IQD CALLS Chat Early Thursday 2-13-20
IQD CALLS Chat Early Thursday 2-13-20
chattels Unnamed Iraqi official says Iraq has been given a 45 day exemption from US to be allowed to continue to import Iranian energy. http://mobp.as/5axwq
chattels Sajad Jiyad — My article on why failure to take the protests seriously and initiate reforms will lead to the collapse of the political system in Iraq https://www.worldpoliticsreview.com/articles/28530/in-iraq-protests-pose-an-existential-challenge-to-the-political-elite
chattels "The commission of Muhammad Allawi to form the cabinet was not a constitutional assignment, as it was not nominated by all components of the largest parliamentary bloc in accordance with Article 76 / First of the Constitution, which is considered a clear constitutional violation, but rather a violation of the constitution." ".
https://ninanews.com/Website/News/Details?key=812300
chattels Basem Khashan: All political blocs are sticking to their ministerial quotas ... The allegations to the contrary are empty Thurs 13, February 2020 https://ninanews.com/Website/News/Details?key=812268
chattels "The announcement by the Prime Minister-designate Muhammad Allawi to form his government with his sole will and personal choice, is a false and incorrect claim, and the matter will not be fooled by the demonstrators."
chattels A parliamentary source early Sunday revealed the intention of Prime Minister-designate Muhammad Tawfiq Allawi to announce his cabinet cabinet next week, and between that the cabinet will be missing three bags, he stressed that the squad is facing opposition from the President of Parliament Muhammad Al-Halbousi and the President of the Kurdistan Democratic Party Masoud Barzani.
The source said in a press statement, “The Prime Minister-designate Muhammad Tawfiq Allawi met yesterday, with a number of deputies and I am among them, where we were informed that he would announce a ministerial cabinet of 19 bags missing for three bags dedicated to the Kurdish component until the end of negotiations with them”, stressing that “ The final period set by Allawi with the Kurdish party will end next Tuesday.
He added that "Allawi revealed to the meeting that the protesters against the ministerial cabinet that he presented are the Speaker of the House of Representatives Muhammad Al-Halbousi and the Kurdistan Democratic Party headed by Masoud Barzani. http://www.alliraqnews.com/modules/news/article.php?storyid=86733
Doug_WSilver:$17.73
chattels Kurdish blocs confirm that its stake in Allawi's cabinet is four ministries
Editing Date: 2/13/2020 10:38 • http://www.alliraqnews.com/modules/news/article.php?storyid=86723
Chattels What does London’s Iraqi diaspora think of new PM Allawi?
Patty Doug_W chattels OK. I have to ask. What do the Kurds in Iraq say about the involvement in Syria? Would that affect Allawi's cabinet choices?
chattels Iraqi army launches new anti-ISIS op – without coalition or PMF backing https://www.rudaw.net/english/middleeast/iraq/12022020
Chattels Patty I am unaware of any views by the Kurdish elite regarding Syria that would affect Allawi's cabinet choices.
chattels Patty It is a " numbers game ". Any reduction in the number of cabinet positions for the minority Kurds and Sunni is a threat to them, IMO.
Patty chattels Yes it would. Thank you for the anti-ISIS article.
Chattels Patty There may also be disputes about the importance of the cabinet position. Traditionally the Kurds are represented in Finance and the Sunni expect the be the Speaker of the House.
chattels I opined last week that the political crisis in Iraq was existential and that Iraq was running out of time. See
https://www.worldpoliticsreview.com/articles/28530/in-iraq-protests-pose-an-existential-challenge-to-the-political-elite
Doug_W chattels I agree with that 100%
chattels Are we talking next week ? Likely not that short of a fuse, but the timeline is not unlimited.
Doug_W Existentialism While the predominant value of existentialist thought is commonly acknowledged to be freedom, its primary virtue is authenticity.[6] In the view of the existentialist, the individual's starting point is characterized by what has been called "the existential angst" (or variably, existential attitude, dread, etc.), or a sense of disorientation, confusion, or dread in the face of an apparently meaningless or absurd world.[7] Many existentialists have also regarded traditional systematic or academic philosophies, in both style and content, as too abstract and remote from concrete human experience
chattels Doug_W Existentialism or the philosophy of an existentialist is different from the definition of existential.
