chattels: How to resolve Iraq’s economic crisis
chattels: ” The estimated 2016 budget is as unrealistic as the 2015 budget.”
chattels: “Oil revenues are nearing 59 trillion dinars [$53.05 billion]. Deducting the cost of oil production, the remaining amount will be 45 trillion dinars [$40.3 billion]. Salaries and pensions alone require 50 trillion dinars [$44.8 billion]. How will the expenses of war, health, education, agriculture, services, the poor and others be covered?””
chattels: ” …….. the 2016 budget will cover only the bare necessities, with no room for extraneous expenditures or investments.”
chattels: ” The most worrisome aspect of Iraq’s deteriorating economic situation is that the government does not have a strategy to deal with this crisis. It has taken only temporary steps such as borrowing from foreign institutions or cutting salaries, both of which have exacerbated the problem.”
chattels: Prime Minister Haider al-Abadi, said the spread of poverty in the country “is normal.”
chattels: He said al-Abadi in a conference to honor the competencies of the families of the martyrs, “a matter of course that poverty is spreading in the country, due to the war,” he said, adding “we will work to raise the salaries of social welfare.” chattels: wealthwatch.world/showthr..
chattels: Parliament Speaker: reconciliation project is a state project must contribute to all institutions in its drafting and activated 11/17/2015 9:03
chattels: ” ……….. that reconciliation project is a project that the state must contribute to all institutions in its drafting and activated, pointing out that the next meeting of the three presidencies will be allocated a large part of the research project of national reconciliation and ways to support and make it a success.”
chattels: Again, I posit that National Reconciliation is a process and not an event.
chattels: ” ….that the state must contribute to all institutions in its drafting and activated, …”
chattels: Clearly it is NOT DRAFTED, let alone IMPLEMENTED !
chattels: Patriotic Union of Kurdistan: the coalition countries have threatened to cut off the provincial military and humanitarian aid if the political crisis continues
chattels: Political crisis ?
chattels: The reality is that the reforms are stalled and we wait to see whether there will be any REAL reform.
chattels: Where is the high level Kurdish delegation that was to visit Baghdad ?
Donnie: Bloomberg Markets @markets 2h2 hours ago Germany Sells Two-Year Notes at Record-Low Yield of Minus 0.38% www.bloomberg.com/news/ar… … via @eshelouise
chattels: Abadi’s Failed Reforms by Kirk H.Sowell : Kirk H. Sowell is a political risk analyst and the publisher of the biweekly newsletter Inside Iraqi Politics. Follow him @uticensisrisk. wealthwatch.world/showthr…
chattels: The Iraqi parliament voted on November 2 to revoke any mandate for Prime Minister Haider al-Abadi to conduct reforms, putting an end to an eleven-week period in which the weak head of government seemed to ride a popular wave.
The short era of “Abadi’s reforms”—from when he issued his first statement of reform measures on August 9—has often been mischaracterized both in terms of what Abadi was doing and the reasons driving opposition to him.
Both had less to do with fighting corruption than a more conventional power struggle, and his failure to enact reforms thus far has been due not only to Shia rivals’ efforts to undermine him but also his own missteps.
chattels: Abadi neither implemented nor even proposed measures aimed at bridging the Shia–Sunni divide, fighting the war against the Islamic State more effectively, or fighting corruption—despite Western media impressions to the contrary.
chattels: Three factors helped set the stage for the November 2 parliamentary vote, which declared that he was only to enact reforms in agreement with other political actors in parliament. The first was the fact that he had genuinely overstepped his constitutional bounds.
The constitution requires that the president have at least one vice president, and the 2011 law that provides a legal framework for the appointment and removal of vice presidents gives the prime minister no role in this.
Likewise, on August 16 Abadi issued an executive decree merging ministries and dismissing some ministers, something only parliament is empowered to do. An August 11 parliament vote endorsed Abadi’s original August 9 measures, but some of them—especially the abolition of the vice presidencies—were arguably unconstitutional, and parliament did not endorse any of his subsequent measures.
chattels: Abadi himself played down expectations of prosecuting senior figures, emphasizing the elimination of “waste” (hadr), rather than “theft” (sariqa), as the main goal of reform.
His only anti-corruption measures were the creation of two committees, one on transparency that Abadi would head himself (announced on August 9 and not heard from since) and the second to examine political parties’ use of public property. He left Hassan al-Yasseri, a loyalist of his own Dawa Party, in place as head of the Integrity Commission, which is the institution charged with bringing anti-corruption prosecutions.
