Iraq Economic News and Points to Ponder Thursday Evening 12-26-24

Iraq Establishes 'Investment Portfolio' To Support Stability Of National Currency

Time: 2024/12/26 Read: 1,612 times   {Economic: Al Furat News} The economic advisor to the Prime Minister, Mazhar Muhammad Salih, revealed Iraq’s first step after extinguishing its foreign debts towards establishing an investment portfolio to support the stability of the national currency.

Saleh explained to {Euphrates News} that: "Since 2004, after Iraq was able to extinguish $100 billion of its accumulated debts, which are called pre-1990 debts resulting from wars and conflicts, and with the improvement in the current account of the balance of payments, the first step taken by Iraq was to establish an investment portfolio of foreign reserves."

He added, "Or what is called the country's foreign exchange reserves that perform the function of stabilizing the value of the national currency or what is called the external value of money."

Saleh said that "these assets that support the stability of the balance of payments and the national currency {i.e. foreign reserves} are one of the aspects of the sovereign funds called {quasi-sovereign wealth fund}."

He pointed out that "they differ from traditional sovereign funds in that their assets are characterized by high liquidity or investment in liquid or semi-liquid assets and are subject to a highly accurate diversification rule in foreign currencies and highly liquid financial investment tools by virtue of their function as international reserves supporting the balance of payments and stabilizing the value of the national currency."  LINK

Parliamentary Finance Committee Settles The Matter: The Dollar Exchange Rate Will Not Change

Money and business  Economy News – Baghdad  The Parliamentary Finance Committee revealed the numbers of employees, retirees and social welfare beneficiaries, confirming that their salaries are fully secured for next year, with no intention to change the dollar exchange rate.

Committee member, Moeen Al-Kazemi, stressed the "need to increase non-oil revenues to ease the burden on the general budget."

Al-Kadhimi stressed that "the government is working to increase revenues from non-oil sources such as taxes, customs, the Communications and Media Commission, and profitable companies in state departments, in addition to collecting water, electricity and other services."

He pointed out that "non-oil revenues could reach 30 trillion dinars in 2025, in addition to 120 trillion dinars of oil revenues, which makes the total revenues sufficient to secure the salaries of 4.2 million employees, and the salaries of 3.5 million retirees," noting that "the allocations for these salaries amounted to 65 trillion dinars in 2024, and it is expected that there will not be a significant increase during the next year."

Al-Kadhimi also explained that "the number of beneficiaries of social care will reach 5 million beneficiaries," stressing "the importance of following a sound financial policy to increase non-oil revenues and ensure financial stability, while maintaining the dollar exchange rate without change." 333 views  Added 12/26/2024 - 3:33 PM  https://economy-news.net/content.php?id=51320

Dollar Exchange Rates Rise In Baghdad Markets On Thursday Morning

Time: 2024/12/26 Read: 1,677 times  {Economic: Al Furat News} The US dollar exchange rate rose this morning, Thursday, in Baghdad markets.    The prices are as follows..

The selling price is 153,000 dinars, while the purchase price is 151,000 dinars per 100 dollars. LINK

The Iraqi Market Trades Shares Worth More Than 6 Billion Dinars In A Week

Stock Exchange  Economy News – Baghdad  The Iraq Stock Exchange announced that it traded shares worth more than 6 billion dinars during four trading sessions until Thursday.

The trading session was not organized yesterday, Wednesday, as it was an official holiday.

According to trading indicators, the number of shares traded during this week amounted to more than 7 billion shares, with a financial value of more than 6 billion dinars.

The ISX60 index closed the first session of the week at (1076.99) points, while the index closed at the end of the week at (1059.19) points, achieving an increase of (1.65%) over its closing at the beginning of the session.

The ISX15 index closed the first session of the week at (1179.37) points, while the index closed at the end of the week at (1159.41) points, achieving an increase of (1.69%) over its closing at the beginning of the session.

During the week, (3033) purchase and sale contracts were executed on the shares of companies listed on the market.

98 views  Added 12/26/2024 - https://economy-news.net/content.php?id=51319

Gold Prices To Rise Significantly... First Predictions In 2025

Economy | 12/25/2024  Mawazine News – Baghdad  American financial expert and investment advisor, Jim Willey, predicted that the year 2025 will witness geopolitical tensions that will lead to a significant rise in gold prices, expecting that an ounce of gold will reach $3,100 in 2025.

Willey wrote in a post on his account on the social networking site “X”, saying: “Gold has been a symbol of wealth and security for centuries, but today it is no longer just a shiny metal, but has become a shield against economic collapses, geopolitical chaos, and reckless financial policies of governments,” noting that there is no need to refer to history books to confirm this fact, which can be seen by simply taking a look at the current reality.

“In the past, a $20 gold coin could buy you a suite at the Plaza Hotel in New York, buy you a high-quality suit, or get you a steak dinner. Today, the same $20 bill can buy three people coffee at Starbucks. Has gold changed? No, gold is still a one-ounce piece of precious metal. What has changed is the purchasing power of paper money, which makes this story one of the most tragic lessons in economic history,” the financial expert explained.

The financial expert touched on the issue of the price of gold in 2025, saying that “historically, every major rise in gold prices has been linked to two main factors: economic instability and geopolitical tensions.

Now, both of these factors are reaching new highs, and no one would be surprised to see gold rise to $3,100 in 2025.”

“Another solid fact about gold is that it thrives in chaos and uncertainty,” Wiley believes. “If world leaders abandon war-mongering and seek lasting peace, gold prices will indeed fall. But let’s be realistic, what about peace? It’s just a nice dream.”

According to Wiley’s predictions, 2025 will see major geopolitical shifts in the world, economic turmoil and financial system disruptions. US economic policies, China’s global strategies and the BRICS experiment with gold-backed currencies will play pivotal roles in shaping gold’s trajectory, and ultimately gold will remain the stable safe haven it has always been.

The financial expert concluded his outlook for the coming year by emphasizing that the future of gold prices is uncertain, but one thing is clear: as long as governments refuse to balance their budgets and continue to engage in geopolitical brinkmanship, gold will not only remain an investment but also a lifeline of stability. Paper currencies will always falter in the face of gold’s enduring resilience, and this is one of the most unchanging truths of humanity. https://www.mawazin.net/Details.aspx?jimare=257892

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

Iraq Economic News and Points to Ponder Thursday Afternoon 12-26-24

How Much Did Iraq’s Internal And External Debt Amount To? An Economic Expert Elaborates
 
Economy  2024-12-25 | Source: Alsumaria News   2,363 views  Economist Nabil Jabbar Al-Tamimi’s chapter on the total Iraqi internal and external debt.

Al-Tamimi said in a statement to Al-Sumaria News, “The total Iraqi and foreign lending institutions external and internal debt amounted to approximately 96 trillion Iraqi dinars, of which 19.5 trillion dinars ($15 billion) are external debts, the majority of which are for the benefit of low-interest international.”

He added,  "The remaining amount is approximately 77 trillion dinars of internal loans, most of which do not require repayment and are approximately 52 dinars for the benefit of the Central Bank, which financed the government in previous times through the issuance of cash through indirect financing methods via treasury transfers.

In other words, approximately 25 trillion dinars are due internal loans." Payment to commercial banks and national bonds, and the remaining 52 trillion dinars to the Central Bank.”
 
