Currency Revaluation Articles I


Parliamentary Finance outweigh lower demand for the dollar with a new currency issuance
Parliamentary Finance outweigh lower demand for the dollar with a new currency issuance
06/02/2015 11:47
The parliamentary finance committee suggested reduced demand for the dollar in the Iraqi market with the release of the new category of the local currency, noting that the central bank reduced sales led to increased demand and lifted the dollar exchange rate against the dinar.

Central Bank of Iraq and the process and intends to issue new paper from the category of 50 thousand dinars and 100 thousand dinars not to grudge measures aimed to revive the local market chain.

The committee member said Jabbar Abdul-Khaliq's (IMN) "The forecasts indicate lower demand for the dollar in the domestic market with the start of trading the new category of local currency," adding that "the growing demand for the dollar has caused a decline in the dinar exchange rate."

Abdul-Khaliq said that "the increasing demand for the dollar with reducing the supply of it in accordance with procedures and instructions of the Central Bank of the federal budget caused by increasing dollar exchange rates against the Iraqi dinar."

He said the Central Bank of Iraq last Saturday, he said that the 18 banks they started the adoption of a fixed selling price per dollar B1193 dinars in order to re-stabilize the exchange rate in the domestic market.

And I saw the Iraqi dinar exchange rate against the dollar decline after the record per dollar exchange rate 1330 dinars over the past two weeks.

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Parliamentary Finance outweigh lower demand for the dollar with a new currency issuance

Parliamentary Finance outweigh lower demand for the dollar with a new currency issuance

June 2, 2015 

BAGHDAD / Center Brief for the Iraqi Media Network (IMN) - the parliamentary finance committee suggested reduced demand for the dollar in the Iraqi market with the release of the new category of the local currency, noting that the central bank reduced sales led to increased demand and lifted the dollar exchange rate against the dinar.

Central Bank of Iraq and the process and intends to issue new paper from the category of 50 thousand dinars and 100 thousand dinars not to grudge measures aimed to revive the local market chain.

The committee member said Jabbar Abdul-Khaliq's (IMN) "The forecasts indicate lower demand for the dollar in the domestic market with the start of trading the new category of local currency," adding that "the growing demand for the dollar has caused a decline in the dinar exchange rate."

Abdul-Khaliq said that "the increasing demand for the dollar with reducing the supply of it in accordance with procedures and instructions of the Central Bank of the federal budget caused by increasing dollar exchange rates against the Iraqi dinar."

He said the Central Bank of Iraq last Saturday, he said that the 18 banks they started the adoption of a fixed selling price per dollar B1193 dinars in order to re-stabilize the exchange rate in the domestic market.

And I saw the Iraqi dinar exchange rate against the dollar decline after the record per dollar exchange rate 1330 dinars over the past two weeks.

From: Haider al-Tamimi, editor: Mushtaq Ramadan Faili, Posted: Dreams Jaddah

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Ornaments: Iraq is not facing a financial crisis

Group: economy
Published on Sat, 24 January 2 / January 2015 07:33
Written by: Laith Mohammed Reza

BAGHDAD / Center Brief for the Iraqi Media Network (IMN) - Prime Minister Walid al-Hilli adviser, said on Saturday that the country is not facing a financial crisis, but facing financial hardship, there are practical measures to develop effective solutions to such distress.

The ornaments in the economic conference conducted by the morning newspaper, and was attended by a reporter Center Brief, "The reserve is located in the Central Bank covers the value of the Iraqi dinar." Noting that "the government is working through its government to overcome this hardship."

It is noteworthy that the price of a barrel of oil, fell to its lowest level down to price between 38-48 dollars per barrel.

From: Ammar Ali, editor: Laith Mohammed Reza




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Opportunity to raise the value of the dinar





1/25/2015 0:00

BAGHDAD - Mustafa al-Hashemi
Economists and experts describe the Iraqi monetary policy as good as maintained the stability of the exchange rate under difficult economic conditions and the slow march towards progress the country witnessed in previous years, despite Iraq's possession of the elements of the economic boom in all productive sectors.
In this context, economic researcher saw state just to increase production achieve an increase in income and financial returns requires finding a balance or equation to ensure the continued improvement in the exchange rate with a salary increase to reach the stage commensurate with the productive economy and activating the industrial and agricultural sectors to improve the value of the dinar.
Iraq has seen in the last ten years a rise in production and exports of oil at a time when the value of the dinar has seen remarkable stability without mention in the high purchasing power.
Adel said in a statement the "morning" Now is the chance, despite the difficult circumstances, to activate the productive sectors as stated in the government program of encouraging the private sector and entry effectively in economic development through self-reliance resources of the private sector and move his money and invested in the development of economic reality.
She noted that the citizens believe that achieved an increase in oil production to ensure a major boost for the dinar in time looking where to direct positive repercussions on their standard of living through the production and export growth, hoping to resolve this matter through the involvement of the private sector in the development process.
She called economic researcher to develop solutions that contribute to upgrading the reality of living of the citizen and the creation of employment opportunities and jobs for graduates and the unemployed through the activation of the private sector because it possesses the freedom in his works and his money management away from the bureaucracy that makes production distinct exploited by the efforts and energies of young.
The economic and academic Dr. Majid Baidhani said earlier in the "morning" to increase the productivity of the individual worker comes through the activation of the private sector and projects in the productive sectors such as agriculture and industry.
He added: It is necessary to achieve financial revenues through the creation of jobs and employment opportunities in the private sector and make it equally with government officials privileges that contribute significantly to the revival of the booming economy, having to rely on the oil industry to activate those opportunities.
He stressed: that the central bank was able through the successful implementation of financial policies in recent years have contributed a lot in the stability of the market and this may be leading role regarding the improvement of the exchange rate.
He continued: Here comes the role of government and the competent authorities to complete drawing this picture by providing focused support to the private sector and the implementation of the government program, which stressed the importance in advancing the country's economy forward. Stressing that the most successful monetary policy is to maintain the stability of the exchange rate increase provided Alantegeh.oasmah International Monetary countries with economies in transition fund implementation of currency controls to stabilize the economy during the reconstruction phase and this is what served as the local economy over the past years.
He Baidhani that Iraq currently has the expertise and economic efficiencies in homes experienced enough for taking the lead and initiate self-reliance to develop the economy through reform developmental programs and policies that fit this stage application.
Mention that there are several factors confirms the possibility of the high value of the dinar against the dollar, the most prominent is the existence of a great desire for foreign investors to buy the Iraqi dinar, in addition to having an excellent cash reserve, which covers the local currency, as well as the dinar currency traded publicly in the global currency markets.
It is said that the central bank was able during the previous years of the reduction of the dinar against the dollar from 1450 dinars to the dollar to 1166 dinars, which is now in the bank.
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The private sector contributes to increase the value of the 






6/11/2014 0:00

BAGHDAD Mustafa al-Hashemi
Many people wonder about the reasons for the rise in the purchasing power of the dinar years ago and so far, despite having a good cover of gold and foreign currency as well as the rise in oil exports as well as improve its exchange rate against the dollar, when the continued improvement in the exchange rate with the salary increase Fsnsal to the stage is not commensurate with the productivity of the economy reason to support the private sector and the privileges granted parallel privileges of the public sector, where the rate of wages.
In this context, the economic academic sees Dr. Majid Baidhani importance of finding a balance between this equation by increasing the productivity of the individual to achieve the increase in incomes, explaining that the productivity of the individual worker comes through the activation and projects of the private sector in productive sectors such as agriculture and Alsnaah.oadav told (morning) : it is necessary to achieve financial revenues through the creation of jobs and employment opportunities in the private sector and make it a par with government employees privileges are greatly contribute to the revival of the booming economy, after the reference to the oil industry to activate those opportunities. He stressed that the central bank was able through the implementation of a successful fiscal policies in recent years have contributed a lot in the stability of the market and this has resulted in its role regarding the improvement of the exchange rate, and went on to say: Here comes the role of government and the competent authorities to complete drawing this picture by providing focused support to the private sector and the implementation of the government program, which stressed the importance in advancing the country's economy forward. Stressing that the most successful monetary policy is to maintain the stability of the exchange rate increase provided Alantegeh.oasmah IMF to countries with economies in transition fund implementation of currency controls in order to stabilize the economy during the reconstruction phase and this is what served as the local economy over the past years.
Baidhani said that Iraq currently has the expertise and economic efficiencies in existing homes experienced enough for taking the initiative and self-reliance proceed to develop the economy through reform programs and development policies that fit this stage application.
He pointed to the possibility of Iraq to see a decline in items imported country other goods and services that can be provided locally when oil exports rise from, indicating that it is an urgent necessity, especially that the country is entering a high volume of exports of V.odaa Baidhani at the conclusion of his speech to the revaluation of the Iraqi dinar and the increase its purchasing power because of its profound impact on the development of economic reality and the granting of additional currency strength enhance confidence between the currency markets in the world, especially that covered the dinar reserve cash for sizable enough.
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The urgent need for an efficient government sector and high productivity .. and we have strong foundations for a stable dinar


 d. Sinan Shabibi Mohammad Reza *
The urgent need for an efficient government sector and high productivity .. and we have strong foundations for a stable dinar

Primary objective of the central bank is working to achieve price stability in local and foreign currency exchange rate, not the distribution of money to the merchants by their banks as imagined by many who have given the impression that the so-called auction is a commercial operation, not monetary policy.
The stability of prices, no, it simp

ly requires that corresponds to supply all the demand, and in the field of foreign currency that corresponds to the width of each foreign currency demand, and in the light of that achieved a certain exchange rate can be changed depending on the circumstances of inflation mainly. This means that you must satisfy demand for foreign currency in full (after confirming that the central bank has received a certificate banks gap in its operations from money laundering, and that there are no irregularities banking prevent the bank concerned from entering the auctio

n of foreign currency), and meet the demand in full will prevent the creation of market

