system

the IMF plans for the SDR ..... making it the currency of currencies


Monetary and Financial Committee.
Third, how can the IMF be equipped with a fully-fledged monetary asset instrument to deal with changing global liquidity? Indeed, making the special drawing rights (SDR) the principal reserve asset in the international monetary system was originally envisaged in the IMF’s Articles of Agreement.

To restore the potential of the SDR, a number of specific measures would need to be taken that would give the IMF the power to use it much more flexibly and as needed by the global liquidity situation:

These measures include steps to give the SDR much more visibility in the operations of the IMF and other institutions in the official sector, thereby building its potential to become competitive with other internationally used currencies.

And, fundamentally, reforming the irrational present regime of allocations, which consists of providing supplementary SDRs to countries less in need of them than others.

Such a transformed IMF could be charged in cooperation with national or international central banks with continuously monitoring global liquidity flows, and preparing the regulatory decisions that would need to be taken to manage it. This would not be far removed from the mechanism outlined by John Maynard Keynes at the start of the 1930s, when he wrote:central banks to those that exist between each central bank and its subordinate banks.”

“The ideal system would surely be in the foundation of a supranational bank that would have similar relations with the national central banks to those that exist between each central bank and its subordinate banks.”

How to move in this direction? It would need to be carefully sequenced, giving the IMF a stronger governance framework, the mandate for effective surveillance, stabilization of global liquidity and exchange rates, mechanisms for reducing the risk of disorderly spillovers, and for dealing with debt restructuring.

It will take time to build the necessary global consensus. Toward this, international public opinion needs to become much more aware of the ongoing risks of instability inherent in the current system, leading possibly to a new, large-scale crisis, and then of the need for a new global mechanism properly equipped to prevent it or to face it in credible fashion.

In the current climate, it would be highly desirable for major stakeholders to take this initiative forward and convene a new Bretton Woods II conference mandated to propose the needed changes in the Articles of Agreement of the IMF. 

J+C:  NY Times article from 1991 reporting the revaluation of the Kuwaiti dinar


When Iraq invaded Kuwait in August of 1990, the value of the Kuwaiti dinar dropped to about 5 cents. In other words, it took 20 Kuwaiti dinars to buy one dollar.

In February of 1991 Iraq was expelled from Kuwait, and a month later, the banks revalued their currency to $3.47, the highest valued currency in the world. When this occurred, the New York Times reported the event on March 25, 1991.

It still has no water and little electricity or food, but Kuwait revived its banking system today, introducing a new currency.

Banks reopened for the first time since Iraqi occupation forces shut them down in December. Thousands of people lined up to exchange their old Kuwaiti dinars for crisp new ones and to withdraw a limited amount of money....

All other old dinars can be exchanged for new ones on a one-to-one rate until May 7, when the old dinars become invalid. The new official exchange rate is 3.47 American dollars for one new Kuwaiti dinar.

At the same time, the UN put Iraq under trade sanctions, crashing the value of the Iraqi dinar (IQD) from $3.22 to about 4000 to the dollar. Their currency could only be spent in Iraq itself, and people had to carry around wads of 25,000 dinar notes to buy groceries.

Then in 2003 coalition forces invaded Iraq and overthrew Saddam Hussein. By 2004 we gave them a new currency without Saddam's picture on it. The value soon doubled and went up to 2000 to the dollar. A few years ago the Central Bank of Iraq managed to stabilize the value at 1166 per dollar.

On June 27, 2013 the UN removed Iraq from Chapter VII sanctions, allowing Iraq to regain control of close to $80 Billion in frozen funds that had been sitting in western banks since 1990. This also allowed Iraq to be reinstated on the world's banking network, as soon as they are ready. At the same time many expect to see the IQD revalued at or near its former position.

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