Patty Doug_W Thus, religion has tried to calm their anxiety...belief in something they cannot see, but that must exist.
chattels ex·is·ten·tial /ˌeɡzəˈsten(t)SH(ə)l/ adjective relating to existence.
chattels PHILOSOPHY - concerned with existence, especially human existence as viewed in the theories of existentialism.
Patty I have existentialism angst with the DNC
chattels Zig I thought that you encouraged such contradictory opinions ?
Baxter Give me a second here... want to bring in the guru proposal for the Oil Credit Idea.... heres the first part...
Baxter How It could Work: In conjunction with the Paris Club Agreement for Oil Credits and handled through the USD by assigned US banks and
No cash outlay would be required by Iraq
Summary: This was calculated in 2011 so the tax rates are not up to dates as well as the market price of oil
WHAT WE WOULD RECEIVE IN EXCHANGE:
If the RV were to happen at $1.00 and you were to cash in your 10,000 IQD note with a bank that charges you a 2% spread, you would personally receive a net take-home of $9,800 credited to your bank account. Of course, after taxes (35%) you would keep $6,370.
WHAT THE BANK WOULD RECEIVE:
Your Bank will receive a $10,000 credit to its Federal Reserve Account. They will also be able to add the $200 profit to their “capital account”.
WHAT THE US TREASURY WILL RECEIVE:
First off, the US Treasury will receive $3,500 in estimated taxes in the quarter after the exchange, because you are now in the “rich” category and get to enjoy the 35% tax bracket. This lowers the “net cost” of the IQD exchange to the US financial system to $6,500 USD (i.e. $10,000 out – $3,500 in). Furthermore, the US Treasury’s rate is higher than the banking rate (we will use in this example 1.25), thereby further reducing their “net cost” from $6,500 to $4,000.
OIL NOW ENTERS THE PICTURE:
At some point, a Fed-appointed agent orders $12,500 worth of oil from Iraq. Payment will consist of a $12,500 transfer from the Fed’s foreign currency reserve IQD account to the IRAQ Oil payment account at the CBI in a form otherwise known as PetroDollars/PetroDinar.
Even though the world spot price of oil is defined in terms of USD, the actual transaction may take place in any internationally recognized currency agreed to by the parties. For example, Iran only accepts Yen from Japan for their oil orders, because they don’t want USD in their foreign currency reserves.
Baxter HOW THE CBI “RECAPTURES” THE MONEY: (aka PARIS CLUB AGREEMENT)
A $12,500 order is filled with 250 barrels of oil based on the spot price on the date of the sale (for this example we used a $50 USD spot price). What does it cost Iraq to produce the oil to fill this order? Well they have negotiated productions agreements for approximately $1.50 USD/barrel. From that price $.50 USD goes to the national Iraqi oil company who is the the field the oil came from. Out of the remaining $1.00 the other oil field partners have to pay the Iraq government a profit tax of $.35 USD (35%). The net cost to Iraq to produce a barrel of oil used in this scenario is $.65 USD. (i.e. $1.50 – .50 – .35)
WHAT DOES ALL THAT MEAN?
It would cost Iraq only $162.50 to bring back a 10,000 IQD note! Can they afford that? I think so! So, instead of paying out $12,500 for a 10,000 IQD note, they only pay $162.50! That doesn’t add to the money supply much at all does it! They receive their IQD back and place it in the CBI, or destroy it.
The transaction is completed with the Federal Reserve exchanging foreign reserve credits which are equal to $12,500 USD (which had a net acquisition cost of $4,000 USD for the US) for 250 barrels of oil (which has a TOTAL COST to produce of $162.50 USD for Iraq.
Baxter More completely explained, and simply put, it cost Iraq $162.50 USD from their foreign currency reserve accounts to redeem the value of 10,000 IQD, which goes into their operating accounts. At the same time the US got $12,500 worth of oil for a net cost of $4,000. That’s how it was originally planned for Iraq to RV at 1 IQD = 1 USD.
