RV Updates
I had an interesting conversation with my CBI contact. It was confirmed that they are moving toward a January 2025 reinstatement. We all know what Iraq would like to do and why they can’t on their own timetable. So, we only hope that nothing messes up this new attempt. We all know they planned for a late summer reinstatement, but that plan failed and the US Treasury finally stepped in to help out. This is all what we have been witnessing. Now we move on to a new chapter and another attempt at it.
I want to begin today’s commentary with an assurance to everyone that this RV is going to take place soon and is going to be what we expected. There is no way in hell that Iraq is going to move ahead to what they want to do with this country without a globally traded currency and a currency that can compete with many of the other middle eastern countries. The opportunities are just too far great to pass up. Hey…is this the real reason Saddam Hussien had to go….just saying!
Now, it appears that many of you for some reason still feel in your heart that the Iraqi Dinar is a scam. In spite of this feeling your still purchased the IQD. Why? But what you fail to recognize is that billions was made off of Facebook, Microsoft, Twitter and even IBM way back ad etc. Those investors that were keen enough to see the potential got rich. It is really as simple as that. Are you now one of them? Do want to be? So, why is it so weird that you are now going to be the one making millions, if not billions, off of this currency. Why is this wrong? Do you feel you don’t deserve this money? Do you feel you are not worthy of it? Do you feel only the rich can get richer? Do you not want to be rich and have money? Are you so used to being poor that you feel weird?
Many of these questions, and others, I know have popped into your mind. These questions are still questions of uncertainty. Even the question of a lop. Yes, even after all this time some still think the dinar is going to lop as part of the Project to Delete the Zeros…. But even when I try to explain to them why it cannot and will not be a lop, they still don’t get it. For some reason the don’t believe my eighteen years in this investment bringing you the news.
So, we have heard many rumors about large TV screens in Iraq telling the citizens about the swap out process of the currency.
GIANT SCREENS IN BAGHDAD ARE NOW ERECTED
On Thursday Baghdad Municipality announced that it has installed giant screens in 4 locations in the capital, to show the national team’s matches in the World Cup qualifiers.
I was just told Wednesday in my conversation with my CBI contact that Baghdad now has installed the huge TV screens. I said they JUST installed them, meaning they were not there before. Get it? They also told me that they are getting ready to broadcast the swap out of the currency video, the one I showed you. Here is the video again in case you forgot.
My contact also told me on Wednesday that the Project to Delete the Zeros is going to be executed in November/December timeframe. Didn’t we hear this last year too. But Iraq will be Iraq and is always late. They seem to plan for the best-case scenarios and don’t take into account obstacles or delays. So, here we are again. I believe what I am told since we can all clearly see many events lining up to coincide, as we were told they would. Let me give you a few examples:
1.Articles telling us the electronic platform instituted in January 2023 will end at the end of 2024. See article titled “THE CENTRAL BANK OF IRAQ REVEALS THE MECHANISM FOR ENDING THE ELECTRONIC PLATFORM” The Central Bank of Iraq revealed on Wednesday (September 4, 2024), the mechanism for ending the electronic platform for foreign transfers at the end of the year. We all should know this effort was a temporary effort at part of ending the corruption with the currency auctions. Since it is ending, common sense dictates something has changed. Could it be the corruption in the auctions is now under control and has ended?
2.The Prime Minister’s Advisor for Financial Affairs, Salih, confirmed on Wednesday, that the renewed understanding with the US Federal Reserve will allow the Monetary Authority to restore an internal banking market, while he indicated that the results of the discussions between the Central Bank and the Federal Reserve are good and consistent with the rules of work, and he pointed out that they will allow for the implementation of a precise path between Iraqi and international banks. Please see article titled “AL-SUDANI’S ADVISOR REVEALS MORE ON THE RESULTS OF THE DISCUSSIONS BETWEEN THE CENTRAL BANK OF IRAQ AND THE US FEDERAL RESERVE”. This article is referring to the recent visit results to the US by Ali Al-Alaq.
