Awake-In-3D: IQD History: CBI Governor Speaks Publicly About Currency RV/RD in 2011

Awake-In-3D:

IQD History: CBI Governor Speaks Publicly About Currency RV/RD in 2011

On July 6, 2023 By Awake-In-3D

In RV/GCR Articles

The year 2011 was truly and exciting time in Dinar-Land. The possibility of an RV of the IQD went hyperbolic when Dr. Shabibi, the Governor of the Central Bank of Iraq addressed direct questions on the possibilities of an RD/RV of the Dinar.

He appeared optimistic yet never actually answered the questions. Little did we all know back then that we would still be here waiting for an RD/RV in 2023.

Does anyone here recall how all of the IQD currency dealers of the time would sell “Reserves” allowing one to put IQD on hold. It was like putting gifts on “layaway” at Walmart. Those were the Wild West days of the IQD RV.

During a discussion held at the US Chamber of Commerce in Washington, DC, in April 2011, Dr. Shabibi, the Governor of the Central Bank of Iraq (CBI) at that time, was questioned about the potential revaluation and redenomination of the Iraqi Dinar (IQD). However, Dr. Shabibi’s responses were notably vague and diplomatic, leaving much to be discerned from his answers.

When asked about the possibility of a revaluation, Dr. Shabibi avoided giving a direct response. He emphasized the importance of controlling inflation and maintaining price stability, noting that the current inflation rate in Iraq was around 5%. He mentioned that various factors, including trade, exports, imports, and balance of payments, influenced currency movement. Dr. Shabibi’s response revolved around the need to track inflation development and other relevant factors before determining any exchange rate movement or potential revaluation.

Regarding the redenomination of the currency, Dr. Shabibi also provided a diplomatic and passive answer. He downplayed the significance of removing three zeros from the currency, stating that it was primarily a measure to facilitate payments and ease counting. He highlighted the historical context of adding three zeros in the 1980s due to high inflation and mentioned that the current situation was different, with inflation under control and the exchange rate managed by the Central Bank. However, he acknowledged that implementing the redenomination required careful planning, including propaganda campaigns and education efforts, with the cooperation of the government and security forces.

It is worth noting that this event took place 12 years ago, and as of 2023, Iraq is still grappling with some of the key issues that Dr. Shabibi spoke about way back then. Yet much progress has certainly been made since then in regards to Iraq’s political, banking and economic reforms. But still, Iraq has yet to redenominate and/or revalue its currency.

See my previous post: Iraqi Finance Deputy: Iraq Not Ready for Currency RD/RV

Dr. Shabibi’s diplomatic and cautious approach to the questions may reflect the complexities and challenges surrounding these monetary decisions. The passage of time underscores the ongoing nature of the issues and the difficulties faced by Iraq in addressing them.

Key points and statistics mentioned by Dr. Shabibi:

IQD Currency Revaluation

1. Revaluation depends on controlling inflation and maintaining price stability.

2. The Central Bank closely monitors inflation, which has risen to around 5%.

3. Factors affecting currency movement include trade, exports, imports, balance of payments, and development-related aspects.

4. The government focuses more on its budget, while the Central Bank emphasizes inflation control.

5. Exchange rate movement will be determined by tracking inflation development and other relevant factors.

IQD Currency Redenomination

1. Redenomination aims to facilitate payments and ease counting, particularly for large figures.

2. The decision to add three zeros in the 1980’s was driven by high inflation.

3. Current conditions have changed, with inflation under control and the exchange rate managed by the Central Bank.

4. Removing the three zeros requires careful implementation, including a propaganda campaign and extensive education efforts.

5. Cooperation from the government and security forces is essential for successful redenomination.

My Simple Transcript of the Event (watch the video to get the full details)

• Date: April 19, 2011

• Location: US Chamber of Commerce, Washington, DC

Participant: With respect to the ongoing need for stability in Iraq and its exchange rate, we understand that there is a potential need for a revaluation of the currency to attract domestic and foreign investment. How far do you believe we are from a potential revaluation of the Iraqi currency?

Dr. Shabibi: The answer depends on various factors, particularly the extent to which we can continue controlling inflation. Maintaining price stability is our primary goal, and while there is currently a small inflation rate of around 5%, we are monitoring it closely. If inflation continues, we may need to reconsider the exchange rate and potential revaluation. Other factors that influence currency movement include trade, exports and imports, balance of payments, and other development-related aspects of the economy. However, the question of maintaining price stability is crucial, as it is not a major concern for other entities in the economy. We will track inflation development and other relevant factors to determine the appropriate exchange rate movement.

Participant: I’ve heard a report that Iraq is planning to cut three zeros off the currency, referred to as “redenomination.” Could you provide more information on this?

Dr. Shabibi: The cutting of three zeros should not be exaggerated. Redenomination aims to facilitate payments and ease of counting, especially when dealing with large figures. This decision was not made by a government decree, but rather due to the economic conditions in the 1980s, characterized by high inflation. However, the situation has changed significantly now, with inflation under control and the exchange rate managed by the Central Bank. The presence of zeros creates difficulties in managing the currency. Our plan is to remove the three zeros, but it requires careful implementation, including a propaganda campaign and extensive education efforts. The cooperation of the government and security forces is crucial in this process. We are committed to bringing about the redenomination, taking into consideration the monitoring of the exchange rate and other necessary measures.

Here’s the actual recorded event for you to hear what was said for yourself.

https://youtu.be/ol8wve53-ME

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https://ai3d.blog/iqd-history-cbi-governor-speaks-publicly-about-currency-rv-rd-in-2011/

Awake-In-3D: The Fiat Currency Debt System is Heading Towards a Global Credit Market Freeze

Awake-In-3D: 

The Fiat Currency Debt System is Heading Towards a Global Credit Market Freeze

On July 6, 2023 By Awake-In-3D

In Fiat Debt System Collapse Articles

As if out of the script of a Hollywood disaster movie, the US Treasury has increased the national debt by over $850 billion in just one month. I am growing more convinced by the day that the Global Elitists and Banksters are deliberately accelerating the collapse of the Fiat Currency Debt System.

This staggering amount comes after Congress suspended the federal government’s borrowing limit for two years, leading to an alarming rise in debt. As of June 30, the national debt stood at a mind-boggling $32.33 trillion, crossing the $32 trillion mark within a week of the debt ceiling suspension. These numbers are a clear indication that the Fiat Currency Debt System is hurtling towards a total freeze of the global credit markets, creating a crisis of monumental proportions.

What You Will Learn in this Article:

• The US Treasury increased the national debt by over $850 billion in just one month.

• The national debt crossed $32 trillion within a week of the debt ceiling suspension.

• Goldman Sachs projected that the Treasury would need to sell up to $700 billion in T-bills to replenish cash reserves.

• Nonmarketable debt increased by $123 billion, while marketable debt rose by $728 billion.

• The Treasury General Account (TGA) cash balance increased to $465 billion, falling short of the $550 billion goal.

• The Treasury estimates the need to sell $733 billion in marketable securities during the third quarter.

• The government tax receipts are dropping, necessitating further borrowing.

• Spending cuts in the Fiscal Responsibility Act do not significantly impact total spending.

• The Treasury’s borrowing spree drains liquidity from the markets.

• Rising interest rates create upward pressure on corporate bonds, mortgages, and other debt instruments.

• The national debt poses a significant challenge, and paying interest on it will become problematic if interest rates remain elevated.