Another exchange, and thus ensure the stability of

the exchange rate and lack of pluralism.
This method, which satisfy the demand and what it means for the currency flow, does not involve smuggling or wastage of the coin. It also does not fall into neglect because it essentially has been dinar and dollar swap that insatiable demand.
The ability that we have to satisfy all the demand derived from the large reserves that we have built in the Central Bank over the years. Were it not for this reserve we were forced to reduce the dinar exchange rate and change all the time, and this is what leads to the loss of the exchange rate and stability.
It may be asked some foreign currency from banks too big and the result of large deposits of Iraqi dinars. We assume that failure to meet this demand will lead to a jolt in prices and create another market, so the information about the details of this request must be submitted, after the mission is to lead the market or currency auction, to the circle of money laundering that should follow this issue seriously.
Gave us the large size of the reserve sufficient flexibility to use monetary policy to fight inflation, which had reached about 50% in 2004, we started to raise the dinar against the dollar in the year to encourage outflows, Kalastairadat and others, and therefore reduced the pressure on the internal market. At the same time we raised interest rates to move funds into the financial market of the real market. If the reserve is the one who ensures the stability of the exchange rate, but this should not being disposed to these purposes.
As mentioned, the central bank is keen to be made to meet the demand for foreign currency in full and to stabilize the exchange rate. If we do not do that and we sold less than the demand will rise the price of the dollar in the market, and this is inconsistent with our monetary policy but it may satisfy some people to sell or "waste" will be lower. But certainly we will take the correct action that achieves the goal of monetary policy and stability. As mentioned also the case for the central bank is to replace Iraqi currency in a foreign currency can be used for various purposes. The actual import, it does not fall within the responsibility of the Central Bank, and I do not think that there are central banks in the world handles the import of goods!
The central bank meets the demand for the dollar for the purpose of price stability, which is working on the application of his first goal. Bank staff find themselves in front of the problem, if keen to meet the demand for their disposal this might be interpreted as a type of waste and If يقابلوا request is not the price سيختل and are breaking the law, what is the solution? For the central bank's solution is to follow the dictates of its law and the implementation of monetary policy.
Start of the auction process and mechanism to withdraw the Iraqi currency and ease pressure on the market. This is done through swap monetary (JD dollar), as we mentioned earlier, the Central Bank through the market or the Commission on the auction does not follow the dollar when he leaves the bank, but the circle of money laundering independent administratively is that you must perform this follow-up, especially as they have close relationships with money laundering departments in other states and neighboring countries. And the dollar when he leaves the bank does not finance commercial operations only, but is used to finance all payments under the so-called international balance of payments, which depicts all the international economic relations of Iraq with the world كالدفع for services and for investment in overseas operations.
There is no doubt that the more applications relating to import foreign currency, the central bank sends a copy of the request importers to the sector or to the Ministry of Commerce to follow to reach the final figure for imports, which codifies in the Iraqi customs department. Thus, as we mentioned, the work of the central bank monetary end up giving the dollar, but the result follows the development of imports from the relevant departments of their importance in the balance of payments prepared by the Central Bank.
According to Article 23 of the Law on the Central Bank Bank officials enjoy immunity from legal process just like the staff respected central banks in the world. The bank compensates the employee for any legal costs. This immunity derived from the importance of the work of central banks, seriousness and dealing direct Balomd and the short and the fact that these banks are the lender to banks in a crisis situation or the so-called Bmkarz last resort to help save the economic situation.
The bank now sells large quantities ranging between 200 and 300 million dollars a day, and this goes beyond what was sell the bank in the period of the previous administration. Why not be the result of deliberate neglect? A viable solution to the issue of auction is in the application of Statement No. 19, which was released in 1/10/2012 and resulted in stability in the exchange rate, reaching Price 1196 dinars to the dollar.
The central bank allowed at the present time for the banks to contribute with him in determining the exchange rate, and allowed to increase cash significantly, and the seriousness of this situation comes from the difficulty of follow-up and thus uses, from the circles of money laundering.
Not neglect the management of the Central Bank of the previous issue of money laundering, all requests for transfer from the banks, as we have said, you go a copy to the Department of money laundering directly, and this circuit is that you must follow under the money-laundering law in force in 2004 (Article 12, paragraph 4, which states If, however, doubt the intelligence-Money Laundering Office "reasonable complained that the transaction was made or attempted which involves funds derived from illegal activities or money laundering or money intended to be used in the financing of crime or funds have a criminal organization the right to dispose, or terrorist financing, or that the transaction is intended to in any other unlawful purpose service, shall promptly notify the authority competent prosecution and investigation).
I have requested the Bank's management the previous director of anti-money laundering at the bank on 24 August 2012 report on suspected cases, and أجابنا manager in a timely manner (Khalid Cltag) the existence of three cases only, the cases have been discovered in the era of the manager who preceded and has been referred to the Committee on fines Bank to study and impose fines on them, no action had been taken on them. This means that the Anti-Money Laundering Office, headed Mr. Cltag no point did not raise to senior management any situation or issue where suspicion of money laundering or financing of terrorism during the two years he spent in office management director.
With regard to the report of the Office of Financial Supervision issued on 09.25.2012, it did not reach any conclusion about the waste of public money but it is not reassuring to the foreign currency auction mechanisms in spite of that there were other international auditing firms scrutinizes the work of bank accounts, such as
Ernst and Young and KPMG)), I have referred these companies some audit observations were discussed and resolved quietly with the relevant departments in the bank.
The Court also found that imports were not only a small fraction of the amount granted. We must show that this is not about the central bank because monetary institution, not a commercial. No it within the principles of the Central Bank of the waste must be determined within the policy and monetary operations, ie, within the process of converting the Iraqi currency into foreign currency and in the process of determining the exchange rate and not within the business processes (the central bank deals Besarfah dinar to the dollar and not Besarfah dinar to the goods and the goods). The functional secretariat of the current administration requires that illustrate these basic facts to the relevant authorities of justice is no employee be held accountable because he was not there import, Valastirad (a trade policy rather than cash) ever recorded by other entities and not the central bank.
That monetary policy is a process of economic, not legal or commercial process, so they bear a lot of interpretations and opinions about the impact of developments and trends in the economy, especially inflation and rising prices. We would like to point out here that the Financial Services Tribunal and approved within the Central Bank Law emphasized the lack of competence to issues of monetary policy and foreign exchange policies (see Section XII of the Law of the Central Bank, the Financial Services Tribunal Article 63, paragraph 4). That satisfy the demand for foreign currency fully is a prerequisite for the stability of the exchange rate and confirm the bank's commitment to the law. May not نشبع every demand and therefore do not waste public money but likely to be محاسبتنا the failure to achieve stability in the price and market.
The central bank should focus on preventing the parallel currency market or multiple markets, and multiple exchange rates is contrary to the central bank law because it conflicted with the task of achieving stability in domestic prices. The difference between the bank rate and the market price must not exceed 2%, according to the Convention on the International Monetary Fund (IMF) signed by Iraq in 1945.
We can conclude in the conclusion that when the central bank swap dinar to the dollar or dollar selling freely as is the case in Iraq, the central bank takes the currency Iraqi covered fully reserves of foreign currency, according to the balance sheet of the bank, why is considered by analysts to the dinar has a value of less than or is inferior to the dollar? If dinar was covered with 100% foreign currency and enjoy the stability of long-term and there is a central bank watching closely all developments and maintains the stability and addresses variability, this dinar be كالعملة difficult any that when we sell the dollar we receive something unparalleled in strength, where waste if?. The central bank maintains monetary stability through the float of the dinar in the market mainly with monitoring for the purpose of management whenever necessary in order to serve the national economy, ie, we follow the system of managed floating, and because of the large reserve converts this flotation to the stability of the state. We are to be in front of a waste if you do not receive when we sell Iraqi currency dollar. There is no doubt that we are going waste and low currency dinar if it relates to the dollar stable though there were not watching monetary policy developments, this will lead to a decline of the dinar and therefore we will need to more dinars to buy the same dollar amount of which will lead to some kind of loss or wastage. Therefore, the central bank is keen to maintain a relationship free from fluctuations with the dollar whenever possible. It is also keen to reduce the difference between the official price and the market price, which, as mentioned must not exceed 2%. We have succeeded in maintaining the purchasing power of the dinar and stability in spite of the problems of political stability and inefficient implementation of the government investment budget. When confront this inefficient implementation of monetary policy must address it and restore economic stability, which will undoubtedly impact on the composition and the severity of monetary policy and the efficient implementation of investment approaches.
In the past, special days and siege wars, there was no monetary stability due to uncontrolled monetary version, and so there were not a stable currency, the dinar was always very low commodity for foreign currencies. However, after the application of the new policy after 2003, the situation differed radically and became our goal to maintain the stability of the currency and the continued penetration into the world through the dollar. This is what has been achieved and we insist on its lifetime, and a style auction or sale and purchase of foreign currency cash of the most important policies in this area. As we did not waste public money because we sold, and we received $ dinars stable suit and sobering and The value can be converted into dollars at any time without difficulty. But of course, we will continue to need to work on economic stability achieved through central bank policies (not just the auction of foreign currency) to spend a year characterized by its efficiency and productivity. We will continue to need to coordinate between the government and the central bank.
The dollar spending and import used in, for example, this issue is not related to the central bank or the auction committees where it should being pursued by the Department of Anti-Money Laundering, which is in spite of the bank's dependence on it is independent in its operations and has its own law.

* Central Bank Governor isolated without legal support

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The collapse of the dollar exchange rate expectations in Iraq

| on 07/23/2013 | author faith Qasim | readings 1194 |

Electronic integrity

Expected number of experts, finance and economy collapse of the dollar is not at the global level because he is still master of the currencies in most countries of the world but at the level of the exchange rate in Iraqi dinars, we hope for the return of Iraqi dinar exchange rate against 3.3 dollars as it was, but this dream difficult to achieve and fetched it is can be achieved in the light of the global variables but can be achieved to get equal to the price of any one dollar against the dinar .

There are expectations for the possibility of the return of the power of the Iraqi dinar offer hope to achieve this dream, but what can we explain the exchange rate so in the country of its wealth earth-shattering, these expectations were built on perceptions of experts that Iraq would emerge and salvation from the provisions of Chapter VII but ستؤول to achieve reform and economic stability and to achieve the goals, all in forefront of the return of Iraqi dinar to the real strength of this vision and perceptions must be accompanied by better performance of denial and efficient administrations .

It is said that the stability of exchange rates one of the most important means of achieving economic stability, the central bank and banks the responsibility for achieving the goal of price stability and the return of the real value of the Iraqi dinar to the dollar collapses fact in front of our national currency.

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Are prevail dinar currency Really


07/21/2013 12:00 AM

Yasser incumbent
Succeeded Association of Iraqi private banks in Iraq to pull the rug out from under those who tried to harm the reputation of banks Iraqi special purpose Aobdon inadvertently untapped opportunity crisis, the central bank and its repercussions, which dropped بتبعيتها the new administration culminated in creating a gap between them and the banks are confused reforms, new and make them wandering in Aqrarart and quick measures to be overlooked.
The economic morning has dealt with the crisis contrived calmly and was keen to clear the atmosphere and make the path of reform and processors are going in full swing after he acknowledged the central bank governor Abdul Basit Turki at the time that a lot of votes that drew criticism of monetary policy come from non-owners jurisdiction rendering the mud Bella said hear proposals from owners of expertise and competence of economists فاستثمرت economic morning this view and entered initiative called through central hear the opinion of private banks procedures before they are imposed or approval and knowledge of the possibility of implementation of whether or not that is being dealt with banks on the grounds that sponsor them have been in response central commendable the introduction of this proposal and culminated things to bridge the gap and the return of the proper relationship what led to the achievement of the successes recorded in the central processing bottleneck exchange market and Tzbzbath Iraqi Here is the dollar fails and is due to be included.
But what is new on the subject from my perspective as an observer that these developments are able to bond investing to sit down at the table working breakfast with the participation of all government and private banks and turned the meeting to assess a broad and large two policies of monetary and fiscal reach conferees to the convictions of the importance of joint action and create partnerships targeted between the government and private banks were issued from the platform Session proposals will lead to a real contribution to the economic development and reform is required.
It should be noted that the recent successes of the association was the result of the role played by a member of the Association Handal and Shirvan arm in to pick up the role of the Association in coordination with the Chairman and CEO of Chalabi Goldfinch Falt results to be corrected in the target.
I've been able to these national efforts re-power of the Iraqi dinar to يتسيد currency and our hope large policy of the new administration of the Central Bank and in cooperation with banks to return to the chart that was drawn by the old administration in the delivery of the dollar exchange rate to 100 dinars, offset by $ 100 as a target gradually Aln crisis, which provoked the timely and regional conditions have prevented the goal wiping Atarepettzbzbat continuous deported achieve the goal, and now ترتسم front of me a clear picture to revive this goal through such constructive cooperation to become the value of the Iraqi dinar equivalent U.S. dollars and this goal is not far away if we let the owners of jurisdiction working together without confuse statements are not a competence of by some.
These dreams may seem difficult to achieve, but I tell if accompanied by our actions selfless This is not بالصعب and our hope large private banks and the government to follow the procedures for the central bank and executed via discussed together and to other successes in order to achieve the target because the Iraqi economy is strong and pick it used to be Tiger's seventh potential large Iraq, which need to be sound and efficient administration and this is not Besab Obaid of reach.
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Parliamentary calls to speed up the "reset" currency specialist believes that the current time is not suitable

Author: MJ
Editor: BK, BS
15/07/2013 11:55

Range Press / Baghdad

Called deputies Economic Commission, on Monday, to accelerate the implementation of the project "reset" the process of local مبينين that current currency "not worthy" status of Iraq's economic and investment volume in which, when he saw the expert that it requires a situation militarily and politically "stable banking system accurate and honest" , confirmed last moment, "more favorable" than it was before the deletion of zeros from the currency.

Abtan: Iraq does not suffer from the crisis but of how funds management

According to a member of the Economic Commission representative, Abdul-Hussein Abtan, in an interview to (range Press), "The Iraqi economy has become today in an advanced position and good because supplier of oil big, which reached nearly three million barrels per day," and notes that "the Iraqi Central Bank recently announced that reserves reached $ 76 billion, a very significant amount. "

Abtan adds, that "in spite of all that Iraq is still suffering from a lack of precision in the management of the economic file as well as the absence of coordination between the pillars."

The Central Bank of Iraq announced, in the (third from July 2013 now), that Iraq is "in control of the funds and treasury of gold" in international banks, one of the acting out, denying the existence of frozen funds "outside the control of the Iraqi administration," While revealed that the reserve bank amounted to $ 76 billion in May last year, counting that out of Chapter VII of Iraq will allow "more freedom" to act and attract foreign investment.

And calls upon member of the Economic Commission representative, the need to "multiple revenue estimated reflected on the economy and not on the availability of cash reserves large," and continues that this "evolution in oil production and reserves, the central bank must be reflected on the lives of the citizens, because the country still has a large proportion of the poor and low-income and high unemployment and the housing crisis and the deterioration of the agricultural and industrial sectors. "

Abtan believes, that "Iraq does not suffer from the crisis of funds but from how to manage money, causing paralysis of the Iraqi economy," and calls for "the Iraqi Central Bank need to take quick steps to delete the zeros from the national currency."

And is a member of the parliamentary Economic Committee, that "the existing reserves in Iraq and put the current economic is not commensurate with the size and value of the local currency, which contains the number of zeros, and the current currency does not befit the status of Iraq and strengthen its economy."

Daini: out of Chapter VII made ​​it necessary to delete the zeros

For its part, says a member of the parliamentary economic committee, Nahed al-Daini, in an interview to the (Presse term), that "the deletion of zeros from the currency became a reality, especially after the withdrawal of Iraq from Chapter VII of the Charter of the United Nations."

Daini and remember, that "the Economic Committee of the Council of Ministers were wary in the past of deletion of zeros from the currency of many considerations," and turned out to be "out of Chapter VII made it necessary to delete the zeros of the Iraqi dinar absolute privacy."

And calls upon Member Economic Commission parliamentary political forces and stakeholders "leave no excuse time is not appropriate, taken as a pretext to stop a lot of decisions which, if applied to have contributed to the recovery of the Iraqi economy significantly," and stresses the need to "adjust the border crossing points and the adoption of the law of customs tariff and reset the currency and the implementation of Consumer Protection Act for the advancement of economic reality. "

Najib: The project requires a genuine will and solidarity between the legislative and executive branches

So says a member of the Finance Committee parliamentary Najiba Najib, in an interview to (range Press), "The Commission did not discuss with the Iraqi Central Bank Multi deletion of zeros from the local currency after assuming Abdel Basset Turkish presidency," and explains that "the Finance Committee parliamentary pending claim of the Iraqi Central Bank to discuss with him in this matter. "

Najib recalls that "the governing body of the former Central Bank presented a study on the preparation for the project to delete the zeros," and believes that "this study was professional, scientific and included companies that have been agreed with the implementation of the project."

And stresses a member of the Finance Committee representative, that "Iraq needs some salt is the deletion of zeros from its currency because the size of the money supply traded very large", showing that there is a "four categories of the Iraqi currency is currently thousand and five thousand and ten thousand and 25 thousand dinars, while becoming the category of 250 dinars almost worthless and even thousand dinars on its way to losing its value ".

The relay Najib that there is "an urgent need because we have a currency suitable for the size of the funds and investments entering Iraq," and draws out that "the implementation of this project needs to be a real will and solidarity between the legislative and executive branches and develop a plan sober to make it a success."

He adds that "the process needs to media awareness and make toggle currency currency over two years and not to restrict certain banks and to be a broad base of banks in all provinces of Iraq."

Expert: security situation requires a stable political and banking system accurate and fair

Meanwhile, says economist as Antoine, in an interview to (range Press), said that "you want to delete the zeros is the restructuring of the currency and reduce the use of decimal numbers in the accounts of the process, which has become a danger," and shows that "The other thing is the reduction of the process of counterfeiting that occur in the current currency that consumed significantly and need to switch process. "

In the opinion of Antoine, "The other point is the reduction of dollarization because when you delete the zeros will raise the value of the banknote, not currency because the latter means and not an objective," and continues that "it reduces the dollarization in business dealings Instead of using billions of leaves from the local currency Stenzel these millions Instead of currency transfer bags buckwheat (Alkouan) will be transferred bags. "

And emphasizes the expert, that this "process requires the security situation and a stable political and banking system accurate, fair and educate all the security services to reduce fraud and counterfeiting," the bridge and that "the central bank is ready for this process not be busy out corruption and others."