Regarding Iraq's most prominent external creditors, Al-Tamimi explained,  "Iraq financing institutions borrows annually from international or foreign financing institutions, including the
 
     German, British, and Japanese funds, and the
     World Bank through the International Finance Corporation and the
     Monetary Fund, as well as the remaining debts for the benefit of the countries in the
     Paris Club and members outside the club associated with the legacy." The system before 2003.”
 
GDP
 
As for the ratio of debts to the Iraqi GDP, Al-Tamimi pointed out that “the  Iraqi is estimated at 250 billion dollars, so the ratio of Iraq’s external debts to the GDP is approximately 6%, which is a low percentage, and the
 
percentage of total debts that must be repaid Excluding the Central Bank’s debts ($55 billion), 22% of GDP remains a reasonable percentage.”
 
As for the most prominent reasons for the accumulation of external and internal debts, he explained that “Iraq’s internal policies external debts are not considered large, and most of these loans were used to finance investment projects.
 
As for internal debts, the reason for their accumulation is due to Iraqi that financed much of the deficit through cash issuance, especially in “The years of war 2014-2016 and the year of the Corona epidemic in 2020.”

Al-Tamimi pointed out that   “there are two types of other debts that were not included in the above calculations:
 
The first is the unofficial debts of the Gulf states linked to financing the Iran-Iraq war in the 1980s, which are estimated at $45 billion.
 
The second is the debts associated with the Iraqi-Chinese agreement, the details of which have not been revealed.” The economic expert concluded:
 
 “External and internal debts do not pose any risks to Iraq, with the exception of loans and debts linked to the Iraqi-Chinese agreement.
 
The amount of interest on those debts or the guarantees provided is not known.”   
 
https://www.alsumaria.tv/news/economy/510765/كم-بلغت-ديون-العراق-الداخلية-والخارجية؟-خبير-اقتصادي-يفصل 

External And Internal Debts Do Not Pose Any Risks To Iraq... Except For One
 
Economy | Today, 23:33 | Baghdad today – Baghdad   The specialist in financial and economic affairs, Nabil Jabbar Al-Tamimi, confirmed today, Wednesday (December 25, 2024), that external and internal debts do not pose any risks to Iraq. Al-Tamimi told "Baghdad Today",
 
"The total external and internal debt of Iraq amounted to approximately 96 trillion Iraqi dinars, of which 19.5 trillion dinars ($15 billion) are external debts,
 
the majority of which are for the benefit of low-interest international and foreign lending institutions, and  the remainder is approximately 77 trillion dinars in loans.

" Internal, most of which do not require payment and are around 52% for the benefit of the Central Bank, which financed the government in previous times through the issuance of cash through indirect financing methods via transfers. "Treasury."  He stated,
 
"In other words, approximately 25 trillion dinars are internal loans payable in favor of commercial banks and national bonds, and
 
the remaining 52 trillion dinars are in favor of the Central Bank."  The specialist in financial and economic affairs added,
 
"External and internal debts do not pose any risks to Iraq, with the exception of loans and debts related to the Iraqi-Chinese agreement.
 
The amount of interest on those debts or the guarantees provided is not known."

Foreign debts constituted a huge burden on Iraq's finances for decades, and  it began paying billions of dollars to a number of countries and organizations around the world as a result of the senseless wars fought by the former regime.
 
Today, under the government of Prime Minister Muhammad Shia al-Sudani,
the country began to breathe a sigh of relief after getting rid of the largest amount of foreign debts.   
 
https://baghdadtoday.news/264654-الديون-الخارجية-والداخلية-لا-تشكل-أي-مخاطر-على-العراق.-باستثناء-واحدة.html   

Economic: Amending Article 12 Affects Basra’s Share Of Petrodollars

December 25 19:34  Information/private..  Economic expert Abdul Rahman Al-Mashhadani confirmed today, Wednesday, that
 
amending Article 12 of the Budget Law related to the costs of producing and exporting the Kurdistan region’s oil affects Basra Governorate’s share of the petrodollar.
 
Al-Mashhadani said in an interview with the “Al-Ma’louma” Agency,
 
“Each oil well in Iraq has different production and transportation costs, and the evidence is in the licensing rounds, where the companies’ profits ranged from one to two dollars per barrel extracted from the southern fields, while the Angolan company profited from the fields.” Qayyarah in Nineveh is $6 for extracting one barrel,” indicating that
 
“estimating the cost of producing oil in the Kurdistan region within the amendment to Article 12 of the Budget Law is subject to By handing over the fields to SOMO Company for calculation estimation.” He added,
 
"There is an objection from the representatives of Basra to this matter, considering that there will be discrimination in the governorate's rights because the share of petrodollars for each barrel will be at its expense," indicating that
 
"it is normal for discussions about this matter to take time, and the delay in approving the general budget for the year 2025 will not affect... Project implementation.
 
It is noteworthy that Parliament has been witnessing an ongoing debate for months about amending Article 12 of the General Budget Law, which relates to the costs of oil production in the fields of the Kurdistan region, while  Erbil seeks to limit the amendment in a way that does not lose control over the oil file in the region.    https://almaalomah.me/news/86388/economy/اقتصادي:-تعديل-المادة-12-يؤثر-على-حصة-البصرة-من-البترودولار   

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

The Next Big Catalyst for Gold will be a Stock Market Crash

Mike McGlone: The Next Big Catalyst for Gold will be a Stock Market Crash

Palisades gold Radio:  12-26-2024

Tom welcomes Mike McGlone, Senior Commodity Strategist at Bloomberg Intelligence, to discuss commodities and their prospects for 2025.

McGlone acknowledges challenges such as lower oil and grain prices, harming producers due to a global surplus and decreasing Chinese demand driven by electric vehicle adoption. He anticipates continued declines in industrial metals like copper and explores geopolitical risks, particularly market implications of tensions between the US and adversaries - China, Russia, North Korea, and Iran.

McGlone suggests gold as a prudent investment due to its performance during volatile markets when stocks and Bitcoin underperform.

McGlone discusses technological advancements and their impact on the economy. He suggests an investment strategy of rotating between gold and Bitcoin at highs and lows based on their current divergence in performance.

McGlone expresses concerns over Bitcoin's excessive ETF inflows as a sign of market speculation.

Regarding silver, he suggests the silver-gold ratio should be higher based on volatility and historical patterns, with potential implications if China buys silver through ETFs to address economic challenges.

Anticipating potential corrections in the US stock market, increased unemployment, and bond yield issues could lead to a different silver-gold ratio.

Time Stamp References:

0:00 – Introduction

 0:47 - Commodities in 2025

3:22 - Global Demand Decline

5:08 - U.S. & China Deficits

10:38 - Commodities & Tariffs

 16:34 - Bitcoin 'Indicator'

20:22 - Tether & Treasuries

26:07 - Gold/Bitcoin Ratio

 30:28 - ETF Demand & Flows

33:16 - Market Correction?

37:04 - 2025 Gold Target

39:42 - Thoughts on Silver

42:25 - Concluding Thoughts

43:45 - Wrap Up

https://www.youtube.com/watch?v=FgFDcNfMZlg

Seeds of Wisdom RV and Economic Updates Thursday Morning 12-26-24

Good Morning Dinar Recaps,

BRICS TO DITCH US DOLLAR FOR GOLD-BACKED CRYPTOCURRENCY

Over the last year, the BRICS bloc’s ongoing de-dollarization efforts have been a focal point. The collective has sought to limit Western hegemony and establish itself on the grander world stage. Amid its ongoing pursuits, could the BRICS bloc be in line to ditch the US dollar for a gold-backed cryptocurrency?