Unprecedented Borrowing Rates and Unforeseen Consequences

The pace at which the US Treasury is borrowing money is astonishing. It is far beyond what analysts had projected, even surpassing Goldman Sachs’ estimate of up to $700 billion in T-bills to be sold within six to eight weeks of a debt ceiling deal. Shockingly, this figure was blown through in just four weeks. The Treasury’s reliance on marketable securities, including bonds and notes, has skyrocketed, with a staggering $728 billion increase in marketable debt since June 3, reaching a total outstanding debt of $25.43 trillion. The non-marketable debt also rose by $123 billion, though it constitutes a smaller portion of the overall debt.

Partial Refilling of Treasury General Account and Plummeting Tax Receipts

Despite the massive borrowing spree, the Treasury Department has only managed to partially refill the Treasury General Account (TGA), which essentially functions as the federal government’s checking account. The cash balance in the TGA increased from $23 billion to $465 billion as of June 30. However, this falls short of the Treasury’s $550 billion goal and remains significantly below the desired balance of nearly $600 trillion “consistent with Treasury’s cash balance policy.” Compounding the problem is the drop in government tax receipts, forcing the Treasury to borrow even more to bridge the gap.

The Illusion of Spending Cuts and Soaring Deficits

The concept of spending cuts in the so-called Fiscal Responsibility Act is misleading. In reality, these cuts do not make a dent in actual total spending, leading to the continuation of massive deficits month after month. It is only a matter of time before Congress and the Biden administration abandon the facade of spending cuts to address the next crisis. This pattern paints a grim picture for the future, with ever-increasing deficits and a mounting debt burden.

The Daunting Challenge of Selling Bonds

As the Treasury seeks to cover its current spending and replenish the TGA, it estimates the need to sell $733 billion in marketable securities during the third quarter. However, a pressing concern arises—who will buy all these bonds? With the Federal Reserve preoccupied with the battle against inflation, it cannot artificially stimulate demand through quantitative easing, at least for the time being. Consequently, the Treasury will be compelled to sell bonds at lower prices and higher yields to entice enough demand to absorb the supply. However, this approach will result in higher interest rates, an unfavorable scenario for a government attempting to borrow trillions of dollars. The national debt looms as a ticking time bomb, with its consequences poised to wreak havoc.

Liquidity Drain and Rising Interest Rates

The Treasury’s borrowing spree will significantly drain liquidity from the markets, the inverse of what occurred during the drawdown phases. As liquidity is absorbed, it exerts upward pressure on interest rates across various debt instruments, such as corporate bonds, mortgages, and auto loans. The implications of this liquidity drain and rising interest rates are yet to fully manifest, but it is certain that they will have a profound impact on the global credit markets.

The Looming Crisis: Ignoring the National Debt’s Implications

The national debt has grown to such an extent that it has become a topic of indifference for many. People often shrug off discussions about the debt, considering it a concern for the distant future. However, this complacency is misguided, as the road ahead is shorter than anticipated. Eventually, the consequences of the debt will catch up, leading to an economic catastrophe with far-reaching implications.

The Bottom Line

The Fiat Currency Debt System is hurtling towards a freeze in the global credit markets. The astronomical increase in the US national debt, coupled with the government’s insatiable borrowing spree, presents a clear and present danger. The Treasury’s reliance on selling bonds to cover its spending obligations poses a significant challenge, especially in the absence of artificial demand created by the Federal Reserve. The liquidity drain and rising interest rates further exacerbate the situation, adding to the fragility of the credit markets. It is imperative that immediate action is taken to address this impending crisis, as ignoring the national debt’s implications will only serve to amplify the magnitude of the disaster awaiting us.

Helpful Information: Why Excessive National Debt Poses a Risk to Global Credit Markets in a Fiat Currency System

1.     Burden on Government Finances: Excessive national debt puts a tremendous burden on government finances. As the debt increases, the government needs to borrow more to cover its obligations, leading to a higher debt-to-GDP ratio. This raises concerns among investors and creditors about the government’s ability to repay its debts, potentially eroding confidence in the fiat currency system.

2.     Crowding Out Effect: When a government has a high level of debt, it needs to allocate a significant portion of its budget towards interest payments. This leaves fewer funds available for essential public services, infrastructure development, and social programs. The crowding out effect occurs when government borrowing diverts funds away from the private sector, reducing the availability of credit for businesses and individuals. This can result in a credit squeeze and hinder economic growth.

3.     Reduced Investor Confidence: Excessive national debt can undermine investor confidence in the stability and soundness of a country’s economy. Investors become concerned about the risk of default or currency devaluation, leading to a decline in demand for government bonds and other debt instruments. As a result, the government may struggle to find buyers for its bonds, leading to higher borrowing costs and potentially freezing up the global credit markets.

4.     Rising Interest Rates: As the national debt increases, the government becomes more dependent on borrowing from domestic and foreign investors. If there is a perception of increased risk associated with the debt, investors may demand higher interest rates to compensate for the added risk. This can lead to a vicious cycle where higher borrowing costs further strain government finances, making it even more challenging to service the debt. Rising interest rates can also have a ripple effect, affecting consumer borrowing costs, mortgage rates, and business investments, further dampening economic activity.

5.     Systemic Risk: Excessive national debt can create systemic risks within the financial system. When governments heavily rely on borrowing to finance their operations, any shock or disruption in the credit markets can have severe repercussions. A freeze in the global credit markets can lead to liquidity shortages, hinder business operations, restrict access to credit for individuals and businesses, and potentially trigger a financial crisis.

6.     Undermining Public Trust: In a fiat currency system, where the value of money is not backed by a physical commodity but rather by the trust and confidence of the people, excessive national debt undermines that trust and confidence. The risk of freezing up global credit markets arises from the interdependence of economies and financial systems worldwide. Therefore, it is crucial for governments to address and manage their national debt levels responsibly to maintain stability in the global credit markets and protect the overall health of the fiat currency system.

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https://ai3d.blog/the-fiat-currency-debt-system-is-heading-towards-a-global-credit-market-freeze/

Awake-In-3D: Widening Cracks: Continuing Signs of the Fiat Currency Debt System Collapse

Awake-In-3D:

Widening Cracks: Continuing Signs of the Fiat Currency Debt System Collapse

On July 6, 2023 By Awake-In-3D

The global financial system teeters on the brink of disaster, as consumers panic and pawn their possessions while debt servicing challenges reach unprecedented heights. Are these emerging cracks the harbingers of the inevitable collapse of the fiat currency system?

As the world grapples with economic uncertainties, the recent surge in pawn shop searches and the mounting debt servicing crisis in the United States serve as alarming indicators of widening cracks in the global fiat currency system. These signs point towards an inevitable collapse of the existing financial framework.

A Short Summary (Just the Facts for a Short Read)

Cracks in the Foundation: The Pawn Shop Surge

• Google searches for “pawn shop near me” reached record highs, reflecting financial distress.

• The trend started surging in January, exploding in recent months.

• Interest in pawn shops is nationwide, with significant interest in the Deep South.

• Related search trends such as “pawn shop,” “open pawn shop near me,” and “cash pawn shop near me” are also on the rise.

The Consumer’s Struggle: A Debt Servicing Crisis

• Despite tightened credit standards, revolving consumer credit has surged.

• Interest rates on credit cards have reached historic highs.

• Consumers continue spending despite mounting debt burdens and rising interest payments.

• The increase in interest payments is the highest since the 2008-2009 recession.

• Nominal credit usage poses potential risks, impacting stock-to-income ratios.

Weakening Economic Indicators: A Warning Sign

• Major companies like General Mills and Walgreens Boots Alliance warn of a weakening consumer.

