Goldilocks Thursday Message "Here We Go" 2-23-2023

Thank you R.J.

Goldilocks and Seeds of Wisdom

Good morning Dinar Recaps,

R.J.:  Sometimes it is hard to choose just one or even two articles from all of Goldilocks's posts.  Today I narrowed it down to four.

So much is happening so fast around the world to bring us closer to where we need to be.  Please choose the ones you deem best for your readers.

1.  Goldilocks posted the following links and commentary:

"For supervisory and regulatory purposes, the Central Bank of Iraq has decided not to transfer the ownership of the agents/cash withdrawal outlets (POC).

The above mentioned are the legal consequences according to what is stated in (Chapter Three/First/1) of the work controls of agents of electronic payment services provide."

In other words, the movement of their money and assets will go through the electronic payment services provided through the QFS.

This includes those smart contracts and proof of funds protocols designed to make trades on both ends of an exchange secure and possible.

We are witnessing final procedural clarifications of a country connecting themselves to an International Payment System (ISO20022).

© Goldilocks

https://cbi.iq/news/view/2246

Chapter Three in Banking:
https://www.oreilly.com/library/view/foundations-of-financial/9781119098058/c03.xhtml#:~:text=Chapter%203%20introduces%20bank%20regulation,insurance%20plays%20in%20banking%20stability.

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2.  Goldilocks emphasized this article this morning by pointing to it.

"The starter pistol is ready, and we’ll soon be out of the blocks for the global migration of cross-border payments to the ISO 20022 standard, beginning in March 2023. We have several exciting years ahead, as we move nearer to having all domestic and cross-border payments use rich and structured data."

ISO 20022 Adoption Benefits Banks and Their Clients
https://www.regulationasia.com/iso-20022-adoption-benefits-banks-and-their-clients/

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3..  Another Link and short commentary from Golilocks:

Energy Giant Saudi Aramco Signs Agreement With droppGroup to Build Web3 Tech

https://www.coindesk.com/business/2023/02/20/energy-giant-saudi-aramco-signs-agreement-with-droppgroup-to-build-web3-tech/

"Energy Giant Saudi Aramco Signs Agreement With droppGroup to Build Web3 Tech"

Saudi Arabia oil companies are moving into an International Decentralized Payment System activating Web 3 services.

A whole new world is developing quickly.

© Goldilocks

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4.  Another important step, Goldilocks posted a link with commentary:

Deutsche Bank Develops Investment Servicing Platform for Digital Funds - Regulation Asia
https://www.regulationasia.com/deutsche-bank-develops-investment-servicing-platform-for-digital-funds/

"The platform will make it easier for firms to launch and administer digital investment funds, which may comprise crypto, tokenized securities and other digital assets."

Deutsche Bank is developing Investment Servicing Platforms for Digital Funds.

This banking announcement from the Deutsche Bank is a declaration to all banks around the world that the Deutsche Bank touches. A new day has dawned.

Here we go.

© Goldilocks
https://t.me/+YU9UrHLxFbszOTJh

https://www.seedsofwisdomteam.com/goldilocks

Thank you Dinar Recaps

Iraqi News Highlights Thursday Afternoon 2-23-23

Iraqi News Highlights Thursday Afternoon 2-23-23

Tlm724 Administrator Bondlady’s Corner

Linking Iraq To The Global "Swift" System Will Limit Currency Smuggling Abroad

Parliamentarian for / NINA /: Tuesday 21 February 2023 18:26 | Economical    Number of readings: 257  Baghdad / NINA / - A member of the Parliamentary Finance Committee, MP for the Islamic Union of Kurdistan, Ahmed Hama Rashid, confirmed: "Linking Iraq to the "Swift" network will limit currency smuggling abroad and the volume of currency that goes towards money laundering."

Rashid said in a statement to the National Iraqi News Agency / NINA /:  "The linking procedures need a period of time in order for all Iraqi banks to deal or all Iraqi banks are linked to the global" SWIFT "network," noting:

"Dealing through the SWIFT system will limit From the phenomenon of tax evasion, and therefore there will be transparency in the persons and investors dealing in financial exchange.

And about whether linking to the system prevents the neighboring countries of Iraq from benefiting from the dollar or vice versa, he explained:

"This requires a period of time, monitoring and auditing of commercial and banking transactions in Iraq."

And a member of the Iranian Chamber of Commerce, Ali Shariati, said earlier today, Tuesday:

“Linking Iraq to “Swift” hinders Iran’s circumvention of sanctions . Circumventing the US sanctions imposed on us. / End8    https://ninanews.com/Website/News/Details?key=1035873

Iraq Needs To Address The Economy’s Structural Imbalances To Halt The Dinar’s Volatility

MENASource    February 21, 2023 By Ahmed Tabaqchali  A planned implementation of global procedural requirements for cross-border payments by the Central Bank of Iraq (CBI) in mid-November 2022 had a detrimental effect on the volumes of the CBI’s daily “Foreign Currency Selling Window,” better known as the CBI’s US Dollar (USD) auction.

The decreased volumes versus the continued high demand for USD led to a supply-demand mismatch and, consequently, to a depreciation of the market price of the Iraqi Dinar (IQD) versus the USD.

The Iraqi government and the CBI subsequently introduced a series of measures to create domestic demand for the IQD and to accelerate the adoption of banking in the economy—crucial measures to de-dollarize the economy and accelerate its evolution away from the dominance of cash and informality, which are the structural causes behind the currency’s turmoil.

As crucial as these measures are, their full effectiveness will take place over several years, and so the IQD has continued to depreciate.

Pressured by the public’s furor for immediate solutions from the authorities, the CBI, spurred by populist rhetoric, and with the government’s blessing, opted for a 10 percent revaluation of the IQD exchange rate against the USD in the hope that the IQD would reverse its depreciation.

Fundamentally, the revaluation in nominally lowering the official exchange rate does not change the current relationship between the market and the official exchange rates.

Nevertheless, the procedural requirements implemented by the CBI in mid-November 2022 were the latest stages of a process that started over two years ago, which were the product of extensive planning by the CBI and the Ministry of Finance on the Iraqi side and the Federal Reserve and the Treasury Department on the US side.

The aim was to bring Iraqi banking technical procedures for cross-border payments fully in line with global standards, which themselves evolved over the last two decades.

As such, the new procedures, unlike the old ones, require full disclosure of the details of cross-border payments—including those of the ultimate beneficiary and the sender—before the payment takes place.

Crucially, they do not involve the provision of new information by Iraqi banks.

Instead, they lead to a digitized, effective, and electronically verifiable means of transmitting the same information they provided in the past.

The effect was immediately transmitted through a decline in the market price of the IQD versus the USD.

These decreased volumes in the CBI’s USD auctions versus the continued high demand for USD to satisfy the need for imports—amplified by an expansionary budget—will continue to pressure the market price of the exchange rate of the IQD versus the USD.

As such, the triggers for the exchange rate volatility are technical.

Nevertheless, the underlying causes are fundamental and due to the structural fault lines of the Iraqi government’s processes and the economy.

All of these create the perfect environment for the prevalence and persistence of corruption and fraud on a large scale with impunity.

As a result, this makes the country vulnerable to becoming a conduit for money laundering and sanctions evasion schemes.

The top priority for Iraq and its international partners and stakeholders should not be a narrow focus on addressing the symptoms of corruption, money laundering, and sanctions evasion.

Instead, it should be a multi-year collaboration on addressing their structural enablers along three broad fronts:  the modernization of the government’s outdated bureaucratic paper-based processes;

increasing adoption of banking in the economy by accelerating its evolution away from the dominance of cash and informality; and  furthering the government’s new measures to de-dollarize the economy.

Ahmed Tabaqchali is a nonresident senior fellow with the Atlantic Council’s Middle East Programs. He is an experienced capital markets professional with over 25 years’ experience in US and MENA markets, and the Chief Strategist AFC Iraq Fund.

https://www.atlanticcouncil.org/blogs/menasource/iraq-needs-to-address-its-structural-fault-lines-to-halt-its-currencys-exchange-rate-volatility/

The Region Sends A New Delegation To Baghdad To Discuss Oil And Gas Laws And The Budget

Posted On2023-02-23 By Sotaliraq  Yesterday, Wednesday, the Kurdistan Regional Council of Ministers held its regular weekly meeting headed by Prime Minister Masrour Barzani, and discussed a number of files included in its agenda, while it decided to send a new delegation to Baghdad to discuss oil and gas laws and the budget.

In the first paragraph of the agenda of the meeting, according to a statement received by (Al-Mada), the Prime Minister presented a summary of the results of the participation of the Kurdistan Regional Government delegation and its meetings at the World Summit of Governments in Dubai, UAE, and its meetings and meetings with senior Emirati and international officials, as well as his visit to France and his meeting with The President of the Republic and senior French officials.

The Prime Minister and members of the delegation indicated that those two countries welcomed the delegation of the regional government at the highest levels, which indicates the important and well-established status of the Kurdistan region and the development of its diplomatic path within the international community.

The Prime Minister stated that the meetings focused on ways to strengthen relations between the Kurdistan region, the Emirates, France and countries of the world, in addition to discussing the latest developments, developments and general conditions in Iraq and the region.

The second paragraph of the agenda was devoted to presenting the results of the visit of the high-ranking negotiating delegation of the Kurdistan Regional Government to Baghdad and its meetings with the federal government delegation on February 19, regarding the draft federal oil and gas law, which was presented by the Minister of Finance and Economy, Awat Sheikh Janab, and members of the delegation.

Iraqi News Highlights Thursday Afternoon 2-23-23

Tlm724 Administrator Bondlady’s Corner

The Prime Minister praised the delegation of the region, stressing that the Kurdistan region has always supported a radical solution to the problems with the federal government through dialogue and negotiation and on the basis of the constitution. all Iraqi citizens.

The Prime Minister also reaffirmed that the Kurdistan Region will never give up its constitutional rights and entitlements.

The Council of Ministers decided to visit the Kurdistan Region team concerned with the federal budget and oil and gas bills, Baghdad today, Thursday, to move forward with the discussions in order to complete the final steps regarding determining the share of the Kurdistan region from the federal budget, as well as discussing preparations related to the draft federal oil and gas law.

In the third and final paragraph of the agenda, the Minister of Construction and Housing, Dana Abdul Karim, presented a draft law (public roads in the Kurdistan region). The draft law aims to protect the safety of public roads and put an end to tampering with and transgression, in addition to defining prohibitions on public roads.

After discussions and deliberations, it was decided to conduct an extensive research on the draft law with the aim of preparing it for the upcoming meetings of the Council of Ministers, and then endorsing it and referring it to the Kurdistan Parliament.   LINK

Finance Minister: Iraq looks forward to the support of the World Bank to implement the national strategic goals

Finance Minister Taif Sami Muhammad affirmed Iraq's aspiration to support the World Bank to implement the national strategic goals.

A statement by the ministry said, "Minister of Finance Taif Sami Muhammad received a delegation from the International Finance Corporation for the Middle East and Asia region (IFC), affiliated with the World Bank Group, headed by the investment officer Julie Kalos and Bilal Rabah, the resident representative of the institution in Iraq, and in the presence of the Director General of the Iraqi Fund for External Development, Brin Abdul Salam." .

The statement added, "The importance of the role played by the International Finance Corporation alongside the Iraqi government in advancing sustainable development projects in Iraq, including supporting renewable energy projects and electrical interconnection with neighboring countries, and enhancing opportunities to involve the private sector alongside the public in implementing the reform national economy strategy, was discussed." ".

According to the statement, the minister stressed the importance of the studies and consultations provided by the International Finance Corporation in the field of capacity building and technical cooperation to achieve the goals of sustainable development, especially with regard to environmental rehabilitation projects, the reconstruction of liberated cities and economic reform, stressing the keenness of the Ministry of Finance to enhance the work process and coordination with the International Finance Corporation. To stimulate private sector growth and job creation in Iraq.