The economic alliance has been stashing gold reserves for much of 2024, with many believing it could be for its own trade currency. Although the bloc has affirmed that it has no interest in a native currency, it has shown a recent embrace of cryptocurrency. Both could converge on a perfect answer for its ongoing greenback dilemma.

BRICS Cryptocurrency? Why Alliance Could Build Combine Gold & Bitcoin to Take Down US Dollar

The last two years have seen the global south continue to champion the term de-dollarization. Indeed, the economic alliance has sought greater ways to limit Western economic dominance. Throughout last year, the emergence of a BRICS currency has been the focal point of that.

Now, that pursuit has taken center stage. With Donald Trump emerging victorious in the 2024 presidential election, he has threatened 100% tariffs on nations abandoning the dollar. Truthfully, that presents BRICS with one true option: double down or abandon the idea.

To this point, they have opted for the former. But it may not stay that way, as BRICS could ditch the US dollar with a gold-backed cryptocurrency. Although the bloc has not yet announced such an idea, its maneuvering does favor its presence.

For the last two years, the bloc has ferociously accumulated gold reserves. That was supposed to be for an alliance trade settlement currency. Moreover, in 2024 they have opted to dial back opposition to the cryptocurrency sector. Earlier this month, Russian President Vladimir Putin said that no one could control Bitcoin.

That appeared to show his favor of the currency. Nations like China have followed suit, with many believing both could soon embrace digital assets. With an AI and technology alliance being formed under BRICS, blockchain technology could soon be at the forefront.

That would not stop the bloc from developing its very own currency that combines both matters. It would illicit some issues with the West but would also fast-track its ongoing de-dollarization plans. Moreover, it would establish BRICS as a clear global force.

@ Newshounds News™

Source:  Watcher Guru

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“Tidbits From TNT” Thursday Morning 12-26-2024

TNT:

Tishwash:  Expert diagnoses two reasons behind the rise of the dollar against the dinar in Iraq

The economic and financial expert, Abdul Rahman Al-Mashhadani, attributed, on Wednesday, the reasons for the rise of the dollar against the Iraqi dinar to the rumor of the holidays and New Year's Day.

Al-Mashhadani said in an interview with Shafaq News Agency, "The promotion of stopping the platform is a major reason for the rise in the price of the dollar," indicating that "this rumor that spread showed that foreign transfers will stop."

He explained that "this rumor is false, as 97% of the transfers made through the window were transferred to banks that have correspondent banks in a way that enhances the balances. Also, the Christmas holiday is another reason for the demand for the dollar, as there is a lot of travel during these days."

Al-Mashhadani expected that "the situation will stabilize and the dollar will return to its normal status after the holiday."

The price of the dollar rose gradually in local markets, where it recorded 152,300 dinars for every 100 dollars in the Al-Kifah and Al-Harithiya stock exchanges, and 152,200 dinars for every 100 dollars in Erbil, the capital of the Kurdistan Region.  link

************

Tishwash:  Government Advisor: Iraq Seeks to Establish Sovereign Wealth Fund

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, confirmed that Iraq is seeking to establish a sovereign wealth fund.

Saleh told Al Furat News Agency: "Iraq seeks to establish a sovereign wealth fund, especially after the conflicts and wars that have been going on for less than half a century, and the previous regime's major role in wasting the country's resources and wealth, have transformed the surplus in the current account of the balance of payments into a net deficit due to the deterioration of the national economy's export sectors, most notably the oil sector."

Saleh pointed out that "the increase in foreign debts in the past decades was an alternative to establishing a sovereign fund for foreign wealth that relies on surplus oil revenues that can be invested in a diversified investment portfolio whose returns support the state's general budget in general and the investment budget, according to the absorption capacity in particular, similar to countries such as Norway, China, the Gulf countries, and other countries of the world."

Iraq has previous experience in establishing a sovereign wealth fund, through the establishment of the Iraqi Fund for External Development, which was established under Law No. 77 of 1974. However, after that, the work of this fund was limited to managing Iraq’s financial contributions to regional and international organizations and bodies. There was also an attempt to establish two sovereign funds for Iraq in 2018, but they remained without practical implementation.

Countries' economies are divided into three categories based on their source of income: economies with diverse sources of income, economies with a single source of income (“single-basket economies”), and the third category is between them. 

Iraq falls within the second group, as Iraq is considered a rentier state, due to its almost complete dependence on revenues from the sale of crude oil, as oil revenues constitute more than “90 percent” of the total revenues of the general budget, and contribute about “45-60 percent” of the formation of the gross domestic product.  link

************

Tishwash:  Parliamentary Finance Committee comments on the fluctuation of the dollar price and threatens to host the Governor of the Central Bank of Iraq

Member of the Parliamentary Finance Committee, Jamal Kocher, described on Wednesday the fluctuation of the dollar exchange rate in the parallel market as "temporary", while he indicated that if the rise continues, we will head to host the governor of the Central Bank of Iraq.

Kocher told Shafak News Agency, "The Parliamentary Finance Committee is closely following up with the Central Bank the dollar exchange rate in the parallel market, and that the rise and fall of the exchange rate is temporary and not fixed."

He added that "if the rise continues during the coming period, there will be another opinion from the House of Representatives," adding that "the Finance Committee, if the rise continues, will head to host the Governor of the Central Bank in the House of Representatives."

The Iraqi market witnessed a significant increase in the exchange rate of the dollar against the Iraqi dinar, as it exceeded 150 thousand dinars for every hundred dollars, despite the government measures taken to control its price in the parallel market.

It is noteworthy that since the beginning of 2023, Washington has intervened to limit the smuggling of dollars from Iraq, which led to its price rising in the local market to a record level of 170,000 dinars per 100 dollars, due to the decline in the Central Bank of Iraq’s sales of dollars, before it declined again and the Central Bank returned to selling dollars at auction.

It is worth noting that currency smuggling is ongoing, despite controls on banks, and is carried out via bags transported overland to Turkey and Iran, after withdrawing dollars from the local market and not through the official dollar selling window. Specialists have called it “black transfers,” and it has become a phenomenon that has not been controlled at the moment.

In addition to the "black transfers", Iraq witnessed other operations to withdraw the dollar at its official price and sell it at the parallel market price, by exploiting the dollar granted to travelers, returning to Iraq and selling it to achieve large profits. The name "sailors" was given to those who do this work, especially some travel and tourism companies.  link

Mot:  ... Dang!! -- Tough Night Hes Having fur Sure!!!

Mot: ......... How Can Ya Tell the age -----duct tape on tree box

The Collapse of the US Empire

The Collapse of the US Empire

WTFinance:  12-24-2024

In a recent episode of the WTFinance podcast, host John Smith welcomed back the renowned economist and social critic, Professor Richard Wolff.

Known for his compelling critiques of contemporary economic systems and his role as the Founding Director of Democracy at Work, Wolff brought his expertise to the discussion on the economics of 2024 and what the future may hold for the United States and the global economy.

As the world approaches 2024, Wolff highlighted several significant economic trends that could shape the year. One of the key themes was the potential for another “Roaring Twenties,” a term often associated with the economic boom following World War I in the United States.

Wolff noted that while the conditions for such a renaissance might exist, the reality is tempered by internal challenges facing the U.S., such as income inequality, labor unrest, and political polarization.

Wolff discussed the inward-looking nature of the U.S. economy, which has shifted in recent years due to various factors, including geopolitical tensions and a pandemic-driven re-evaluation of global supply chains. He posited that this inward focus could lead to both challenges and opportunities for growth.