So, here’s the summary for all the “players” involved, giving ballpark numbers, and not taking into account superfluous costs, fees, and other small details that don’t really affect the larger picture:
Investor’s Net Gain: $10,000 – $200 = $9,800 x .65 = $6,370 for an investment that cost $10
Bank’s Net Gain: $200 added to “capital account”, plus $2,000 they can use to loan out.
US Treasury Net Gain: $2,500 from the .25 spread on top + $3,500 in quarterly taxes = $6,000
CBI/GOI/Iraqi People Net Gain: $12,500 – $162.50 = $12,337.50 + Profits from “Other Factors”
Overall Net Gain for All Involved: $6,370+$200+$6,000+12,337.20 = $24,907.20
This is the wealth that was generated from a single 10,000 IQD note that was given an original value of approximately $10!
Baxter There it is...Opinions Please
JoeSchmoe Baxter what guru proposed the above?
JoeSchmoe all anyone would need to see is the name attached to the above, to even begin to give an opinion lol
Baxter Joe... I know.... the Paris club
Baxter but even if true... with 42 trillion dinar out there... the total amt needed would still be 580 billion dollars... according to their figures
Baxter Personally.. I think its Hogwash...
Baxter but what do I know
Zig Francis Albert will probably have an opinion as he has always mentioned oil credits, etc.....
chattels Baxter " Voo Doo " currency machinations.
Baxter could be chattels
chattels Baxter But then, again, I am a macroeconomic moron.
ZigJoe Schmoe : Read about your interest in "Penny Stocks".....one of our members, "Brow", is into them in a big way....he hasn't been here in a while but he would always recommend them to us.....you may like talking with him sometime.....hope he returns.....
JoeSchmoe Baxter who is the Paris club? Is that a new name of someone, or the actual paris club?
JoeSchmoe Zig I only brought it up because one I got into 14 years ago plummeted to the dinar price ranges, then just two weeks ago I saw it back into the .03-.10 ranges
JoeSchmoe still in the red for me though
JoeSchmoe would need it to get to .17 to break even
JoeSchmoe in which case I would hold out for a profit
chattels JoeSchmoe The Paris Club reference is, I believe, a reference to an agreement forgiving a portion of the Iraqi government debt and providing for payment over time as to the balance.
chattels https://www.reuters.com/article/us-iraq-debt/iraq-seeks-to-postpone-paris-club-reimbursements-idUSKCN0ZH5EU
chattels See also, https://www.theguardian.com/business/2004/nov/22/iraq.debt
chattels It dates back to 2003-2004.
chattels Much has been done for Iraq for them over time to now be so insolent, intractable and impotent.
Baxter CHattels... they are saying.. that Iraq will be given 20 years to pay this back.. and the governments involved do not expect any repayment at all
chattels Iraq is like a self - entitled child.
Baxter they figure the amount of money made from this.... will be thousands times more than the amount used
Baxter basically.. this was the same thing that was done withthe Marshal plan after ww2..
chattels Baxter I wish that I knew, but I do not. We shall see.
Baxter the U S put up 18 billion dollars to the 17 countries involved.. the U S has been paid back less than 5%
Baxter that amt today with a 3%inflation rate would amount to 255 billion dollars
Baxter in todays money
chattels We are now 15 years post Paris Club accords. What return on investment / debt forgiveness has there been for the US or anyone. Seems more like a bottom-less pit.
Baxter NONE
Baxter IF this is a possible scenario though.. it seems to me it is the only way I will ever see my DIME
Baxter there is way.. way too much currency out there...
Baxter Iraq has 42 TRILLION
Doug_W I accidentally deleted UR post SORRY
Baxter Kuwaitt has 1.8 billion dinars out there
Baxter 1.8 billion dinars piled up goes 1200 miles high.. 42 trillion piled up... goes 2.7 MILLION MILES HIGH
Baxter Quite a difference
Baxter you cant compare Kuwaitt with Iraq because of this
chattels Baxter Now 50 Trillion according to sandyf.
Baxter yes.. I read that
Baxter just add another 500,000 miles or so high.. I guess
Baxter most people dont realize how much 50 trillion is... its a Huge Number