She added, "Iraq is looking forward to more support from the World Bank Group to implement the national strategic goals in addition to the structural reform programs adopted by the new Iraqi government, calling for" strengthening cooperation and coordination between Iraq and the World Bank and expressing the necessary assistance to overcome the obstacles facing the institution's work in Iraq. .

https://www.radionawa.com/all-detail.aspx?jimare=33519

Exchange rates of the dollar against the dinar

Economie| 10:07 - 02/23/2023   Baghdad - Mawazine News  publishes / Mawazine News /, the exchange rates of the dollar against the dinar for today, Thursday.  Selling price: 150,000 dinars per 100 dollars  Buying price: 149,500 dinars per 100 dollars   https://www.mawazin.net/Details.aspx?jimare=220084

The Iraq Stock Exchange Ends The Week's Trading, Up By More Than 4%

Market   Economy News / Baghdad  The Iraqi Stock Exchange announced that the index increased by more than 4% with the end of the week's trading.

The number of shares traded during this week was more than (107) billion shares, with a value of more than (136) billion dinars.

The trading index in the market closed for the first session of the week at (607.26) points, while the index closed at the end of the week at (636.55) points, achieving an increase of (4.60%) over its closing at the beginning of the session.

During the week, more than (2900) buying and selling contracts were executed on the shares of companies listed in the market.   https://economy-news.net/content.php?id=32620

To read more current and reliable Iraqi news please visit BondLady’s Corner:

https://www.bondladyscorner.com/

Thursday Morning Iraq Economic News Highlights 2-24-23

Thursday Morning Iraq Economic News Highlights 2-24-23

Expert: Liberating Iraq From The US Dollar Is Impossible For A Major Reason, And The Yuan Will Not Change Anything

Baghdad - people  Nabil Al-Marsoumi, professor of economics at the University of Basra, commented Thursday on the central bank's decision to deal in trade exchanges with China in Chinese yuan instead of dollars.     "Nass" channel on Telegram.. our latest updates    

Al-Marsoumi said in a post followed by “NAS” (February 23, 2023), that “the Central Bank announced that the organization of financing foreign trade with China will be directly and in the Chinese yuan currency, and although Iraq began diversifying its cash reserves five years ago, the dollar prevails due to the fact that oil revenues In dollars and has only a few Chinese yuan, as Iraq is trying today to restore the value of the dinar through a strategy that is now being pursued by other official banks in the Middle East.

  
Read also: The Iraqi Central Bank’s decision to adopt the yuan with Beijing.. a report warns of “devious attempts.”  

  He added, "The strategy includes relying on the Chinese yuan currency for the purpose of trade exchange with China, in addition to the European euro, the UAE dirham and the Jordanian dinar, as the Iraqi authorities seek to provide other foreign currencies for local dealings besides the US dollar, and it is known that many countries have begun to take the same steps that It is being carried out by the Central Bank of Iraq and others have already begun to implement it, as Saudi Arabia issued a decision that includes obtaining the Chinese yuan instead of the dollar in exchange for oil sold to China, while Egypt decided to replace the guarantee bonds with the yuan currency instead of the dollar before Israel followed suit, which also announced the use of the Chinese yuan Next to the Canadian and Australian dollars as a direct alternative to the US dollar.

He said: "As long as oil is priced in dollars and as long as oil exports dominate Iraqi exports in light of the almost complete disappearance of non-oil exports, it becomes impossible for Iraq to liberate itself from the US dollar, as Iraq needs the dollar in the end to obtain the yuan. Therefore, Iraq's dependence on the yuan To finance its foreign trade with China through the American JPMorgan Bank and the Development Bank in Singapore, nothing will change and it will remain captive to the dollar.

https://www.nasnews.com/view.php?cat=102595

Finance: Iraq Is Looking Forward To More Support From The World Bank Group

economy |Yesterday, 19:58 |Baghdad today – Baghdad The Minister of Finance, Taif Sami, confirmed, on Wednesday, that Iraq is looking forward to more support from the World Bank Group to implement the national strategic goals.

A statement from the ministry, which was received by (Baghdad Today), stated that Sami "received, today, Wednesday, a delegation from the International Finance Corporation (IFC) for the Middle East and Asia, affiliated with the World Bank Group, headed by the investment officer, Julie Kalos, and Bilal Rabah, the resident representative of the Corporation in Iraq, and in the presence of the Director General of the Iraqi Fund for Development. Foreign Affairs Brien Abdel Salam.

According to the statement, the two parties discussed "the importance of the role played by the International Finance Corporation alongside the Iraqi government in advancing sustainable development projects in Iraq, including supporting renewable energy projects and electrical interconnection with neighboring countries, and enhancing opportunities to involve the private sector alongside the public in implementing the reform national economy strategy."

The Minister of Finance stressed the importance of the studies and consultations provided by the International Finance Corporation in the field of capacity-building and technical cooperation to achieve the goals of sustainable development, especially with regard to environmental rehabilitation projects, the reconstruction of liberated cities and economic reform, stressing the Ministry of Finance's keenness to enhance the process of work and coordination with the International Finance Corporation. To stimulate private sector growth and job creation in Iraq.

She pointed out, "Iraq is looking forward to more support from the World Bank Group to implement the national strategic goals, in addition to the structural reform programs adopted by the new Iraqi government."

And Sami called for "strengthening cooperation and coordination between Iraq and the World Bank, and providing the necessary assistance to overcome the obstacles facing the institution's work in Iraq." LINK

Iraq ranks one among the largest foreign holders of US Treasury bonds

2023-02-23 02:45   Shafaq News/ The US Treasury announced, on Thursday, that Iraq ranks among the largest foreign holders of US Treasury bonds.

In its latest table, seen by Shafaq News agency, the treasury said, "Iraq rose one place to rank 31 among the countries with the largest holders of US treasury bonds, of the 38 countries listed in the table for countries with more than $32 billion in possession."

And she added, "Iraq's possession of these bonds amounted to 40.8 billion dollars for the month of December 2022, an increase of 2.77 percent over the month of November of the year 2022, and an increase of 7.37 percent over the month of October 2022."

She pointed out that "Iraq was the fourth largest Arab country after Saudi Arabia, Kuwait and the UAE, while Japan came on top of the countries with the largest possession of these bonds with trillions and 760 billion dollars, followed by China second with 867 billion dollars, the United Kingdom third with 654 billion dollars, and Belgium fourth with 354 billion."

billion dollars, and Luxembourg fifth with 329 billion dollars,” indicating that, “the total bonds of the countries of the world amounted to 7 trillion and 314 billion dollars.”  LINK

Budget 2023: A deputy for Barzani's party reveals the expected share of the Kurdistan region

policy |Today, 15:28 |  Baghdad today – Kurdistan Today  , Wednesday, the Kurdistan Democratic Party estimated the share of the Kurdistan Region within the draft financial budget law for the year 2023 between 14-15 percent.

The party's representative, Jay Taymur, told (Baghdad Today) that "there is almost unanimity on the proportion of the Kurdistan region in the current year's budget," pointing out that "the agreement needs final touches to be resolved."

The representative of the Kurdistan Democratic Party confirmed that "negotiations will take place during the next few days, and the proportion of the Kurdistan region within the budget will be between (14%) to (15%)."

Taymur added, "The Kurdish delegation will discuss Article (140) of the Iraqi constitution, the rights of the Peshmerga, and other outstanding problems with the federal government."

A Kurdish delegation representing the Kurdistan Regional Government visited, last Sunday, the capital, Baghdad, to negotiate outstanding issues between the two parties.

The source told (Baghdad Today) that "the delegation consists of the Minister of Finance and Economy in the Kurdistan Regional Government, Awat Janab Nuri, in his capacity as head of the delegation, as well as the acting Minister of Electricity and Natural Resources, Kamal Muhammad."  LINK

Al-Hakim: The 2023 Budget Took Into Account The Revitalization Of The Agricultural Situation

Thursday 23 February 2023 13:44 | politics Number of readings: 96  Baghdad / NINA / - The head of the National State Forces Alliance, Ammar al-Hakim al-Hakim, confirmed that the 2023 budget took the revitalization of the agricultural reality into account

Al-Hakim said during his meeting with the heads of clans in Wasit Governorate: “Islam and the Islamic identity in Iraq are preserved by the religious authority, the Husseini rituals and the Iraqi clans,” noting: “The relationship between these titles is a complementary one.”

He pointed out that Iraq has come out of dangerous turns and is approaching the stage of stability.

He called for paying attention to the agricultural sector and supporting the farmer, noting that the next budget took the revitalization of the agricultural situation into consideration./ End 7

https://ninanews-com.translate.goog/Website/News/Details?Key=1036283&_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en

For The Second Day... A Slight Decrease In Dollar Prices In Baghdad And Erbil

2023-02-23 01:28  Shafaq News/ The exchange rates of the US dollar against the Iraqi dinar decreased slightly today, Thursday, in the main stock exchange in the capital, Baghdad, and the Kurdistan Region.

Shafaq News agency reporter said that the central Al-Kifah and Al-Harithiya stock exchanges in Baghdad recorded 153,000 Iraqi dinars for 100 US dollars this morning.

While the prices on Wednesday morning were 153,300 Iraqi dinars for 100 dollars.

Our correspondent indicated that the buying and selling prices have stabilized in exchange shops in the local markets in Baghdad, where the selling price reached 154,000 Iraqi dinars for every 100 US dollars, while the buying prices amounted to 152,000 Iraqi dinars for every 100 US dollars.

As for Erbil, the capital of the Kurdistan Region, prices also recorded a slight decrease, as the selling price of the dollar reached 153,200 dinars per 100 US dollars, and the purchase price reached 152,200 dinars per 100 US dollars.   LINK

The region sends a new delegation to Baghdad to discuss oil and gas laws and the budget

Posted On2023-02-23 By Sotaliraq  Yesterday, Wednesday, the Kurdistan Regional Council of Ministers held its regular weekly meeting headed by Prime Minister Masrour Barzani, and discussed a number of files included in its agenda, while it decided to send a new delegation to Baghdad to discuss oil and gas laws and the budget.[/size]

In the first paragraph of the agenda of the meeting, according to a statement received by (Al-Mada), the Prime Minister presented a summary of the results of the participation of the Kurdistan Regional Government delegation and its meetings at the World Government Summit in Dubai, UAE, and its meetings and meetings with senior Emirati and international officials, as well as his visit to France and his meeting with The President of the Republic and senior French officials.

The Prime Minister and members of the delegation indicated that those two countries welcomed the delegation of the regional government at the highest levels, which indicates the important and well-established status of the Kurdistan region and the development of its diplomatic path within the international community.

The Prime Minister stated that the meetings focused on ways to strengthen relations between the Kurdistan region, the Emirates, France and countries of the world, in addition to discussing the latest developments, developments and general conditions in Iraq and the region.

The second paragraph of the agenda was devoted to presenting the results of the visit of the high-ranking negotiating delegation of the Kurdistan Regional Government to Baghdad and its meetings with the federal government delegation on February 19, regarding the draft federal oil and gas law, which was presented by the Minister of Finance and Economy, Awat Sheikh Janab, and members of the delegation.

The Prime Minister praised the delegation of the region, stressing that the Kurdistan region has always supported a radical solution to the problems with the federal government through dialogue and negotiation and on the basis of the constitution. all Iraqi citizens.

The Prime Minister also reaffirmed that the Kurdistan Region will never give up its constitutional rights and entitlements.

The Council of Ministers decided to visit the Kurdistan Region team concerned with the federal budget and oil and gas bills, Baghdad today, Thursday, to move forward with the discussions in order to complete the final steps regarding determining the share of the Kurdistan region from the federal budget, as well as discussing preparations related to the draft federal oil and gas law.