• Goldman Sachs analyst Rich Privorosky questions the consumer’s behavior and excess savings.

• Companies’ concerns indicate a discrepancy between consumer behavior and economic indicators.

• The Federal Reserve’s interest rate hikes aim to limit economic growth.

The Fragility of the Fiat Currency System: An Impending Collapse

• The surge in pawn shop searches exposes the vulnerability of the global fiat currency economy.

• Mounting debt servicing challenges and weakening consumer bases hint at deeper issues.

• The increasing reliance on pawn shops signifies a loss of confidence in traditional financial systems.

• The global fiat currency system faces an impending collapse if these issues are left unaddressed.

A Deep Dive (More Details and References for Interested Readers)

The Surge in Pawn Shop Searches Highlights Cracks in the Global Financial System

The recent surge in Google searches for “pawn shop near me” has raised concerns about the stability of the global fiat currency financial system. This trend, which has reached record highs, indicates that cash-strapped Americans may be resorting to pawning items or selling possessions acquired during the Covid boom to cope with the current inflation crisis. Examining the search data and related trends, along with warnings from companies and financial experts, reveals a growing crack in the consumer’s financial stability.

Increasing Interest in Pawn Shops

The search trend for “pawn shop near me” began in January and has experienced explosive growth in recent months, culminating in record highs in early July. The interest in this trend is nationwide, with particularly high levels in the Deep South. Related search queries such as “pawn shop,” “open pawn shop near me,” “pawn shop open,” and “cash pawn shop near me” are also in breakout territory, indicating a significant increase in consumer interest.

Consumer Financial Struggles

The surge in pawn shop searches suggests that the current economic measures and actions underway by the US Federal Reserve Bank , are not effectively addressing consumers’ financial challenges. Americans have faced over two years of negative real wage growth, depleting savings, and accumulating record credit card debt amidst the highest interest rates in a generation. This situation has prompted consumers to explore new avenues for quick cash by selling their possessions.

Cracks in the Consumer

The increasing reliance on pawn shops could be seen as a sign of the consumer’s financial stability cracking. Major companies like General Mills and Walgreens Boots Alliance have recently expressed concerns about a weakening consumer base. Goldman Sachs analyst Rich Privorosky has questioned the discrepancy between consumer behavior and economic indicators, asking whether the era of excess savings has come to an end and consumers are now focused on replenishing their savings.

Implications for the Global Financial System

The surge in searches for pawn shops is a clear indication that consumers are feeling the pressure of the current economic climate. This trend raises concerns about the stability of the global fiat currency financial system, as it suggests that individuals are resorting to alternative measures to secure cash. While it is too early to determine the full impact of these developments, they underscore the fragility of the existing financial system and the need for policymakers to address the underlying issues driving this shift.

The Looming Debt Servicing Crisis: A Troubling Divergence in the US Economy

The US economy has presented a puzzling divergence in recent months, leaving economic “experts” perplexed. Despite a tightening of credit standards following the March bank crisis and a surge in interest rates on credit cards, revolving consumer credit has skyrocketed. This raises questions about consumer behavior and their willingness to continue spending despite mounting debt burdens. Veteran traders at Goldman Sachs are also grappling with this contradiction, as economic indicators point to harder days ahead. However, the answer may lie in the fact that while credit supply remains abundant, the real problem lies in the servicing of debt.

The Credit vs. Debt Servicing Challenge

Nominal revolving and non-revolving credit experienced an 8.1% increase month-over-month in April. However, when deflated by CPI ex-shelter, the growth was “only” 3%. This indicates that much of the borrowing growth since 2020 can be attributed to rising prices rather than a genuine expansion of credit relative to the pre-Covid pace. The acceleration in real credit growth in late 2022 was primarily driven by a drop in energy prices, as gasoline is often purchased with credit cards.

Debt Burden and Interest Payments

While the debate continues regarding the overall risk of nominal credit usage on a stock-to-income basis, one undeniable fact is the surge in interest payments on consumer debt. Interest payments have soared, both in relation to interest earned and as a percentage of total wages, reaching levels not seen since before the 2008-2009 recession. This surge in interest payments is expected to limit economic growth as intended by the Federal Reserve’s interest rate hikes.

The Future of Financial Leverage (Revolving Credit)

Looking ahead, an important question for the economy is whether the appetite for leverage will return after a decade of deleveraging. According to one demographic measure, it appears that consumers are indeed showing an increased appetite for leverage.

While the record credit card debt load in itself may not have led to consumer overleverage, the steep rise in interest payments on credit cards poses a significant burden for consumers. This debt servicing challenge could reverse the borrowing trend that has fueled retail spending once signs of labor market weakness become sustained. As the economy navigates these challenges, policymakers and financial institutions must remain vigilant in monitoring the debt servicing problem and its potential impact on consumer spending and overall economic stability.

Source Reference List:

1. Google searches for “pawn shop near me” reached record highs, indicating financial distress. (Source: Google Trends)

2. Interest in pawn shops is nationwide, with significant interest in the Deep South. (Source: Google Trends)

3. Revolving consumer credit increased by 8.1% M/M SAAR in April. (Source: TS Lombard)

4. Interest rates on credit cards have reached the highest levels on record. (Source: TS Lombard)

5. Nominal credit usage poses potential risks on a stock-to-income basis. (Source: TS Lombard)

6. Interest payments on consumer debt are the highest since the 2008-2009 recession. (Source: TS Lombard)

7. Major companies like General Mills and Walgreens Boots Alliance have expressed concerns about a weakening consumer base. (Source: Bloomberg)

8. The Federal Reserve’s interest rate hikes aim to limit economic growth. (Source: Federal Reserve)

9. The surge in pawn shop searches reflects a loss of confidence in traditional financial systems. (Source: Google Trends)

Related Ai3D Posts:

• Commercial Real Estate: Likely Trigger of a Fiat System Collapse

• Americans Now Facing Harsh Economic Realities

• Awake-In-3D Website: Ai3D GCR RealTimeNews

• I’m on Telegram: GCR_RealTimeNews

• I’m on Twitter: @Real_AwakeIn3D

https://ai3d.blog/widening-cracks-continuing-signs-of-the-fiat-currency-debt-system-collapse/

Awake-In-3D: GCR Comics: Wyatt Earp, Doc Holliday and Clint Eastwood Decide to Exchange IQD/VND in Reno

Awake-In-3D: 

GCR Comics: Wyatt Earp, Doc Holliday and Clint Eastwood Decide to Exchange IQD/VND in Reno

On July 4, 2023

By Awake-In-3D

RV/GCR Circa 2014: The internet continues to report that the RV and exchange of the IQD and VND is “imminent”. Then we are told that the “back wall” date for our exchange appointments has been delayed because of Contract Rate issues in Reno between the Chinese Elders and the Federal Reserve Bank.

However, some western characters have become very tired of waiting and decide to take matters into their own hands…

With the FED Banksters now cleared out of Reno by our heroic GCR Posse Forces, Exchange Centers were still unable to begin exchange appointments via the infamous “800 Numbers“.

This required a new type of ACTION effort to move the RV/GCR into motion…

TO BE CONTINUED…

• Awake-In-3D Website: Ai3D GCR RealTimeNews

• I’m on Telegram: GCR_RealTimeNews

• I’m on Twitter: @Real_AwakeIn3D

https://ai3d.blog/gcr-comics-wyatt-earp-doc-holliday-and-clint-eastwood-decide-to-exchange-iqd-vnd-in-reno/

Awake -in-3D: Iraq’s Economic Ability to RV their Currency is Impossible Today

Iraq’s Economic Ability to RV their Currency is Impossible Today

On July 3, 2023 By Awake-In-3D

We are told that Iraq is ready to RV, almost daily, out there in Dinar Land. Yet, when we examine Iraq’s current economic situation, it becomes clear that there is no logical or mathematical process that supports these frequent claims. Let’s take a look at the facts and see where they lead us.