A resurgence of domestic manufacturing, for instance, may boost local economies, but it requires a careful balance of investment in technology and workforce development.

Another critical aspect of the conversation revolved around the effects of large-scale migration on the U.S. economy. Wolff emphasized that an influx of immigrants can lead to wage increases across various sectors. The resulting demographic shift could drive demand for goods and services, stimulating economic growth. However, he cautioned that without proper integration policies and support systems, tensions could arise, impacting the overall economic landscape.

As the discussion progressed, Wolff articulated a vision for systemic change to alter the current economic trajectory. He stressed the importance of collective action, both in the workplace and within communities, to challenge the status quo.

 Wolff called for policies that promote cooperative business models, worker ownership, and equitable distribution of resources as means to create a more just economy. By empowering workers and encouraging grassroots movements, he believes society can effectively counteract the dangers of a collapsing economic system.

Perhaps the most impactful message from Wolff’s conversation was the emphasis on collective action as a necessary tool for change. In a world grappling with economic uncertainty and inequality, the notion that individuals can come together to drive systemic reform was a powerful reminder of the potential for social and economic transformation.

Wolff encouraged listeners to engage in conversations about alternative economic structures and to explore new avenues for collaboration and community empowerment.

The WTFinance podcast episode featuring Professor Richard Wolff provided a thought-provoking analysis of the upcoming economic landscape of 2024. From the possibilities of a renewed economic boom to the challenges posed by migration and systemic inequality, Wolff’s insights are invaluable for anyone seeking to understand the complexities of modern economics.

As we move forward into a new year, his call for collective action and systemic reform remains a crucial reminder of the power of community in shaping a more equitable economic future.

https://youtu.be/1NmVbztjAp4

Iraq Economic News and Points to Ponder Wednesday Afternoon 12-25-24

What Are Iraqis Waiting For After News Of The “Sudden Suspension” Of The Dollar Selling Platform By The Central Bank?

 Economy | Yesterday,  Baghdad today – Baghdad   Today, Tuesday (December 24, 2024), the specialist in financial and banking affairs, Alaa Al-Fahd, commented on the impact of stopping the “platform” by the Central Bank on the markets during the next stage.

Al-Fahd said, to “Baghdad Today,” that  “the Central Bank of Iraq worked during the previous period with a plan through

      an auction to sell the currency in the first stage, then

     establishing the electronic platform and

     working intensively to find methods of correspondence between local banks and foreign banks with which we have commercial relations and their results in transfers.”

“For this reason,  the bank announced some time ago that at the end of the current year, the platform will be stopped and there will be direct correspondent banks.” He stated,

 "This is normal.

 All central banks in the world's mission is to maintain monetary policy and not sell the currency.

 There is no central bank in the world that      sells the currency and   mediates in the buying and selling of the currency.

 This work is the jurisdiction and responsibility of the banks and exchange companies.

This matter is correct and it is a major challenge."

 So that the relationships are direct commercial and banking, according to supervision by the Central Bank of Iraq.” He added,

 "Stopping the platform will not affect the local markets regarding the exchange rate of the dollar, but  there are those who are trying to spread rumors that this step will change the exchange rate, so

 selling the same dollar that the Central Bank of Iraq was selling through the platform will be sold to banks and banks that have...

Relations with foreign banks so that the transfer is direct according to electronic transactions and monitoring, and for this reason the situation is under control and there is no fear of the influence of the markets.”

 Yesterday, Monday, the economic expert, Ziad Al-Hashemi, revealed that the  Central Bank of Iraq suddenly stopped the work of the dollar transfer platform, before the specified date, without an official announcement, and without taking into account the interests of Iraqi companies and markets, in a step that, to say the least, is far from professionalism and transparency.

Al-Hashemi said in a post on the social networking site “Facebook,” followed by “Baghdad Today,” that

 “stopping the platform without an official announcement by the Central Bank may indicate that there is uncertainty and fear about the results of stopping the platform on the dollar exchange rates, and

 not announcing it could It gives the Central Bank an opportunity to disavow and evade the decision to stop the platform and return to operating the platform, even temporarily, in the event that the dollar begins to rise to significant rates.”    

https://baghdadtoday.news/264554-ماذا-ينتظر-العراقيون-بعد-انباء-الإيقاف-المفاجئ-لمنصة-بيع-الدولار-من-قبل-البنك-المركزي؟.htm l  

Do Regional Challenges Play A Role In The Continued Rise Of The Dollar In Iraq?
 
December 24, 2024  Baghdad/Iraq Observer   The researcher and specialist in financial and banking affairs, Mustafa Hantoush, confirmed that the 
 
reason behind the continued rise in the exchange rate of the dollar against the Iraqi dinar is the amount of demand for it in the parallel market, while  calling for the necessity of conducting an extensive study to analyze the reasons for this rise.  Hantoush told the Iraq Observer,
 
 “One of the most important reasons behind the continued rise in the exchange rate is the collapse of the Iraqi banking system due to the control of Jordanian and Gulf banks over the dollar, which caused the lack of competition and monopoly of the dollar.”  He added,
 
"Among other reasons is the existence of huge trade with Iran and Syria without an official platform or commercial solutions or even preventing it.
 
It is a continuous trade and without any official restrictions.
 
In addition to the fact that travelers, who number in the millions, to Iran and Syria, they move without the cover of the dollar."

He continued,   “Because there are small merchants, numbering in the thousands, who do not have companies or import licenses, which caused pressure on the parallel market,
 
therefore all of the above were not covered through the currency auction, which led to the continued state of fluctuation in exchange rates.”
 
The person concerned with financial and banking affairs continues to say that
 
“there are fears of wars in the region that push market traders and citizens to exaggerate the quantities imported and purchased, and also push some citizens to save dollars in anticipation of any emergency.”

Today, Tuesday, the exchange rates of the US dollar against the dinar recorded an increase in the local markets in the capital, Baghdad. The Iraq Observer correspondent said that
 
dollar prices rose with the opening of the Al-Kifah and Al-Harithiya stock exchanges to record 151,200 dinars for every 100 dollars, while yesterday morning, Monday, they recorded 151,000 dinars for every 100 dollars. He added that
 
selling prices in exchange shops in local markets in Baghdad rose, as the selling price reached 152,250 dinars, while the purchase price reached 150,250 dinars for every 100 dollars. https://observeriraq.net/هل-للتحديات-الاقليمية-دور-بأستمرار-ار/   

The Central Bank Of Iraq Launches Strategic Projects To Support Digital Transformation
 
December 24, 2024   His Excellency the Governor of the Central Bank of Iraq, Mr. Ali Al-Alaq, announced the  launch of strategic projects to support digital transformation in the country.
 
    His Excellency the Governor affirmed in his speech during the fourth annual international scientific conference, which was entitled
(Digital Financial Services - Challenges of Reality and Foresight of the Future), that
 
“the Central Bank paid great attention to digital transformation as one of its goals within its third strategic plan for the years 2024 to 2026 to enhance work efficiency.” banking, improving financial performance and meeting customer needs in light of rapid technological development.”    His Excellency noted that,
 
“The Central Bank has made great strides to support digital transformation by developing the technical infrastructure and issuing regulations and instructions that contribute to enhancing financial inclusion,” noting that
 
“it has begun launching strategic projects, including the instant payments project, local cards, and unified payment gateways, as well as issuing controls.” To license digital banks in Iraq, taking into account cybersecurity requirements and the risks associated with this transformation.    His Excellency added,
 
"Cybersecurity represents one of the most important challenges facing us today.
 