In the third and final paragraph of the agenda, the Minister of Construction and Housing, Dana Abdel Karim, presented a draft law (public roads in the Kurdistan region).

After discussions and deliberations, it was decided to conduct an extensive research on the draft law with the aim of preparing it for the upcoming meetings of the Council of Ministers, and then endorsing it and referring it to the Kurdistan Parliament.  LINK

"Tidbits From TNT" Thursday Morning 2-23-2023

TNT:

Tishwash:  Australia expresses its desire to "bridge cooperation" with Iraq

Today, Thursday, Australia expressed its desire to build bridges of cooperation with Iraq.

The media office of the Prime Minister, Muhammad Shia Al-Sudani, said in a statement received by (Baghdad Today), that the latter received today the Australian envoy, Nick Warner, to discuss ways to develop joint cooperation between Iraq and Australia in several fields.

The statement quoted Al-Sudani as saying, "Iraq is looking forward to more development cooperation and establishing partnerships in the economic, cultural and investment fields, and in the field of facing climate challenges."

For his part, the Australian envoy expressed his country's desire "to build bridges of cooperation with Iraq in various fields, in a way that enhances the interests of the two countries in development and prosperity    link

CandyKisses:  Arab Parliament Union Conference Opens in Baghdad

Baghdad Today - Baghdad

.Baghdad Today- Under the auspices of the Arab Parliamentary Union, the work of the preparatory and consultative committees for the thirty-fourth conference of the Union, "Arab Support for Promoting Iraq's Stability and Sovereignty", will begin in Baghdad, today, Thursday, in preparation for the official meetings that will be hosted by the government palace in the center of the capital on February 25 and 26

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Tishwash: Adoption of the Chinese yuan with Beijing... anticipation of the consequences of the Iraqi decision and a warning against “devious attempts”

In a remarkable statement , the Central Bank of Iraq announced, on Wednesday, a plan to allow trade with China in Chinese yuan instead of dollars, in an apparent attempt to improve access to foreign currency and reduce dependence on the dollar, as the government says, while observers warn of "attempts twisted" that smugglers might exploit.

The bank said in its statement, "The financing of foreign trade from China will be organized directly and in the Chinese yuan currency through two options. The first is strengthening the balances of Iraqi banks that have accounts with Chinese banks in the Chinese yuan currency. Chinese yuan through our accounts with JPMorgan and the Development Bank of Singapore.

He said that facilities for financial transfers will be provided to the United States and Europe, using the same mechanism later.

However, the third point in the statement, which indicates that the documents required to apply for external financial transfers will consist of “a commercial (invoice) list only, or the initial documents of credit, provided that the customer later provides the bank with evidence of the entry of the goods.”

Salem al-Asadi, an economist and businessman, says that this mechanism "can be easily circumvented."

And he adds to the "Al-Hurra" website that the bank "seems to be opening an outlet for the same old practices that relied on forged import receipts to smuggle currency after the US compliance instructions closed this outlet."

The imposition of compliance instructions by the US Federal Bank and the US Treasury led to a crisis in providing dollars in Iraq, which greatly affected the market, which relies almost entirely on the dollar in its trading.

On Saturday, US Secretary of State Anthony Blinken confirmed his country's readiness to support Iraq's efforts to achieve stability and growth in the country's economy, including by combating corruption and money laundering.

Blinken's assurances came during his meeting with the Iraqi Prime Minister, Muhammad Shia' al-Sudani, on the sidelines of the Security Conference in Munich.

Iraq is witnessing a financial crisis related to the shortage of foreign currencies in the local markets, which led to a decrease in the price of the Iraqi dinar in the parallel market, despite the increase in its official value at the Central Bank.

The compliance instructions aim to counter the risk of currency smuggling from Iraq, a practice that usually takes place by presenting receipts for the purchase of counterfeit goods to the bank and obtaining the dollar at the official subsidized rate, then taking the dollar out of Iraq and selling it at its original price.

Washington believes that Iran, which is under sanctions that limit its access to dollars, is the beneficiary of this process.

The economic advisor to the Iraqi government, Mazhar Muhammad Salih, said that this is the first time that imports from China are financed in yuan, as Iraqi imports from China were financed in US dollars only.

The move is the latest sign of the yuan's growing role on the international stage as China gradually opens up its financial markets and some countries look to diversify their exposure to the currency.

Saleh told Al-Hurra that the move is logical because of "the superiority of trade between Iraq and China compared to other countries in the world."

He revealed that "import and export trade of goods and services exceeds $53 billion annually, as China is Iraq's first trading partner."

He continued, "Because the Central Bank of Iraq is diversifying its reserves in foreign currency, including the Chinese yuan, it will undoubtedly feed Iraqi bank accounts with Chinese correspondent banks in the Chinese yuan currency for the purposes of meeting the requirements of Iraqi imports from China and paying their dues in Chinese currency."

Saleh says, "The second package launched by the Central Bank (Wednesday) regarding external transfer instructions will help bring exchange rates in the parallel market closer to the official rate, perhaps by more than 50 percent, immediately, and with the submission of compliance documents provided by Iraqi banks on behalf of their customers." From importing merchants and the increasing launch of facilitated external transfer packages, especially that of assistance to small trades, the exchange rate gap will undoubtedly close in the coming days at an accelerated rate.

And he played down concerns about the expected smuggling operations by saying that "international compliance standards through the central bank platform will regulate the financing of trade exchange with China similar to financing in dollars in terms of identifying the last beneficiary."   link

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Tishwash:  Iraq Pivots to Yuan for China Imports in Defense of Own Currency (bloomberg)

Iraq is planning to pay for private-sector imports from China in yuan, injecting foreign currency into the financial system to help ease pressure on the dinar.

The central bank will provide yuan to local lenders for dealings with Chinese counterparts, according to a statement published Wednesday. It will also supply the Chinese currency to final beneficiaries directly via some of the central bank’s own accounts.

OPEC’s second-biggest producer is joining the Middle East’s leading economies, such as Saudi Arabia and the United Arab Emirates, in exploring non-oil trade ties using currencies other than the dollar. The central bank said in the statement that it later aims to facilitate money transfers to the US and Europe in the same manner as with China.

The measures won’t extend to Iraq’s oil trade, said Mudher Saleh, the prime minister’s financial adviser. “This is covering the imports of the private sector,” he said.

China, which has been pushing the yuan’s use in transactions with major energy and commodity exporters, was Iraq’s main source of imports after Turkey last year, according to data compiled by Bloomberg.

Steadying the Currency

In Iraq, the steps mark the latest effort by authorities to stabilize the national currency after revaluing it earlier this month to 1,300 per dollar from 1,460. The move helped shore up the dinar’s parallel exchange rate but without narrowing the spread completely. 

On Wednesday, the dollar was available on the unofficial market at about 1,530 dinars, from a peak around 1,700 earlier this year.

Iraq has experienced dollar shortages after coming under pressure from the US to limit the flow of money into neighboring Iran, with the New York Federal Reserve last November imposing tighter controls on dollar transactions by Iraqi commercial banks. 

As a result, transfer approvals slowed and ultimately led traders to buy dollars from exchange bureaus. Iraq’s foreign currency reserve of $103 billion is held at the US Federal Reserve.  link

Mot: ....... Clever He Is!! ~~~~~

Mot: Yard sales are great……..

Wednesday "Vietnam News" Posted by Henig at KTFA 2-22-2023

KTFA:  Vietnam

Henig:  VNĐ7.4 trillion earmarked for rail infrastructure development this year

09:00 | 22/02/2023

Six projects worth over VNĐ7.4 trillion (US$310.46 million) are expected to begin this year serving railway infrastructure upgrade.

Of the five of these, using State capital for the middle-term public investment plan for the 2021-25 period, three with a total valued at more than VNĐ 3.1 trillion involved the Hà Nội-Vinh, Vinh-Nha Trang, and Nha Trang-Sài Gòn sections of the North-South railway. The upgrade of these sections, which are about 1,725km long in total, is scheduled to be completed in 2025.

Meanwhile, two others is to repair the northern rail station with some VNĐ476 billion and to upgrade the Đuống rail bridge with nearly VNĐ1.85 trillion.

The last of the six is for the upgrade of the Khe Nét mountain pass with a value of over VNĐ2 trillion partly sourced from official development assistance by the Republic of Korea via its Economic Development Cooperation Fund (EDCF).

Construction of the first railway in Việt Nam and Indochina with a length of 71km connecting Sài Gòn with Mỹ Tho was started in 1881. By 1936, the railway length increased nearly 37 times, with a total length of 2,600km across the three regions of the country.

Việt Nam’s railway, however, is lagging behind. Investment for it in many decades only accounted for about 3 per cent of the total investment from the Central budget for transport infrastructure projects.

Currently, Việt Nam’s railway network covers a total length of 3,162.9km, of which 2,703.2km are main lines, 459.7km of station’s inner lines and branch lines.

Yet its railway infrastructure is limited as the 1,000mm gauge lines still account for 84 per cent of the total railway length (2,656.2km). Việt Nam’s railway speed is only about 50-60km per hour for freight trains and 80-90km per hour for passenger trains.

Although railway freight has achieved some more positive results, the growth in rail freight transportation has seen a downward trend. The average annual growth rate of freight carried by the railway in the 1991-2000 period increased by 10.3 per cent. It was 2.3 per cent in 2001-2010 and 4.7 per cent in 2011-2019.

The volume of freight carried by railway in 1990 reached 2.3 million tonnes, then after 30 years, by 2020 was 5.1 million tonmes, while by road it was nearly 29 times more than in 1990, inland waterways were 20 times and airways 130 times.

Source: VNS   LINK

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Henig:  Last undersea Internet cable connecting Vietnam with the world breaks down

09:47 | 22/02/2023

The SMW3 cable, the last fully functional Internet cable of Vietnam, has encountered a problem on its S2.7 segment that connects with Singapore, an Internet service provider in the country said on February 21. ​

The SMW3 cable, the last fully functional Internet cable of Vietnam, has encountered a problem on its S2.7 segment that connects with Singapore, an Internet service provider in the country said on February 21.

This means all the five undersea cables connecting Vietnam with the world have been partly or wholly affected.

Earlier, AAG and APG suffered from serious failures and are now completely unable to carry the Internet traffic. Two others, IA and AAE-1, also recorded breakdowns and are only functional partly.

However, Vietnamese service suppliers said the failures on the five cables will not have great impact on the speed of Internet connection between the country and the world.

The SMW3 cable is outdated and going to be decommissioned, so it has not been used for fixed broadband Internet services, they explained, adding that the latest breakdown didn’t occur in the peak time, and they immediately carried out responding measures to reduce impact on the Internet speed.

Service suppliers are implementing the best measures to ensure users’ Internet access, they noted.

Source: VNA   LINK

Henig:  Nationwide production resumes after Tet holiday

13:00 | 21/02/2023

(VEN) - The Lunar New Year has gotten off to a good start with manufacturers resuming production in the expectations of improved performance and achievements.

New orders

After a week-long holiday over Tet, the Lunar New Year holiday marked in January, nearly all employees of the Vina T&T Group Joint Stock Company have returned to work with renewed energy.

Nguyen Dinh Tung, General Director of the Vina T&T Import-Export Trading Service Co., Ltd, said the company aims to grow by 30-40 percent this year compared to 2022. To that end, its Mekong Delta plants in Ben Tre and Tien Giang provinces resumed near-normal operations on the second day of the Lunar New Year. “The orders in early 2023 are rich for both export and domestic market. Export orders to markets such as China and the US are quite regular, while our fruit products also sell well at home,” Tung said.

At the Dong Nai Rubber Corporation, workers in some farms returned to exploit rubber latex on the fourth day of the holiday. In 2022, the company’s output reached more than 29.2 thousand tonnes, 18 percent higher than the plan.