Antoine believes, that "the time to change the currency was appropriate in the past year 2012, either now it is not appropriate."

Appendix: deletion of zeros from the currency has become more convenient now

Conversely sees head of economic studies at Mustansiriya Centre for Arab and International Studies, Dr. Abdel Rahman al-Mashhadani, that "the time if it was appropriate two years ago to delete the zeros from the currency today it has become more to complete solvency."

Mashhadani says, in an interview to the (Presse term), "The process of deleting the zeros was supposed to expire two years ago because a purely economic issue," and shows that "the dinar, which was torn and steals a loss to the government and citizen."

He continues, head of economic studies, that "denominations now need to transfer large banks need to protect and place great," and goes on to "the Iraqi currency need to change because, according to the international standards should be changed categories currently in circulation and that the Central Bank shall issue new categories."

The Economic Committee of the House of Representatives, called for in (the sixth of July 2013 now), the central bank to "speed up" the process of deletion of zeros from the Iraqi currency in order to maintain them, and confirmed that it is not in the interest of Iraq, the survival of its currency with so much and irregularly, as indicated that the deletion process will increase the value of the Iraqi dinar and reduce unemployment and poverty.


It is noteworthy that the General Secretariat of the Council of Ministers announced (12 April 2012), the patient in the application process to delete the zeros from the national currency, which had to stop all actions related to the mentioned process until further notice.

It is noteworthy that some economists believe that Iraq is not ready at the present time to delete the zeros from the dinar, pointing out that the deletion needs to security and political stability as well as economic stability.

The International Monetary Fund, announced in (the 23 of March 2013), that the funds preventive in the Development Fund for Iraq rose in 2012 to $ 18 billion, and cash reserves of the Central Bank of hard currency to $ 70 billion, and pointed out that this increase came from " unexpected oil revenues, "called on the Iraqi government to end the control of the state-owned banks on the banking sector, he stressed the need for Iraq to strengthen public financial institutions to ensure efficiency and transparency in the use of oil revenues.

They expected the U.S. Agency for International Development, in (third from last December 2012) that leads the Iraqi economy Arab countries during the five years, stressing that Iraq possessed all the qualifications to be an economically strong state.


Iraq is trying for years to attract foreign capital to develop its economy in the fields of industry especially oil, including housing and oil and gas extraction, for the need of funds for infrastructure development and reconstruction, but observers assert that the lack of interest of the state to the private sector and the absence of investment laws which guarantees for investors and the absence of Other laws are still obstacles to the evolution of the economy in the form required.

Iraq relies which has the fourth largest oil reserves in the world at 95 percent of its annual budget on its oil exports and currently produces about two million and 900 thousand barrels per day, while the issue up to two million and 200 thousand barrels per day.

The UN Security Council voted in, (27 June 2013), unanimously approved the decision to remove Iraq from Chapter VII, after more than two decades of sanctions imposed whereby in the wake of the former regime's invasion of Kuwait on the second of August 1990.

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A member of the Economic Committee: on the central bank set a new price of the Iraqi dinar against the dollar

07-07-2013 01:15 PM
Baghdad (news) .. Student member of the parliamentary Economic Committee MP / Kurdistan Alliance / Khalil Mahma, the central bank set a new price of the Iraqi dinar against the dollar coin, and that there be a real rate of the dinar.

Khalil said in a statement (of the Agency news): The political maintaining the currency and dinar Iraqi functions of the central bank, and the signals that we observe globally and economically, that there is a future for dinars, adding: may not be the exchange rate of dinar against the dollar per (1300) or ( 1200) Iraqi dinars, because this price is when the balance was $ 10 billion, and today the balance of sovereign Iraq (76) billion dollars.

He continued: political Central Bank to keep the bank is not correct, call the bank that there will be forces of Iraqi dinars, because what exists of the dinar, however, citizens of the Iraqi equivalent of the real price in the market, calling for the bank to invest the power of the dinar after the withdrawal of Iraq from Chapter VII, and today the central bank binding that there will be a new price against the dollar.

He pointed out that, because every dollar Aldaat entering Iraq, but there must be a real rate of the Iraqi dinar, because the strength of JD robust and powerful sovereign in terms of its position and strong economic as well as that of the Iraqi citizen suffers from vulnerability of Iraqi Aldnyar to the dollar.

It is noteworthy that, the Iraqi dinar less than its value once in a while, towards the dollar, for many reasons, including the blame Central Bank in this ascent, and others point out that the situation in Iraq and the region behind the rise of the dollar, as well as smuggling. / End / 8.'s. M /

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ECLAC: delete zeros from the currency and restructuring is necessary to support the country's economic identity, especially after chapter 7
Saturday, 06 July 2013 17: 15

{Baghdad: Euphrates news} the parliamentary Economic Committee pointed out that the deletion of zeros from the currency and restructuring is necessary to support the country's economic identity, especially after the end of Chapter VII.

Committee members said mehma Khalil and Abdul Hussein abtan told a press conference in the Parliament building attended by correspondent {forat news} we are "on the parliamentary Economic Committee feel that the time is appropriate to start deleting zeros from the currency and restructured to support the country's economic identity and for the benefit of the people."

Khalil said that "after Iraq from chapter the dimensions, terminals and many promising and substantial benefits to the country's economy to support economic identity, Iraqi dinar, this case is purely economic objective of maintaining currency."

Khalil called "Central Bank of Iraq to start deleting zeros of the Iraqi currency and restructured, adding that the project is an old Central Bank has demanded that the Government should wait until the appropriate time and today we see that the time has come to start this project."

"As there is a clear constitutional provision provides for the issuance of coins and currency for economic purpose and benefit of the people, and today the Commission considers that the time is appropriate, given that there are promising the Iraqi economy to support economic identity, Iraqi dinar, the currency did not know her and promising future quotas."


He said that "in light of the country's great potential and promising economic stations, we hope to be the next financial budgets."

The parliamentary Economic Committee member Khalil mehma "current currency large bloated latlik of the country and the people a strong desire to keep the Iraqi dinar to the dollar and other currencies compete."

Member of the parliamentary Economic Committee on citizen Abdul Hussein abtan block has indicated that "the Central Bank said the reserves reached $ 76 billion and have Iraqi dinar befitting the country and these deposits and payments it is delete zeros and structuring currency has become an urgent necessity."

"It is not reasonable to have Iraq reserve has reached $ 76 billion, and we are still dealing with 1,300 dinars to the dollar, then what is the benefit of these stocks and funds if not reflected positively on our citizens, where the unemployment rate is 7% and over 20% and the edge of the poverty line when more than 30%.

Abtan said "we believe that the Iraqi dinar must improve against the dollar as it is not true that the reserve of the country today has reached $ 76 billion Iraqi dinar at 1280 for aldollar".

"The improvement in the status of the Iraqi dinar is reflected on the lives of citizens and the purchasing power and everything is in the country of goods is imported, so when the improved purchasing power will be reflected positively on his life and that's what we expect from the Central Bank of Iraq".

The "multiple revenue growth in the country is modest and simple compared to existing privileges and the development of the Iraqi economy depends on vision and management economic profile better than the current situation."

He is a member of the parliamentary Economic Committee, Abdul Hussein abtan said that "Turkey and Lebanon were zeros from their currencies, so how about Iraq that owns this alahitati great argument was chapter VII and now has gone and removed, why keep the zeros".

Abtan concluded that "an increase in the Iraqi dinar against the dollar is very vital to the citizen, which is not enough to have deposits of billions at the Central Bank against poverty and unemployment, weak purchasing power." Over 1
Mehma Khalil called Central Bank currency structure project 6/7/13 17: 07: 00

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Mehma Khalil The Commission has called parliamentary economy and investment of the Central Bank of Iraq, the need to delete the zeros of the Iraqi currency after the land was available and exit Iraq from Chapter VII, and the economy is expected advantages and the results summary of Security Council-imposed penalty.
The words of the Rapporteur of the Committee, MP mehma Khalil during a conference held Saturday in the presence of members of the Committee on the economy and investment, the Central Bank should start a currency structure as a purely economic issue.
The Attorney said that the Iraqi Constitution between the need to change and delete the currency required by the economic situation of the country, and the public good, for Parliament and the Government to support the country's economic identity, expecting to witness the coming budgets increase and prosperity after the investment companies to Iraq, noting that Iraq is not the only country to delete zeros from its currency, the preceding example States Turkey and Lebanon has succeeded in stabilizing the economic situation when deleted zeros from their currency.
Attorney Khalil pointed out that the draft is an old and zeros deleted were the objections of the Central Bank and the Government of Iraq requested that wait till an appropriate time and after coming out of Chapter VII all justifications and arguments over the implementation of this project.
In turn, the alaktasadet Committee member criticized Attorney Abdul Hussein abtan said project delays and the survival of the zeros in the Iraqi currency, and it is not reasonable that the Iraqi Central Bank reserves of 76 billion dollars and now dealing in thousands.
The CBI had said in August that it planned to delete the zeros of the Iraqi dinar to facilitate financial transactions made through criticism most often.
Among the difficulties facing Iraq if he wanted to delete the zeros of the dinar is pulling about 30 trillion dinars circulating in the Iraqi market is then discarded and replaced with a new currency.
PUKmedia Laila Al/Baghdad

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06/07/2013 16:00

Abdul Salam al-Maliki: the government will take urgent steps towards strengthening the Iraqi dinar


BAGHDAD / obelisk: announced member of the Economic Committee in the Iraqi Parliament Abdul Salam al-Maliki, on Saturday, said the Iraqi government direction to take urgent steps to strengthen the Iraqi dinar by turning the Iraqi market to a promising market.

Maliki said the "obelisk", "even acquires the Iraqi dinar force will take the Iraqi government to take urgent steps to transform the Iraqi market to a promising market," stressing that "the Iraqi Central Bank is responsible for monetary policy and there is a tendency for the integration work between the Central Bank of Iraq and the Iraqi government."

"This approach is necessary after rid Iraq from Chapter VII, to be of the Iraqi dinar purchasing power big match dollar Azmat Economic Committee in the House of Representatives to put this matter and will be appeals and communications to turn to state its presence in international forums economy."

He explained, "the central bank's plan to raise zeros from the currency has existed for a long time has been discussed with officials at the bank several times with the Finance Committee in the Iraqi parliament has demanded the government to wait until you determine the right time."

He stressed that the "time to start this project due to the withdrawal of Iraq from Chapter VII."

The governor of the Iraqi Central Bank / Agency Abdul Basit Turki has announced for "obelisk" for "postponing the project raise zeros from the currency and the value of the Iraqi dinar toward climb to more power because we passed the bottleneck."

http://www.almasalah.com/ar/news/13795/

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Central Bank implemented a new plan to raise the value of the Iraqi dinar exchange either the U.S. dollar

CBI is preparing to implement a new plan to raise the value of the Iraqi dinar exchange either the U.S. dollar in early June.
A member of the parliamentary Finance Committee Faleh Djiashi, "The Bank's new plan will be enough to raise the exchange rate of the dinar against the dollar."
He added that "the central bank works to reduce the number of companies that deal with it and put the money in the auction which will lead to a reduction in the value of the dollar and reliance on monetary policy open without complicated procedures and controls and a wide open field in front of the government banks."
Finance Committee formed a small committee consisting of three deputies to monitor the exchange rate of the Iraqi dinar against the dollar, indicating that practical measures undertaken by the central bank last week led to address the problem gradually.

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Financial expert: Iraq market for securities to revive and develop global his (MARKET)

23-05-2013 11:02 AM 



Baghdad (newsletter). Financial expert called on behalf of Hadi al-Tamimi, the need to legislate a new law on securities market regulation, stressing the importance of access to the Iraqi market for securities to the world for the purpose of activation.

He said Al-Tamimi (News Agency): the current securities law conflict with other economic laws is needed to bring new legislation by the House to regulate the market and attract businesses.

He added: the Iraq market for securities, whether Arabic or global market is necessary because it will stimulate the work and gain experience in this area, the fact that the market share of economically advanced countries, the Iraqi side has sought to join the global stock markets.

The Securities Commission is seeking to join the Iraqi market to global securities markets/completed/8/

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Economic parliamentary demanding quick action to stop the rise in the dollar exchange rate
By Khabaar Khaba 13/05/2013 6:58:00



Et Baghdad

Student member of the Economic Commission bloc MP Abdul Hussein Abtan citizen all competent authorities to take swift action to halt the rise in the dollar exchange rate.

He said Abtan at a press conference in the House of Representatives and was attended by the correspondent of the Agency for News News (et al) that the high exchange rate of the dollar against the Iraqi dinar during the current period, taking the burden on the citizen and the private owners of limited income because most ماموجود in our markets imported goods.

He added that the U.S. dollar exchange rate was in 2006/1160 / and the cash reserve / 10 / billion dollars, and today's cash reserves of hard currency / 74 / billion Dolarusar exchange the government of the dollar over / 1250 / At the market close / 1130 /, considering that: Index serious deterioration of the economy and cause more trouble for the owners of Mahmoud income.

He called the Iraqi Central Bank to reconsider its policy and can not remain deaf ear and turning a blind eye on the continuing rise of the dollar at the time of what comes out of Iraqi oil 3 million barrels per day, annual revenues of approximately $ 120 billion.

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Abtan calls for quick action to halt the rise in the dollar against the Iraqi dinar
Baghdadi News - 05/13/2013 - 3:18 pm


Baghdad / Baghdadi news / .. Student member of the citizen's Parliamentary Bloc MP Abdul-Hussein Abtan, on Monday, the competent authorities to take swift action to halt the rise in the dollar exchange rate.


He Abtan During Matmrsahfa held the parliament building and the presence of / Baghdadi news /, that "the high exchange rate of the dollar against the Iraqi dinar during the current period, taking the burden on private citizens and low-income earners because most of the goods offered in the Iraqi market are imported."