And indeed none of the targets of investigations and prosecutions announced since August are well-connected to the major blocs, either Shia or Sunni.
chattels: Despite this support from both the Shia clerical establishment and the Shia street, Abadi began his reforms from a position of weakness because he was only elected over Maliki because of a split within his Dawa Party and the broader State of Law Coalition.
As a result, Abadi had no coalition base, and so he could only govern by consensus or by making executive appointments without parliamentary approval.
chattels: This does not mean Abadi will be removed from office, but only that his moment to build a public platform for reform has passed for now. The Shia and Sunni Arab parties criticizing him are on the opposite ends of the political spectrum, making a majority coalition against him impossible.
But until Abadi can run in an election at the head of a coalition—and win—he will have to depend on unstable issue-by-issue coalitions to get anything done.
chattels: Central Bank Of Iraq Tries To Deal With Fraud In Dollar Exchanges
chattels: In November 2015 the Central Bank of Iraq began handing out fines to private banks that were fraudulently buying dollars. Since 2012 there have been stories of all kinds of illegal and questionable activities going on with the country’s currency exchanges ranging from Iran and Syria using the auctions to get around international sanctions, to gangs and private banks using them to make money, to the Islamic State financing itself via them.
The Central Bank’s move appeared to come after warnings by the United States. At the same time, due to the interference by politicians and the rampant corruption within the country these punishments are unlikely to stop these practices.
chattels: One reason why tougher regulations on the currency auctions have not worked is because of political interference. The former deputy head of the Central Bank for example, recently told the Wall Street Journal that political parties tried to remove officials at the bank and put their loyalists in office.
In 2013 parliament found evidence that Iraqi politicians were interfering with dollar auctions. The year before, Prime Minister Nouri al-Maliki had the governor of the Central Bank Sinan Shabibi removed on corruption charges. (1) Shabibi had tried to remove three senior Bank officials with connections to Maliki’s Dawa Party for money laundering, but the premier blocked him, and the charges against Shabibi were made by Maliki loyalists in parliament in what many saw as a power grab.
Given the weak state of institutions in Iraq, ones like the Bank are always open to pressure by the ruling elite with the removal of Shabibi being the most blatant. Politicians and their allies were also accused of profiting from the auctions, which gave them added incentive to make sure that nothing substantively changed with them.
chattels: Baghdad will be under added pressure to crackdown on its exchanges and those who manipulate them, but the political situation may undermine that effort. With the decline in oil prices Iraq is not bringing in as many dollars as it used to, which means it cannot afford to have so many flow out of its coffers in auctions.
At the same time, because Iraqi politicians use corruption to rule and see the state’s money as theirs for the taking their continued interference may stop any effective regime being established. Previous attempts to set up new rules for the auctions did not have any noticeable effect and the recent fines may not do anything either.
That’s because those that are in charge of implementing them are always open to pressure by the ruling parties or threats and bribes from them or other actors like gangs and insurgents. That means business will likely continue as usual in Iraq’s exchanges.
chattels: The fox(es) are in charge of the hen house as we have stated in here before.
chattels: :: 2015/11/18 14:03 •
chattels: Province: do not take the return of the old oil relationship with Baghdad and we sell to 10 countries
chattels: the Minister of Natural Resources in the Kurdistan Regional Government, drastically revealed, the details of the export of oil by the province and revenues, pointing out that the countries that buy oil of Kurdistan of 10 countries.
Hawrami said in an exclusive interview with the Reuters news agency: “We simply can not afford a return to the old arrangements with Baghdad and the widening financial gap again,” after differences over the budget has evolved during the past two years, because Baghdad refused to share respects the province of the budget in 2014 and 2015 . chattels: wealthwatch.world/showthr…
chattels: I doubt very much that there will be an oil agreement between the GOI and the KRG even within the 2016 budget.
chattels: ” ……… by the month of March and we came to the conclusion that we had no choice but to to begin oil sales independently again.” has been reported by us in here.
chattels: “We simply can not afford a return to the old arrangements with Baghdad and the widening financial gap again,”
chattels: The marketing of oil with the long term needs for contracts and sales cannot be turned on and off like a spigot. The path seems clear to me. Financial separation between the GOI and the KRG is a current and unavoidable reality. Forget the rhetoric of the Shia politicians in Baghdad, IMO.