More than 90 percent of workers at the Dai Dung Group’s factory in Ho Chi Minh City have resumed production in order to fulfill export orders to the US, Europe and Japan for the first and second quarters. Given the positive outlook for these export markets, the company expects to exceed 20 percent growth in 2023. "We focus on the Japanese, the US, and European markets and have already secured contracts from these customers,” a company representative said.

Meanwhile, the Trung An High-Tech Agriculture JSC in Can Tho Province had to operate throughout the Tet holiday because the company committed to deliver more than 30,000 tonnes of rice to Malaysia, Singapore, and the Republic of Korea in the first quarter of 2023.

Major targets

In order to get the year off to a productive start, the Garment 10 Corporation (Garment 10) organized several entertainment programs for its officials and employees. Than Duc Viet, General Director of Garment 10, said the corporation will seek new customers and markets, especially the Chinese market given the country’s very large and potential domestic demand.

Many units of the Vietnam National Coal and Mineral Industries Holding Corporation Limited (Vinacomin) also resumed production and business activities on the first working day after the holiday. On the first day of the Lunar New Year, Vinacomin’s plant loaded the first 41,000 tonnes of coal onto the Viet Thuan Star ship for transport to domestic markets. By the end of January, Vinacomin had produced 2.6 million tonnes of raw coal and sold 3.8 million tonnes.

The Thai Nguyen Iron and Steel Joint Stock Corporation has set a target of producing and selling over 780,000 tonnes of rolled steel, total revenue of VND15.826 trillion and employment and stable income for all its staff.

Nguyen Van Lam, Deputy Director of the Ho Chi Minh City Department of Labor, Invalids and Social Affairs, said 95 percent of workers at 1,361 enterprises returned to work on the sixth day of the Lunar New Year as planned.

Ha Duyen & Thu Huong   LINK

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Henig:  Turkey natural stone trade mission to Vietnam

15:55 | 21/02/2023

A B2B event to connect trade between Turkish and Vietnamese natural stone enterprises to create opportunities for Vietnamese businesses to approach international quality supplies.

Turkey is a country with abundant, rich and high-quality mineral reserves. This helps Turkey become one of the world's leading producers of building materials. According to 2022 static, Turkey's mineral exports reached $6.5 billion, up 6.5%, providing 80 out of 90 types of minerals in the world, including natural stones.

Natural stone exports account for the majority of Turkey's exports. Thanks to its generous nature, Turkey is known as the country with the richest natural stone resources, especially in marble, granite, limestone, onyx, travertine… Turkey has diverse natural stone designs, spread evenly in all segments from economy to luxury class. As a result, Turkey natural stone is exported to more than 200 countries, including major markets such as China, the United States, India, Middle East, European…

The typical characteristics of Turkish natural stone include: in terms of quality, there are absence of any cracks or defects; various colors, many options; capable of providing large block sizes; consistency in quality; beautiful pattern; naturally resistant to air pollution, abrasion and dirt.

In order to create opportunities for Vietnamese businesses to access international quality supplies, and at the same time create an environment for trade connection between Vietnamese businesses and leading Turkish suppliers, Istanbul Mineral Exporters Association (IMIB) and Minh Vi Exhibition and Advertisement Services Co., Ltd. (VEAS) jointly organized this Trade mission to connect businesses in the natural stone industry. The event will take place on 23rd, February 2023 at Sheraton Saigon Hotel, District 1, Ho Chi Minh City, Vietnam.

At this trade mission, 13 leading natural stone exporters from Turkey will come to Vietnam to meet with importers, distributors and retailers. In addition, participants will learn about export policies into Vietnam market.

Mai Ca   LINK

"Tidbits From TNT" Wednesday AM 2-22-2023

TNT:

Tishwash:  Iraq adopts the "yuan" in its foreign trade with China

Today, Wednesday, the Central Bank of Iraq announced the second package of facilities to obtain foreign currency, including reliance on the yuan currency to organize financing foreign trade from China.

And the media office of the Central Bank stated in a statement received by Al-Maalouma Agency, that, “in addition to what was announced in the first package of facilities provided by the Central Bank to achieve stability in exchange rates.”

He added, "The second package includes organizing the financing of foreign trade from China directly and in the Chinese yuan currency through two options: a) The first option: strengthening the balances of Iraqi banks that have accounts with Chinese banks in the Chinese yuan currency. 

b) The second option: strengthening the balances of Iraqi banks through the accounts of the Central Bank to the final beneficiary in the Chinese yuan currency through our accounts with the Bank (JP Morgan) and the Development Bank in Singapore. link

Tishwash:  Iraq signs oil and gas deals with UAE's Crescent Petroleum, Chinese firms

BAGHDAD, Feb 21 (Reuters) - Iraq signed deals with UAE firm Crescent Petroleum and two Chinese companies on Tuesday for the development of six oil and gas fields as it seeks to produce much needed natural gas for power stations and cut imports burdening the country's budget.

United Arab Emirates-based Crescent Petroleum signed three 20-year contracts to develop oil and natural gas fields in Iraq's Basra and Diyala provinces in northeastern Baghdad.

The Crescent Petroleum contracts include the Gilabat-Qumar and Khashim fields in Diyala, which are expected to begin producing 250 million standard cubic feet per day of natural gas within 18 months, the company said.

Crescent Petroleum also plans to explore and develop Khider al-Mai, a third block in Basra province for oil and gas.

China’s Geo-Jade also signed two contracts for exploration and development rights to Iraq’s Huwaiza oilfield in the south and Naft Khana northeast of Baghdad, both near the Iranian border.  link

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Tishwash:  The Economic Committee hosts the Governor of the Central Bank to discuss the exchange rates of the dollar

The Parliamentary Economy, Industry and Investment Committee hosted, today, Wednesday, the Governor of the Central Bank, Ali Al-Alaq, to ​​discuss the exchange rates of the dollar.

ur correspondent said, "The Parliamentary Economy, Industry and Investment Committee hosted the governor of the Central BankOn the relationshipto discuss the exchange rate of the dollar and the stability of the market.”

He added, “The committee also discussed the results of the Iraqi delegation’s visit toWashingtonIn addition to a number of other files.    link

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Tishwash:  Popular discontent with the instability of the exchange rate, and fingers pointing towards speculators

The greed of merchants and speculators and the refusal of money changers to sell dollars to citizens at the official rates are the most prominent reasons behind the continued rise in the dollar exchange rates by more than twenty points.

The scarcity of hard currency increased the suffering of citizens in obtaining it, prompting speculators to exploit the crisis, even with the existence of government decisions aimed at reducing the exchange rate in the markets. Money exchange owners buy dollars at the official rate, but they refuse to sell them to citizens under the pretext of lack of cash liquidity, which sparked anger and resentment in the street.

Economists called on the government to impose strict measures, arrest violators of speculators and money changers, and open competitive official sales outlets, in addition to canceling or facilitating the procedures for selling currency to travelers and seriously monitoring its work. ink

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CandyKisses:  The Kurdistan Regional Government launches the work of the first e-visa portal

Twilight News / The President of the Kurdistan Regional Government, Masrour Barzani, inaugurated on Wednesday the work of the first portal for issuing the e-visa, which is part of the government's action program in the electronic transformation of public services and the digitization of government services, which is scheduled to be completed in late 2025.

On this occasion, the Prime Minister said in a speech: The technology and data of these services will facilitate the provision of more digital services, paving the way for the renovation of our airports and border crossings, in addition to contributing to opening new trade horizons with our international partners.

The Prime Minister pointed out that the e-Visa is one of several other services for this ministerial formation, and aims to improve public services and strengthen business in Kurdistan, indicating that some of these services will be announced in the coming months.

The Prime Minister also praised the Ministry of Interior and the Information Technology Department for placing digital services at the center of their priorities for their work, as well as their commitment to the e-transformation program.

The new portal (visit.gov.krd) allows visitors and investors to apply for visas online, which will help boost tourism and foreign investment in the Kurdistan Region.

In addition to the e-visa portal, several other systems have been developed to improve border security.

Mot:  ... Say! - Do Women Ever ~~~

Tuesday "Vietnam Articles" Posted by Henig at KTFA 2-21-2023

KTFA: Vietnam: 

Henig:  Circular economy gains momentum back home

February, 21/2023 - 10:04

The circular economy would serve businesses well by enabling the efficient use of resources and facilitating their deeper involvement in the global supply chains.

HÀ NỘI — The circular economy has begun to gain traction in Việt Nam for its potential to optimise resource use, stabilise supply, and offer competitive advantage opportunities for businesses.

Phạm Minh Thiện, general director of Thanh Bình Company Ltd, revealed that his company's production process had been designed so that waste in one stage becomes fodder for another.

He said his company had bought land in the Tân Hồng region to grow a particular strain of rice, which can easily do without fertilisers, pesticides, and crop care. As such, the strain causes a minimal impact on the environment.

At harvest time, its straw is reused as a medium to grow mushrooms whereas its rice husk as a biomass fuel for export. Its rice bran is processed to produce bran oil and animal feed. The residue from this oil-making process is reclaimed to feed poultry.

"The global demand for these by-products is considerable. For instance, bran oil has become much sought after by Japanese traders," said Thiện.

The circular economy embraced by Thanh Bình Company Ltd has proved to be highly beneficial to its stakeholders, not only economically but also environmentally.

As a result of the sustainable farming practices, the soil cultivated by the company, which was contaminated previously by chemical substances, has been gradually improving in quality.

Nestlé Việt Nam Company Ltd is another name that has managed to incorporate the circular economy into its production. 

The company has put coffee grounds to good use by turning them into biomass, which is used to fuel its boilers. The ash left after the combustion will serve as a raw material for the production of bricks.

Coffee sludge is processed into microbial fertilisers to enrich the soil, whereas the steam from the boilers goes to the cooling towers for further reuse. Even the wastewater is not wasted: it will be recycled into A-standard clean water to close the production loop.    

Trần Thị Hồng Minh, head of the Central Institute for Economic Management, asserted that the circular economy would serve businesses well by enabling the efficient use of resources and facilitating their deeper involvement in the global supply chains.

She said the circular economy is no longer an option but an imperative for businesses because global customers have become more eco-conscious and willing to shift toward a more sustainable buying behaviour.

Vũ Kim Hạnh, chairman of the Association of Vietnamese High-quality Products, opined that the Government needs to take active steps to lay the groundwork for a broad-based transition to the circular economy.

The to-do list should comprise a long-term scheme for the transition and the entry into force of a sufficient number of legal documents that regulate the notion.

She also said the feasibility of the circular economy in the country would hinge on technological, institutional, infrastructural, and human resources factors.  

Nguyễn Thế Chinh, director of the Environmental Economic Policy Institute, underlined several obstacles in the way of businesses trying to embrace the transition.

The first obstacle involves advanced technology, which is not always readily accessible to a large number of businesses. Without advanced technology at their disposal, many businesses get stuck in their traditional linear way of production.

The second obstacle centres around the rigidity of domestic consumption habits. For instance, a wide range of consumers back home keep using plastic bags for their convenience and show a reluctance to shift gears, posing a setback for recyclable bags.

— VNS  LINK

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Henig: Cash flow waits to step in as interest rates fall

February, 20/2023 - 09:33

Banks’ reducing deposit interest rates is driving cash flow back to the stock market, but investors are advised to take a prudent approach.

HÀ NỘI - Banks’ reducing deposit interest rates is driving cash flow back to the stock market, but investors are advised to take a prudent approach.

The main factors that are expected to affect the market that investors need to pay attention to include inflationary pressure, exchange rates, the operation of monetary policy of the State Bank, interest rate fluctuations; risks associated with the corporate bond market; the first quarter business results reporting season as well as the 2023 shareholder meeting season.