He added that "the dollar exchange rate was in 2006/1160 / and the cash reserve / 10 / billion dollars, what has become today / 74 / billion Dolarusar exchange the government of the dollar over / 1250 / At the market close / 1130 /" It is a serious indicator on the deterioration of the economy and cause more trouble for Mahmoud income earners. "

Abtan called on the Iraqi Central Bank to reconsider its policy and can not be that far from the continuous rise of the dollar at the time of the issue of Iraqi oil / / 3 million barrels per day annual revenues convergence / 120 / billion dollars. "End / 21

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The value of the Iraqi currency and structural economic imbalances

One Response
The value of the Iraqi currency

And structural economic imbalances
D. Kamal Al-Basri and harmful Sbahi professor
Iraqi Institute for Economic Reform

Article seeks to examine the value of the Iraqi currency fluctuations and interpretation of structural imbalances and weak governance vocabulary application and other behavioral factors. And concludes that the following factors may have led to increased demand for foreign currencies and shortage of supply: External political, and weak business environment, the economic and fiscal policy, and the lack of political and economic stability, and the weakness of the productive capacity of local, and that the improvement in the rate of per capita income of Iraq was a factor is the other, weak governance and the rule of law, and the decline of family remittances from abroad, and the growing presence of financial transfer companies and brokerage firms (parallel market), and the emergence of trade zones in border ports.

Apply thanks to Dr. Ahmed Hamdi al-Husseini, for his participation in the preparation of this paper

The value of the Iraqi currency and structural economic imbalances

Article seeks to examine the value of the Iraqi currency fluctuations and interpretation of structural imbalances and poor application of good governance vocabulary and other behavioral factors.

1. Structural imbalances

Derive the Iraqi currency recovered from the substance of the economy, and it can not be studying the stability of the value of the currency away from the deal with the economic reality. Currently economy suffers from weakness in its components core, boils down to the reality of the Iraqi economy through the reflection in the components of GDP in 2011, where a different sectors to the GDP as follows: Oil 54.74% and Agriculture 4.15% and the industry about 1.83% .... Etc. It is clear that the Iraqi economy's dependence on the oil sector. We have increased the value of gross domestic product (GDP) at current prices from 53 499 to 211 310 000 000 Iraqi dinars for the period 2004 -2011, for the same period increased the value of gross domestic product (GDP) at current prices excluding oil from 22.691 to 95.822 Mlyardinar.

The problem is that when oil revenues are much bigger than the financial returns obtained from taxes, the government will find usually have at their disposal a significant financial asset earning easy (not achieved at the expense of the financial resources of the citizens). This phenomenon will be encouraged in the absence of democracy (in the full sense) to give the government ample space to act on public money are inefficient, and examples of this have to resort for governments to adopt:

1) economic policies sterile in its effects: represented an increase of salaries and wages away from the accounts of labor productivity, and expand to create employment for the purposes of non-productivity resulting them inflated prices, and pursue a policy of supporting non-economic updated deformation in the structure of the economy and market indicators, and the trend towards spending unproductive political in essence, aims to connect the citizen power.

2) non-spending economic policies: represented activities have no justification and كالمنح economic aid and open the external circuits and cultural diplomacy does not add real value to the economy and citizens, and be at the expense of pressing economic areas related to the dignity of the citizen.

As a result of each of the foregoing, the private sector in these countries enjoy the presence of weak and marginal, because it does not enjoy the support (as is the case in the public sector), which is concentrated in the areas of economic, commercial and service. The absence of the real role of the private sector means the absence of creativity and speed of adjustment to market needs and provide employment outside the public sector. The uniqueness of the public sector production and the absence of private sector competition lead to the continued deterioration of the efficiency of public sector output, الامرالذي requires government intervention and protection of the public sector through financial support and customs protection policy (currently support annual rate of 3 billion dollars). Thus, the government is working to protect the institutions of inert productivity at the expense of the citizen, who he unchanged obliged to buy goods or services at a higher price and the quality is poor. This usually sacrifice and also emphasizes global trials does not lead in the short term and not run into improved performance and efficiency of the production of the public sector. The absence of political role of the private sector turns citizens into a cake and hired government employees belonging to the directions of the government, which is no doubt it would affect the independence of the individual from the government and then the breadth Square independent civil society organizations. The government's move in those contexts eventually lead to a split into two factions citizens of different users and others.

Because of limited job opportunities that could be created by the public sector, the government is seeking to create jobs through the promotion of the role of the security by increasing the number of employees of the police and army and take advantage of the surplus cash in the purchase of arms and military equipment. The growth of military capabilities encouraged to address the internal and external differences militarily, and then pre-empt any signs of growth and development in absolute terms. On the other hand that the adoption of oil revenues on the price of oil world market displays the economies of those countries to the waves of the tide, which is reflected by the sharp fluctuations in oil revenues (as Invert in planning the federal budget from 2008 to 2009. Finally, the oil revenues of the States usually benefit including the cities over the countryside, and this is what causes a migration from the countryside to the city, but no doubt that this migration is usually in short period of time resulting in bottlenecks sharp due to insufficient supply of services in relation to demand and to social and economic problems manifold. and Aaktefi impact of this situation on the the level of services available in the city to exceed the weakness of the contribution of rural areas in the agricultural and livestock production and for changes in the fertility of the earth, and that lead to heavy losses. fact that what progress we can find him credibility in the Iraqi economy, especially during the period of time 1968 - 2003, no doubt that the effects of these policies and nature has not changed radically, because of the political pressure that list reflected the weakness of political will to change.

2. The market value of the Iraqi currency

Released in 1930 the first of a special law to issue currency Iraqi Dinar, and in 1932 was the issue of the Iraqi dinar and the dinar = 3.3 pound sterling, and in 1958 was the disengagement with lb dinar has been linked to the U.S. dollar on the basis of the dinar = 3.3 U.S. dollars. During the period from 1932 until 1990 was issued by the dinar Version 12, and after 1990 the currency was printed locally in Mesopotamia Press and exchange rate-, and after 2003 were printed issue a new currency from the dinar, and became a floating exchange rate orbit. Figure (1) shows the exchange rate of the Iraqi dinar against the U.S. dollar, the official at the Central Bank (Auction currency) and in the parallel market (the local exchange market) for the period from January 2011 to February 2013.


Source: Central Bank of Iraq

The local currency is part of the sovereignty of the state and also is reflecting the amount of economic well-being, and plays the exchange rate played an important role in the economic activities of the States, whether that activity commercial or investment, which occupies the exchange rate hub in monetary policy, where it can be used as a target or a tool, a as well as an indicator of competitive state through its impact on economic growth components, such as investment and the degree of openness to international trade and capital flows, and the development of the financial sector.

And knows the exchange rate: is the ratio obtained on the basis of the foreign exchange swap in the national currency. The exchange rate is determined according to the law of supply and demand, the more demand the price of the currency and the lower demand for less price. There are two types of drainage systems used by States to determine the value of its currency:

Fixed exchange rate systems: are installed either currency exchange rate into a single currency is characterized specifications certain Kalqoh and stability. Or to a basket of currencies on the basis of the currencies of key trading partners, currency or constituent unit of the Special Drawing Rights (SDRs), or minerals Althmnah such as gold and silver.

Flexible exchange systems: characterized by flexibility and usability of adjustment on the basis of certain criteria, such as economic indicators.

State may follow a managed floating system where the authorities adjust exchange rates based on the level of frequency has reserves of foreign currencies and gold. Or use the free float, which allows for the currency value to change up and down as the market, this system allows for economic liberalization policies of the exchange rate restrictions.

Itathersar exchange first measures the central bank which represents the key management in the state to identify and manage monetary policy so as to contribute to the achievement of economic goals that are looking her state, and secondly commercial banks and remittance companies financial terms intervene in the market to execute the orders of their clients or for its own account, where these centers collect customers and orders doing banking Palmqasat, and thirdly they are brokerage firms and brokers who collects militants Omer purchase or sale of hard currency for the benefit of several banks or other traders away from transparency.

Factors affecting the currency in Iraq

Recently and over the past few months, decreased the value of the Iraqi dinar against foreign currencies, reaching in some cases the market Parallel 1300 dinars per dollar, after it was stable on the rate of 1185 dinars per dollar, despite the stability of the selling price of the Central Bank's 1166 dinars with commission of 13 dinars for transfers any 1179 dinars to 1171 dinars to the sale of cash and this indicates to the high demand for the dollar in the domestic market and for the following factors:

• 1 - External factors: formed a political and economic crises in neighboring countries (Syria and Iran) and embodied in the need for these countries to the dollar currency and foreign currencies. Who got the local currency is reduced in those countries and reflected down the price of exports to Iraq, and create windows to attract the dollar from Iraq to those countries through transactions to the Iraqis and alluring at the same time a source of hard currency to the Iranians and the Syrians. On the other hand there is interdependence of social and family with these countries may also have to exit port dollar, but it is difficult to predict Bmekdarh.

• 2 - economic business environment: represented by the factors which result lead to a flight of domestic capital and the decline of foreign investors, including political instability and the absence of the rule of law in economic transactions. There is no doubt that the time period that followed the 2008 saw an improvement in the security situation and then in the rate of inflation and the exchange rate. However, the economic environment is still repulsive acts do not encourage project planning medium or long-term. Which led to limited activities on some business and commercial projects yielding profit fast, but I doubt that the percentage of it turning to countries other scarce liquidity arising from the impact of the financial crisis that began in late 2008 (reaching rank Iraq 165 of 183 countries in 2012)

• 3 - fiscal policy: Previous years have seen high levels of government spending at a greater rate than any other country in the world (public spending rose from 34.6 trillion dinars in 2004 to 117.1 trillion dinars in 2012) and most Pictures Consumer spending is leading to the rise in spending the outside world (travel, medical services and seminars, and import of goods and investments in real estate projects, etc.), and also led to a rise in net Iraqi currency traded amounting to 36 trillion dinars in 2013, raising the demand for foreign currency, where the value of imports of Iraqi 37.3027 billion dollars in 2010 to 40.6325 billion U.S. dollars in 2011, a rate of change of 8.9%.

• 4 - double tax policies: also include the non-application of the customs tariff law and of course that result in flooding the market with goods and services payable to the dollar in most cases. Also twice as efficient collection of receivables Aldharbah check ensures additional profits may find their way because of the weakness of bank credit to the Iraqi abroad dollars Authority.

• 5 - political and economic stability: Because that Iraq states described as phase transition, and the political and economic stability, we find the proportion of individuals maintain accounts in foreign banks abroad and usually they are of senior officials and wealthy, and increasingly these transfers directly proportional to the height of the oil revenues.

• 6 - the weakness of the local productive capacities: that the improvement in Iraq's per capita income of 1670 dollars to 5400 dollars makes looking for initiating more in terms of quantity and quality. This factor is reflected in the market through external spending on the import of machinery and new materials or by increasing spending on foreign consumer goods.

• 7 - weak governance and the rule of law: reflected Bagr the public money, corruption, and an example of the identification of projects guesses more than their real value, lead naturally raise the frequency converter of the Iraqi dinar to the dollar.

• 8 - الحولات the family from abroad: in previous years, there was a significant proportion of family الحولات from abroad are to the inside and on the impact of improvement in the rate of per capita income of Iraq, but this has now eased transfers to large ranges.

• 9 - money transfer companies and brokerage firms (parallel market): The presence of these companies to encourage the practice of monetary and foreign transfers that make up the pressure on dollar assets and was the first adoption documentary conversions.

• 10 - the low incomes of non-oil foreign currencies due to lower international grants and aid for reconstruction and the decline in the U.S. presence in Iraq Akhas.

• 11 - trade zones at border crossing points: that the presence of these areas encouraged to pay cash in dollars directly at the border points of contact, which thus leads to a direct increase in demand for the dollar.

Recommendations

That what is happening deformation in the structure of the Iraqi economy is a foregone conclusion rentier economic policy, and is not expected to control this deformation near extent. As the work requires the application of institutional governance vocabulary of the adoption of competencies, strategic vision, a sense of responsibility, transparency, ensure the rule of law, ensure participation and acceptance unanimously and achieve the goals of equality can not be achieved in the near term also. Overall solutions in monetary policy requires a long time to achieve the desired results, based on the factors affecting the local currency in Iraq find it necessary solutions and division into two procedures:

Quick solutions (short-term):

• 1 - to reduce pumping hard currency (cash sales) in the central bank auction and the adoption of increased foreign remittances.

• 2 - cash sales price increase in the central bank auction for the equivalent of selling price in the auction of foreign remittances in order to cancel the profit realized because of the difference between the two rates.

• 3 - buy and sell foreign currency for remittance companies and financial companies to mediate done by licensed banks in Iraq in order to reduce non-compliant transactions of the conditions and procedures adopted.

• 4 - forcing traders and dealers in the areas of trade exchange between Iraq and neighboring countries to deal financial transfer and letters of credit instead of cash purchases.

• 5 - commitment to a transparent auction information and cash transfers and development of an electronic information system.

Radical solutions (long-term):

• 1 - the audit of the financial policy of the state and reduce inflation in operational spending.

• 2 - need to speed up plans for banking reform measures in order to facilitate the cash exchange.

• 3 - to improve the tax code and work to expand horizontally while reducing tax evasion.

• 4 - activate the law of customs tariff because of its important role in providing incentives for producers with economic advantage, leading to a reduction in the volume of imports as well as improved operating income.

• 5 - improve the business environment in order to raise economic efficiency of production companies and local productive enterprises that will reduce imports and increase the intake of foreign currency through export and attract foreign investment.

• 6 - the use of modern electronic mechanisms in the distribution of salaries and the use of bank instruments and encourage saving.

• 7 - can issue a new currency or deletion of zeros from the current currency to have a positive psychological effects on the local currency dealers.