Doug_W: their sectarianism is killing them making forward progress……what a shame they are so rich and too dumb to recognize what is needed to “move forward”
Donnie: ‹@Doug_W› too stubborn
Donnie: they know what needs to be done but won’t give in to the other group/sects idea.
Donnie: they each have their own idea and won’t change for fear of looking weak.
Donnie: instead of looking for what’s best for Iraq they focus on what’s best for their party
Donnie: hmmm – sounds like congress 🙂
Stash: they learned well from us… GM all
Doug_W: egg zactly Donnie
TxBrand: www.theiqdteam.com/blog/a… After 50 Alpha class .. Central Bank will present currency 100 000 Iraqi dinars
TxBrand: In this year, will offer 50 class thousand dinars and in the next year will go category 100 000 dinars
chattels: “XXXX ” : THE SECOND READING ( budget ) HAS BEEN DONE AND THEY EXPECT VOTE THURSDAY.
chattels: A second reading ” done ” is questionable / doubtful.
chattels: What Thursday is she talking about ?
chattels: Meetings, discussions and amendments regarding the budget are ongoing according to the news that I read.
TxBrand: Published: Tue, 17 Nov 2015 13:39:19 | Views: 144 Baghdad _ news of the day, the parliamentary Finance Committee, revealed on Tuesday that the Central Bank is in the process of putting up a new category of 100 thousand dinars, pointing out that “50 thousand to 100 thousand dinars, contains 13 feature, where the possibility of forgery impossible.
Commission rapporteur said Ahmed Haji Rashid, in a press statement that “after our meeting with the Central Bank of Iraq, we have seen many new information on the new denominations of 50 000 and 100 000, and this year he will put 50 thousand dinars, and next year will launch a class 100 thousand dinars to the market,”
Rashid said, “in the near future would raise about 5 trillion dinars from 50 thousand dinars”.
And about the cost and the characteristics of these new currencies, said Ahmed Haji Rashid, “each one of these two currencies commissioned about 6 cents, and has been reprinted by a German company, and have 13 feature, which makes the possibility of forgery impossible.”
The Central Bank of Iraq announced Wednesday 11 November 2015, issued new banknotes class 50,000 dinars, with the aim of completing the structure of Iraqi banknotes and develop high-value category. today-news.org/news.php
TxBrand: there is that word again ——> raise
Tootsie: Iraq intends to issue international bonds two billion dollars next year Wednesday November 18 2015 18:27 Alsumaria News / Baghdad Governor of the Central Bank announced on the Keywords, on Wednesday, Iraq’s intention to international bond issue two billion dollars in 2016 to guarantee from the World Bank for up to half that amount CONT wealthwatch.world/showthr…
Donnie: “with the aim of completing the structure of Iraqi banknotes and develop high-value category.”
Donnie: “with the aim of completing the structure of Iraqi banknotes and develop high-value category.”
Donnie: then they can drop the 3 zeroes so 100k = 100, 50k = 50, 25k = 25 and add the new lower denominations
Donnie: the obvious question is what will the 25k banknote be worth? 25000 x “new rate” or 25 x “new rate”
TxBrand: ‹@Donnie› who said that ?
Donnie: ‹@TxBrand› who said what? i have 3 postings
TxBrand: then they can drop the 3 zeroes so 100k = 100, 50k = 50, 25k = 25 and add the new lower denominations
Donnie: i just did – i’ve said it for 6 mos since they eluded to it way back then
TxBrand: high value to them may mean 100,000 notea :dizzy:
TxBrand: ‹@Donnie› ok
Donnie: yes it could
TxBrand: maybe raising the 3 zeros mean adding zeros :unsure: I know we are all guessing ..but one is as good as the other
Shnozzle: I still do not think a lop is going to happen. I believe they are talking about the exchange rate losing the the first three significant zeros… $1/1166=.0008576 making it .8576
Shnozzle: But… until we see what they do, it’s all just smoke and mirrors
Shnozzle: It kinda like why print a 50,000 note just to make it a 50?
