The smuggling of Iraqi gold represents the latest chapter in the money laundering  operations that the country is suffering from, as the Iraqi authorities were recently able to thwart an attempt to smuggle large quantities of gold through Baghdad International Airport, at a time when the Federal Integrity Commission announced intervention and opened an investigation into the case.

The head of the Integrity Commission, Muhammad Ali Al-Lami, announced the directive of the legal department in the commission to open a comprehensive investigation into the attempt to smuggle gold via one of the Iraqi Airlines planes.

The commission confirmed that the case is one of the largest cases of financial and administrative corruption, stressing the importance of following up the case in all its details and taking action.

Necessary actions.

For its part, the Border Ports Authority indicated that “the attempt was foiled after the discovery of 13 gold bars with a total weight of 13.7 kg, which were carefully hidden in the weighing hall at Baghdad Airport,” explaining that

“the bars were discovered using modern baggage detection devices, and it confirmed that the investigations We are continuing to identify those responsible for this attempt.

In turn, legal expert Ali Al-Tamimi confirmed that  “Money Laundering Law No. 39 of 2015 imposes penalties of up to 20 years in prison and fines that are not less than the value of the smuggled money, and may reach five times that.”

Al-Tamimi added to “Iraq Observer” that  “Iraq can sue countries that contribute to destabilizing its economy, based on Articles 1, 2, and 3 of the United Nations Charter, which gives Iraq the possibility of resorting to the United Nations and the International Court of Justice to protect its economic interests.”

Reports and analyzes indicate that gold smuggling in Iraq is no longer an individual issue, but has become part of an interconnected corruption system supported by influential parties, as these operations are exploited to feed the black market and weaken the national economy.

Specialists believe that the continuation of this phenomenon represents a direct threat to national resources, as smuggling operations are no longer limited to gold only, but also  include oil and currencies,  which increases the economic crisis in the country.

Innovative methods

In turn, Member of Parliament Alia Nassif confirmed that “gold smuggling operations are conducted using innovative methods,” warning that   these operations aim to systematically destroy the Iraqi economy.

She pointed out that  large quantities of local and imported gold are melted down and converted into bullion to be smuggled abroad, which opens the way for money laundering and financing illegal operations.

Nassif called on the regulatory authorities and the Central Bank to
trace the sources of funds used to buy gold and
ensure the validity of the procedures followed at border crossings and customs.

She also stressed the need to investigate how funds are transferred through the currency sales window and their role in financing these operations, stressing that these financial crimes do not threaten Not only national wealth,  but also increases the exchange rate gap between the official market and the parallel market.

This Is How Citizens Can Be Encouraged To Benefit From Their Cash Savings That They Are Afraid To Deposit In Banks.

Watch the video below:

https://youtu.be/0Z89Jag0D3I?si=7TO4x1QgKiKe5AfM

This is how citizens can be encouraged to benefit from their cash savings that they are afraid to deposit in banks.

[approximate translation of video]

Peace be upon you, followers of Iraq and Buzz.
Iraqi financial institutions complain about the hoarding of citizens’ money in their hands and in their homes instead of putting it in banks.

Iraqi banks, for Iraqis, are not trustworthy.   The bureaucracy and the backward system of banks do not leave an opportunity to put Iraqi money in citizens’ money, but there is another way.

This money can appear in a way that benefits the country and provides job opportunities.
Large taxes must be imposed on the country, which is by expanding cities outward.

This is done through ring roads, extending the infrastructure, and selling land to citizens, land that is suitable for housing or divided as housing.

Here, this money will go out to work in the field of investment, in the field of contracting, in the field of construction, and in selling and buying.

The country will find itself with large amounts of money that have come out of pockets and homes and have been put in this field.
This will provide large job opportunities.
This will provide good taxes for the state.
This will provide pressure relief on cities and the state.

What you will spend on infrastructure you will get through the taxes on the white goods and the purchases that you take.

There is more than one solution to benefit from this money.
We only need urban planning and city expansion.
Thank you.

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Delete The Zeros And Evaluate The Dinar

The concept of deleting zeros, and today we are talking about the concept of currency revaluation, which means a calculated upward adjustment of the official exchange rate of a country relative to the chosen baseline, as the baseline can include (wage rates, the price of gold, or specific foreign currency), and revaluation is the opposite of devaluation of a currency.

In the fixed exchange system (the system followed by Iraq), only a decision from the state (the central bank) can change the official value of the currency, and

developing economies are likely to use the fixed exchange system in order to limit speculation and provide a stable monetary system in the country.

In a flexible exchange system, revaluation occurs on a regular basis, as evidenced by noticeable fluctuations in the foreign exchange market and associated exchange rates.

For example, the United States continued to apply a fixed exchange rate until 1973, when President Richard Nixon decided to withdraw the United States from the gold standard and switch to a flexible exchange rate system.

As for China, although it has an advanced economy, Its currency remained stable until 1994, before the Chinese government re-evaluated its currency in 2005, which was linked to the US dollar. After this re-evaluation, it was linked to a basket of currencies. Universality.

The decision to revalue the local currency affects the economy in general, as it affects both the currency being examined and the valuation of assets held by foreign companies in this particular currency.

Given that revaluation has the ability to change the exchange rate between two countries and their currencies, the values ​​may have to be adjusted. The carrying amount of assets owned abroad to reflect the effect of a change in the exchange rate.

For example, let us assume that a foreign government sets (10 units) of its currency as equivalent to one dollar in US currency. To revalue its currency, the government may change the price to (5 units) per dollar.
This results in its currency becoming twice as expensive when evaluated in US dollars compared to what it was. It was previously.

If the above currency revaluation occurs, any assets held by a US company in the foreign economy must be revalued.

If the value of an asset held in a foreign currency was previously valued at $100,000 based on the old exchange rate, the revaluation would require a change of $200. One thousand US dollars.

This change reflects the new value of the foreign asset in the local currency by adjusting the revaluation of the currency in question.

Another example is what the Iraqi government did in 2023 when it raised the value of the Iraqi dinar from 1,450 dinars/dollar to 1,300 dinars/dollar.