Therefore, the Central Bank launched projects to enhance cybersecurity by developing the tools and systems of the Cybersecurity Management Center, and  adopting an advanced approach to enhance cybersecurity for the Central Bank and the banking sector."   

His Excellency stressed  "the Central Bank's commitment to continuing its efforts to achieve financial digital transformation and enhance innovation and sustainability in the financial sector."      
 Central Bank of Iraq      Media office      December 24, 2024   https://cbi.iq/news/view/2745   

Positive Indicators For The Third Quarter Of 2024

 December 24, 2024   1. Growth in the volume of cash deposits and credit of operating banks by (4.2%) and (11.6%), respectively:

 Total deposits with banks operating in Iraq recorded a growth of (4.2%) in the third quarter of 2024, reaching a value of (127.6) trillion dinars, compared to their value of (122.4) trillion dinars in the third quarter of 2023. In contrast, the

 cash credit record Granted by public banks grew by (11.6%) in the third quarter of 2024, as its value reached (72.7) trillion dinars, compared to Its value amounts to (65.1) trillion dinars in the third quarter of 2023.

 Positive indicators for the third quarter of 2024 File-173502791644793

https://cbi.iq/static/uploads/up/file-173502791644793.jpg

 2. Growth in the volume of cash deposits and credit to private banks by (14%) and (15.1%), respectively:

 Deposits with private banks operating in Iraq recorded a growth of (14%) in the third quarter of 2024, reaching a value of (18.7) trillion dinars, compared to their value of (16.4) trillion dinars in the third quarter of 2023.

 On the other hand, it achieved Monetary credit granted by private banks grew by (15.1%) in the third quarter of 2024, reaching a value of (12.2) trillion dinars, compared to With a value of (10.6) trillion dinars in the third quarter of 2023.

 It should be noted that these percentages reflect the increased confidence of economic units in private banks operating in Iraq.

 Positive indicators for the third quarter of 2024 File-173502819314514

https://cbi.iq/static/uploads/up/file-173502819314514.jpg

 3. Growth in the volume of deposits and cash credit to the private sector by (3%) and (8.6%), respectively:

Private sector deposits with banks operating in Iraq recorded a growth of (3%) in the third quarter of 2024, reaching a value of (56.1) trillion dinars, compared to their value of (54.4) trillion dinars in the third quarter of 2023. On the other hand, credit achieved...

 Cash granted to the private sector by banks operating in Iraq grew by (8.6%) in the third quarter of 2024, reaching a value of (42.8) trillion. dinars, compared to its value of (39.4) trillion dinars in the third quarter of 2023.

 It should be noted that this increase reflects increased private sector confidence in banks operating in Iraq.

 Positive indicators for the third quarter of 2024 File-173502835431430

https://cbi.iq/static/uploads/up/file-173502835431430.jpg

 4. Growth of the money supply in the narrow sense ( M1 ) by (4.1%), and the money supply in the broad sense ( M2 ) by (3.3%):

The money supply in the narrow sense in Iraq recorded a growth of (4.1%) in the third quarter of 2024, as   its value reached (158.6) trillion dinars, compared to its value of (152.4) trillion dinars in the third quarter of 2023.

 On the other hand, the money supply in the narrow sense recorded Broadband in Iraq grew by (3.3%) in the third quarter of 2024, as its value reached (179.8) trillion dinars, compared to its value of (173.9) trillion dinars in the third quarter of 2023.

 Positive indicators for the third quarter of 2024 File-173502876777164

https://cbi.iq/static/uploads/up/file-173502876777164.jpg

 5. Growth of gold reserves at the Central Bank by (57%):

 Gold reserves at the Central Bank of Iraq recorded a significant growth of (57%) in the third quarter of 2024, reaching a value of (16.8) trillion dinars, compared to its value of (10.7) trillion dinars in the third quarter of 2023.

It should be noted that gold reserves are an important hedge against the risks of falling global oil prices.

Positive indicators for the third quarter of 2024 File-173502907237970

https://cbi.iq/static/uploads/up/file-173502907237970.jpg

6. The annual inflation rate for the months of August and September was (3.7%) and (3.1%), respectively:

 Annual inflation rates in Iraq are among the lowest annual inflation rates in the countries of the region for the months of August and September of 2024, as the rest of the rate is acceptable at (3.7%) and (3.1%), respectively, and  this reflects price stability and the success of monetary policy in Iraq.

 Positive indicators for the third quarter of 2024 File-173502988143405

 https://cbi.iq/static/uploads/up/file-173502988143405.jpg  https://cbi.iq/news/view/2744     

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

“Tidbits and Merry Christmas From TNT” Wednesday Morning 12-25-2024

TNT:

Tishwash:  Parliamentary Finance: The budget will be passed with integrity and fairness

Member of the Parliamentary Finance Committee, Hussein Al-Saabari, confirmed today, Tuesday, that the proposed tables in the draft budget law are under study, and it is expected that they will be finally passed. 

Al-Saabari stressed in a statement to the Al-Maalouma Agency, “the necessity for the budget to be real and reflect everyone’s interests,” warning that “some amendments may benefit some parties at the expense of others, which is unacceptable.” 

He explained that "the budget must be fair and just for all Iraqis, while ensuring that resources are distributed in a way that achieves the public interest without prejudice to the rights of any party." 

He pointed out that "the draft budget law has not yet reached Parliament, and that the Council and its Finance Committee are ready to receive it as soon as it arrives." 

It is noteworthy that the House of Representatives previously hosted Prime Minister Mohammed Shia Al-Sudani and his deputies, the Minister of Planning, the Minister of Foreign Affairs, and the Minister of Interior, where the amendments to the budget for next year 2025 were discussed .  link

************

Tishwash:  Central Bank of Iraq launches strategic projects to support digital transformation

His Excellency the Governor of the Central Bank of Iraq, Mr. Ali Al-Alaq, announced the launch of strategic projects to support digital transformation in the country.

In a speech during the fourth annual international scientific conference, which was titled (Digital Financial Services - Challenges of Reality and Future Foresight), His Excellency the Governor stressed that "the Central Bank has paid great attention to digital transformation as one of its goals within its third strategic plan for the years from 2014 to 2026 to enhance the efficiency of banking work, improve financial performance, and meet customer needs in light of rapid technological development."

His Excellency noted that "the Central Bank has taken great steps to support digital transformation by developing the technical infrastructure and issuing regulations and instructions that contribute to enhancing financial inclusion," referring to "the start of launching strategic projects, including the instant payments project, local cards, and unified payment gateways, as well as issuing controls to license digital banks in Iraq, taking into account cybersecurity requirements and the risks associated with this transformation."

His Excellency added that "cybersecurity is one of the most important challenges facing us today, so the Central Bank has launched projects to enhance cybersecurity by developing the tools and systems of the Cybersecurity Management Center, and adopting an advanced approach to enhance the cybersecurity of the Central Bank and the banking sector."

His Excellency stressed "the Central Bank's commitment to continue its efforts to achieve financial digital transformation and enhance innovation and sustainability in the financial sector."

Central Bank of Iraq
Media Office
December 24, 2024  link

*************

Tishwash:  What are Iraqis waiting for after the news of the "sudden suspension" of the dollar selling platform by the Central Bank?

Financial and banking expert Alaa Al-Fahd commented today, Tuesday (December 24, 2024), on the impact of the Central Bank’s suspension of the “platform” on the markets during the next stage.