Doug_W: it is all very confusing
Doug_W: maybe its supposed to be to avoid speculation
Doug_W: noon news time here now
MichelleL: omg you guys are back to talking LOPs? hahahaha
MichelleL: lol this is where I walked in 9 years ago, later friends
OOTW: they’re using these notes to pull in existing notes, obviously…to what end, we wait and see – I do think it interesting that Mr White was the first caller on Kap’s call last night and when I was chatting with him at DU (over a year ago) we got into an argument when I said it wouldn’t come out at around 3.00 – so for him to call in and support Kap’s float theory, this is very interesting to me
OOTW: here is a portion of my skype conversation with butifldrm over kap’s call last night
MichelleL: I miss all the fun and games when my husband is home
OOTW: except they didn’t bring up the fact the real reason that Iraq must play the gameand that is thye are borrowing three tranches of money form the imf.
As I have said befor I believe the 50K notes are a bandaid at this point to make an attempt for the businesses and citizens to use less dollars by, providing more purchasing power. this move should decrease the amt of diollars sold in the auction, help preserve their reserves, while they get their economic reforms done..ie Corruption under control, Deposit insurance which should be included in the legislation on the Central Bank No. Law (56) for the year (2004) and Law No. banks (94) for the year (2004) and the law of money laundering and terrorism financing No. (93) for the year (2004) provided by the directorates and departments of the Central Bank of Iraq and the banks licensed in Iraq. www.cbi.iq/.
Now remember the way the CBI makes money is off the spread. The investment law may give some of the smaller banks some income, but I have not read of any true impact on their bottom lines or reserve status.
MichelleL: wow, you save everything and I can’t even find our passports
OOTW: please see this post by butifldrm
MichelleL: thanks OOTW
OOTW: Adoption of the law will be prepared bank deposits confidence Iraqi banks
chattels: ERBIL, Kurdistan Region – The head of the Kurdistan Region Security Council Masrour Barzani said in a BBC interview Wednesday that the Islamic State group (ISIS) could be defeated within months if the international community takes serious steps to hit the group in both Iraq and Syria. wealthwatch.world/showthr…
chattels: “It’s very difficult to say that ISIS has weakened. They might be losing some ground here and there, but to terrorise of course they are using different methods,” the BBC quoted Barzani as saying.
MichelleL: ‹@OOTW› He’s retiring mid January, and I’m never making them en masse for his group again
chattels: ISIS still rolls over parts of Iraq and Syria despite numerous airstrikes by the US-led coalition. “They might try to do more of this if they are not stopped and they are not kept under pressure,” Barzani said.
OOTW: AH OK MICHELLE
MichelleL: they keep begging for the recipe, i keep telling them to look on the tollhouse chips package, but apparently they can’t read lol
Recaps Note: Below may contain some off topic conversation – for informational purposes – We hope you enjoy and find it light hearted and & useful
OOTW: I WOULDN’T BE ABLE TO STOP EATING THEM THAT’S WHY I WOULDN’T BE MAKING THEM AGAIN…IF SHOE ON OTHER FOOT LOL OOTW: LMAO
MichelleL: I’m at a “strong” point of my diet lol but give me a couple of lobster tails dripping with butter sauce and lemon, and a big greek salad and i’m putty
OOTW: AH WELL THAT’S HEALTHY FOR YOU
OOTW: ITS WHEN YOU COMBINE CARBS WITH FAT THAT YOU GET IN TROUBLE
MichelleL: OOTW I think the problem with the people he works with is they all use margarine instead of butter – its why the stuffing we make for thanksgiving office party is always the only thing “finished”
MichelleL: OOTW I’m off butter and oil too for the next 3-4 weeks, then I’m back to lobster and greek salads as soon as we rv ROFL
chattels: “The democracy will cease to exist when you take away from those who are willing to work and give to those who would not.” — Thomas Jefferson
“It is incumbent on every generation to pay its own debts as it goes. A principle which if acted on would save one-half the wars of the world.” — Thomas Jefferson
“I predict future happiness for Americans if they can prevent the government from wasting the labors of the people under the pretense of taking care of them.”– Thomas Jefferson
MichelleL: coconut oil too
OOTW: YES I USE THAT IN COFFEE..COCONUT OIL
OOTW: BULLET PROOF COFFEE REALLY GOOD
OOTW: HERE’S A LINK AGAIN TO THE DEPOSITORS INSURANCE ARTICLE – I’VE UPDATED THE POST OOTW: wealthwatch.world/showthr…
MichelleL: then you are better than me lol, i haven’t gotten used to it in coffee
OOTW: IT’S GREAT ADD SOME STEVIA, COCONUT OIL A COUPLE DROPS OF VANILLA, A SPLASH OF CREAMER – PUT IT IN A BLENDER AND AMAZING
MichelleL: I’m sure it is, but I still hate the aftertaste in stevia – only place i can take it is on a grapefruit, if it needs sweetener, or in my macha tea in the morning – i’m off coffee for another few weeks too
OOTW: YOU CAN TRY TRUVIA IT DOESN’T HAVE THAT FUNKY AFTERTASTE OOTW: OR XYLITOL
MichelleL: I’ve had it before, but then there was a class action suit about it, and they paid off plenty, something with truth in advertising, it wasn’t all stevia though they originally claimed it was, still had some chemicals in it at the time
MichelleL: xlitol is ok, super sweet – i have bags of it left over, but I’m really partial to coconut sugar, just am off that too for the time being, but only for now – we’ll see in january if I go back
MichelleL: took me months to learn how to drink my coffee with just cream and no sugar lol – i’m a slow learner
OOTW: AH OK WELL THAT’S GOOD
OOTW: LOL OOTW: ME TOO
MichelleL: off everything lol – going to be really really tough on thanksgiving
TxBrand: yummm coconut sugar..never heard of it
MichelleL: i’ll probably cheat with a couple of tablespoons of stuffing, but thats it lol
MichelleL: TxBrand how are you doing sweetie? feeling ok?