D. Kamal Al-Basri

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Finance Committee Member says there is a need to restructure Iraqi currency; Will have positive affect on economy

Posted: April 18, 2013

Finance parliamentary: the central bank is responsible for the high exchange rate of the dinar

4.18.2013 | (Voice of Iraq)

She noted a member of the Finance Committee for the Kurdistan Alliance MP Najiba Najib to the need to restructure the Iraqi currency, stressing that this will affect positively on the economy, while loaded the central bank responsible for the high price of the dinar against the dollar.

said Rep. Najiba Najib in a statement to PUKmedia, today Thursday, 4.18 / 2013, the restructuring of the Iraqi currency has become an urgent necessity, the fact that the current currency is able to adapt to the size of Almozanat large nor with the size of the state revenues, being few in the class, stressing that the restructuring will have an active role in the progress of monetary and fiscal policy affects a positive impact on the economy.

said Rep. Najib said the previous administration at the central bank, who were deported had delivered the project to the stage of a very sophisticated, leaving them only support the government and the House of Representatives, pointing out that the new currency will be applied in accordance with the application of the Iraqi constitution ČÇŐĎÇŃĺ bilingual official (Kurdish and العبية ), and that the form of currency must contain the features of a civilized belong to all the components of the Iraqi people.

in the context of another loaded MP Najib management of the central bank responsible for the high price of the dinar against the dollar in recent times, and deferred due to the inability of the existing central bank control and control of the market, especially Department of the currency auction is located in Central, noting that the Finance Committee in the Iraqi Central is one of the main reasons, to increase the rate of exchange that currency auction and banks that deal with the central limited to some of the banks and the people dealing with it, and that their offices are not only works as a front to Buy Fake dollar is illegal and unjustified, and their goal reap the profits from the operation, adding that the circumstances of the current regional and strong demand from neighboring countries (Syria and Iran) have affected the value, pointing to the lack of independence of the central bank in the command and control of monetary policy and the lack of decisions and controls to reduce the exchange rate.

considered MP Najib that the absence of regulators minutes and influential management banks greatly influenced the high price, noting
that there are a number of beneficiaries, employees of state-owned banks and eligibility are dealing with some of the offices within the network of large and trying day buy the amount of dollar to control the price.

said MP Najib that there are steps of Parliament to host the central bank governor and the agency involved with the Department of renewed currency to find a solution quickly and effectively to the issue should be dealt with as he put it.

confirmed MP Najib said the government when the change الكفوئين who have international experience and local policy cash negatively impacted control over monetary policy, pointing

and pointed out that there are limited beneficiaries of the process and aggravated the problem is that the state authorities did not intervene, asking the House of Representatives larger role in the activation of the financial and economic committees must be to have a pause serious. PUKmedia the special

http://pukmedia.com/
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MP Faizullah likely return of the exchange rate of the dinar against the dollar to normal

29-03-2013 01:16 PM


Baghdad (news) .. Likely Vice-Chairman of the Finance Committee MP / coalition of Kurdish blocs / Ahmed Faizullah, the return of the Iraqi dinar exchange rate to its natural price against the U.S. dollar, the central bank requirement to take the necessary procedures and the use of international expertise to support the national currency.


Said Faizullah (of the Agency news): The country is suffering from floundering his policy monetary and economic terms that the money that goes out of the country for imports more than the money that comes to the country from oil sales, etc., in addition to there other funds wasted in various ways.


He added: that the central bank demands take its necessary measures to recover the value of the Iraqi dinar to its natural price against the U.S. dollar, and the use of international expertise should benefit from the recommendations of the International Monetary Fund to support the national currency. / End / 8.. /

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High rates of inflation and the decline of economic development for the low value of the dinar

06/03/2013 (23:00 pm)
Baghdad / tributary cactus

Local markets witnessed a slight decline dinar prices accompanied by anticipation in the popular local collapse as a result of deteriorating conditions of the Central Bank at the present time,
Financial said the "no need to fear of decline in the value of the dinar at the current stage because internal factors can be controlled.
The economist said Majid picture that "there are no objective reasons to fear of falling value of Iraqi dinar at the current stage, pointing out that" the factors that possible to affect the dinar exchange rate is and internal factors can be addressed through "cash reserve sovereign."


The picture "that if there was significant inflation as a result of external causes will be forced government or organizers of the Iraqi Central do a strengthening exchange rate of the dinar against the dollar, which would result to fight inflation and reduction, as well as having other mechanisms lies in the withdrawal of surplus from the Iraqi dinar rolling in the domestic market in order to ease the process of inflation and the accompanying rise in prices of goods and commodities.
For his part, Director of the Economic Media Centre Dergham Mohammed Ali "that the value of the Iraqi dinar did not fall against the dollar and foreign currencies and that Iraq was able to maintain a fixed exchange rate against other foreign currencies.
Explaining that the cash value of the dinar did not go down if what has been equated with the exchange rates of foreign currencies and the reason behind it is the Iraqi Central procedures to maintain the fixed exchange rate of the Iraqi dinar. "
Pointing "that inflation continued increased rate in the recent period led to a decline in the value of the dinar and affected purchasing power." In the meantime revealed a member of the parliamentary economic committee Salman al-Moussawi that the decline of economic development in the country contributed to the decline in the value of the dinar against the U.S. dollar.
The al-Moussawi said in press statements that "the power of the Iraqi dinar and monetary value depends on the strength of the country's economy and the extent of recovery sectors generating income and not on the auction CBI, he says. Pointed Moussawi to" The value of the Iraqi dinar does not depend on what is sold at auction CBI but value of the dinar lies in the strength of the country's economy all segments of industry, tourism, commercial and agricultural, pointing out that "these sectors whenever possessed elements economic power and income-generating become Iraqi dinar value fixed and stable, noting that" the attempt to control the value of the local currency by auction where a big risk " .
Moussawi continued, "The dominance of the oil sector on all other sectors of the economy made it useless and influenced the level of the economy in the country." Stressing the need to "be directed oil revenues towards the development of other economic sectors to contribute to strengthening the economy and raise the value of the currency."

http://almadapaper.net/ar/news/259947/%D8%A7%D8%B1%D8%AA%D9%81%D8%A7%D8%B9-%D9%85%D8%B9%D8%AF%D9%84%D8%A7%D8%AA-%D8%A7%D9%84%D8%AA%D8%B6%D8%AE%D9%85-%D9%88%D8%AA%D8%B1%D8%A7%D8%AC%D8%B9-%D8%A7%D9%84%D8%AA%D9%86%D9%85%D9%8A%D8%A9-%D8%A7%D9%84%D8%A7%D9%82

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Official: declining reserves of the Central Bank of gold does not affect the rate of the dinar
02/02/2013 11:45:00

BAGHDAD / Nina / The head of the Department of Banking and Finance Ministry Hilal Taan diminishing quantities of central bank reserves of gold does not affect the price of the local currency.

He said in a statement to the National Iraqi News / Nina / today: "The basket cash reserve covering currencies do not include the gold only, but depend on the dollar and the pound sterling and the euro, in addition to gold bullion."

He said: "The Iraqi dinar has been a week before the beginning of the deal by one of the sites of the U.S. because of the high currency reserves to more than $ 67 billion is evidence that the Iraqi currency backed by a strong balance can not be influenced by declining gold bullion."

He pointed out that "the dinar traded in global financial directory sites on the recovery of the currency and that there is a future for the Iraqi dinar and would soon return to what it was before 1980 because of the global demand in the global financial markets."

The Iraqi Central Bank denied reports by the media about the low reserves of gold, stressing that it saw stable over the past several months.

He said in a statement yesterday he was "no truth to the news reported by some media on the low bank reserves of gold," stressing that the reserves now total 29.790 tons.

The International Monetary Fund (IMF) revealed in a report last week, said Iraq cut its gold reserves by a quarter to reach 29.9 tonnes in November 2012, pointing out that the reserves in September and October of last year reached 39.4 tons. / Finished 5

http://www.ninanews.com/arabic/News_Details.asp?ar95_VQ=GFMEKD
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Economists: decision to delete the zeros from the currency .. Necessity


Iraqi currency in need of a political decision to save them
As Rashad

Before the period was announced near the implementation of the decision of the deletion of three zeros from the Iraqi currency, and that the project will be launched early next year
and will continue for two to three years. He then appeared other comments announces lingered government to the implementation of this resolution and postponed to another date.

So is the project will remain a dead letter, as described by the Deputy Director of the Central Bank of the appearance of Mohammed Saleh? .... And received the decision to delete the zeros from the Iraqi currency a lot of opinions pro and con, there Economists believe that the decision will lead to the collapse of the national currency and see some last he would return to the country benefit the country It is unfortunate patient in its implementation because it is a joint venture between the government and the central bank. As long as the government seeks to postponed due to security concerns, it can not be implemented in this year or the following year, according to deputy director of the Central Bank of timing is very important in this case is also implemented, they must coincide with the beginning of the fiscal year, so you will not find space for implementation inevitably during this year .. And regrets for the postponement of the project because it is economic benefit to the country as long as improve the efficiency of the currency and reduce the impact of large numbers, then dealing with cash needs into categories cash large and small, as will be dealt again categories such as (50 dinars) and (100 dinars) and (200 dinars) in addition to less than the dinar categories such as (half a dinar) and (quarter of a dinar) and (50 fils) and (25 fils).

This is confirmed by financial and economic expert at the Central Bank Majid picture that sees no difficulty in implementing the decision because it will help in the process of reducing the trading volume of currency in transactions large and will lead to fee pricing policy more accurate in the future as long as it will be dealing thousands and millions rather than billions, as well as its role in detect fraud earlier because the central bank will impose on banks use very modern techniques to detect fraud. He adds, As the technologies that will be used in the printing of the new currency will be difficult to penetrate unless the gangs behind it or organization backed by the state because the precise specifications and styles to be set by the central bank will be very strict.

In contrast warns economist Tawfiq inhibitor of the collapse of the national currency in the case of the application of the decision to delete the zeros three of them, pointing to the need to prolong the period of the currency exchange and not withdrawn the old currency and launch new direct, but do it together so it would not cause harm to the economy or any direct impact on living conditions of the citizens.

On the other hand, sees an inhibitor that counterfeiting process is another reason to collapse and therefore warns that happens, especially that there are great bands and mafias currency capable of forging the biggest Iraqi currency.

Most citizens see the decision to delete the three zeros from the national currency look apprehension after their pockets used to carry large paper groups and accustomed stakeholders including dealing with hundreds of millions.

The businessman believes weighted in favor of deletion of zeros would hurt the level of share trading in the Iraqi market for securities, because there shares will be lost in case of deletion of zeros. And works weighted in stock since 2005 and increased his passion for them when evolved using screens electronic, but does not hide his fear of failure dealing with them, especially as the stock's foreign exchange reduced the lead to block the signing of agreements with companies of foreign investment, which believes that the change of currency will reduce profits.

For his part, sees an assistant professor in the College of Business and Economics Adel Abdul Jalil said Iraq is ready now for the deletion of zeros from the dinar, because it needs to stabilize security, political and economic, and that Iraq opinion does not need to replace the currency as it is needed to control the oscillation happening in the exchange rate of the dinar against the dollar. Jalil confirms that the lifting of the zeroes will cost the state budget large sums may open the door for financial corruption and waste of public money as well as failure to address the problem of inflation because the Iraqi market for all imported goods and services from abroad, which means a large drain of hard currency.

In response to these concerns, stresses, deputy director of the Central Bank «the power of the Iraqi dinar, which became like a hard currency thanks to the policy of the central bank in control of the cash raised in the domestic market. He pointed to the existence of a large cash reserve of hard currency is kept to face the difficult circumstances that may occur in the country gives the strength of the dinar against foreign currencies. The central bank's policy is aimed, according to the benefit to the stability of the exchange rate of the dinar against the U.S. dollar, likely equal to the price of the Iraqi dinar against the U.S. dollar during the next two years after the implementation of the project to delete three zeros from the Iraqi currency. And in favor of the view that the Iraqi citizens need to raise awareness in the villages and towns and schools also require that students have a role in the media help citizens to receive the project.

The expert economic Majid picture this view, explaining that the circulation of the new currency would be gradual so as not exposed citizen to any defect or blackmail the owners of interests until withdrawing the old currency fully, on condition also do a mass media campaign is overseen by the central bank and entities associated with it to educate citizen.

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Iraq Planning Currency Redenomination   (flash back)

Monday, January 21, 2013

Iraqi dinars are stacked at a teller's window in a Najaf bank.

February 06, 2010

BAGHDAD -- The Iraqi Central Bank is planning to redenominate the national currency in an effort to ease transactions and allow people to carry less paper money, RFE/RL's Radio Free Iraq (RFI) reports.

Mudhhir Muhammad Salih, a member of a Central Bank advisory panel, told RFI that a plan has been made to remove three zeros from the currency and phase out the current banknotes late this year.

Salih said by the end of 2010 the new banknotes will be fully introduced while the old banknotes will be gradually removed from circulation. He did not specify when the new notes would be issued.

Both will be legal tender in Iraq until the old notes are completely withdrawn. Iraqi officials have had a long-running plan to redenominate the Iraqi dinar. In 2006, the Finance Ministry recommended to the Central Bank that it carry out such a plan.

Salih pointed out that banks are having a hard time accepting cash savings and deposits, but by dropping the zeros it will make it easier for both the banks to deal with their customers and for the general public to carry money. He said some 80 percent of Iraq's money supply is cash in circulation.

Salih added that in 1990 the value of banknotes in circulation was about 25 billion Iraqi dinars but is currently some 25 trillion dinars.

Economic analyst Hilal al-Tahhan told RFI that the bank's move is overdue. He said he expects the currency change to go smoothly because of the decision to allow both the old and new banknotes to coexist, leading to less turbulence in the economy.

The current exchange rate is 1,167 Iraqi dinars to the U.S. dollar.

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Banker: Iraqi dinar still maintains its value and not vibrate issue Central Bank


Date: 13/01/04 11: 33: 44 Friday

Baghdad (newsletter) … Banking expert confirmed Abdul Aziz Hassoun, Iraqi dinar maintains its value and does not vibrate with the Central Bank crisis, noting that the current Central Bank Administration to promote the power of the Iraqi dinar.

He said Hassoun (News News Agency): the Iraqi dinar has made him a force on its value and not vibrate to any financial or economic crisis in the country, including the Central Bank, because it hedged by cash reserves of hard currency.