Al-Fahd told Baghdad Today, "The Central Bank of Iraq worked during the previous period with a plan through a currency auction in the first phase, then establishing the electronic platform and intensive work to find correspondence methods between local banks and foreign banks with which we have commercial relations and their results in external transfers. Therefore, the bank announced some time ago that the platform will be stopped at the end of this year and there will be direct correspondent banks."

He explained that "this is a natural matter, as all central banks in the world are tasked with maintaining monetary policy, not selling currency. There is no central bank in the world that sells currency and mediates in buying and selling currency. This work is the responsibility and responsibility of banks and exchange companies. This is true and is a major challenge until the relations are direct commercial banking under the supervision of the Central Bank of Iraq."

He added, "Stopping the platform will not affect the local markets in terms of the dollar exchange rate, but there are those who are trying to spread rumors that this step will change the exchange rate, as the same dollar that the Central Bank of Iraq was selling through the platform will be sold to banks and banks that have relations with foreign banks so that the transfer is direct according to electronic transactions and monitoring, and for this reason the situation is under control and there is no fear of the impact on the markets."

Yesterday, Monday, economic expert Ziad Al-Hashemi revealed that the Central Bank of Iraq had suddenly suspended the dollar transfer platform before the scheduled date, without an official announcement, and without taking into account the interests of Iraqi companies and markets, in a move that is, to say the least, far from professionalism and transparency.

Al-Hashemi said in a post on the social networking site "Facebook", which was followed by "Baghdad Today", that "stopping the platform without an official announcement by the Central Bank may indicate that there is uncertainty and fear of the consequences of stopping the platform on the dollar exchange rates, and the lack of announcement may give the Central Bank an opportunity to evade and evade the decision to stop the platform and return to operating the platform, even temporarily, in the event that the dollar begins to rise to high rates  link

Mot:  When Ya Needs to do it Once a Year!!!! Siiggghhhhh 

Mot: Warning!!! -- In these Final Moments!!!! 

Mot:  ......... The List!!!!

Iraq Economic News And Points To Ponder Tuesday Afternoon 12-24-24

Congratulations on Christmas.. The President of the Republic stresses the importance of consolidating security and stability and enhancing brotherhood and coexistence among all components

Tuesday 24 December 2024 18:49 | GeneralNumber of readings: 106

Baghdad / NINA / The President of the Republic, Dr. Abdul Latif Jamal Rashid, congratulated the Christians of Iraq on the occasion of Christmas, stressing the importance of working to consolidate security and stability and enhance brotherhood and coexistence among all components.

The President said in a tweet on the Aks website: "On the occasion of Christmas and the New Year, we extend our warmest congratulations and blessings to our people and our Christian families in Iraq and the world, wishing them a happy holiday in which everyone enjoys security, safety and joy."

He added: "On this dear occasion, we stress the importance of preserving the gains achieved in the country, working to consolidate security and stability, and enhancing brotherhood and coexistence among all components, and working together to build a prosperous future for all Iraqis. We also stress the importance of working to establish security and peace and end the tensions and crises facing the region." / End9   https://ninanews.com/Website/News/Details?Key=1176497

Dollar Prices Rise In Baghdad And Erbil With Stock Exchanges Closed

Economy  | 05:00 - 12/24/2024   Mawazine News – Economy  The markets of the Iraqi capital, Baghdad, and Erbil, the capital of the Kurdistan Region, witnessed a rise in the dollar exchange rates with the closing of the stock exchanges on Tuesday evening. The

dollar prices also rose with the closing of the Al-Kifah and Al-Harithiya stock exchanges in Baghdad, recording 151,400 dinars for every 100 dollars, after it had recorded 151,200 dinars this morning.

Selling prices also rose in the local markets in Baghdad, where the selling price reached 152,500 dinars, while the purchase price reached 150,500 dinars for every 100 dollars.

In Erbil, the dollar also recorded a rise, where the selling price reached 151,400 dinars for every 100 dollars, while the purchase price reached 151,300 dinars for every 100 US dollars. https://www.mawazin.net/Details.aspx?jimare=257837

Gold Prices Stabilize In Baghdad

Stock Exchange  Economy News – Baghdad  The prices of "foreign and Iraqi" gold stabilized in the local markets in the capital, Baghdad, today, Tuesday (December 24, 2024).

Gold prices in the wholesale markets on Al-Nahr Street in the capital, Baghdad, this morning recorded a selling price for one mithqal of 21 karat Gulf, Turkish and European gold of 552 thousand dinars, and a purchase price of 548 thousand dinars.

The selling price of one mithqal of 21-karat Iraqi gold reached 522 thousand dinars, and the purchase price was 518 thousand.

As for gold prices in goldsmiths’ shops, the selling price of a mithqal of 21-karat Gulf gold ranges between 550,000 and 560,000 dinars, while the selling price of a mithqal of Iraqi gold ranges between 520,000 and 530,000 dinars.  95 views   12/24/2024 - https://economy-news.net/content.php?id=51235

Oil Prices Rise Ahead Of Christmas

Energy   Economy News – Baghdad   Oil prices rose on Tuesday in thin trading ahead of the Christmas holiday, supported by U.S. economic data and rising demand for oil in India, the world's third-largest oil importer.

Brent crude futures rose 33 cents, or 0.45 percent, to $72.95 a barrel, while U.S. West Texas Intermediate (WTI) crude futures rose 29 cents, or 0.42 percent, to $69.53 a barrel by 01:14 GMT.

New orders for key U.S. manufactured capital goods rose in November amid strong demand for machinery, while new home sales also rebounded in a sign that the U.S. economy is on solid footing toward the end of the year. The United States is the world's largest oil consumer.

In the shorter term, traders are looking for signs of U.S. demand from crude oil and fuel inventory data due from the American Petroleum Institute later on Tuesday.

WTI crude has finished the last three sessions just below $69.50 as volatility seeps out of the market ahead of the holiday period, said Tony Sycamore, market analyst at IG.

Meanwhile, India's crude oil imports, the world's third-largest oil importer, rose 2.6% year-on-year to 19.07 million metric tons in November, government data showed, supported by strong demand amid rising economic activity and travel.

118 views    12/24/2024 - 8:57 AM   https://economy-news.net/content.php?id=51221

Director Of Iraqi Ports: Our Revenues Exceeded One Trillion Dinars In 2024

economy | 08:21 - 12/24/2024  Mawazine News – Baghdad  The Director General of the Ports Company, Farhan Fartosi, stated today, Tuesday, that the company's revenues exceeded one trillion dinars in the year 2024.

Fartosi said in a statement to "Mawazine News" that "the company's revenues achieved a leap through the development of docks and port facilities, in addition to introducing the electronic automation system."

He pointed out that "the revenues for the year 2024 recorded more than one trillion dinars after they did not exceed half a trillion in previous years."  https://www.mawazin.net/Details.aspx?jimare=257853

Central Bank Governor: We Have Issued Controls To License Digital Banks In Iraq

Banks  Economy News – Baghdad  The Governor of the Central Bank, Ali Al-Alaq, announced today, Tuesday, the launch of strategic projects to support digital transformation, while indicating that the Central Bank has issued controls to license digital banks in Iraq.

Al-Alaq said in a speech during the fourth annual international scientific conference, entitled (Digital Financial Services - Challenges of Reality and Future Foresight), which was followed by "Al-Eqtisad News", that "the conference was organized in partnership between the Financial and Accounting Center and a number of universities and academic institutions, which gives an image aimed at discussing developments in the field of financial and digital services and the challenges they face, in addition to foreseeing the future of this vital sector."

