KTFA Members “News and Views” Saturday 6-8-2024
KTFA:
BuckEyeTree: Wonder if the budget made it into the Gazette. It was supposed to be sent there. Even if the Tables still show the program punishment rate, the publication would be one more step toward the goal.
IMO, Sudani (with Alak and Minister of Finance next to him) can go on TV at anytime and make an announcement to Iraqi citizens via the big screens and the world that the Iraqi dinar has s new rate. The budget tables can be amended shortly after IMO.
The good guys, Sudani and Alak, have been speaking a lot lately, and they will have more to say and maybe soon. Just how soon is the question. A public broadcast and then going on Forex would grab the attention of the world. The printed page, radio and TV, and internet are powerful means to communicate but especially the latter.
BuckEyeTree Cont……IMO it is possible and has been said that the Iraqi dinar with its REER may rescue failing economies. The countries which hold dinar especially after exchanges will have an asset of value in their reserves in addition to precious metals that may be held.
IMO, there will be an increase in economic activity in the USA after dinar holders exchange then purchase new homes, cars, furniture, and other goods along with charitable donations. I can only imagine and hope that those with incredible new wealth would remember to include giving to Children's Hospitals and food pantries, and to those less fortunate, etc, although charity starts at home.
We hear it is all done. So, now time to get it done and expose the rate, such as what rate is in those contracts? For those huge projects, Iraq needs more than an operational budget IMO and each day brings more drop the mic news. Arrest the bozos who stole money and get it done. Seat belt on ready for take off & miracles.
Clare: THERE IS NO NEW PUBLICATION IN THE IRAQI GAZETTE SINCE 6/3 AS OF RIGHT NOW. I WILL POST IT, IF I SEE ANYTHING CHANGE.
BuckeyeTree: I was hoping maybe the Gazette was out later than usual. There must be a good reason for postponement. Wonder if Eddie had something to say about that.
The greater impact would be to make a special announcement on TV and on the big billboard screens. No idea how many Iraqis or if most Iraqis read their gazette.
If budget only has the sanctioned rate, the Iraqis can celebrate that the projects are in the budget, but the projects cannot be realized at 1310 IMO. They would still be waiting for Sudani to keep his promise that they would have purchasing power. The reinstatement is primarily for them. They have waited long for it. Hopefully, "coming days" does mean days (or hours) away.
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Clare: Reconstructing Iraq: The role of banks in financing the future
6/8/2024
Reconstructing Iraq after years of wars and conflicts represents a great challenge, but it also represents an opportunity to rebuild a strong and sustainable economy.
Banks play a crucial role in financing reconstruction, by providing the loans and credit facilities necessary to finance construction and infrastructure projects.
The Iraqi Deposit Insurance Company played an important role in enhancing the confidence of investors and depositors in the Iraqi banking system, which made it easier for banks to obtain the necessary financing for reconstruction. It is estimated that Iraqi banks have provided loans worth more than $10 billion to finance reconstruction projects in recent years.
Germany's experience after World War II is an inspiring example of how banks can play a crucial role in the country's reconstruction. The KfW German Development Bank has contributed to financing many vital projects in Germany, such as rebuilding industrial and residential infrastructure, and providing financing for small and medium-sized companies. LINK
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Clare: Watch the raid on a currency smuggling den and the arrest of two speculators in possession of 74 million dinars
6/8/2024 Baghdad –
Today, Saturday, the National Security Service raided dens of speculation and currency smuggling operations in Baghdad, arrested suspects, and seized more than a million dollars in their possession, and about 74 million dinars prepared for smuggling.
National Security Statement, a copy of which the 964 Network received:
As a continuation of the security operations carried out by the National Security Service against economic crime gangs and currency dealers, our detachments in Baghdad were able to arrest two defendants after raiding one of their hideouts in which speculation and currency smuggling operations were conducted. They were caught red-handed and in possession of more than a million dollars and approximately 74 million dinars prepared for smuggling after an intelligence effort and careful field follow-up.
They were referred, along with the seized items, to the competent judicial authorities to take the necessary measures against them in accordance with the law. LINK
Clare: A tripartite meeting tomorrow between oil companies and the Ministries of Federal Oil and Natural Resources
6/8/2024
Rudaw Media Network learned from sources in oil companies operating in the Kurdistan Region that a tripartite meeting will be held tomorrow, Sunday, between the Ministries of Federal Oil and Natural Resources and oil companies, to discuss resuming the export of Kurdistan Region oil via the pipeline to Turkey.
A senior official in one of the oil companies operating in the Kurdistan Region told the Rudaw Media Network today, Saturday (June 8, 2024), that the oil companies have observations on the Iraqi government’s conditions for resuming exports.
The official, who did not want to reveal his name, added: “The Iraqi Oil Ministry set a condition for our participation in the meeting, during which we were asked to submit a copy of our contracts.”
According to the official, oil companies are afraid of this condition, because the Ministry of Oil has previously filed a lawsuit against these contracts.
He continued: "The Iraqi government should either withdraw its lawsuit against our contracts or grant legal guarantees to oil companies after we present our contracts during the meeting."
The Federal Ministry of Oil responded positively to the oil companies’ request to hold a tripartite meeting to discuss their financial dues.