He added: the current Central Bank management to increase the value of the Iraqi dinar and make it desirable internationally through monetary policy, as well as the application of the rules by banks to prevent the smuggling of currency or money laundering

http://bit.ly/100pznj

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Change in Iraqi Currencies
Arranged by S. Seal - [11/30/2012]
Central Bank adviser Mohammed Saleh, said that the bank is serious in executing the deletion of three zeros from the national currency of Iraq in near future.
Salhan said that it depends on at the present time to shape the next government and parliament two new Saokhman upon themselves determine the mechanism under which the function of deleting the zeros from the Iraqi dinar.
He also said that deleting the zeros would contribute to the reduction of the size of inflation and also to the reduction to the size of money supply in the market of 26 trillion Iraqi dinars to near about 25 billion dinars, pointing that the Kurdish language is going to be added to the new currency as well as English and Arabic.
He added that the huge number of funds traded in the market let to get puzzled in the large commercial transactions and in the work of banks, adding that deleting three zeros from the Iraqi currency will direct to reform the management system of the national currency and thus develop and refresh the Iraqi economy.

Source: [Nakhel News]
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CBI’s Saleh: Dinar has became strong due to policy’s of the CBI and $60B reserves; Aspires IQD to equal USD

Posted: December 3, 2012
Noted Deputy Governor of the Central Bank the appearance of Mohammed Saleh that dinar indoor hard currency by more than (100%) and there is no fear of currency fluctuations neighboring countries.

Saleh said in a press statement on Saturday: The dinar today has become a strong and more like hard currency thanks to central bank policy controlling the cash raised in the domestic market, adding that the dinar covered in hard currency and by more than (100%) and this rare condition, and has a cash reserve large hard currency than (60) billion dollars retained to face the difficult circumstances that may occur in the country, giving the strength of the dinar against foreign currencies.

He pointed out that the central bank’s policy target at the moment is the stability of the exchange rate of the dinar against the U.S. dollar, while our long-term goal to be equal to him being a need to exercise a strong economy, low inflation and a large cash reserve.

And was a member of the Finance Committee and the National Alliance MP Haitham al-Jubouri could likely equal to the price of the Iraqi dinar against the U.S. dollar during the next biennium (Note: within a period of two years) after the implementation of the project to delete three zeros from the Iraqi currency.

Jubouri said in an earlier statement that the approach that the Central Bank retention rate of the dinar against the dollar during the current period indication that monetary policy in the country able to make the dinar is equal to the U.S. dollar.

http://bit.ly/SGGlRg
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Ministry of Planning

The Exchange Rate of Foreign Currency in Economic Feasibility Studies

Below are the central controls related to the exchange rate of the foreign currency to convert the project inputs and outputs from foreign currency to its equivalent in the local currency, and that is by calculating the net discounted present value standard and the internal return on investments in economic analysis that governs investment projects that costs excess one million dinars.

Estimate the shadow price of foreign currency:

1. It is necessary to put central controls to amend the official exchange rate * to reflect the shadow price of the foreign currency, and that is considered one of the necessary requirements to implement the net discounted present value standard and the internal return rate on investment in the economic calculation stated in the instructions, paragraph nine.


The central controls for adjusting market prices distinguished a group of outputs and inputs traded internationally, where the projects production or usage of them is reflected on the abundance of foreign currency in the economy and thus project outputs or inputs used of such are considered purely foreign currency outputs or inputs.

* What is meant by exchange rate: the number of units of foreign currency, expressed in dollar per one dinar.

In particular the following outputs and inputs of foreign currency were distinguished:
· Export-outputs.

· Outputs marketed locally that substitute imports.

· Imported inputs.

· Inputs produced locally that usually go to exports.

· Foreign labor.
According to the pricing rules the value of the output and input (traded) is calculated using export prices (FOB) and import prices (CIF), according to what is listed in the pricing rules.

In other words the pricing rules calculate what the project produces from foreign currency (quantity of exports multiplied by the export price (FOB) in foreign currency or the quantity of substitute imports multiplied by the import price (CIF) in foreign currency, as well as what the project uses from foreign currency and imported inputs multiplied by the import price (CIF) in foreign currency .... etc.).

In a later step, project outputs and inputs must be converted from the foreign currency to its equivalent in local currency (dinars) by using a specific exchange rate for the foreign currency.

2. Justifications for exchange-rate adjustment: there are a number of important and powerful arguments which support the view that the official exchange rate reduces the real value of foreign currency for purposes of calculating the economic national profitability for investment projects and hence for the purposes of investment planning. It is demonstrated in this context to call for assessing the dinar for less than (3.208) dollar (official exchange rate) when assessing project outputs and inputs of traded goods of exports, substitute imports and imports... etc.

The justifications to call for the use of an exchange rate that is lower than the official exchange rate are:
· The use of an exchange rate that is lower than the official rate is the appropriate action at the investment planning level to translate the country’s economic strategy aiming at stimulating central investments in the sectors that encourage the development of non-oil exports, as well as sectors that encourage the expansion of domestic production base in order to reduce imports and compensate it with local commodities. This helps to reduce reliance on foreign exchange earnings from crude oil exports and increases the share of non-oil sectors in the local production.
· The application of the amended exchange rate on project imported inputs will assist in directing investments away from aggregated sectors dependent on imported inputs and the preference of those sectors that rely on locally produced inputs.
· The use of the amended exchange rate helps to correct the balance in favor of the traded goods sectors compared to non-traded goods.
· The real exchange rate has declined rapidly since the early seventies, through rapid rise of the level of prices and local costs which led by the steadiness of the official exchange rate to change in prices and actual local rate costs that gave an advantage for imported goods at the expense of locally produced goods, meaning that it led to deterioration of the competitiveness of alternative replacement goods and export commodities.
· This action shows that the official exchange rate overestimates the value of the dinar, compared to the foreign currency and from the promoting goods substituting imports and export commodities point of view of.

And in support to this view is the state’s utilization and in a broad approach to the customs and quantitative protection policies especially for consumer goods, as well as export subsidies that exports have through an amended export exchange rate.

3. Estimate the amended exchange rate of the Iraqi dinar to be used in technical and economical feasibility studies and for (1.134) dollar per dinar. This price should be approved for 3 years until re-appreciation by the competent authorities.
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If you're prime minister!

Author: The future of Iraq

11/29/2012 12:00 am

D. Nahida al-Tamimi
If I was prime minister, the first thing I will do is use the powers available to me to amend the Constitution and the amendment will solve a lot of outstanding problems and exploited by some of the worst exploitation of me arm Iraq and pressure it is unlikely .. Then you completely get rid of the thing as quotas is not kept her impact and turned to presidential rule and focused most powers to me, is not love dictatorship and authoritarianism "God forbid," but a matter of the ship that are frequently sinking Mlahoha.
You I will take action to ban any official from making statements random or travel without my knowledge only agreeing After surest delegation people Thagap transferred me every nook and cranny and Dar what was agreed upon official minutes and signed, as you Samna official envoy of monopoly officials in countries receiving them , not wanting to count his breath but to prevent any side deals or agreements detrimental to homeland security and safety, economy and reputation. regarding Parliament, you Sassen legally determines the number of parliamentarians so to exceed deputies each province three or four that each one of them is responsible for part of the province .. North and Osta, south and see the matter best pursuant Venkavih, and for Baghdad, I will allow five or more deputies represent little due to its large population, and so we press expenses and determine responsibilities. MP be useful and has the functions carried out by, and not (eat pasture and lack of workmanship).
The governor will be an accountant account difficult for accomplished and did not accomplish, so there will be an annual tribute to the best achievements in the best province .. Any province restore the amounts allocated to them does not accomplish anything, deprived of the tender next year with separate those responsible.
I will put the right man in the right place and shall rely efficiency standard alone in job appointments and there will be a movement up and down movements by achievement and commitment and dedication to work.
The electricity, you will not tire myself in wasting more public money on them, but Sataaked directly and in my personal capacity as prime minister with Japanese companies or South Korean or Indian to return electricity to Iraq within months and a quarter of the amounts spent so far it has not engines which something is dark and cold and heat, and Sapashr myself on workflow and provide achievement in it, and the same for water Sataaked directly with the Germans or the Turks to develop the water sector and thus tie their interests Iraq فسيعملون effort to Ivlloa obstacles posed by Turkey in the way of the flow of water to us. problem of unemployed youth and graduates coast in various ways first Samay to open centers work or run in every city center or street is important, you Ptoseahm to hospitals and laboratories after rehabilitation and cooperative farms and nurseries and government departments and schools, each according to his competence and even who want to start pursuant own would help the state to start his project, so that will not stay unemployed work or evening of his position, because the young Imad future and Rkizath If the product, benefited society by the Magistrate's order, Savred tax on anyone who has entered the high ministers and the government and parliament and owners of companies and supermarkets and merchants, judges and senior doctors, pharmacists and owners of private hospitals and all rich luxuriant, I will work from the proceeds of the tax major investment projects are revenues for the construction of houses for the homeless, widows and schools and concerns and orphanages and health care each Senator and helpless and needy.
I will work health insurance similar to the developed countries, to deduct a small amount every month of every individual has income in exchange for medical services and free medicine to him, and could not, pay him the state of the proceeds from taxes, I will not allow any oil crisis, gas, benzene because I Saahd invest gas burning of our fields of oil to companies to Atsnglna provided that provides all oil derivatives for citizens and at a reasonable price and smooth permanent meeting investment we and our preference for them, and for the transfer, I will make of transportation we have Sweden or the Netherlands again, get rid of all the old cars and polluting the environment Ptsagatha and compensate the owners, not allow that going car in the street life for more than five years, there will not be generators and pollution and the generator untapped, but will be electricity illuminating every house at all times, I will dinar Iraqi prestige and was a valuable exchange former is three dollars and a half dollar almost, because there is no justification to be low in this Figure We Migti worth more than oil and reserves and the treasures of the earth hidden phenomenon that Atemtlkha another state, Savred conscription for a year on every young man to learn and train on the use of weapons, a move to absorb part of the unemployment also, of course, so as to meet reasonable salary and enough young man, Samnh every student and every a child born in Iraq a monthly stipend, the student to graduate and child to become old eighteen years, of course, this right of the proceeds of their oil and not Mtfdilh them something, Samna bribery and cronyism and clientelism and will be efficiency and maturity are judged and standard, because everyone will be satisfied and does not need to something , Samna sale of agricultural land converted to residential, but I will work a major campaign for the afforestation of Iraq and Tkhaddarh again and the fight against desertification, سأحمي national industry and will put restrictions and taxes on imported goods, and سأحمي national agriculture and support farmers and will import the narrowest in this area.
I will be Iraq Dubai or Singapore, and I will work and I work a lot, and more .. But ..?! Unfortunately it's just wishful thinking I do not know when it comes from will deliver us.
"Portal"
http://www.almustakbalpaper.net/ArticleShow.aspx?ID=30968
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Iraq to cut off dinar zeros by January 2013
17-05-2012 - 05:00
Business Source:
 

Iraqi Parliament Finance Committee revealed, on Tuesday, that cutting zeros off Iraqi dinar and its redenomination will be taking place in January 2013 adding that printing the new currency will start as of September 2012.
“Zeros will be cut off Iraqi dinar and the currency will be denominated in January 2013,” Finance Committee member Haitham Al Jabouri told Alsumarianews noting that printing the new currency bills will start in September 2012.
“The redenomination of old Currency requires a whole year and the old currency will be fully withdrawn from Iraqi market in the first half of 2014,” Jabouri said stressing that cutting the three zeros off the currency and its redenomination intend to stabilize Iraqi Dinar and decrease demand on the hard currency.
“Central Bank of Iraq dissipated all fears from money laundering during the redenomination process,” Jabouri stated explaining that it has a special apparatus to fight money laundering.
“Reform of Iraqi currency management system is a major duty of Central Bank of Iraq and cutting zeros off is one of its strategic tasks,” Jabouri uttered assuring that the Parliament Finance Committee support Central Bank’s strategy.
Iraqi Cabinet Secretariat issued a resolution, on April 2012, to halt all procedures relating to cutting zeros off the dinar until further notice.
Iraq is not ready yet for this step, some economic experts believe pointing out that such action requires security and political stability in addition to economic stability.
Central Bank of Iraq announced, on January 2012, it is determined to release 3 Iraqi dinar bills of high value i.e. 200, 100 and 50 dinars after the cutting off of zeros from the currency. Dinar redenomination requires 2 years, Central Bank of Iraq informed.
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Expert: Recent CBI policy will support the stability of the dinar exchange rate

This article is really saying they want to make the dinar equal to a dollar.

0/06/2012 12:00 am

BAGHDAD – morning
attributed the economic expert Manaf Al Sayegh, the reasons for the recent actions of the Central Bank to raise quota price of Iraqi banks for the currency, to stabilize the exchange rate of the dinar against the dollar.

Sayegh said: that the central bank develop new measures to increase quota prices for the currency in Iraqi banks and make the currency market as a result of free market stability and balance the exchange rate of the Iraqi dinar against the U.S. dollar in the local market, indicating that the quota imposed on currency prices in banks previously when the price of the dollar against dinar. Sayegh added that the central bank to impose restrictions on the sale of the currency in Iraqi banks when increased demand for the dollar and increased its value against the dinar, ماجعلها successful actions have achieved a balance in the currency.

stressing that the policy of the Central Bank reduced the difference between the price of the two currencies in the money market and the price of the currency at the Central Bank, adding that the exchange rate of the dinar against the dollar has become parallel and the percentage difference between the two estimates (2 percent).

http://bit.ly/QBk2eL
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Member of Finance Committee: Devaluation of dollar against dinar winning is not the level of ambition

This article is really saying they want to make the dinar equal to a dollar.



Date: 06/10/2012 13:46:16 Saturday

Baghdad (news) .. Male member of the Finance Committee MP / National Alliance / Abdul Hussein al-Yasiri, that the actions of the central bank to increase the width of the dollar led to balance the dinar exchange rate against the dollar, but it was not balanced the required level.
Yasiri said (of the Agency news sons) on Saturday: The low exchange rate of the dollar against the dinar a result of actions of the Central Bank is not the level of ambition, stressing that the Finance Committee and in coordination with the Central Bank will develop new procedures to make the dollar worth of the dinar.