He added that "the world has witnessed, since the late eighteenth century, four inventions that changed its face, the first with the invention of the steam engine, the second with the electric engine and large-scale production, the third that occurred in the middle of the twentieth century in the revolution of electronics and information technology, and the fourth that began in the year 2000, which focused on artificial intelligence, the Internet, robotics, and big information."

He explained that "the Central Bank paid great attention to digital transformation as one of its goals within its third strategic plan for the years from 2014 to 2026 to enhance the efficiency of banking work, improve financial performance, and meet customer needs in light of rapid technological development."

He continued: "The Central Bank has taken great strides to support digital transformation by rotating the technical infrastructure and issuing regulations and instructions that contribute to enhancing financial inclusion," noting "the launch of strategic projects, including the instant payments project, local cards and unified payment gateways, in addition to issuing controls to license digital banks in Iraq, taking into account cybersecurity requirements and the risks associated with this transformation."

He pointed out that "the objectives of the conference, which include identifying current challenges for digital financial services, anticipating future trends, and enhancing innovation and cooperation with relevant parties, reflect the urgent need for joint action."

He stressed that "cybersecurity is one of the most important challenges facing us today, so the Central Bank launched projects to enhance cybersecurity by developing tools and systems for the Cybersecurity Management Center, and adopting an advanced approach to enhance cybersecurity for the Central Bank and the banking sector."

He added, "Artificial intelligence and its role in digitizing financial services has become a topic that cannot be ignored as it opens new horizons for innovation and improvement of services. We at the Central Bank of Iraq believe that financial technology completes the future of the financial sector, which requires enhancing efforts to prepare national cadres capable of absorbing and developing these technologies," stressing "the Central Bank's commitment to continuing its efforts to achieve financial digital transformation and enhance innovation and sustainability in the financial sector."

227 views   Added 12/24/2024 - https://economy-news.net/content.php?id=51239 

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

“Tidbits From TNT” Tuesday 12-24-2024

TNT:

Nassif: Government reforms contributed to Iraq's exit from foreign debt risks

MP Alia Nassif confirmed on Monday that the current government has achieved important economic reforms, most notably Iraq’s exit from the dangers of foreign debt.

"One of the most important economic reforms of the current government is to free Iraq from the risks of foreign debt after paying most of it off over the past two years," Nassif said in a statement reported by the official news agency and seen by Al-Eqtisad News.

"Our economy has become more secure and not shackled by debt," she added, expressing her hope "to move in the coming period from a rentier economy to a productive economy through an agricultural industrial revolution link

Tishwash:  What are Iraqis waiting for after the news of the "sudden suspension" of the dollar selling platform by the Central Bank?

Financial and banking expert Alaa Al-Fahd commented today, Tuesday (December 24, 2024), on the impact of the Central Bank’s suspension of the “platform” on the markets during the next stage.

Al-Fahd told Baghdad Today, "The Central Bank of Iraq worked during the previous period with a plan through a currency auction in the first phase, then establishing the electronic platform and intensive work to find correspondence methods between local banks and foreign banks with which we have commercial relations and their results in external transfers. Therefore, the bank announced some time ago that the platform will be stopped at the end of this year and there will be direct correspondent banks."

He explained that "this is a natural matter, as all central banks in the world are tasked with maintaining monetary policy, not selling currency. There is no central bank in the world that sells currency and mediates in buying and selling currency. This work is the responsibility and responsibility of banks and exchange companies. This is true and is a major challenge until the relations are direct commercial banking under the supervision of the Central Bank of Iraq."

He added, "Stopping the platform will not affect the local markets in terms of the dollar exchange rate, but there are those who are trying to spread rumors that this step will change the exchange rate, as the same dollar that the Central Bank of Iraq was selling through the platform will be sold to banks and banks that have relations with foreign banks so that the transfer is direct according to electronic transactions and monitoring, and for this reason the situation is under control and there is no fear of the impact on the markets."

Yesterday, Monday, economic expert Ziad Al-Hashemi revealed that the Central Bank of Iraq had suddenly suspended the dollar transfer platform before the scheduled date, without an official announcement, and without taking into account the interests of Iraqi companies and markets, in a move that is, to say the least, far from professionalism and transparency.

Al-Hashemi said in a post on the social networking site "Facebook", which was followed by "Baghdad Today", that "stopping the platform without an official announcement by the Central Bank may indicate that there is uncertainty and fear of the consequences of stopping the platform on the dollar exchange rates, and the lack of announcement may give the Central Bank an opportunity to evade and evade the decision to stop the platform and return to operating the platform, even temporarily, in the event that the dollar begins to rise to high rates  link

************

Tishwash:  Dollar Auction.. What is the truth about stopping the Central Bank’s platform for currency conversion?

A responsible source in the Central Bank of Iraq revealed, on Monday evening, the truth about stopping the Central Bank's platform for currency transfer starting today.

The source told Shafak News Agency, "The talk about the official suspension of the Central Bank's platform for the currency transfer window, on today's date 12/23/2024, is incorrect. Today, the auction worked normally and there is no official decision to suspend it so far."

The source, who requested anonymity, added, “This platform will be stopped at the end of this year, according to what the bank officially announced. This does not mean stopping transfer operations, as some are trying to promote. However, after this step, there will be direct dealings between banks and correspondent banks, and not canceling transfer operations, as is being promoted. The issue is not limited to specific banks, but rather the process will be much broader.”

The responsible source in the Central Bank stated that "many Iraqi banks have the capabilities to deal directly with correspondent banks and operate in accordance with the work of advanced global banking sectors."  link

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Tishwash:  Al-Sudani is considering inviting American companies to work in the port of Faw

 Prime Minister Mohammed Shia Al-Sudani discussed, today, Monday, with the Ministers of Oil and Electricity, in addition to specialized advisors and a number of undersecretaries in the two ministries, extending an invitation to specialized American companies to establish a fixed gas platform in the Grand Faw Port.

Prime Minister Mohammed Shia Al-Sudani chairs a meeting on energy projects.

Prime Minister Mohammed Shia Al-Sudani chaired a meeting today, Monday, on oil and electricity sector projects, in the presence of the Ministers of Oil and Electricity, in addition to specialized advisors and a number of undersecretaries in the two ministries.

During the meeting, the gas projects that are being implemented within the government program were discussed, as well as the timetable set for their completion, especially since there is an increase in the levels of stopping the burning of associated gas, as the percentage currently stands at 67 percent, and it is hoped to reach 80 percent by the end of next year, leading to a complete cessation of burning by the end of 2027.

During the meeting, the invitation to specialized American companies to establish a fixed gas platform in the Grand Faw Port was also discussed.

The meeting discussed inviting international energy companies to invest in natural gas fields, in addition to discussing the plan to supply fuel to power plants at the present time and for the coming months. link 

Mot: . That's an excellent way to look at it  

 Mot: .. So What Do Reindeer Dream About --- 

Iraq Economic News And Points To Ponder Tuesday AM 12-24-24

Stopping The Dollar Transfer Platform...A Calculated Step Or A Risky Adventure?
 
December 23, 2024  Baghdad/Iraq Observer  The Central Bank of Iraq is scheduled to abandon the electronic platform for dollar transfers abroad at the end of this year,  which has raised questions about whether this decision indicates the abandonment of the Iraqi Central Bank and the US Federal Bank’s mechanisms for monitoring the movement of the dollar,
 
or is it a step towards adopting a new system that may It contributes to reducing sharp fluctuations in the exchange rate and returning it to its natural levels that are consistent with the requirements of the local market and the national economy.