The global stock market recently traded strongly as inflation in the US dropped rapidly and the Fed and other major central banks were entering the final stage of the interest rate hike cycle, while China is about to fully reopen the economy after a long blockade due to the COVID-19 pandemic.

Nguyễn Đức Anh, Director of Strategy and Macro, KB Securities Việt Nam, said that the recovery of the VN-Index in the three months before Tết was in line with macro changes. The risk of a deep correction from the current price range is not high, although profit-taking pressure may cause a strong shake-up.

Đinh Quang Hinh, Head of Macroeconomics and Market Strategy Department, VNDIRECT Securities Company, predicts that at the moment, many domestic macro factors are improving.

Exchange rate pressure has decreased significantly, leading to a strong return of foreign indirect investment inflows. Interest rates on government bonds have fallen sharply in the past month, which is an early indicator that the market interest rates for mobilisation and lending may soon be adjusted down.

Interest rates and exchange rates are always the factors that have a great impact on the trend of the stock market, when these factors improve, the pressure on the market is somewhat removed.

The market in the first half of 2023 still faces risks related to the decline in earnings of listed companies in the context of economic growth and slowing exports. In addition, difficulties in the corporate bond market and the real estate market have not been resolved.

According to VNDIRECT, macro factors are gradually improving, so it is less likely that the market will fall to a deeper bottom than the old bottom that was set in November last year around 900 points.

Bùi Văn Huy, Director of HCM City Branch, DSC Securities Company, said that the stock market might fluctuate to establish a medium-term bottom before forming a clear uptrend in the second half of this year. However, the zone of 950-980 points is a strong support zone, and is hard to be penetrated.

The market's deep correction, if any, is an opportunity to buy in, according to Huy.

In the scenario where the general market adjusts significantly at the current price range, new cash flow can confidently join in.

However, Đức Anh said that the recent increase in the market was consistent with the macro changes and it would be difficult for the VN-Index to have a deep correction if there were no new negative impact factors.

The group of information technology, securities and public investment industries would be in attractive valuation areas for investors to consider disbursing.

Since the beginning of 2023, the market has clearly diverged, some stocks surged to historic peaks such as Phú Nhuận Jewelry (PNJ), Vietcombank (VCB), while there were still stocks that moved sideways in low areas such as Novaland (NVL) and Phát Đạt Real Estate (PDR).

Nguyễn Tuấn Anh, founder of Finpeace, said the current cash flow was at a low average level and belonged to professional investors, partly reflected in the continuous net buying of foreign funds. The market showed signs of waiting for more positive information from listed companies, especially before and after the 2023 general meeting of shareholders to clearly see the direction of the business, as well as the next developments from macroeconomic policy.

“At the beginning of this year, investors can still follow last year's focused groups such as banks, insurance, and electricity. However, from the end of the second quarter of this year onwards, investors should focus on high-growth business groups such as technology, retail, retail banking, and securities. In addition, investors can pay more attention to the ability to grow revenue and market share," he said.

After a generally difficult period, the market often shows businesses that suddenly reaches a high position thanks to sudden improvements in technology and product upgrades. The 2023 General Meeting of Shareholders is the best place for investors to define the difference in the growth orientation of listed companies, from which they will have a closer look at the business to make suitable investment decisions.

VNS   LINK

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Henig:  Thai largest retailer to pour over 1.4 billion USD in Vietnam

06:12 | 21/02/2023

Central Retail Corporation (CRC), the largest retailer of Thailand, has announced its biggest investment in Vietnam at 50 billion baht (1.45 billion USD) in the 2023-2027 period to accelerate its market presence in the country.

According to CEO of CRC Yol Phokasub, the firm sees Vietnam as a high-potential market that posted continuous economic growth. With CRC's strong foothold in the country, it has set a five-year roadmap to continue its expansion there, allocating 50 billion baht over a five-year period. The Vietnamese retail market, valued 49.7 billion USD, is expanding 10-125 each year.

The CRC invested more than 10 billion baht to expand its retail business in Vietnam during 2012-2022. It has more than 340 stores with a total gross floor area exceeding 1.2 million square metres across 40 provinces.

Olivier Langlet, CEO of Central Retail Vietnam, said that the company recorded rapid sales revenue growth in the country, rising from 300 million baht (8.7 million USD) in 2014 to 38.6 billion (1.12 billion USD) in 2021.

He said that Vietnam's economy continues to grow despite uncertainties, with GDP growth expected to increase by 6.7% and 7.2% in 2023 and 2024, respectively, compared with 3.5% a year in Thailand over the next two years. This will make Vietnam Southeast Asia's fastest growing market, he said.

Central Retail Vietnam wants to grow its food business nationwide to reinforce its leading position in Vietnam's hypermarket segment by rebranding and renovating 10 GO! branches and expanding Tops market and Mini go! branches by adding 8-10 outlets to better serve the needs of local consumers, he said.

The company vows to strengthen its fresh food category and the non-food category to drive customer traffic via renovation, in addition to preparing for new branch launches in the future, he underlined.

He said the firm plans to renovate 10-12 branches of Nguyen Kim, an electrical appliance chain, and add 3-5 new branches, including stores in its GO! malls.

Source: VNA   LINK

Henig:  Businesses back CPTPP expansion

06:00 | 20/02/2023

(VEN) - Export-driven firms and online sellers in potential member countries see accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as providing new e-commerce export opportunities and diversifying trade away from China. The CPTPP is one of the world's largest free-trade areas by gross domestic product (GDP).

In a 2020 survey of 269 Philippine and Republic of Korean (RoK) firms on their views about potential CPTPP accession, commissioned by a fellow at the Washington-based think tank Center for Strategic and International Studies, over 70 percent of exporters reported having heard about the CPTPP; of these, export-driven online sellers that already sell to the CPTPP market are especially enthused by CPTPP accession as a means to help secure new customers (45 percent), grow export sales (41 percent), diversify into new markets (39 percent), and sell more online (29 percent).

Philippine firms, in particular, believe that the agreement could also promote inbound and outbound investment. RoK firms are also enthusiastic about the CPTPP – even though the RoK already has 17 free trade deals that encompass 56 countries.

A substantial set – 43 percent of online seller-exporters and 29 percent of other exporters – also agree that it would be beneficial for their country to enter into a trade agreement that does not include China (as opposed to the 10-nation Regional Comprehensive Economic Partnership (RCEP) agreement, which both the RoK and the Philippines signed recently). While non-exporters in the RoK and the Philippines often do not know about the CPTPP, both non-exporters and exporters in these countries agree that the RCEP will not suffice for satisfying their growth aspirations. These data suggest that companies in prospective member countries are hungry for new agreements with better rules than the RCEP’s non-binding e-commerce provisions.

Advantages of membership

The UK, China and Chinese Taipei have already applied to join the 2018 agreement that brings together the Pacific Rim countries of Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam. These countries’ combined economies represent 13.4 percent of global GDP, making the CPTPP one of the world's largest free-trade areas by GDP.

The surveyed firms in the Philippines and the RoK – and especially small online sellers that use data intensively – regard the CPTPP’s e-commerce provisions such as free data transfer, ban on server localization, promotion of consumer privacy and protection, and liberalization of services as especially beneficial for their businesses. Some 47 percent of online seller-exporters see the CPTPP’s provisions on free data transfer across borders as “very beneficial” for their businesses; 37 percent see self-regulation among businesses to manage data as “very beneficial”; and 35 percent find the CPTPP’s ban on server localization and the ability to store their data where they wish as “very beneficial,” with another 37 percent seeing this as “somewhat beneficial.” The survey also suggests that firms see the CPTPP’s commitment to protecting consumer privacy and shielding consumers from spam as important to the growth of their e-commerce sales.

The CPTPP is emerging as an attractive trade deal for many countries around the world. The interest in joining is motivated by several reasons, including (1) the rise of China’s share in the import baskets of both CPTPP members and nonmembers; (2) in the UK’s case, by a drive to operationalize its post-Brexit “Global Britain” strategy; and (3) as the indicative survey data suggest, by interest on the part of firms in such member economies as the RoK and the Philippines in CPTPP’s deep liberalization and high-quality e-commerce provisions to open new markets, set clear rules of the game for digital trade, and preempt data localization.

Japan and other members are urging the US to join the deal, which would make the CPTPP a powerful counterweight to China, attract further members, and significantly advance US interests. However, the Biden Administration has so far avoided such a move.

Tuyet Minh   LINK

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Henig:  Bank race in attracting demand deposits cools down

February, 21/2023 - 10:21

The race to lure demand deposits, or current account savings account (CASA), among banks seems to be decelerating as it is more difficult for banks to attract the cheap capital source in the context of high interest rates on term savings.

HÀ NỘI — The race to lure demand deposits, or current account savings account (CASA), among banks seems to be decelerating as it is more difficult for banks to attract the cheap capital source in the context of high interest rates on term savings.

Demand deposits at banks are mainly from customers’ payment accounts. Previously, due to low interest rates on term deposits, a number of customers did not pay much attention to transferring idle money in their payment accounts to term deposit accounts. Banks, therefore, raced to lure customers with many incentive policies to benefit from the low-cost capital source.

However, the trend has changed after interest rates for term deposits sharply surged to hit nearly 10 per cent per year, which has caused more customers to select term savings to get higher interest rates.

According to the Q4 2022 financial report of banks, up to 23 out of 28 banks, even big names, have recorded a decrease in CASA ratio in the last year.

Specifically, Techcombank, which topped in terms of CASA for many years, saw its CASA ratio decline sharply from 50.5 per cent at the end of 2021 to 37 per cent at the end of 2022.

Despite surpassing Techcombank to top the CASA list in 2022, Military Bank also reported a CASA decline from 44.6 per cent at the end of 2021 to 37.6 per cent at the end of 2022.

According to Techcombank, the CASA ratio dropped sharply because customers have tended to reduce cash holdings for investment or spending, but increase opening term savings accounts in the context of the global high interest rate environment, restricted liquidity of the banking system and negative sentiment on the real estate and bond markets.

However, Techcombank noted, the bank took measures to increase its term deposits to ensure capital, with Q4 2022 seeing a growth rate of 32.3 per cent in term deposits against Q3 2022.

Many other banks also recorded a sharp drop in CASA ratio in the past year such as KienlongBank (from 15.5 per cent to 4 per cent), VietABank (11.9 per cent to 4.1 per cent) and TPBank (23.3 per cent to 18 per cent).

However, there were still some banks recording an increase in CASA ratio in 2022 compared to 2021 such as VietinBank (with a slight increase of 0.1 percentage point to 20 per cent), PG Bank (with a 2.5 percentage point increase to 17.9 per cent), and Bắc Á Bank (with a 3.9 percentage point rise to 7.3 per cent).

Economist Đinh Trọng Thịnh told Việt Nam News that the term deposit interest rate has continuously increased, especially in the last quarter of 2022, while other investment channels such as securities, real estate, gold, and cryptocurrencies have been less attractive and continuing the downward trend for a long time.

“This was why cash flows look to long-term savings channels to enjoy high interest rates. As a result, the amount of demand deposits decreased sharply, and the input capital also became more expensive,” he said.

According to Thịnh, improving the CASA ratio, controlling capital costs, and concentrating resources to support firms and people to recover production and business are posing big problems for banks, especially in the context of interest rates being forecast to remain high in the first half of 2023. Because when interest rates are high, individual customers transfer their idle money into term savings instead of keeping them in current accounts. As for firms, high interest rates made it difficult for them to access bank capital, thereby they had to withdraw available cash to serve their operations.

According to experts of Vietcombank Securities Company (VCBS), the State Bank of Vietnam’s policy interest rates in 2023 may not increase further. After peaking in the first half of 2023, the rates will be flat and gradually cool down in the second half of this year.