He added: that the currency’s strength comes from the strength of the country’s economy, adding that the new measures to be taken summed up the sale of hard currency by the Central Bank for banks and banking companies.

http://bit.ly/UKraWc
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Economist Opinion: Exchange rate of dinar against dollar will fall more in the coming days; CBI measure effective

Expert: the exchange rate of the dinar against the dollar will fall more in the coming days by the actions of the Central Bank of effective

30-09-2012

Chief Economist Majid picture, that the exchange rate of the U.S. dollar in freefall and will equal the exchange rate of the Iraqi dinar in the next few days, praising central bank measures “successful” to reduce the exchange rate of the dinar against the dollar.

He said Suri (of the Agency news) on Sunday: One of the important factors for the high exchange rate of the dollar against the dinar in the summer months the past is the high demand and tight supply and exploitation of banking companies for citizens to raise the price of the dollar, prompting the central bank to increase supply in the currency auction.

He added: that the success of the actions of the Central Bank in reducing the price of the dollar against the dinar would make one dollar is equal to one Iraqi dinar in the next few days.

The picture: that the decline in the dollar exchange rate was limited only to demand cash and not remittances, noting that the transfer obtained by the merchant through banks and banking companies circulated at the official rate, while the cash demand by citizens through banking offices fell to its reliance on worker supply and demand.

ALTERNATE TRANSLATION:

Expert: dinar exchange rate against the dollar would drop more in the coming days by effective central bank actions


30-09-2012

Baghdad (News)

The Economist said Majid, US dollar exchange rate is declining and the dinar will equal in the next few days, praising Central Bank actions “successful” reduce the dinar against the dollar.

Majid said (News Agency news) on Sunday: that one important factor for the high dollar exchange rate dinar last summer months are high demand and low supply and exploitation of citizens banking companies to lift the dollar, prompting the Central Bank to increase the supply in the auction currency.

He added: the success of Central Bank actions in reducing the dollar against the Iraqi dinar will make dollar Iraqi dinar per few days ahead.

Mock said: the decline of the dollar merely demand cash and money orders, indicating that hawala dealer obtained through banks and banking companies circulated official price, cash demand by citizens through the exchange offices reduced to dependence on supply and demand.

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Parliamentary economy: inflation rate in Iraq is unacceptable

The time on Wednesday, September 19 / September 2012 07:17

Baghdad / Orr News

Committee considered the economy and investment parliamentary current inflation rate in Iraq as unacceptable, calling on the government to prepare a strategy to double the economic GDP in order to improve the standard of living and Alrvahe citizen.

The member of the Committee of Economy and Investment parliamentary Abdul-Abbas the estrus, government to “draw a strategy and put laws diversity of GDP, which depends mainly on oil.” Estrus said “GDP is one of the economic criteria, and affect the per capita income and the budget and welfare measures for the citizen,” he said, adding that “revenue needed to sustainable development, such as agriculture, industry, generating profits on the citizen and the country.”

He pointed out that “Iraq’s dependence on oil in danger of crises result link this product economic crises and political in the region and the world,” warning “accreditation President on oil, because it at our peril, is linked to the global market mainly, and perhaps in any crisis we lose 80 percent of our domestic “.

The MP said the state law that “Parliament is expected from the government to prepare develop laws and the diversity of GDP or contribute to its development,” stressing the need to “find organization plans in coordination between the executive and to facilitate the preparation of parliamentary legislation law.”

As for the high rates of inflation, considered estrus current ratio as “unsatisfactory, given that the budget measure on inflation 5 percent, a rate acceptable to Iraq,” noting that “the responsibilities of the central bank is to determine the exchange rate of the dinar, and the interest rate, and the reduction of the inflation rate, in addition to managing cash reserves and a host of other tasks. ” “We want the central bank to take the reins, and work to reduce the inflation rate reasonable.”

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Economist: Politicians excuses to delay dropping of the zeros are lame

Economist: clinging to the security and economic situation to delay the lifting of the zeroes from the currency, “a lame excuse”

Monday, September 17 / September 2012 11:33

Description economic expert on behalf of Jamil, invoke the security and economic situation, and work to delay the process of lifting the zeros from the currency arguments “flimsy.”

Said Jamil told all of Iraq [where] today, that “everything in Iraq has become a subject of political decisions and moods, pointing out that” one of the paragraphs of the Central Bank Act, allows him to print and change the currency. “

He added that “the Iraqi currency ago by eight years, and Ntgah inflation monetary and frequent banknotes in Balasouk and consumption is part of the currency and the difficulty of the calculation, the deletion of zeros from the currency conveniently very present, and the central bank formatted officially more than a year for this process, which do not affect the purchasing power, but would ease the process of state intervention in the market purchasing, also will give the dinar moral force, and remains the dinar is the main currency in circulation. “

Jamil said that “the lifting of the zeroes from the currency will serve the foreign investor, and the use of the Iraqi dinar in foreign dealings, rather than the dollar, noting that he” does not have any damage, but will be reflected positively on the government banks. “

The economist pointed out that “the currency will be printed in a competent presses has been given forms to accept fraud at the Central Bank.”

The Cabinet decided in its meeting held last April 10 to wait in the application process of deletion of zeros from the national currency until further notice.

The Central Bank of Iraq, and on the lips of bank adviser appearance of Mohammed Saleh, has confirmed to [where], need for Iraq to process administrative reform of the currency cash, and that the project to delete the zeros is a step comes as part of the country’s need to process administrative reform of the currency, in order to reduce transaction costs cash in the economic process, in addition to the need to provide small denominations coins used in daily circulation of small transactions.

The officials at the central bank, as well as some politicians and economists, urged the government to delete the zeros from the currency, and the issuance of a new currency denominations large cash, in addition to a small Coins.

Observers say the government really intends to delete the zeros from the currency as a step towards improving the purchasing power of the Iraqi dinar, but economists played down the importance of this step, considering that the cost of raising the zeros will be greater than the benefit expected from the lifting of zeros.

http://bit.ly/PrFrXg
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Currency and restructuring real substance to improve their scientific value

Date: Thursday, 09/13/2012 06:33 am

d. Ikram Abdul Aziz Abdul Wahab
Macroeconomic data showed the Iraqi and the existence of a state of increasing the gap and the imbalance between the cash market and the real market (goods and services), and the labor market and the whole cast a shadow on the reality of economic activity

Through the sidelines inflation translator higher general level of prices and its impact on the purchasing power of citizens and on the overall course of economic action and the increasing unit imbalance in light of the survival economy unilateral ريعيا, influenced by the size of foreign demand for staple and basic dynamics of the Iraqi economy, which is oil, with the continued survival of the Iraqi economy unbalanced sectoral and limited and weak effectiveness of most sectoral activities and economic development, all of which of course reflects the state of the Iraqi economy overall micro level, and exclusively reality monetary and banking, the statistics showed the CBI if to highlight the topics of liquidity, currency and banking performance, the average liquidity ratio Iraqi banks working 51%, which exceeds the ratio standard of 30%, on the other hand, the data banking activity shows that the volume of deposits with banks weak about the size of currency in circulation, where it is at best that the proportion of depositors and customers with banks 20%, while 80% them prefer cash deal to deal with the banks, reflecting the absence of banking awareness among citizens in the form that compels him to keep cash in order to avoid any occupation or disorder or potential losses.

About progress van there, according to statistics the central bank block cash of more than 30 trillion Iraqi dinars, translated a number of traded papers and $ 4 trillion paper cash, and as reflected in the value of the currency to rise from JD 1 to 1000 dinars, and 25 dinars to 25 dinars and so .

With a margin of inflation, it was a motivation for the high number of zeros and thus, the comparison here with the dollar shows that currency conversion into U.S. dollars at the dollar makes carrying easier as well as retaining and dealing and trading.

Faced with such a situation, there rests with the orientations of the monetary authority to take an active role in influencing trends in money supply by virtue of the existence of a set of facts to support the trend towards the adoption of the strategy to delete the zeros.

Them that there is difficulty in conducting accounting transactions in pregnancy and keeping these currencies and circulation and the presence of groups of small cash unacceptable in circulation, as well as to groups other cash greatest need more time and effort to carry out counting to settle daily transactions and the difficulty of conducting transactions and bank accounts of the currencies of zeros many in practice and artistic.

I have pointed to an official source at the Central Bank that the deletion of zeros is to enhance the value of the Iraqi currency
and reduce the cost of cash trading, and currency as the current where Petrlionat estimates dinars, make the process of cash handling high cost.

Hence we believe that this proposal needs to be examined from two angles: first the effect of the deletion of zeros to strengthen the value of the currency, and the second you will contribute to the process in a positive impact on monetary indicators, and whether this approach does not entail any consequences related to track financial and administrative, including operations the inevitable fraud.

In our opinion, humble that the adoption of a strategy for managing and structuring currency require briefing all economic indicators, including the effectiveness of the real sectors and services in the economy, and what percentage of its contribution to GDP sectors that are supposed to be income-generating and reflect the ability of the economy and Rsanth beside what is the status of the trade balance and the level of investments and the general budget and trade indicators, financial and monetary.

If the aim of lifting the zeros is to enhance the value of the currency we think it will not happen implicitly because appreciation of the dinar and strength come from the diversification of income sources diversified infrastructure sector so that they are able to produce goods and services and especially that the growing dependence on the oil sector as a supplier base and President makes the economy vulnerable external fluctuations on oil in accordance with the request that it be reflected on the stability of revenue from foreign exchange and cash balances enhanced the value of the currency, as well as that this situation would keep the single export content and increasing import content with a wide range of external assumption.

Thus, the saying that the procedure would enhance the value of the currency needs to pause and reflection because the currency's strength and durability comes from the strength of the economy and the diversity of its sources.

The other side and last

If this trend has been adopted by many countries, including Bolivia, Sudan and Brazil and Turkey delete several zeros from the currency of any structural reform, that, according to economic data has not been reflected on reducing the rate of inflation being not cause but the result is similar to the procedure for Iraq will not have a great impact the revaluation or reduce inflation.

In that these countries have economic stability and security and has an effective contribution to GDP and institutional frameworks and administrative, regulatory and tax rules are relatively supportive of the approach. Accordingly could be coming in a lot of questions, namely:

1. This issue if not an extensive study and degrades the quality of community, the process of subtraction Iraqi market will be presented to the imbalance and tremors once citizen could have imagined that the deletion of zeros will affect negatively on the real value of the currency.

2. Is the proposed strategy will take the nature of the correlation between the money market and the labor market and whether a comprehensive outlook will be the nature of inflation in terms of it not monetary inflation essentially only but it is a structural and structural inflation reflected in the high cost of production and price rises chain.

3. We believe that the proceeds are of this procedure is that the version the new monetary convincingly mathematically and reflecting improved value of the currency and exchange rate but in fact, the latter needs to be the basis for this image is the strength and diversity of sources of income and wealth and profits resulting from the diversity of Structure of the economy.

4. The economic situation needs to pursue structural paths economy and sectors arthropod that, if promoted, they will reflect the furtherance real value of the currency and not an account that funds will be disbursed to switch currency believe that the necessary calls to be directed towards sectors that serve the need for citizen all service sectors Health - Education - that this process may increase the smuggling of funds abroad and the promotion of the so-called money laundering.

5. Is has to take the consequences of this process of smuggling money abroad and the promotion of the so-called phenomenon of money laundering.

6. The process of removing zeros process procedural difficult and complex and need to statistics and accurate figures to the overall activities of the country's economic, the other hand must stand on the impact of the stock market in terms of the deletion of zeros reduces capital for companies, and thus affect the functioning of the market with this cost the government time and effort.

7. The direct this approach will need to review minutes of the reality of the Iraqi economy and its institutions of public and private and the effectiveness of the orientations credit support for the work of the private sector, leading to the elimination of unemployment, and review of the Iraqi economy, which has no reality and positive, represented the high proportion of real sectors to the GDP to compare experiences successful and real to other countries as the basis of the success of any reform process and administrative needs to be a radical remedy that was gradual and serious fiscal imbalances, monetary and administrative that are an impediment to development perspective in Iraq.

8. Also is questionable about (what is the mechanism and rules and regulations and the schedule is supposed adoption of activating the strategy deletions have been, taking negative dimensions can be expected for this procedure as it might be deleted as reflected negatively on the procedure institutional and domestic market and have been calculated as the consequent of fraud and financial corruption).

Thread not only delete the zeros to improve the currency or to reflect a positive image for the Iraqi economy in my account and accounting. The larger issue of reform as a development issue by any standards.
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Iraqi Coins May Return in 2013

By Richard Giedroyc, World Coin News September 10, 2012


Some Iraqi economists are less than thrilled with the idea of a new currency being introduced during 2013, but if the financial committee in Iraq’s Parliament has its way not only will there be new bank notes, but coins will once more be seen in circulation.


The currency reform being planned for next year will include removing three zeros from all existing currency denominations.


According to Iraq Central Bank Deputy Governor Mazhar Salih, “We are determined to change the Iraqi currency because the biggest bank note in Iraq is 25,000 dinars, which is the equivalent of $21. This has forced Iraqi merchants to resort to U.S. dollars. Besides omitting the zeros from the currency, we will redefine the Iraqi currency and have bank notes larger than 25,000.”


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Najiba Najib is a financial committee member. According to Najib, the new currency would circulate simultaneously with the older bank notes for three years before the notes being replaced would be demonetized.

The committee has presented proposed designs for seven bank notes ranging from 5- to 200-dinar denominations as well as coins in 50-fils to 2-dinars denominations to the central bank. Details of the proposed coins were not immediately available, but it was learned through Najib that the waterfall of Geli Eli Beg is among proposed vignettes for the new notes. It appears the proposed vignettes will attempt to appease all major ethnic groups within Iraq since three of the proposed designs have Kurdish themes. It was also learned the notes and presumably the coins will include legends in Arabic, Kurdish and English.

Kurdistan Economic Forum Vice President Faysal Ali is among those opposed to a currency reform at this time. According to Ali, “The political situation in Iraq is very unstable and it is economically weak.”