Iraq’s Current Economy (May/June 2023 Reporting)

• GDP:  US$264 Billion

• Oil Exports:  100 million barrels/month

• Oil Revenues:  US$7 Billion/month

• Current Oil Price:  US$70 per barrel

• M2 Money Supply:  173 Trillion IQD

• FX Reserves:  143 Trillion IQD

• Current Exchange Rate:  1310 IQD per 1.00 US dollar

M2 Money Supply is the measure of IQD held inside the country of Iraq including cash on hand and in Iraqi bank account deposits. It is not a measure of IQD held outside of Iraq (the notes we all have).

What if Iraq RV’s their Currency Tomorrow?

Let’s assume that we are all holding 5 Trillion IQD collectively in Dinar Land. If Iraq were to RV the IQD at $1.00 per IQD tomorrow, and we all decided to exchange at that rate, the Central Bank of Iraq (CBI) would need 5 Trillion US dollars (or Euros, GBP, etc.) to cover those exchanges.

5 Trillion IQD x $1.00 = $5 Trillion to cover our exchanges.

Iraq’s entire GDP is only US$264 billion per year and they cannot just print or create other global currencies out of thin air to pay for our exchanges in our local currencies. Even if Iraq came out and declared that one IQD is now worth one US dollar, no Central Bank or Forex Platform in the world would recognize that new rate, much less cover IQD exchanges at that rate for any of us. The economic math doesn’t come close to justifying this newly “declared” exchange rate.

The simple fact is, Iraq’s economy would have to be 20 times larger than it is just to pay for our exchanges, much less cover their national operating expenses. By comparison, the United State’s GDP is over 76 times larger than Iraq’s GDP while the European Union’s GDP is over 64 times larger than Iraq’s.

What if Iraq Re-denominates (drops 3 zeros) the IQD Tomorrow?

If Iraq RD’s tomorrow, it would not be good for us international IQD holders under any scenario. Let’s assume that Iraq implements a new series of IQD notes without the 3 zeros. This means that the current 25,000 IQD note would be replaced by a new 25 IQD note.

As foreign holders of the old IQD notes, we would all have to trade in our 25,000 IQD notes for the new 25 IQD notes. This assumes that the Iraqi government would even allow foreigners outside of Iraq to trade in their old IQD notes – they most likely would not allow this to happen. But for this example, let’s assume that we are allowed to trade in our old notes at our local banks.

Now that we have the new 25 IQD notes, let’s also assume that the CBI revalues the new IQD notes a one-to-one for the US dollar. This means that we will receive $25.00 for one 25 IQD note. Furthermore, following the same math as above, the CBI would now only need US$5 Billion to cover our exchanges. This scenario is plausible since Iraq’s economy can afford this exchange rate with the new, lower denomination IQD notes.

5 Trillion in old IQD notes = 5 Billion in new IQD notes (deleting 3 zeros)

5 Billion new IQD x $1.00 = $5 billion in the new exchange rate

Clearly, this is not the IQD RV exchange scenario any of us want.

Bottom Line

Without the off-ledger gold deployed to collateralize and back the IQD (Our GCR), there is no possible way that we will benefit from any non-GCR revaluation or redenomination of the IQD. Without Our GCR fully released globally, Iraq cannot support an RV at $1.00, much less $3.00 or higher.

• Awake-In-3D Website: Ai3D GCR RealTimeNews

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https://ai3d.blog/iraqs-economic-ability-to-rv-their-currency-is-impossible-today/

Awake-In-3D: GCR Fast Lane: A Likely Merger Between BRICS and The SCO

Awake-In-3D: 

GCR Fast Lane: A Likely Merger Between BRICS and The SCO

On July 2, 2023 By Awake-In-3D

Rather than posting endless, random news articles that leave you guessing about their relevance to Our GCR, I prefer to research global, real-world financial news and then break it all down with contextual meaning to Our GCR and its forthcoming reality. I endeavor to also provide the details in my articles that ground and support my GCR reports. My goal has always been to provide unique and thought-provoking content. The following is based on my latest research.

A Continuing Backdrop to Bring Our GCR into Reality

We cannot ignore what’s happening in geoeconomics outside of the G7 Western world and its profound implications for Our GCR. The likely convergence of BRICS and the Shanghai Cooperation Organization (SCO), along with the launch of a gold-backed cross-border currency, has the potential to trigger a global monetary system alternative to the US Dollar fiat system.

A BRICS and SCO merger, or strategic alliance, combined with an expanding BRICS+ membership and the widespread interest in joining, sets the stage for a transformative Global Currency Reset. As the world watches these developments unfold, the existing financial order may face unprecedented challenges, paving the way for a new era of international finance and a re-balancing of global economic power.

As we anxiously await the upcoming BRICS Summit in Johannesburg this August, rumors suggest that a groundbreaking announcement regarding a new trade settlement currency is on the horizon. This bold move, which could potentially challenge the dominance of the US dollar, aims to establish a transnational trade currency for BRICS, the SCO, and the Eurasian Economic Union.

By avoiding the constraints of individual member states’ interests, this currency would ensure a balanced reserve status. While the initial announcement may not explicitly mention gold, speculation abounds that tying the new currency to this precious metal is the most practical strategy. Brace yourself as we delve into the details and implications of this potential game-changer.

The Path to a New Currency

• Preliminary Announcement: The upcoming BRICS Summit may witness the preliminary announcement of the new trade settlement currency, but it’s unlikely to delve into the specifics of gold-backed plans at this stage.

• Designing the Currency: Expanding on the existing committee of the Eurasian Economic Union (EAEU), it would be logical for China to play a more direct role in designing the currency. This collaborative effort would facilitate tying the currency to multiple commodities and national interests, with gold being a prominent candidate.

Expanding BRICS Membership

• Diverse Political Interests: The Johannesburg summit highlights an increasing wave of nations seeking BRICS membership. However, agreement from the existing members may not come easily due to their diverse political interests. China and Russia might need to exert influence or establish a separate membership category, such as associates, to accommodate new applicants.

• Growing Interest: Formal applications have been submitted by Algeria, Argentina, Bahrain, Bangladesh, Egypt, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates. Additionally, numerous nations including France, Afghanistan, Belarus, Comoros, Cuba, Congo, Gabon, and more have expressed an interest. In total, an expanded BRICS could encompass 35 nations, representing 64% of the world’s population and 33% of global GDP.

The French Factor

Macron’s Expression of Interest: President Macron’s reported application to attend the Johannesburg summit, though denied, sends a strong message of France’s desire to break away from the American line. Notably, French conglomerate TotalEnergies’ recent sale of LNG to China in yuan instead of dollars further signals France’s independence from petrodollars.

The SCO-BRICS Merger

• China and Russia’s Advantages: Integrating the Shanghai Cooperation Organisation (SCO) with BRICS would provide China and Russia significant advantages. This collaboration would establish a trade bloc far surpassing the US and EU in size and scope, potentially leading to an EU schism and strengthening Asian hegemony. Moreover, it would render Western sanctions futile and allow for complete independence from the dollar and fiat currencies.