3.Then is this news, if #2 above was not good enough, we learn of plans for Iraq to revert to the International Banking Network (IBOS) from the SWIFT system. Please see article titled “PROPOSAL TO CANCEL SWIFT AND REPLACE IT WITH RELATIONS WITH THE INTERNATIONAL BANKING NETWORK”. I have been talking about IBOS for a while and you probably know it better under the name International Financial System (IFS). Remember I told you they plan to migrate currency rates from IBOS and link them to the foreign exchanges incrementally. They are getting ready now for the first set of currency rates to be linked over. Iraq is not the only county that will be using IBOS. Many of you know these currencies as the “first basket” of currencies to RV. So, this is how it will all work.
Within the IBOS they have been imputing assets from the various countries for over a decade now. They let the system algorithms calculate the new rates, these are the new rates showing up at the banks in “pending” status. No, they are not yet active but this is a very good sign for us investors. But remember they can change and there is no guarantee that these rates will be the same rates when they are linked to FOREX. But I think we will all be VERY happy with what they are. I am told by my CBI contact that we can expect over $3 for sure for the IQD and it may be over $4 but would not commit to that number. We should be ready for anything.
4.The US Treasury now reforming the banking system of 13 of the banks that were previously sanctioned from the dollar. As a result of the Central Bank is close to signing a contract with Oliver Wyman, the consulting company for the Iraqi Development Road, to conduct a study on reforming the Iraqi banking sector. This was a result of Al-Alaq, and a number of general managers, visit to the United States of America, since the 26th of last month, to discuss developments in the banking sector and the restrictions on the use of the dollar imposed on a large number of private banks. This news is great news because we needed this to happen. What will happen to the other 23 banks? I am told they are working on their solution too but most likely they will be merged, consolidated or closed. Please also see article titled ““PROPOSAL TO CANCEL SWIFT AND REPLACE IT WITH RELATIONS WITH THE INTERNATIONAL BANKING NETWORK” for more information on this topic too.
5.There is an event told to us in an article today that we should consider. This article deals with the United Arab Emirates (UAE).
You might want to read the short article titled “IRAQ MOVES TOWARDS SIGNING COMPREHENSIVE ECONOMIC AGREEMENT WITH UAE” on this subject matter. The article stresses the importance of continuing bilateral efforts towards signing a comprehensive economic agreement between Iraq and the UAE. The article refers to the efforts made by the UAE to enhance its cooperation with Iraq, especially in the strategic development road project, which constitutes a link between Iraq’s neighbors and the countries of the region, in addition to its long-term economic importance. Remember though we read an article that China is pulling much of its funding from this project and so the funding will most likely come from internal middle eastern countries instead.
- Here are the gem of the articles for today. You might want to go read these two articles titled “MORE THAN A TRILLION DINARS IN IRAQI CUSTOMS REVENUES IN HALF A YEAR” and “PARLIAMENTARY FINANCE COMMITTEE HOSTS HEADS OF CUSTOMS AND TAXES ON MAXIMIZING IMPORTS”. A trillion dinars is billions in US dollars. I need everyone to remember some statements made in the past regarding these customs and tariffs revenues. First, I said that Iraq told us that, if managed correctly, these customs and tariff revenues could rival the oil revenues, thus Iraq would not be so dependent on the fluctuating price of oil to survive and meet their budget. Next, we all know that oil is NOT going to be the energy source of the future. We can already see the writing on the wall.
Then we heard about the petro-dinar. But first things first. Iraq must first recognize the revenues of the customs and tariffs to rival the oil revenues or at least close enough. They are doing this to mitigate the risks of a fluctuating oil markets when they decide, and I think they are going to do it, to go to the petro-dinar soon. With the customs, tariffs and import revenue, their market price for the dinar will be much more stable. In this article they talk only mainly about the customs revenues, but remember there are also the imports and tariffs to think about. So they may now even be close. They do not want the dinar to crash like the Russian petro-ruble did years ago.