Sharing the same view, Yuanta Vietnam Securities Company (Yuanta) believes as the interest rate on term deposits is still high and the liquidity of the banking system remains limited, the growth of demand deposits will be low in the first half of 2023. However, Yuanta expects the CASA ratio to improve further as deposit rates gradually cool down in the second half of this year.

Besides, Yuanta said in the context of rising interest rates, banks with the advantage of a high CASA ratio such as MB, Techcombank and Vietcombank will suffer less negative impacts on net profit margin than banks with a low CASA rate.

Meanwhile, SSI Securities Company’s experts are more optimistic as, based on data analysis, they forecast the CASA ratio will be affected adversely only in the short term and will recover in the near future.

— VNS        LINK

"Tidbits From TNT" Tuesday Morning 2-21-2023

TNT:

Tishwash:  Al-Fateh: The devaluation of the dollar affected the size of the budget by $14 billion

The representative of the Al-Fateh Alliance, Ali Turki, revealed, on Tuesday, the most prominent obstacles facing the budget, indicating that the reduction in the price of the dollar caused the value of the budget to be around 14 billion dollars within the investment projects.

Turki said, in a statement to Al-Maalouma, that "the delay in sending the budget to the House of Representatives was due to the presence of obstacles that the government faced, whether by changing the exchange rate of the dollar from 147 to 132 dinars against each dollar." 

He added, "The change in the dollar exchange rate affected the size of the budget value by about $14 billion, which was reflected negatively on investment projects."

Turki added, "The main obstacle is the prolongation of negotiations on the agreement between the central government and the region, in terms of legal and technical aspects." 

The deputy head of the Planning and Government Program Monitoring Committee, Representative Muhammad Karim, had confirmed in a statement to Al-Maalouma that the visit of the President of the Kurdistan Region to Baghdad will push for an agreement between the government and the region regarding the latter's share in the budget, suggesting that the budget be sent next week.   link

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Tishwash:  A legal team from the Kurdistan Region visits Baghdad to draft the budget and oil and gas laws

The spokesman for the Kurdistan Regional Government, Jutiar Adel, stated, on Sunday, that a legal delegation from the region will soon visit the capital, Baghdad, with the aim of drafting the financial budget for the year 2023, and oil and gas.

Adel said in a statement to the official website of the regional government today, that the delegation of the Kurdistan Regional Government visited Baghdad on the basis of the political agreement formed by the Sudanese government to prepare the 2023 budget law, the oil and gas law and many other issues, and the delegation met with the Iraqi Oil Minister Hayan Abdul Ghani to discuss in general about a number of issues. Issues related to the oil and gas law and negotiations are ongoing.

He explained that the delegation met with the Iraqi government team to discuss the draft federal budget law, and a legal team is scheduled to visit Baghdad during the next two days to draft legal texts related to the draft budget law and the oil and gas law.

Adel also indicated that there is an understanding on general principles, but there is a need for more discussions and meetings, and the joint committee will start working in the coming days to implement the agreement reached between the two sides.

He stressed that the oil and gas law is important and necessary for all of Iraq because the oil sector has many problems and has no law, and this sector is now working according to the law of the Ministry of Oil that was drafted in the year 1976, so the oil and gas law is not only to solve the problems between the Kurdistan Region and Baghdad, but rather it will solve All Iraq's problems and reconsidering the Iraqi oil sector.

The KRG delegation also met during this visit to Baghdad with the US Ambassador to Iraq, Alina Romansky, and they stressed the need to resolve issues between the two governments on the basis of the constitution and to continue negotiations for this purpose, according to the spokesman.

The delegation of the Kurdistan Regional Government also met with the Chairman of the Finance Committee in the Iraqi Parliament, Atwan Al-Atwani, and discussed the next steps in approving the draft budget law, in coordination with all concerned parties.

The negotiating delegation of the Kurdistan Regional Government returned to Erbil after it conducted a two-day visit to Baghdad with the aim of resolving the differences and outstanding issues between the two sides, according to what was announced today, Tuesday, by the head of the cabinet office of the region, Omid Sabah.   link

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Tishwash:  Iran to launch new Currency Exchange Center

The new Currency Exchange Center will start operating in Iran, as of February 21, 2023, Director General of Central Bank of Iran (CBI), Mohammad Reza Farzin wrote on his Twitter page.

According to Farzin, the mentioned Currency Exchange Center will provide all the real needs of the country in terms of foreign currency.

Then director general added that the Currency Exchange Center will also determine the price of foreign currencies and currency costs based on the country's reserves.

“The price of foreign currencies and gold will be determined based on the economic realities of the country,” he wrote.

Currently, the price of $1 is 42,000 Iranian rials and 1 euro is 44,923 rials.

Meanwhile, on the black market, $1 is currently worth 500,000 rials, while 1 euro is worth 536,000 rials.   link

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Tishwash:  Report: US control of transfers raises Iraq's reserves and plunges the Iranian currency

The London-based Al-Arab newspaper reported that the increase in Iraqi dollar reserves coincided with the collapse of the Iranian riyal due to the effectiveness of tight US control over the movement of the dollar in Iraq, which prevented the flow of more hard currency towards Iran and led to the collapse of its currency.  

Foreign Minister Fuad Hussein revealed on Monday that the Iraqi Central Bank's dollar reserves exceeded $100 billion. This statement comes after Hussein's return from the United States at the head of a financial and economic delegation, in which the issue of currency was one of its main elements, as Washington has implemented, since last November, strict control over financial transfers.  

Hussein said in Baghdad that "the recent negotiations of the Iraqi delegation in Washington regarding the movement of the dollar were successful, and took place in accordance with mutual understandings without preconditions, and the movement of the dollar and the final beneficiary were determined according to an electronic platform system placed in many banks and border crossings to control the dollar and manage it properly in Iraq".  

He added, "The negotiations were successful, good, and advanced in order to protect the joints of Iraq's economy and fight smuggling."  

And he stressed that "there will be stability in the exchange rate of the dollar in the Iraqi market, and what is happening now in terms of rise and fall is a matter of time."  

Observers of the London newspaper believe that the optimistic tone of the Iraqi foreign minister regarding the exchange situation shows that he received a positive assessment during his visit to Washington regarding the success of the American plan to track the movement of remittances and prevent the manipulation that was taking place between parties inside Iraq in order to secure the smuggling of currency to Iran, which suffers from sanctions. strict American.  

Last November, the Federal Reserve Bank of New York began imposing stricter restrictions on international dollar transfers to Iraqi commercial banks, in a move US and Iraqi officials said was "aimed at curbing money laundering and the illegal transfer of dollars to Iran and other heavily sanctioned countries."  

Iraqi banks must now record their "transfers (in dollars) on an electronic platform, which checks the requests. The Federal Reserve examines them, and if it has doubts, it stops the transfer," said Mazhar Saleh, the Iraqi prime minister's advisor for financial affairs.    

And Iraq has begun to comply with the standards of the international transfer system (Swift), which Iraqi banks must apply since mid-November to access Iraq's dollar reserves in the United States.  

Since the implementation of the restrictions, the Federal Reserve has rejected “80 percent of requests” for financial transfers to Iraqi banks, according to Salih, due to doubts about the final destination of those amounts being transferred.    

The strictness in monitoring transfers and blocking money smuggling by bypass routes made Iran a complicated situation, and they stressed that the Iraqi financial crisis is due in large part to the Iranian role, which was carried out through local political agents, militias, and merchants.  

The newspaper added that the results of US supervision appeared quickly, as the local currency in Iran fell below a basic moral level, retreating from 500 thousand riyals against the dollar on Monday, as market dealers do not see an end to the sanctions.  

Data published by the Bonbast website on the Internet, which collects up-to-date data from Iranian exchange centers, showed that the local currency fell to a new record level against the dollar, amounting to 501,300 riyals.  

Because of an inflation rate of about 50 percent, Iranians seek safe havens in order to preserve their savings by buying dollars and other hard currencies or buying gold, indicating more headwinds that will face the Iranian riyal.  

Over the past six months, the Iranian currency has lost about 60 percent of its value, according to the website.  

The newspaper pointed out that the annoyance of Iran's allies with the US control over the movement of money in Iraq is quite remarkable, which was reflected in the statements of more than one figure affiliated with Tehran, including deputies within the coordination framework, where the representative of the Al-Fatah Alliance, Aqil Al-Fatlawi, said, "The World Bank and the US administration use the SWIFT platform." to impose their will and blackmail Iraq,” adding that the United States has passed the stage of military domination and moved towards economic domination through those institutions under the international cover.   

And he considered that "those institutions are a bad example of domination and starvation of peoples," and continued that "the United States at the present time is still the restrictive and pressing element on the Iraqi economy, especially after Iraq's exit from the seventh and sixth items."   link

Mot:  ...... Good Idea!! -----

Mot:  When Ya Needs the Kids to Take a Time Out! - from Mot of course!

Iraqi News Highlights Monday Afternoon 2-20-23

Iraqi News Highlights  Monday Afternoon 2-20-23

Tlm724 Administrator Bondlady’s Corner

The High Exchange Rates Of The Dollar In Baghdad With The Closing Of The Stock Market

Economie   Monday, February 20, 2023 4:19 PM  Baghdad / The National News Center  The exchange rates of the dollar rose against the Iraqi dinar, today, Monday, with the closure of the main stock exchange in Baghdad.   The correspondent of the National News Center said, “The central Kifah Stock Exchange closed in Baghdad at 153,000 Iraqi dinars for 100 dollars, while the prices this morning were 151,500 Iraqi dinars for every 100 dollars.”

He added, "The buying and selling prices in exchange shops in the local markets in Baghdad rose, as the selling price reached 15,400 Iraqi dinars, while the purchase prices reached 152,000 dinars per 100 dollars."   https://nnciraq.com/187988/

Al-Sudani's Advisor: Iraq Has Maintained A Stable Credit Rating Over The Last 8 Years

Economie| 01:03 - 02/20/2023  Baghdad - Mawazine News, the financial advisor to the Prime Minister, Mazhar Muhammad Salih, confirmed, on Monday, that Iraq has maintained a stable credit rating during the last eight years, indicating that Iraq has a rating that includes countries, the majority of which are emerging economies.

Salih said, "The credit rating of Iraq has been adopted since 2015 in our country, which led to a reduction in the cost of external borrowing by 50%, when Iraq issued the European bond called (the Euphrates), which Iraq borrowed at the time from the international capital market by about one billion dollars, in circulation." Currently on European secondary markets.

He pointed out, "There is a (Tigris) bond guaranteed by the United States government in the amount of one billion dollars as well, as well as a European bond for Iraq under the name (Iraq / 2028), which is related to the settlement of foreign private sector debts according to the settlement of the Paris Club agreement, with an issue amount of about $ 2.7 billion." .

In an interview with the official news agency, Salih said, "The credit rating of Iraq depends in general, and for the aforementioned bonds, on important macroeconomic criteria primarily to achieve what is called (the creditworthiness of Iraq) and the ability of the economy to pay its debt services and external obligations without significant failure." .

He added, "The economic capabilities are determined by the two issues of deficit or surplus in the current account of the balance of payments and the deficit or surplus in the general budget at the very least, in addition to the role of foreign reserves and their efficiency as an indicator in covering outstanding debts and their short-term services."

He stressed, "Iraq has maintained, over the past eight years, a stable credit rating. Its indicators are issued by more than one of the international credit rating agencies, such as (Clubl Fitch) and others, on a semi-annual basis, which indicates the great capabilities of Iraq to fulfill its external obligations towards creditors and others around the world." .

He pointed out, "The classification that Iraq enjoys today, which is in the B-level range, places Iraq among an important international group of no less than 60 countries in the world, most of which are emerging market countries and emerging economies." Ended 29/N33

https://www.mawazin.net/Details.aspx?jimare=219817

Deputy Speaker Of Parliament: The Budget Will Reach The House Of Representatives Next Week

Money and business  The First Deputy Speaker of Parliament, Mohsen Al-Mandalawi, said on Monday that the budget will reach the House of Representatives next week.