• Military and Intelligence Cooperation: Merging the SCO and BRICS would also facilitate military and intelligence cooperation in combating terrorism, drawing on the lessons learned from the Middle East conflict. The region’s peace was restored after Saudi Arabia aligned with China, influencing US policies.

Nations that have formally Applied for BRICS Membership

1. Algeria

2. Argentina

3. Bahrain

4. Bangladesh

5. Egypt

6. Indonesia

7. Iran

8. Saudi Arabia

9. United Arab Emirates

Nations that have expressed Interest in Joining BRICS

1. Afghanistan

2. Belarus

3. Comoros

4. Cuba

5. Congo

6. Gabon

7. Guinea-Bissau

8. Honduras

9. Kazakhstan

10. Nicaragua

11. Nigeria

12. Pakistan

13. Senegal

14. Sudan

15. Syria

16. Thailand

17. Tunisia

18. Turkey

19. Uruguay

20. Venezuela

21. Zimbabwe

Note that Iraq is absent from the above lists which likely indicates their continued domination by the United States and also their ongoing economic instability. It is also interesting the Kuwait is not on the list either given that Iraq and Kuwait are the only two OPEC member nations not pivoting towards BRICS+ participation.

Will this be a Potential Trigger for Our GCR?

The convergence of the BRICS and SCO alliances, coupled with the potential launch of a gold-backed cross-border currency, presents a compelling case for the establishment of a global monetary system alternative to the US Dollar and sets the stage for a true Global Currency Reset (Our GCR).

The following factors contribute to this argument:

1. BRICS Expansion and Interest: The interest expressed by numerous nations, including formal applications from Algeria, Argentina, Bahrain, Bangladesh, Egypt, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates, showcases the growing appeal and relevance of the BRICS alliance. With an expanded membership, encompassing a significant portion of the world’s population and GDP, BRICS is poised to challenge the existing financial order.

2. SCO as a Catalyst: The inclusion of SCO member states and observer nations among the BRICS applicants highlights a coordinated effort to merge or integrate these two alliances. China and Russia, the driving forces behind BRICS and key SCO members, stand to benefit from integrating the two organizations. This collaboration would establish a massive trade bloc that transcends the size and influence of the US and EU, potentially triggering an EU schism and strengthening Asian economic dominance.

3. Gold-Backed Currency: The potential launch of a gold-backed cross-border currency, primarily tied to the interests of multiple nations, signifies a fundamental shift away from the US Dollar fiat system. Gold, a historically recognized store of value, provides stability and mitigates the risks associated with currency manipulation. By pegging the new currency to gold, BRICS and SCO members aim to establish a credible alternative to the existing monetary system.

4. Global Currency Reset (GCR): The combination of a unified BRICS-SCO alliance and the introduction of a gold-backed currency lays the groundwork for a broader Global Currency Reset – including the United States and the European Union. This reset would involve a revaluation of currencies, potentially leading to a realignment of global economic power and a redistribution of wealth. The GCR has been a topic of speculation and discussion, and the convergence of BRICS and SCO initiatives could serve as a catalyst for its worldwide implementation.

Conclusion

As the date of the BRICS Summit draws near, the anticipation for a groundbreaking announcement regarding a new gold-backed trade settlement currency intensifies. The expansion of BRICS membership, a potential SCO-BRICS merger, and the looming threat to the dollar’s dominance all contribute to the significance of this upcoming event. As the world watches, the balance of power in global markets could undergo a seismic shift, forever altering the landscape of international finance and trade.

• Awake-In-3D Website: Ai3D GCR RealTimeNews

• I’m on Telegram: GCR_RealTimeNews

• I’m on Twitter: @Real_AwakeIn3D

https://ai3d.blog/gcr-fast-lane-a-likely-merger-between-brics-and-the-sco/

Awake-In-3D FedNow Unleashed: A Sinister Creation in the Shadows of Our Financial Freedom

Awake-In-3D

FedNow Unleashed: A Sinister Creation in the Shadows of Our Financial Freedom

On  July 1, 2023  By  Awake-In-3D

The more I research FedNow the deeper my concerns become regarding the Federal Reserve’s latest creation. FedNow, the real-time payment system to be released later this month, may appear to be a technological marvel, but beneath its shiny exterior lies a sinister truth. We should question everything we think we know about financial privacy, individual liberties, and the potential dangers of a programmable financial system. Allow me to expose the alarming truth behind FedNow’s looming presence.

Key Topics in this Article

• FedNow: A revolution in constant real-time financial transactions

• Concerns about financial privacy and oversight

• QR codes as allies for rapid payment systems and CBDCs

• FedNow as a programmable financial system

• Safeguarding personal financial freedom in the face of FedNow

FedNow: A Pandora’s Box of Control

In a world where personal financial freedom is already under threat, a new player is emerging on the scene, ready to take control of our monetary exchanges. It goes by the name of FedNow, a real-time payment system developed by the U.S Federal Reserve. While some may see it as a revolutionary approach to banking, others are sounding the alarm bells, warning of its potential dangers. In this article, I delve into the depths of FedNow and uncover the truth behind its true intentions. It may leave you questioning the very foundations of your future financial privacy and individual liberties.

FedNow is not just another payment mechanism; it is a game-changer. The vision painted by its creators is one of constant real-time transfers, where money moves seamlessly between accounts in a matter of seconds. The implications of such a system are staggering, but what lies beneath the surface? It is no secret that the Federal Reserve has been working on FedNow since 2013, and the more I dig, the more I uncover a web of control and surveillance.

Transaction-level reporting, a feature made possible by FedNow, raises serious concerns about financial privacy. As the system tracks every transaction with meticulous precision, one can’t help but wonder: are we sacrificing our privacy for the sake of convenience? The absence of clear guidelines regarding privacy protection in FedNow only adds to the growing unease. Could it be that the Federal Reserve has a hidden agenda, one that involves complete oversight of our banking transactions? The line between conspiracy theory and chilling reality becomes increasingly blurred.

QR Codes: A Trojan Horse for Control

Enter the world of QR codes, the seemingly innocent symbols that have permeated our daily lives. Little do we know that these codes are the key to unlocking a future of swift transactions and, more importantly, the gateway to Central Bank Digital Currencies (CBDCs).

QR codes have become the perfect allies for financial moguls, offering a seamless solution for rapid payment systems. But their compatibility with CBDCs is what truly sets them apart. As we move towards a digital currency era, QR codes emerge as the Trojan Horse, facilitating the transition and making control easier than ever before.

The Rise of a Programmable Financial System

FedNow is not just about payments; it is about redefining the very nature of our monetary exchanges. With the power to program and control transactions, the Federal Reserve holds the keys to our financial future. The intricate details of this system must be understood to safeguard our financial transactions and protect ourselves from becoming pawns in a larger game.

Conclusion: Safeguarding Our Liberties

In a world where personal freedom is already under siege, the emergence of FedNow raises significant concerns. The potential loss of financial privacy and the consolidation of power in the hands of the Federal Reserve are dangers that cannot be ignored. As individuals, it is our responsibility to stay informed and aware of the forces that seek to control us. The road ahead may be paved with uncertainty, but by understanding the implications of FedNow, we can navigate the treacherous waters and preserve our personal financial freedom.

• Awake-In-3D Website: Ai3D GCR RealTimeNews

• I’m on Telegram: GCR_RealTimeNews

• I’m on Twitter: @Real_AwakeIn3D

https://ai3d.blog/fednow-unleashed-a-sinister-creation-in-the-shadows-of-our-financial-freedom/

Awake-In-3D: The Biggest Monetary Shock in 52 Years is Coming 6-30-2023

Awake-In-3D:

The Biggest Monetary Shock in 52 Years is Coming

On June 29, 2023 By Awake-In-3D

The BRICS+ countries are on the verge of announcing a new currency linked to gold, which could trigger a global currency reset and mark the end of the US dollar’s reign as the exclusive global reserve currency. This move is expected to have far-reaching consequences for the international financial system, causing shockwaves that the world is unprepared for.