The electronic platform was launched in early 2023 as a new mechanism aimed at auditing dollar transfers before they are implemented, replacing the previous system that relied on auditing by the US Federal Bank after the transfers were completed, which was considered a step to enhance transparency, improve control of the movement of funds, and ensure compliance with financial laws.
 
At that time, banks, companies and merchants in Iraq faced major challenges in adapting to the new mechanism, as it required time to understand the working mechanisms and ensure compliance with the requirements.
 
However, these entities were able to adapt gradually, especially after bank employees underwent extensive training courses on using the electronic platform, which contributed to achieving full compliance with the new work procedures and ensuring the smooth flow of financial operations.
 
According to the new transfer mechanism, banking operations in dollars will be limited to banks that have international banking relationships, or what are known as “correspondent banks.”
 
Concern and reassurance
 
Both the Central Bank of Iraq and the US Federal Reserve believe that this step will contribute to strengthening oversight of remittances in a more precise and specialized manner, by restricting transactions to a limited number of banks that have high banking standards and the ability to cooperate with international banks, which aims to reduce financial risks and ensure Compliance with international controls.
 
In turn, Mustafa Akram, a researcher in financial and banking affairs, said that
 
stopping work on the electronic platform (FITR) and restricting dollar transfers to a limited number of foreign banks may pose challenges to the local banking system, indicating that
 
“this step may raise concerns about the concentration of transactions in dollars.” “In a limited range, which may lead to effects on exchange rate stability.”

Akram added to “Iraq Observer” that  “there is a need for a deeper study of the impact of these measures on competitiveness in the Iraqi banking sector, while emphasizing the importance of preserving banking sovereignty and enhancing balance in the local market.”
 
Possible bounces
 
In light of these movements, news was raised about a trend towards making a new adjustment to the exchange rate, which raised concern among economists about the potential impact of this trend on the economic process in general.
 
Experts stressed that sudden changes in monetary policy may create additional confusion in the markets and weaken confidence in the financial system.
 
For his part, economic expert Uday Al-Alawi stressed that
 
“the biggest mistake the government can make is manipulating the dollar exchange rate through sudden decisions, because this has a direct impact on the national economy and undermines investors’ confidence in the financial system.” Al-Alawi added, in a press comment, that
 
“the government’s continued making of ill-considered decisions regarding the exchange rate will lead to the erosion of international and local confidence in the Iraqi economy, which will weaken the ability to attract the investments necessary to improve the economic reality.”
 
Economists fear the possibility of some banks not included in the transfers going to meet the requirements of their customers towards the parallel market, which could lead to a return to the rise of the dollar in Iraq.   https://observeriraq.net/إيقاف-منصة-تحويلات-الدولار-خطوة-محسوب/   

An expected rise in the dollar...a “temporary shock” awaiting the Iraqi market
 
Economy | Yesterday, 19:49 |
Baghdad today - Baghdad
 
Today, Monday (December 23, 2024), the "Future Iraq" Foundation for Economic Studies and Consultations expected a rise in the dollar exchange rate during the next few days, following the Central Bank of Iraq's announcement of stopping the currency conversion window platform.
 
The head of the institution, Manar Al-Obaidi, said in a statement to “Baghdad Today” that
 
“stopping the Central Bank’s currency transfer platform, which was officially announced on 12/23/2024, will lead to a temporary rise in the dollar exchange rate in the market as a result of the prevailing state of fear.”

However, things will return to normal at the beginning of the new year.” Al-Obaidi added,
 
"This decision had been previously announced by the Central Bank,
 
but such measures, when implemented, cause a shock in the market, leading to a temporary rise in the exchange rate, before the shock is gradually absorbed." He explained that
 
"the difference between the official and parallel market will remain, but it will shrink as the situation stabilizes."
 
On Tuesday (December 17, 2024), economic affairs specialist Nasser Al-Tamimi warned of a rise in the dollar exchange rates in Iraq in the coming days. Al-Tamimi told “Baghdad Today” that
 
 “there are real fears in the Iraqi market about the continued rise in dollar exchange rates after the platform was suspended by the Central Bank of Iraq,” noting that
 
“this matter will constitute a shock, especially at the beginning of the implementation of the decision and will push for a rise.” The dollar, to increase demand for it in the parallel market.” He added,
 
"After stopping the platform, most merchants, especially small ones, will depend on the parallel market to finance their foreign trade, while continuing to finance trade with Iran and Turkey with dollars, in illegal ways," pointing out that
 
"this is what will push the rise and  that is why practical steps must be taken to prevent This is done by the monetary authority in the country, and urgently.”
 
On Wednesday (September 4, 2024), the Central Bank of Iraq revealed the mechanism for ending the electronic platform for external transfers, while
 
indicating that placing external transfer operations and meeting requests for the dollar is on sound paths and consistent with international practices and standards. 
 
https://baghdadtoday.news/264515-ارتفاع-مرتقب-للدولار.-صدمة-مؤقتة-بانتظار-السوق-العراقي.html   

New Conditions From The Iraqi Central Bank For Buying And Selling Foreign Currencies
 
December 23, 2024  Baghdad/Iraq Observer  Today, Monday, the Central Bank of Iraq set new conditions for buying and selling foreign currencies.   Below is the document:  
 
https://observeriraq.net/wp-content/uploads/2024/12/IMG_9748.jpeg   
 
https://observeriraq.net/شروط-جديدة-من-المركزي-العراقي-لبيع-وشر/   
 
 ~~~~~

[approximate and incomplete translation of https://observeriraq.net/wp-content/uploads/2024/12/IMG_9748.jpeg ]
 
DATE:  2024/12/22  Electronic payment companies / two accessories
Exchange and mediation companies selling and selling foreign currencies
5 / Digital payment providers
 
Due to the availability of all the requirements for appointing the agent mentioned in (Chapter Two /
First / The Requirements of the Agent) from controls
The work of the providers of digital payment services for a year 2020 and the fact that exchange companies are my category (A,B) and the mediation companies by selling and selling
Foreign currencies Venice (C) licensed from this bank and is subject to its supervision and monitoring; The following decides:
 
1- Allowing exchange companies Vinte (A,B) and mediation companies to buy and sell foreign currencies (C) Digital payment services / accessories to provide cash withdrawal service (POC) according to the following conditions:
 
1- The agency/ executor in the name of the company should be limited and not owned by natural people.
 
A- The agency's services are provided inside the company’s headquarters and its branches exclusively.
 
B- The company informs this bank when contracting with the digital payment service and providing it with a copy of the signed contract The two parties.
 
C- Closing the agency / port in the event that this bank withdraws the company's leave.
 
D- The agency's domestic payment service for the agency took a written pledge from the company wishing to contract with him not to own any
A shareholder / executive and operating outside the exchange of the exchange or mediation company.
 
2- In the event that one of the shareholders or director of the exchange and mediation companies has an agency / port in his name and works outside the headquarters

The company can integrate the agency / port with the company and allow it to transfer its ownership in the name of the company in exclusivity and inform this bank that
An exception to the blindness of this bank number (114/10/9) on 2/22/2022, which includes not transferring the ownership of agents/withdrawals outlets POC; In the event that the agent / the perpetrator wants to leave the work, the digital payment companies must end the contract and take
The appropriate procedures for them not to sell the agency's ownership and its transmission.
 
With appreciation.  https://observeriraq.net/شروط-جديدة-من-المركزي-العراقي-لبيع-وشر/   

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