A statement from Mandalawi's office stated that the First Deputy Speaker of the House of Representatives confirmed, after a phone call he made with Finance Minister Taif Sami, that "the draft general budget law will reach the House of Representatives early next week."

Al-Mandalawi stressed, “The importance of the budget bill coming soon to the parliament and starting to discuss its items and make the necessary amendments to it by the Finance Committee in order to ensure the proper implementation of the government curriculum, especially supporting the poor classes and segments and ensuring the continuity of providing basic materials through the food basket, as well as securing salaries.” Staff and financial allocations required for new appointments.

https://economy-news.net/content.php?id=32555

Foreign Minister: The Iraqi Currency Is Strong And The Dollar Crisis Is On Its Way To A Solution

Money and business  Economy News-Baghdad  Today, Monday, Foreign Minister Fuad Hussein confirmed that the Iraqi currency is strong, while indicating that the dollar crisis is on its way to a solution.

Foreign Minister Fuad Hussein said during a press conference that "the Iraqi delegation that visited Washington consisted of different sectors," noting that "the purpose of the visit to Washington was related to the economic sector."

He explained, "Monetary policy was on the agenda of the Iraqi delegation's visit to Washington," pointing to "discussing political issues, fighting corruption, and regional relations with the American side."

Hussein stressed, "The Iraqi currency is strong, and the Iraqi reserves exceeded 100 billion dollars, and there will be stability for the currency soon," noting that "there are unreal bills that were applying to obtain dollars."

He added, "The talk about imposing conditions on the Iraqi delegation that visited Washington, including normalization with the Zionist entity, is false," stressing that "there are no American conditions on the dollar file."

He continued, "The electronic platform will determine the beneficiary of the dollar and stop smuggling," noting that "the exchange rate of the dollar has begun to decline."

https://economy-news.net/content.php?id=32550

Oil Prices Are Rising After A Significant Decline Last Week

Economie| 09:54 - 02/20/2023   Follow-up - Mawazine News  Oil prices rose in early trading, Monday, after falling $2 a barrel at the close on Friday, as increased supplies in the United States and expectations of higher interest rates curbed optimism about a recovery in demand in China.

Brent crude rose by 0.6 percent to about $83.64 a barrel, and West Texas Intermediate crude rose by about 0.5 percent to about $77 a barrel.

Crude Brent and West Texas fell by the end of last week by about 4 percent, amid fears on the part of dealers that demand would be affected by any future hike in interest rates in the United States, and they were also tense due to increasing signs of abundant supplies of crude and fuel, after the United States announced a rise in oil prices. Inventories of crude oil and gasoline. Ended 29/N33

https://www.mawazin.net/Details.aspx?jimare=219804

More Than 40 Billion Dollars... Iraq's Possession Of American Bonds

Monday 20 February 2023 13:21 | Economical Number of readings: 271  Baghdad / NINA / - The US Treasury Department announced today, Monday, that Iraq's possession of US bonds has risen to more than $40 billion.

And the treasury stated in its latest schedule, that “Iraq’s possession of US Treasury bonds for the month of December of 2022 increased by 1.097 billion dollars, to reach 40.814 billion dollars, after it was 39.717 billion during the previous month,” noting that “these bonds increased by 81.4 billion.” % for the same month of 2021, when Iraq's possession of bonds amounted to 22.5 billion dollars.

She added, "Iraqi bonds, including long-term guarantees of $28.239 billion and short-term guarantees of $12.575 billion," noting that "these bonds represent 0.55% of global bonds."

And in the Arab world, Saudi Arabia comes at the forefront of the countries with the most possession, amounting to 119.709 billion dollars, and the UAE comes second with 58.570 billion dollars, then Kuwait with 48.522 billion dollars, then Iraq fourth and Oman fifth with 6.860 billion dollars, then Morocco with 3.870 billion dollars.

The treasury indicated that "the most holders of US bonds are Japan with 1.076.284 trillion dollars, followed by China with 867.061 billion dollars, followed by the United Kingdom with 654.474 billion dollars, and then comes Belgium with 354.325 billion dollars."/ End 8 to receive more

https://ninanews.com/Website/News/Details?key=1034559

To read more current and reliable Iraqi news please visit BondLady’s Corner:

https://www.bondladyscorner.com/

Monday "Vietnam News" Posted by Henig at KTFA 2-20--2023

KTFA: Vietnam

Henig:  MOF considers allowing businesses to pay bond interest in shares, realty products

February, 20/2023 - 07:34

The Ministry of Finance has proposed that the Government consider allowing enterprises to pay principal and interest of bonds in shares and real estate products.

HÀ NỘI - The Ministry of Finance has proposed that the Government consider allowing enterprises to pay principal and interest on bonds in shares and real estate products.

The Ministry of Finance (MoF) has just submitted to the Government a draft decree on trading private placement of corporate bonds in the domestic market and offering bonds to international markets.

The decree amends and supplements a number of articles of Decree 65 that amends and supplements Decree 153/2020/NĐ-CP.

Recently, some businesses, especially in the real estate group, have had difficulty paying their debt obligations due in 2023. They had to negotiate with bondholders to pay bond principal and interest with shares, or real estate products.

The Ministry of Finance proposed that the Government consider allowing the cases. If an enterprise cannot pay the bond principal and interest in cash, they can negotiate with investors to pay by other assets on the principle of complying with the provisions of civil law. This payment method must be approved by the bondholders and the enterprise must disclose information and take responsibility for the legal status of the assets used to pay the principal and interest of the bond.

To assist enterprises in mobilising capital for production and business activities and debt restructuring, the Ministry of Finance shall propose to the Government to allow previously issued bonds with an outstanding balance to be changed in expiration term, the maximum time is 2 years.

VNS  LINK

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Henig:  VN firms told to focus on social, environmental performance to enter German market

February, 20/2023 - 07:25

Vietnamese enterprises need to improve their social and environmental performance to secure their position in global supply chains, a seminar heard in HCM City last week.

HCM CITY — Vietnamese enterprises need to improve their social and environmental performance to secure their position in global supply chains, a seminar heard in HCM City last week.

Nguyễn Ngọc Sang, project manager of the German Business Incubator at the Delegation of German Industry and Commerce in Việt Nam (AHK Vietnam), said in recent years Việt Nam had been a popular investment destination for many countries, especially Germany.

AHK Vietnam was receiving increasing requests from German companies to find suppliers in Việt Nam, he said while speaking at the seminar on enhancing Vietnamese companies’ competitiveness in global supply chains through compliance with the German Supply Chain Due Diligence Act.

With its geographical location, Việt Nam is considered the gateway to Southeast Asia, a rapidly growing and dynamic region, according to Sang.

It is attractive to investors thanks to its low labour costs, high labour compliance, strong growth for many years, and open mechanism for attracting investment.

It has signed many trade deals, including the EU-Việt Nam Free Trade Agreement, which gets much attention from European investors, including German, and enterprises seeking to diversify their supply chains also prefer the country.

According to Nguyễn Tuấn, deputy director of the Investment and Trade Promotion Centre of HCM City (ITPC), said trade and investment ties between Việt Nam and the EU, especially Germany, have seen robust growth in recent years.

Germany is Việt Nam's largest trading partner in Europe, accounting for more than 19 per cent of its exports and acting as the gateway for Vietnamese goods to enter other European markets.

While productivity and quality standards remain key factors, international business partners are increasingly looking at social and environmental conditions when choosing suppliers.

To ensure exports to demanding markets, Vietnamese enterprises must comply with stringent regulations like the German Supply Chain Due Diligence Act (LkSG).

Lanh Huyền Như, project coordinator for Sustainable and Climate Resilient Supply Chains at AHK Vietnam, said the act, which came into effect in January this year, sought among other things to prevent child and forced labour and ban substances that are hazardous to people and the environment.

"The law requires German companies to establish appropriate and effective risk management for their supply chains and integrate it into all relevant business processes," she said.

Companies in Việt Nam could be indirectly affected by these regulations if they are part of a supply chain of a German company.

According to experts, while due diligence in supply chains and the resulting obligations are not new, these standards are becoming even more relevant, requiring more initiatives from businesses.

Understanding and putting these requirements into practice would lower risks and strengthen their competitiveness in the global supply chain, they said.

The seminar was held by ITPC and AHK Vietnam.

— VNS   LINK

Henig:  Pellets, chips to remain export growth drivers for wood industry in 2023

February, 20/2023 - 08:24

The wood processing industry has set itself a modest export target of US$17.5 billion for this year, an increase of just 2.5 per cent over 2022, due to unfavourable conditions in the global market, the Vietnam Timber and Forest Product Association said.

HCM CITY — The wood processing industry has set itself a modest export target of US$17.5 billion for this year, an increase of just 2.5 per cent over 2022, due to unfavourable conditions in the global market, the Vietnam Timber and Forest Product Association said.

Exports were worth US$16.9 billion last year, up 6.1 per cent from 2021, the lowest growth rate in recent years.

VIFOREST chairman Đỗ Xuân Lập said exports had been strong in the first half of last year, but orders had dropped sharply thereafter, and companies had gotten just a few orders this year.

“In the past exports would usually go up by 15-20 per cent in January, but there was no growth this year.”

The gloomy housing market due to monetary tightening and interest rate hikes globally to fight inflation had affected demand for furniture, he explained.

The industry has two main export product groups: highly processed products like furniture and intermediate goods like plywood, woodchips, lumber, joint board, and wood pellets, according to Lập.

Export of the second group rose strongly last year, with pellet and chip exports rising by 50-60 per cent and 35 per cent, and this product group is expected to again be the major export growth driver this year.

He also forecast furniture exports to gradually increase this year.

“Việt Nam’s furniture products are mainly exported to the US and European markets. Their economies will warm up, inflation is decreasing, and so demand for furniture will rise.”

The wood industry associations across the country were helping firms look for new customers, including by organising the Hồ Chí Minh Export Furniture Fair (HawaExpo 2023) from February 22 to 25, he said.

Nguyễn Quốc Khanh, chairman of the Handicraft and Wood Industry Association of HCM City and chairman of AA Corporation, said firms continued to export furniture to traditional markets such as the US, EU, Japan, and Korea but needed to expand to other markets too, he said.

Many of China’s traditional customers has shifted their orders to Việt Nam, which is a great opportunity, he said.

Khanh said AA Corporation, which provides custom furniture to luxury hotels and resorts world-wide, had got an order from a large hotel in Tel Aviv, Israel, the first order from this market.

Dương Minh Tuệ, sales director of Minh Dương Furniture Corporation, said her company had got many customers from the Middle East recently.

Customers there used to prefer classical designs or those reflecting their Islamic beliefs, and so Malaysian products were very popular there though also for their competitive prices, he said.

“The tastes of consumers there have changed. Younger generations accept higher prices and new designs. They come to Việt Nam to find products with nice designs and made from more expensive materials.

“The Middle East economy enjoys steady growth. Demand, especially among young customers, is very high. It is a market that Vietnamese enterprises should pay attention to.”

— VNS   LINK

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Henig:  5th denim, jeans exhibition to open in HCM City

February, 20/2023 - 08:33

The fifth edition of the Denimsandjeans.com Việt Nam exhibition with a theme of YOGIM will open in HCM City from March 1 to 2, with the participation of many big denim manufacturers from more than 10 countries.

HCM CITY — The fifth edition of the Denimsandjeans.com Việt Nam exhibition with a theme of YOGIM (Yoga and Denim) will open in HCM City from March 1 to 2, with the participation of many big denim manufacturers from more than 10 countries.

The two-day expo will take place at the Riverside Palace in District 4.