With gold prices being manipulated and the potential volatility of a gold-backed currency, questions arise about the stability and viability of such a system. However, the BRICS+ currency’s value will be determined by the price of gold, and China and Russia are likely to play a pivotal role in influencing the dollar price of gold to increase the value of their currency and undermine the US dollar.

The implications for investors and the long-term impact on exchange rates and capital markets remain uncertain.

I am summarizing a recent article written by Jim Rickards. He is an American lawyer, economist, and investment banker with 40 years of experience working in capital markets on Wall Street.

The article discusses the upcoming announcement of a new currency by the BRICS+ countries, which could have significant implications for the global financial system and the US dollar. The new currency is likely to be linked to gold, leveraging the gold reserves of BRICS members Russia and China. This move could potentially lead to a global currency reset, with the end of the US dollar as the exclusive global reserve currency and the rise of a gold-backed monetary system.

The article argues that the dollar’s strength should be measured in gold, as gold is not a central bank currency. The author highlights the manipulation of gold prices in the paper gold market, emphasizing the need for a fixed price for gold in a gold-backed currency. The potential volatility of gold as a currency is discussed, along with the US government’s possible motivation to sabotage a rival currency bloc.

The article concludes that the value of the new BRICS+ currency will be determined by the price of gold, with China and Russia likely to influence the dollar price of gold to increase the value of their currency and undermine the US dollar.

Key Points from the Article:

• The BRICS+ countries are set to announce the creation of a new currency linked to gold.

• Russia and China, the two largest gold producers in the world, have significant gold reserves.

• Gold prices are subject to manipulation, supported by statistical evidence and expert testimony.

• The author suggests that a gold-backed currency would require a fixed price for gold to ensure stability.

• The BRICS+ currency will be valued in units of gold by weight, with a fixed value in gold.

• The value of the new currency will fluctuate based on the dollar price of gold.

• China and Russia are expected to have significant influence over the dollar price of gold and the value of the new currency.

• The collapse of the dollar, measured in gold or the BRICS currency, could lead to inflation and a loss of purchasing power.

Original article link: https://dailyreckoning.com/the-biggest-monetary-shock-in-52-years/

Website: Ai3D GCR RealTimeNews | Telegram: GCR_RealTimeNews | Twitter: @Real_AwakeIn3D

https://ai3d.blog/the-biggest-monetary-shock-in-52-years-is-coming/

Awake-In-3D: The Intersection of FedNow, SOFR, Basel III, and CBDCs. 6-29-2023

Awake-In-3D:

The Intersection of FedNow, SOFR, Basel III, and CBDCs: Unveiling the Fed’s Real-Time Control of the Financial System – Is This Our GCR?

On June 29, 2023 By Awake-In-3D

I would be untruthful if I said I knew where all of this is going…

I am not ready to speculate and claim that all of these changes to the Financial System indicate that Our GCR is about to be unveiled. The convergence of FedNow, SOFR, Basel III, and CBDCs marks a significant transformation in the financial system, granting the Federal Reserve real-time control over the economy, including private citizens. How do these interconnected changes shape the future of monetary policy and regulation?

On June 21st of this year, Fed Chair Jerome Powell addressed Congress and the House Financial Services Committee, navigating the complexities of monetary policy, regulation, and capital requirements amidst the impending launch of FedNow, the digital dollar system.

Let’s break down the profound implications of the inter-connectedness between FedNow, SOFR, Basel III, and CBDCs, unraveling the Federal Reserve’s ability to exercise real-time control over the financial system and the real economy, extending its influence to private U.S. citizens.

The New Dollar: FedNow & USTs, Not Retail CBDCs

The digitization of the dollar has been underway for some time, with platforms like Zelle and Venmo facilitating transactions in retail accounts. However, the underlying mechanisms for transferring Treasuries and reserve assets have remained antiquated. While retail stablecoins operate on centralized banker rails or Ethereum-based ERC-20 tokens, U.S. Treasuries remain the world reserve asset. These bonds, issued by the U.S. Treasury and sold to the private sector, incentivize the creation of dollars based on yields determined by the Federal Reserve’s federal funding rate. Concerns over surveillance and currency seizure have hindered the adoption of retail CBDCs, yet the existing financial surveillance by banks and their power to censor and expose retail to counterparty risk often goes unnoticed. The digitization of currency and reliance on centralized payment rails enable these actions, but the interbank communication network for asset trades has been slow and inefficient—until now.

FedNow: A Digital Lever for Real-Time Control

FedNow, set to launch next month, serves a multitude of purposes, but its most crucial function is to provide the Federal Reserve with a highly efficient lever for 365/24/7 control over overnight banking rates, such as SOFR.

This control enables the Fed to influence the cost of borrowing short-term liquidity between fractionalized private banks, ensuring they can meet depositors’ withdrawal demands. Through reverse repo agreements, banks lend cash to each other, collateralized by assets such as U.S. Treasuries. FedNow, facilitated by the internet, grants the Federal Reserve centralized control over the overnight rate for borrowing dollars and the seamless transfer of Treasuries between banks.

This initiative aims to bring dollar-denominated activities back to the United States from the Eurodollar market, placing them under the purview of the Fed and the Treasury.

Private-Entity Dollar Issuance – No CBDC for Public/Retail Use

Jerome Powell emphasized the Federal Reserve’s opposition to central bank digital currencies (CBDCs) for individuals, proposing that any CBDC should be intermediated by banks. Last fall, following FTX’s collapse, the NY Fed launched a digital dollar pilot program involving major banks and cooperating with SWIFT. Notably, BNY Mellon, the largest U.S. bank, holds Treasuries for the popular stablecoin USDC, and PNC Bank, a former owner of BlackRock, filed for a spot Bitcoin ETF. The SEC’s actions against Binance and Coinbase have reshaped the stablecoin landscape. Powell acknowledged stablecoins as a form of money, asserting the need for a robust federal role in their regulation. The U.S. government’s direct policy influence and regulatory oversight extend to offshore dollar creation, selectively choosing entities empowered to issue digital dollars.

Basel III: A Capital Requirement Amplifying Dollar Demand

As American banks embrace digital assets and stablecoins, ensuring on-sheet liquidity becomes vital. Basel III proposes that any bank holding bitcoin or other digital assets must also hold an equivalent value of dollars. This international capital requirement creates a net demand for dollars within the U.S. banking system, even in a high inflationary environment. To offset inflationary effects through alternative reserve assets like bitcoin, banks and investment vehicles would need to increase their dollar liabilities. The interplay between bitcoin and the dollar mirrors the petro-dollar system, as the Fed and SEC focus on regional banks and stablecoin issuers. Basel III ensures a permanent demand for dollars, even in a scenario of “hyperbitcoinization.” While specifics on capital requirements remain forthcoming, proposals are expected later this summer.

BlackRock ETF: Institutional Adoption and Digital Dollar Creation

BlackRock’s recent application filing for a bitcoin exchange-traded fund (ETF) has ignited a flurry of filings from other institutional asset managers. With a track record of success in ETF approvals, BlackRock’s involvement signals a potential increase in digital dollar creation and the purchasing power of bitcoin as a reserve asset. The disclosure in BlackRock’s filing indicates the use of Coinbase for bitcoin custody and an affiliate’s equity interest in the issuer of USDC. The SEC’s shift hints at a significant shift in regulatory treatment, potentially bolstering the adoption of digital dollars. As the most influential investment firm and banking entity, BlackRock and Bank of New York Mellon’s actions have far-reaching implications, while the Fed and SEC hold substantial power over the global economy.