On May 28, the Ministry invited the international oil companies operating fields in the Kurdistan Region, and the Ministry of Natural Resources, to a meeting with the aim of “discussing and discussing the issue and reaching an agreement to accelerate the restart of production and resume the export of oil produced through the Turkish port of Ceyhan and according to the quantities specified in the budget law.”
The Minister of Natural Resources in the Kurdistan Regional Government, Kamal Muhammad, noted, for his part, that “the main problem facing the resumption of exports is that the Ministry of Oil sees the cost of production as high.”
In this regard, Kamal Muhammad pointed out that “Iraq annually allocates trillions of dinars to its oil sector.”
Sunday's meeting comes one year and two months after the Kurdistan Region's oil exports stopped, which caused billions of dollars in losses to the Iraqi economy, the Kurdistan Region, and oil companies.
According to information, there are two main problems facing the resumption of oil exports from the Kurdistan Region, which are the cost of production and contracts. LINK
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Clare: Iraq: We seek to achieve self-sufficiency in the refining industry and export its surplus abroad
6/8/2024
Prime Minister Muhammad Shiaa Al-Sudani opened, on Saturday, the Al-Azmara unit project for producing improved gasoline in the Basra Refinery with a capacity of (11) thousand barrels per day.
During his speech, Al-Sudani pointed out the importance of opening the Azmara unit in the refinery, and the provision it represents for the country’s need for high-octane gasoline, stressing that these projects will stop the process of wasting wealth and put an end to the import of petroleum products, which has continued for many years, stressing that the optimal investment for oil wealth is Gas and maximizing resources are among the top priorities of the government programme.
The Prime Minister explained that a series of measures and steps were being taken to expand the production of petroleum derivatives, stressing that the increase in filtering and refining capacities at daily rates, with every opening of a new oil unit, makes us close to achieving self-sufficiency.
He indicated the existence of a new indicator for the export of some derivatives, such as gas oil, naphtha, sulfur, and jet fuel, stressing the continuation of this program during the period of the government’s work, and that the goal is to increase production capacity and improve product specifications. He explained that gasoline production in 2022 was (15 One thousand cubic meters per day, while production today reached (24.8) thousand cubic meters per day.
The project, which was implemented by the National Effort at the South Refineries Company in cooperation with supporting companies, is considered one of the important projects in increasing the production of improved gasoline, with a production capacity of (11) thousand barrels per day, and it will contribute to reducing the quantities of imported gasoline, which will save more than 200 million dollars annually. .
This project, which is considered one of the lagging projects, comes in addition to a number of projects that are being implemented, to contribute to increasing the refining capacity of petroleum products, upgrading the specifications and improving the quality, within the plans of the Ministry of Oil, and in harmony with the government program, to achieve self-sufficiency.
In turn, Deputy Prime Minister for Energy Affairs and Minister of Oil, Hayan Abdul Ghani, said in his speech on this occasion, “Today we celebrate the opening and completion of the (Al-Zamra Unit) project with a capacity of eleven thousand barrels per day. This project is considered one of the important projects in increasing the production of improved gasoline fuel.” With a capacity of one thousand three hundred cubic meters per day, which is equivalent to one million three hundred thousand liters per day,” indicating that this project “contributes to reducing the import of gasoline by a rate of one thousand three hundred cubic meters per day, and saves the state treasury approximately three hundred and fifty million dollars per year.”
Abdul Ghani pointed out that “the project comes within the ministry’s plans to increase refining capacity, improve the specifications of petroleum products, and improve their quality, after the completion of the fourth refining unit project with a capacity of seventy thousand barrels per day, which entered into operation and production a short while ago,” considering that “the most important thing that distinguishes These projects came about as a result of the national effort of the Southern Refineries Company and its supporting bodies, after foreign companies hesitated to implement them.”
The Minister of Oil continued to say: “The government and the ministry have given great attention to the refining industry sector, with the aim of increasing national production to reach self-sufficiency, and gradually shifting to exporting its surplus outside Iraq.”
He noted that "the period of the year and a half of the government's life witnessed the realization and completion of a number of projects in the refining industry sector, including the North Refinery with a capacity of one hundred and fifty thousand barrels per day, the Karbala Refinery with a capacity of one hundred and forty thousand barrels per day, and the Azmara unit in each of the Refineries Company." The Central and North Refineries Company, in addition to what was achieved in the South Refineries with the completion of the fourth unit with a capacity of seventy thousand barrels per day.”
For his part, Undersecretary for Liquidation Affairs, Hamid Younis, said in his statement, “This project comes within the plans of the government and the ministry to maximize national production and improve its specifications.”
He stressed that the coming period will witness the announcement of the completion of a number of projects in the north, center and south that will add production capacities and enhance the plans of the government and the ministry in producing petroleum derivatives, including the cofactor cracking project, which is one of the promising projects that converts oil waste into white products with Euro 5 specifications and a refining card. Its capacity is 55 thousand barrels per day, which is implemented by the Japanese company “JGC”. All of these projects represent an important addition to the refining industry sector.
Prime Minister Muhammad Shiaa Al-Sudani also opened the steam boiler unit in the Basra Refinery, with a production capacity of 300 tons/hour, to supply the production expansions in the refinery’s units and facilities with the steam necessary for operation. LINK