MichelleL: coconut sugar is good, a little bit more “earthy” than cane sugar but it doesn’t spike your blood sugar like regular does
MichelleL: about 35 cals per tablespoon and a little goes a long way – they sell it at HEB for what its worth
OOTW: it’s ok i’ve used it to bake
OOTW: i like it but it’s not my first choice
OOTW: i use non gmo organic stevia
TxBrand: so stevia is from coconuts ? www.puritan.com/herbal-su…
MichelleL: its an acquired taste in coffee
MichelleL: no Tx
TxBrand: ok that stevia is I think
MichelleL: I used to buy that stuff from south america, OOTW lol – tiny package, looked like I was getting drugs from overseas lol but then it became more mainstream
MichelleL: I just never ever liked the aftertaste or cooking with it
TxBrand: hubby uses stevia all the time… would love for it to come form coconut
OOTW: HERE’S THIS FROM THE PARLIAMENT SITE
MichelleL: geeez, should i make a chocolate cheesecake for dessert to go with the apple pie and ice cream, when I’m not even eating a bit? nah
OOTW: The economic and investment commission will meet with the Minister of Industry and Minerals to discuss the self-financing companies
OOTW: And access gradually profitability of the stage or at least fill costs, and other solutions combating corrupt episodes that hamper corporate investment by the private sector.
“He called Darraji to find a solution to the problem of the national product marketing terms that his ministry was finding it difficult to market the product on the ministries and even within markets to deliberate some authorities not to apply the product protection and customs tariff laws. ”
OOTW: ‹@TxBrand› ME TOO TXBRAND, BUT STEVIA LEAFS HAVE BEEN USED FOR CENTURIES TO SWEETEN AND IT HAS OTHER PROPERTIES – IF THE SOURCE IS GOOD…IT CLEANS YOUR LIVER AS WELL
MichelleL: well, its always good to have a clean liver 😉 best with fried onions
MichelleL: sorry, couldn’t resist
TxBrand: ‹@OOTW› good to know… I don’t like stevia… but he does
MichelleL: back in the day I tried to bake with it – hated it so bad lol
MagiK: Michelle. Try xylitol. Taste is better.
OOTW: you have to bake with half and half..you could use coconut sugar and stevia
MichelleL: ‹@MagiK› thanks, I’ve used it – but I still go for the coconut sugar lol – more cals but it tastes better than the xylitol too, though xylitol is good for the teeth for some obscure reason, but too much will give you a belly ache
OOTW: that’d work and a dash of something truly sweet will take the edge of stevia
OOTW: i have to run now…hugs everyone
MichelleL: thats a good idea, OOTW
MagiK: I use coconut sugar, xylitol and stevia. It works for me.
MichelleL: ‹@MagiK› sounds like a good combo 😉 I have to get the xylitol back out of the closet, wherever it is – hope its not with those dang dinars ROFL
Doug_W: stupid Dinars anyhow
MichelleL: maybe time to get moving around here – can’t believe its nearly noon already
MagiK: I gotta get my dinar in a safe deposit box, I don’t want a burger to steal them because they think they have value.