The Financial System Is Changing Dramatically in Real Time! It Is Unprecedented. Is This Our GCR Or Not?

The convergence of FedNow, SOFR, Basel III, and CBDCs signifies a paradigm shift in the financial system, endowing the Federal Reserve with real-time control over the economy, including private U.S. citizens. Through the seamless operation of FedNow, the centralization of overnight banking rates, the manipulation of dollar liquidity, and the imposition of capital requirements, the Federal Reserve gains unprecedented influence. As institutional adoption gains momentum, the future unfolds with a transformed financial landscape, driven by interconnected systems that redefine the relationship between monetary policy, private banks, and the real economy.

Based on the information above, it is not accurate to speculate that these combined changes in the financial system are setting up a digital US Dollar backed by gold, bitcoin, and other commodities.

While there are ongoing discussions and developments in the realm of digital currencies, including central bank digital currencies (CBDCs), it is important to note that the information available does not suggest a direct link between the changes mentioned and the establishment of a digital US Dollar backed by gold, bitcoin, and other commodities.

The changes mentioned primarily revolve around the digitization of the financial system, real-time control mechanisms, interbank communication networks, regulatory oversight, and capital requirements. These changes aim to enhance efficiency, improve monetary policy tools, and provide greater oversight and control over the financial system.

While certain institutions and entities may be exploring the use of digital assets like bitcoin and stablecoins, and there are discussions around the role of gold and other commodities in the financial system, it is not clear from the information provided that these changes are specifically leading to a digital US Dollar backed by these assets.

It’s important to approach speculation with caution and rely on concrete evidence to form accurate conclusions about the direction of the financial system.

The Rise of a New Petro-Dollar Alternative?

The reference to the Fed creating a new alternative to the petro dollar suggests a potential parallel between the petro-dollar system and the evolving financial landscape. The petro-dollar system, which emerged after the closure of the gold window, involved the U.S. pegging its inflating dollar to the demand for oil, essentially making oil transactions reliant on U.S. dollars.

In the context of the information provided, it is implied that the changes in the financial system, such as the increased demand for dollars through Basel III regulations and the potential influence of stablecoins, could create a similar dynamic. This would mean that the digital dollar could become a widely used reserve asset, backed by commodities like gold, bitcoin, and potentially other assets.

However, it’s important to note that the information provided does not explicitly state that the Fed is actively creating a new alternative to the petro dollar. It suggests that the regulatory landscape, along with institutional adoption and the interplay between digital assets and the dollar, may result in a similar effect.

Speculating on the specific outcome and the extent to which these changes will lead to a digital dollar backed by commodities requires careful consideration and further analysis. The evolution of the financial system is complex, and multiple factors can influence its direction.

The Bottom Line is that These Changes Enable Financial System Control Beyond Anything in Modern Economic History

Yes, the digitization tools and changes in the financial system mentioned above have the potential to allow near total control by central banks and governments over the global monetary system. Here’s an analysis of how these tools can contribute to that potential:

1. FedNow and Real-Time Control: FedNow, as a real-time interbank communication platform, can provide the Federal Reserve with greater control over overnight banking rates and the cost of borrowing short-term liquidity. This control allows central banks to manage liquidity, influence economic conditions, and regulate financial markets more effectively.

2. Basel III and Capital Requirements: Basel III regulations, particularly the requirement for banks to hold reserves in proportion to their investments in digital assets like bitcoin, can ensure that central banks and governments have increased oversight and influence over the financial system. By linking capital requirements to specific assets, authorities can shape the behavior and risk-taking of financial institutions.

3. Central Bank Digital Currencies (CBDCs): The rise of CBDCs can enable central banks to have more direct control over monetary policy and financial transactions. With CBDCs, central banks can track and monitor transactions in real time, potentially increasing financial surveillance. Additionally, CBDCs could provide governments with tools for implementing fiscal policies, such as programmable money and targeted stimulus measures.

4. Intermediation of Digital Currencies: The emphasis on intermediation of digital currencies through banks, as mentioned by Jerome Powell, allows central banks to maintain a degree of control and oversight over the issuance and circulation of digital currencies. This approach ensures that private entities are subject to regulatory frameworks, reducing potential risks associated with direct issuance by central banks.

While these tools have the potential to enhance control over the global monetary system, it is important to note that they also raise concerns regarding privacy, surveillance, and individual financial autonomy. Striking a balance between effective monetary management and preserving individual rights and freedoms remains an ongoing challenge. The extent to which these tools will be utilized and the impact they will have on the global monetary system will depend on various factors, including both public acceptance and international cooperation.

It is going to get very interesting from here on out for sure!

Website: Ai3D GCR RealTimeNews | Telegram: GCR_RealTimeNews | Twitter: @Real_AwakeIn3D

https://ai3d.blog/the-intersection-of-fednow-sofr-basel-iii-and-cbdcs-unveiling-the-feds-real-time-control-of-the-financial-system-is-this-our-gcr/

Awake-In-3D: The Truth About the Kuwaiti Currency “RV” in 1991

Awake-In-3D: 

The Truth About the Kuwaiti Currency “RV” in 1991

On June 27, 2023 By Awake-In-3D

I took the opportunity to research the Kuwaiti Dinar (KWD) history both during and after the Iraqi invasion. It was not an easy task. I was surprised to uncover the truth about what really happened to the KWD and how it was not revalued as many people in Dinar Land believe.

The Technical Definition of a Currency Revaluation (RV)

A revaluation is a calculated upward adjustment to a country’s official exchange rate relative to a chosen baseline, such as wage rates, the price of gold, or a foreign currency.

In a fixed exchange rate regime, only a decision by a country’s government, such as its central bank, can alter the official value of the currency. Developing economies are
more likely to use a fixed-rate system in order to limit speculation and provide a stable system.

A floating rate is the opposite of a fixed rate.

In a floating rate environment, revaluation can occur on a regular basis, as seen by the
observable fluctuations in the foreign currency market and the associated exchange rates.

For example, the U.S. had a fixed exchange rate to gold until 1971 when President Richard Nixon removed the United States from the gold standard and introduced a floating rate system. Furthermore, China’s currency had an internally fixed currency rate until 1995 when they revalued the Yuan, in a hybrid float/peg to the US Dollar in order to “maintain “manage” a low exchange rate to the Dollar to create low export prices of goods made in China.

Black Market Use of KWD

Certainly, the KWD was, and continues to be, the strongest currency in the world, trading at nearly $3.00 to 1 KWD before the Iraqi invasion in 1990. However, after the Iraqi forces invaded and occupied Kuwait, Saddam Hussein outlawed the use of the KWD in the country and declared the Iraqi dinar as the official currency of Kuwait. This meant that any Kuwaiti citizen caught using the KWD could be arrested.

Despite the ban on KWD, it continued to be available, albeit in a limited capacity, to Kuwaiti citizens via the local black market. They did not discard or destroy their KWD notes. The US dollar was also used locally as an intermediate trading currency, and this led to the KWD being sold on the black market for as low as $.05-$.10 per US dollar.

Consequently, United States military personnel, its allies, and private contractors were able to acquire “cheap”, pre-invasion KWD (Series 3 notes) locally during a brief transition period as they expelled Iraqi forces and assisted the reinstatement of the lawful Kuwaiti government.