The expo, organised by the Việt Nam Textile and Apparel Association (VITAS) and Balaji Enterprises of India, will showcase the latest fashion trends and innovations in the global denim industry. 

The event will be quite attractive to retailers, fashion brands and textile companies from around the world, especially from the EU and the US.

It will offer a good opportunity for exhibitors to seek and establish partnerships.

It is expected to attract about 35 exhibitors and 1,200 visitors.

A YOGIM show will be held on the afternoon of March 1.

The highlight of the expo will be a “DENIM BAZAAR” area where Vietnamese fashion brands will display their innovative denim products, including recycled denim.

Six seminars will be held on the sidelines of the event, with discussions of international experts focusing on the future of denim supply, the denim supply chain for sustainable development, breakthroughs in the denim fabric industry with the help of innovative AI-based solutions, and the latest innovations in laundry chemistry.

Việt Nam has become one of the leading destinations for investors interested in the textile and garment industry.

The country exports more than 65 million pieces of denim every year.

— VNS     LINK

Monday Morning Iraq Economic News Highlights 2-20-23

Monday Morning Iraq Economic News Highlights 2-20-23

Foreign Minister: The Iraqi Currency Is Strong And The Dollar Crisis Is On Its Way To A Solution

Money and business  Economy News-Baghdad  Today, Monday, Foreign Minister Fuad Hussein confirmed that the Iraqi currency is strong, while indicating that the dollar crisis is on its way to a solution.   Foreign Minister Fuad Hussein said during a press conference that "the Iraqi delegation that visited Washington consisted of different sectors," noting that "the purpose of the visit to Washington was related to the economic sector."

He explained, "Monetary policy was on the agenda of the Iraqi delegation's visit to Washington," pointing to "discussing political issues, fighting corruption, and regional relations with the American side."

Hussein stressed, "The Iraqi currency is strong, and the Iraqi reserves exceeded 100 billion dollars, and there will be stability for the currency soon," noting that "there are unreal bills that were applying to obtain dollars."

He added, "The talk about imposing conditions on the Iraqi delegation that visited Washington, including normalization with the Zionist entity, is false," stressing that "there are no American conditions on the dollar file."

He continued, "The electronic platform will determine the beneficiary of the dollar and stop smuggling," noting that "the exchange rate of the dollar has begun to decline."

https://economy-news.net/content.php?id=32550

A New Statement From The Central Bank Of Iraq

2023.02.20 - 10:04    Baghdad - people    On Monday, the Central Bank of Iraq issued a new statement regarding outlets for selling foreign currency.       "Nass" channel on Telegram.. our latest updates

  And the statement, which “NAS” received a copy of, (February 20, 2023), stated that “the Central Bank of Iraq notes that it continues to receive public comments, complaints, and inquiries related to outlets selling foreign currency, the dollar, from eight in the morning until four in the evening, at the numbers 07853330555 and 07809224663 ".     https://www.nasnews.com/view.php?cat=102363

Hussein Reveals The Purpose Of Washington's Visit And Points Out The Differences Between Buying Dollars And The Market's Need

2023-02-20 02:27   Shafaq News/ Foreign Minister Fouad Hussein revealed, on Monday, the purpose of the Iraqi delegation from its visit to the US capital, Washington, and while pointing to differences between buying the dollar and the market's need, he stressed that the Iraqi currency is strong and the reserves exceeded 100 billion dollars.

"The Iraqi delegation that visited Washington consisted of different sectors, and the purpose of the visit to Washington was related to the economic sector," Hussein said in a press conference attended by Shafaq News Agency.

He explained, "Monetary policy was on the agenda of the Iraqi delegation's visit to Washington, and we discussed political issues, fighting corruption, and regional relations with the American side."

Hussein indicated, "The Iraqi currency is strong, and the Iraqi reserves exceeded 100 billion dollars, and the financial liquidity is available."

And the Iraqi Foreign Minister continued, "With the application of the electronic platform, it became clear that the market's need differs from the currency that pays."

He pointed out that "the dollar's relationship with the dinar is in the right direction, and there will be stability for the currency. It is a matter of time. We noticed this before traveling to Washington, and with the measures taken by the Central Bank and the Prime Minister and the Istanbul meeting before the delegation's visit to Washington, the dollar stopped climbing."

Hussein said, "There are unreal bills that were applying to obtain dollars."

He explained, "The issue of smuggling the dollar is not a cause but a consequence.. Through the electronic system, it is difficult to know who receives the dollar and who is the final beneficiary."

And he indicated that "the electronic platform will help stop the smuggling of the dollar, and the platform that deals with the dollar must also be placed at airports and border crossings."  LINK

Foreign Minister: Dollar Prices In Iraq Will Move Towards Stability

Foreign Minister Fuad Hussein confirmed today, Monday, that the Iraqi currency is strong and that the dollar will soon decline, pointing out that the Iraqi reserves have exceeded one hundred billion.

The minister said, in a press conference held today in Baghdad regarding the Iraqi delegation's visit to Washington, that "the goal of our visit to Washington was economic, and that the energy file was at the forefront of the Iraqi delegation's discussions in Washington, and we also discussed monetary policy."

He added, "All previous discussions were military in Washington, and our relationship with America is good," pointing out that "our discussions included political issues with the American side, in which we clarified the vision of the new government headed by Al-Sudani."

Regarding the dollar file, the Foreign Minister said: “We reassure the Iraqi people that the Iraqi currency is strong,” noting that “the Iraqi reserves have exceeded 100 billion dollars, and we have strong cash liquidity.”

He explained, "The dollar crisis was due to the electronic financing system, and we need time to deal with the electronic financing system," adding: "We discovered a lot of unreal bills during our application of the electronic platform, and we noticed a big difference with the market's need for currency and that it will contribute to stopping currency smuggling." foreign.”

The Minister of Foreign Affairs stressed that "the dollar is a basic necessity in the Iraqi market, and the dollar's relationship with the dinar is moving in the right direction," adding: "There will be stability for the dollar and we need some time."

Hussein said, "Washington's talks contributed to lowering the dollar in the Iraqi market," stressing: "No conditions were imposed during the talks of the Iraqi delegation in Washington."

And the foreign minister said, “It is not true to raise the issue of normalization with Israel.”

https://takadum-news.com/archives/150062

Iraqi Currency Auction.. An Increase In Dollar Sales For Foreign Remittances

2023-02-20 04:36   Shafaq News/ The Central Bank of Iraq's sales of foreign remittances of US dollars increased in an auction today, Monday, at the expense of cash sales.

Shafaq News agency reporter stated that the Central Bank sold today, during its auction for buying and selling US dollars, 122 million, 650 thousand and 817 dollars, which the bank covered at a basic exchange rate of 1,305 dinars per dollar for documentary credits and international settlements of electronic cards, and at a price of 1,310 dinars per dollar for external transfers. At a price of 1310 dinars per dollar in cash.

Our correspondent added that most of the dollar sales went to reinforce the balances abroad in the form of (remittances, credits), amounting to 85,850,817 dollars, while the remaining 36,800,000 dollars went in the form of cash sales.

Our correspondent indicated that the number of banks that bought cash dollars amounted to 10 banks, while the number of banks that responded to requests to strengthen balances abroad reached 22 banks, while the total number of exchange and mediation companies participating in the auction was 140 companies.  LINK

The Finance Committee Reveals New Details Regarding The 2023 Budget: It Will Exceed $140 Billion – Urgent

Today, Monday, the Parliamentary Finance Committee revealed new details regarding the draft budget law for the year 2023, while indicating that it will exceed $140 billion.

Committee member Jamal Cougar told (Baghdad Today) that "the total amount of the budget bill for the year 2023 will exceed $140 billion," noting that "the exchange rate of the dollar was included in the law at 1300 according to the new official price, and the price of a barrel of oil in it will be At $70 a barrel.

He added, "According to the latest information we received from the Council of Ministers, the draft budget law for the year 2023 will reach the House of Representatives at the beginning of next month. The law is almost complete, and what delays its approval by the Council of Ministers is the lack of agreement on the percentage of the region within the budget."

And yesterday, Sunday,  the Prime Minister, Muhammad Shia Al-Sudani, announced that the financial budget for 2023 would soon be approved.

Al-Sudani told state television, and it was followed by (Baghdad Today), that the financial budget for the current year will be approved soon.

Earlier, the financial and economic advisor to the Prime Minister, Mazhar Muhammad Salih, attributed the delay in the government’s submission of the 2023 budget bill to the House of Representatives so far due to the recent dollar crisis.

"The government's decision to reduce the official price prompted a reformulation and restructuring of the project according to the new official price of the dollar," Saleh said in a press statement followed by (Baghdad Today).

And he stressed, "The budget for the year 2023 will be completely different from previous budgets, in terms of service projects and financial allocations to complete important projects that have high completion rates, and the deficit in them will be estimated, and it will be filled through surplus funds from the last fiscal year."

According to parliamentary leaks, the budget for the year 2023 is expected to be the highest in the country's history, and it included in its provisions the largest operational part, estimated at 80 trillion dinars, including government expenditures and employee salaries, while the price of a barrel of oil was set in the budget with estimated numbers not exceeding $70.  Editing: A.Q   LINK

The Dollar Crisis Is Exacerbating In Iran, And Fingers Point To A "Government Plan"

2023.02.20 -  Baghdad - people    The collapse of the Iranian currency against hard currencies continues in light of the authorities' inability to contain the escalating crisis, after the price of one dollar approached 50,000 Iranian tomans, in a precedent that is the first of its kind in the history of the Iranian economy.

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  Jahan Sanat newspaper mentioned in a report affiliated with "Nass" (February 20, 2023) that some of the news circulating in the Iranian milieu are about the government deliberately raising dollar prices to pay for its budget shortfall. She wrote: "The terrible rise in dollar and gold prices confused all sectors in the markets," referring to the repercussions of the crisis of the collapse of the Iranian toman and the consequent decline in the purchasing power of citizens in Iran.

Jihan Sanat quoted the words of the economic expert, Hossein Raghfar, who said, "The government raises the price of hard currencies in order to make it easier for it to provide salaries to employees and thus pay off its debts. The truth is that the cost of these measures by the government will be costly to Iranian society, and the most important question: Is the government thinking And who is responsible for the consequences of such decisions?”

In turn, economic researcher Peyman Mawlawi told the newspaper: "There is a proposal that says that the government, in order to cover the shortfall in its budget, raises the price of hard currencies, but the government must realize that the budget shortfall, estimated at 500 thousand billion tomans, cannot be compensated by raising the price of hard currencies."

  The researcher explained: "Even if we very much accept that this policy will lead to addressing the budget deficit, it will result in the loss of citizens' confidence in the government."

https://www.nasnews.com/view.php?cat=102371

Parliamentary Finance attributes the delay in sending the budget to Parliament to changing the exchange rate of the dollar

Political | 01:13 - 02/20/2023   Baghdad - Mawazine News   Today, Monday, the Parliamentary Finance Committee attributed the delay in the 2023 budget at the government discussion table to changing the exchange rate of the dollar.

The head of the committee, Atwan Al-Atwani, said in an interview with the official newspaper, "Al-Sabah", which was followed by Mawazine News, that "the budget is still under study by the government, and it is certain that a re-evaluation of it will be carried out in light of the reduction in the exchange rate of the dollar."

He added, "The exchange rate was set by the government at 1,300, and therefore there will be a re-review after the funding gap," noting that "the budget deficit grows whenever the exchange rate decreases, so the government is working today to set an acceptable deficit ratio that can be dealt with."

Al-Atwani pointed out, "Changing the exchange rate forced the government to work to control and bridge the financing gap, in a budget that will witness lower expenditures by 200 trillion dinars." Ended 29/N33   https://www.mawazin.net/Details.aspx?jimare=219818