Kuwait Issued a New Currency Note Series After Liberation from Iraq

After the expulsion of Iraqi forces, the Kuwaiti government released a new fourth series of KWD notes and allowed citizens to turn in their older KWD notes at a one-to-one value of the new KWD notes. This meant that anyone who held the previous KWD series notes, purchased at the black market rate, made a substantial profit when exchanging the old notes for the new ones, which they could then exchange for about $2.95 per KWD.

It is important to note that the KWD was never revalued (RV’d). The international exchange rate of the KWD was never below $2.90 during the crisis according to IMF exchange rate archives. There was no need for economic reforms, such as a currency RV, given that Kuwait has traditionally operated a very stable economy and was not economically sanctioned by international financial institutions or governments.

Misconceptions About the KWD “Revaluation”

It is surprising how the misconception of a Kuwaiti currency RV is so widely accepted. The truth is that Kuwaiti citizens, United States military personnel, its allies, and private contractors all made substantial profits by exchanging old, black market KWD Series 3 notes for new Series 4 notes. This fact is often overlooked when the financial impact of the Iraqi invasion on Kuwait is discussed.

The Gulf War did have an impact on the KWD exchange rate internationally. The Iraqi invasion led to the KWD’s depreciation to about $2.91 per KWD according to official archives by the International Monetary Fund. However, the KWD remained a relatively stable currency throughout the crisis and continued to be a valuable currency after the liberation of Kuwait.

The table below provides a summary of the KWD exchange rate from 1986 to 1995. It shows that at no point did any “Kuwaiti RV” or a substantial change in value or correction take place. The KWD did not fluctuate internationally in value by more than about 4% from Series 3 notes in pre-war 1989 to Series 5 notes in 1995.

Official IMF KWD Exchange Rates from 1989 to 1995:

Year USD/KWD Exchange Rate

1989 (Series 3 notes in circulation) $2.94

1990 (Iraqi invasion) $2.91

1991 (Kuwait liberated and Series 4 notes issued) $2.89

1992 $2.93

1993 $3.01

1994 $2.98

1995 (Series 5 notes issued) $2.98

Conclusion

The data above shows that the KWD exchange rate did not fluctuate significantly during the Gulf War crisis. The international exchange rate of the KWD was never below $2.90 during the crisis. After the liberation of Kuwait, the Kuwaiti government released a new fourth series of KWD notes and allowed citizens and foreign personnel to exchange old KWD notes for new ones at a one-to-one value. The KWD remained a stable currency throughout the crisis and continued to be a valuable currency after the liberation of Kuwait.

My research into the Kuwaiti Dinar both during and after the Iraqi invasion revealed that it was never revalued as widely reported. Instead, the Kuwaiti government reissued its currency notes, allowing the old notes to be exchanged for the new notes at a one-to-one value locally. A very low, black market rate of KWD to US dollar, allowed many individuals to make substantial profits when exchanging the old, low priced notes for new notes at the prevailing high exchange rate.

Awake-In-3D | GCR RealTimeNews

https://ai3d.blog/the-truth-about-the-kuwaiti-currency-rv-in-1991/

Awake-In-3D: The Global Financial System is Being Restructured to Create a New Asset-Backed Currency System

Awake-In-3D:

The Global Financial System is Being Restructured to Create a New Asset-Backed Currency System

On June 27, 2023 By Awake-In-3D

The evidence is all around us. We are witnessing a real-time transition towards an orchestrated global currency reset (GCR) as the world’s financial system is being restructured to create a new asset-backed currency system. But is this Our GCR or the final phase of total Elitist control? In the later scenario, resistance is never futile!

New Monetary and Currency Activities on a Global Scale

The United Nations Conference on Trade and Development advocated abandoning the U.S. dollar as the primary reserve currency, and the International Monetary Fund (IMF) and Bank for International Settlements (BIS) is now working on a platform for central bank digital currencies to enable instant, 24/7 transactions between countries. These are specifically Project Ice-breaker and the UniCoin Universal Monetary Unit (see links below for details).

With the new reserve currency expected to be backed with gold and other assets with intrinsic value, it is safe to say that hard money is coming back into the equation in the global financial system – in one form or another. Every Central Bank and country on earth know that the Global Fiat Currency experiment is coming to its logical conclusion as it collapses in on itself under mountains of unsustainable public and private debt. Of course, the BRICS has it’s plans for a new currency system as well.

As I have previously stated, the world is moving towards a global currency reset, and it seems like we are closer to that reality than ever before. The United Nations Conference on Trade and Development’s report in 2010 advocated for a global reserve system based on a “basket” of currencies, which would create a more stable and predictable international monetary system. This was the catalyst for what we termed Our GCR over 13 years ago. A currency and monetary system reset beyond the RV of a few currencies and historical bonds.

Today, we are witnessing the swift development of central bank digital currencies as central banks stockpile gold at an unprecedented pace.

Asset-backed CBDCs and SDRs?

One hundred fourteen countries, representing 95% of global GDP, are exploring a CBDC. The International Monetary Fund is working on a PLATFORM for central bank digital currencies to enable transactions between countries, stressing that CBDCs should be backed by assets. This is an indication that the current financial system is reorganizing and moving towards a new asset-backed currency system.

The International Monetary Fund recently made $100 billion in Special Drawing Rights (SDRs) accessible to vulnerable countries. As countries worldwide experience debt issues, the dollar’s strength has been crushing many countries economically, leading to internal unrest. The United States has been exporting inflation worldwide, forcing numerous countries to deplete their foreign-exchange reserves. Some countries, such as Pakistan and Egypt, have even resorted to barter in desperation due to the economy beginning to break down.

The upcoming BRICS summit in August is expected to centre around the new reserve currency the trading block has been working on. The BRICS group is already advocating for utilizing local currencies in global trade, and the upcoming reserve currency could be a way for nations to navigate and protect themselves from sanctions. With the new reserve currency expected to be backed with gold and other metals with intrinsic value, it is safe to say that hard money is coming back into the equation in the global financial system.

Janet Yellen warned a few weeks ago that there would be a “slow decline” in the U.S. dollar as the global reserve currency. The greenback’s share in global reserves dropped last year at ten times the average speed of the past two decades. That does not seem like a slow decline. That seems dramatic. It is safe to say that the United States is aware of this situation, even though they will never telegraph it in a big way.

Good Guy or Bad Guy Reset

As the world moves towards a new asset-backed currency system, it will be interesting to see how the Western world adapts to these changes. It is time to embrace hard money and move away from fiat currencies. The global financial system is being restructured, and change is inevitable. It is time to focus on gold, as it will eventually crush the dollar. Time is on the side of gold, and we must prepare ourselves for an inevitable global currency and monetary system reset in one form or another.

The question remains, is this the architecture for Our GCR, or is it all part of the Elitist Bankster financial system reset? Honestly, it can go either way at this time. The new infrastructure being laid is simply a tool. Those who wield this new tool will determine its ultimate purpose. Will it be used to liberate humanity from financial debt enslavement? Or, will it further tighten the noose of total control under a new, global world order of programmable currencies utilized to enforce compliance with the policies of the few onto the lives of the many?

We must be prepared to act if things go the wrong way. The choice will ultimately be ours to make. Resistance is NOT futile…

Reference Links: BIS Project Ice-Breaker | IMF UniCoin Universal Monetary Unit

https://ai3d.blog/the-global-financial-system-is-being-restructured-to-create-a-new-asset-backed-currency-system/