Ali continued, “Therefore, it is not possible to change the currency now because in order to do so we would need more than a trillion bank notes and coins. Exchanging new bank notes with older ones being used by citizens will greatly harm the economy.”

Ayub Anwar Simaqayi is a lecturer in economics at Salahaddin University in Erbil. He added, “It [Iraq] depends entirely on oil which it exports for U.S. dollars. So, if they [Iraq government] change the currency of Iraq and the price of oil goes up it will have no impact on the value of Iraqi currency. But, if the oil prices go down the currency of Iraq will lose value as well.”

Following World War I, what is now Iraq was a British mandate that used the coins and bank notes of British India as its official currency. Iraqi coins in denominations of 1, 2, 4, 10, 20, 50 and 200 fils were introduced in 1931 and 1932, with a 100-fils coin being introduced in 1953.

Coins continued in use during the Iraqi Republic period, with the introduction of a new series in denominations of 1, 5, 10, 25, 50, and 100 fils. In 1970 a 250-fils coin was added to this mix. In 1982 the 500-fils and 1-dinar denominations were introduced; however, coin production ended after 1990 due to inflation.

A series of coins in denominations of 25, 50, and 100 dinars was introduced in 2004 by the Coalition Provisional Authority that replaced the dictatorial government of Saddam Hussein; however, these coins proved to be unpopular and were withdrawn.


Bank notes used during the Saddam regime are nicknamed “Swiss dinars” because they were printed in Switzerland for Iraq. When the Saddam government was cut off from its Swiss suppliers in 1991 due to an international embargo, Iraq began printing its own bank notes, known in Kurdistan as “fakes” or “prints” due to their lack of anti-counterfeiting security devices.

In 2003 the coalition governor of Iraq, Paul Bremer, following the collapse of the Saddam government, authorized new bank notes to be printed by the De La Rue security printing company. These notes are dubbed “Bremers” by Iraqi citizens. Counterfeits of the Bremer period notes have been a problem due to the interest in selling physical Iraqi dinars overseas to investors speculating on their appreciation should the Iraqi economy improve.
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The economic and investment commission Iraq needs to form a higher council for the economy

Date: Sunday 09/09/2012 07:53 pm

BAGHDAD – A citizen called a member of the Committee on the economy and investment MP / block Lahraralbrlmanah / Abdul Hussein Resan to the need to form a higher council for the economy in Iraq.

Said Resan in a statement on Sunday received (citizen) a copy of “the problem of the economy in the country that we are to Anmtlk hand her economic decision, noting that any decision of this kind needs to cover a powerful politician, because the Minister, if Makant has a powerful bloc in parliament can pass resolutions that convinced them and sees it will be channeled positively on the Iraqi economy.

“stressing that” Iraq needs to forming operations room or higher council of the Iraqi economy, citing the formation of this Council that the Iraqi economy has shifted recently toward a market economy, and suffers from many crises , as well as that Iraq possessed of scientific and social heritage so that it can draw the council or the party. “

The statement said that “this Council can also remind citizens of some problems faced by today, citing the example of the decision to postpone the customs tariff, where the adopted citizen generates convictions on Matnaqlth and media which may be imprecise to justify such a decision.” The statement continued, “if there are economic entity responsible for all economic behavior, they can change the culture of public opinion in this topic and other economic issues.”

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Finance Committee confirms it has not received 2013′s budget; Says deletion of zeros will not create economic problem, simple process

Sunday, 09 September / September 2012 08:00

Parliamentary Finance Committee confirmed not received a draft budget that next year from the government.

The deputy chairman of the Committee Ahmed Faizullah told all of Iraq [where] today that “allocations Supreme Judicial Council as well as other ministries are identified through meeting them and agree on those customizations,” adding that “the budget is based on the actual needs of the annual institutions” .

And on the deletion of zeros from the local currency Faizullah said that “the deletion of zeros will not create an economic problem or financial or monetary and some magnifies the issue out of proportion it’s just the process of switching the currency which pertain to all Iraqis, and it may take time to get used to people about it.”

He added that “printing the new currency cost amounts billions Is the government willing to bear the costs? They must be calculated financial cooperation with the central bank needs from the currency because the Iraqi economy is based on the Cache and this is sound because any financial system developed for Aataaml بالكاش is that instruments and credit cards to اتشكل ratio 1 percent of transactions in Iraq. “

Faizullah stressed the need not to “make way for either currency manipulators who take advantage of the currency switch.”

He pointed out that “there is mutual accusations on this subject but it must be for the country and the means and possibilities to investigate abusive who manipulate things and we do not control our financial or commercial Aouchaabah and even in the Kurdistan region and this encourages lawlessness market.”

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Parliamentary Finance: Central Bank lingered process of deletion of zeros to stop the objections of economists on the project

Sunday, September 9, 2012
09/09/2012

Baghdad (news) .. Male member of the Finance Committee MP / National Alliance / Abdul Hussein al-Yasiri, the central bank lingered cause the deletion of zeros from the Iraqi currency, the large number of economists objections to this project.
Yasiri said (of the Agency news) on Sunday: The deadline for the deletion of zeros from the Iraqi currency was agreed at the beginning (2013), but the central bank dropped and for the process to time is unknown because of the objections of some economists of a possible collapse in the national currency.

He added: stop media campaign regarding the removal of zeros to make the central bank to take the position of silence about the process, calling for the federal government and the Ministry of Finance and the Central Bank to take a final position of the process of deletion of zeros and determine given time to replace the currency to reduce fraud that has spread dramatically.

And confirmed: that the deletion of zeros from the currency will reduce the money supply and prevent Iraq from a country with a density and mass of large cash transactions to a mass market more credit and smaller. / End / 21. D. Q /

http://www.ikhnews.com/news_view_54963.html
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Editorial: Decision to delete the zeros from the currency .. Ink on paper
Posted: September 6, 2012

Long ago, announced near the implementation of the decision of the deletion of three zeros from the Iraqi currency, and that the project will be launched early next year and will continue for two to three years. He then appeared other comments announces lingered government to the implementation of this resolution and postponed to another date ..

So is the project will remain a dead letter, as described by the Deputy Director of the Central Bank of the appearance of Mohammed Saleh? …. And received the decision to delete the zeros from the Iraqi currency a lot of opinions pro and con, there Economists believe that the decision will lead to the collapse of the national currency and see some last he would return to the country benefit the country It is unfortunate patient in its implementation because it is a joint venture between the government and the central bank. As long as the government seeks to postponed due to security concerns, it can not be implemented in this year or the year after that – according to deputy director of the Central Bank – Timing is very important in this case is also implemented, they must coincide with the beginning of the fiscal year, so you will not find space for implementation inevitably through this year .. And regrets for the postponement of the project because it is economic benefit to the country as long as improve the efficiency of the currency and reduce the impact of large numbers, then dealing with cash needs into categories cash large and small, as will be dealt again categories such as (50 dinars) and (100 dinars) and (200 dinars) in addition to classes less than dinar (such as half a dinar) and (quarter of a dinar) and (50 fils) and (25 fils).

which is confirmed by financial and economic expert at the Central Bank Majid picture that does not see the difficulty in implementing the decision because it will help in the process of reducing trading volume large currency transactions and would draw more accurate pricing policy in the future as long as the will handle the thousands and millions, rather than billions, as well as its role in the detection of fraud earlier because the central bank will impose on banks use very modern techniques to detect fraud. He adds «also techniques that will be used in the printing of the new currency will be difficult to penetrate, but if behind that organized gangs or backed by the state because the specifications minutes and styles to be established by the central bank will be very strict«.

contrast warns economist Tawfiq inhibitor of the collapse of the national currency in the case of application of the decision to delete the zeros three of them, pointing to the need to prolong the period of currency switch and not withdrawing the old currency and launch new direct, but work together so that it would not cause harm to the economy or any direct impact on the living conditions of the citizens. On the other hand sees inhibitor that process counterfeit currency is another reason to collapse and therefore warns that happens, especially as there are great bands and mafias currency capable of forging greater currency in Iraq.
seen most citizens to decision deleting three zeros from the national currency look apprehension after accustomed pockets Download large paper groups and accustomed stakeholders including dealing with hundreds of millions.

businessman believes weighted in favor of deletion of zeros would hurt the level of share trading in the Iraqi market for securities, because there shares will be lost in case of deletion of zeros. And works weighted in stock since 2005 and increased his passion for them when evolved using screens electronic, but does not hide his fear of failure dealing with them, especially since stocks foreign exchange reduced the lead to block the signing of agreements with companies of foreign investment, which believes that the change of currency will reduce profits.

of For his part, sees Adel Abdul Jalil / assistant professor at the Faculty of Administration and Economics / that Iraq is ready now for the deletion of zeros from the dinar, because it needs to stabilize security, political and economic, and that Iraq – in his opinion – no need to replace the currency is as much a need to control lie in volatility in the exchange rate of the dinar against the dollar. And Abdul-Jalil said lifting of the zeroes will cost the state budget large sums may open a door for financial corruption and waste of public money as well as failure to address the problem of inflation because the Iraqi market are imported for all goods and services from abroad means draining large hard currency.

response to these concerns, confirms Vice Director of the Central Bank «the power of the Iraqi dinar, which became like a hard currency thanks to the policy of the central bank in control of the cash raised in the local market ‘. He pointed to the existence of a large cash reserve of hard currency is kept to face the difficult circumstances that may occur in the country gives the strength of the dinar against foreign currencies. The central bank’s policy is aimed – according to the benefit – to the stability of the exchange rate of the dinar against the U.S. dollar, likely equal to the price of the Iraqi dinar against the U.S. dollar during the next two years after the implementation of the project to delete three zeros from the Iraqi currency. According to Saleh, said that the Iraqi citizens need to educate in the villages and towns and school students also and be the media role in helping citizens to receive the project.

emphasizes economic expert Majid picture this view, explaining that the circulation of the new currency would be gradual so as not exposed citizen to any defect or blackmail from stakeholders until the withdrawal of the old currency in full, on condition also do a big media campaign supervised by the Central Bank and its related entities to educate citizens.

http://bit.ly/RdZImH
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Dinars reveal new central bank measures on global currency rates
2012-04-17 17/04/2012

بغداد/دنانير/..اكد نائب محافظ البنك المركزي ان المضاربين في سوق العملة وضعوا البنك امام خيارات حرجة لمعالجة الارتفاع الاخير في سعر صرف الدينار العراقي مقابل الدولار، كاشفا عن اجراءات جديدة للحد من ظاهرة نزيف العملة. BAGHDAD / JD / .. Deputy Governor of the Central Bank of the speculators in the currency market and put the bank in front of critical options to address the recent rise in the exchange rate of the Iraqi dinar against the dollar, revealing new measures to curb phenomenon of bleeding currency.
وقال الدكتور مظهر محمد صالح في تصريح لمراسل وكالة (دنانير) : ان العلاج لمشكلة ارتفاع سعر الصرف يتطلب الاخذ باحد الخيارين اما ان نغطي حجم الطلب بتوفير احتياطي كبير من العملة أو أن نترك المستهلك يواجه تبعات تقلب اسعار الصرف. He said the appearance of Dr. Mohammed Saleh told the reporter Agency (JD): The treatment of the problem of the high exchange rate requires taking one of the two options either to cover demand by providing a large reserve of currency or to let consumers face the consequences of fluctuations in currency exchange rates.
وبين ان الخيار الاول يهدد احتياطي العملة بشكل كبير مما يرجح الاختيار الثاني كحل مؤقت لحين تطبيق الاجراءات الجديدة والتي اكد انها ستقضي على الظاهرة بشكل نهائي وفيما يخص الاجراءات الجديدة كشف صالح عن نظام جديد للحد من عمليات سحب العملة المؤدي الى ارتفاع اسعار صرف الدولار مقابل الدينار العراقي.
He said the first option threatens currency reserves dramatically than likely second choice as a temporary solution until the application of the new measures, which confirmed it will eliminate the phenomenon final Regarding new measures Saleh revealed a new system to reduce withdrawals currency leading to higher prices of the dollar against the Iraqi dinar .
واوضح ان البنك بصدد ادخال نظام جديد للقضاء على ما اسماهم بالتجار الوهميين المتعاملين مع البنك ،يتضمن المطالبة بأجازة الاستيراد الجديدة الصادرة عن وزارة التجارة .
He explained that the bank in the process of introducing a new system to eliminate what he called ghost traders who deal with the bank, include a demand for new import leave issued by the Ministry of Commerce.
ولفت الى ان النظام الجديد سيقضي وبشكل نهائي على عمليات سحب العملة المشبوهة من خلال كشف جهات صرف تلك المبالغ وبالتالي التعامل على اساس المكاشفة المالية والضريبية مشيرا الى ان المضاربين بالعملة طالما تهربوا من المحاسبة الضريبية ، مما سيجعلهم يعجزون عن اصدار اجازات الاستيراد.
He pointed out that the new system will eliminate the final withdrawal of currency operations through the detection of suspicious destinations to spend that money and thus dealing on the basis of financial disclosure and tax noting that currency speculators as long evaded tax accounting, which will make them unable to issue import licenses.
وتابع سيتوجب على اي تاجر بعد تطبيق النظام الجديد ابراز اجازة الاستيراد كشرط لدخوله المزاد مبينا ان الاجراء الجديد سيضمن بيان حسن نية المتعاملين في سوق العملة الصعبة .
He will have no dealer after the application of the new system highlight the import license as a condition for entering the auction, indicating that the new measure will ensure the statement in good faith dealers in the foreign exchange market.
واشار نائب محافظ البنك الى ان الاحتياطي العراقي قادر على تغطية حجم الطلب من العملة الصعبة في حين يتخذ الاجراء الجديد لوقاية الاحتياطي العراقي من التدخلات المغرضة للعبث بالأمن الاقتصادي العراقي.
The vice governor of the bank that the Iraqi reserves able to cover the demand of hard currency until the new measure taken to prevent the Iraqi Reserve interventions tendentious to tamper with the economic security of Iraq.
وأوضح إن العملة العراقية قوية وذلك لأنها مغطاة بالدولار بكثافة برغم أحادية الاقتصاد العراقي وان البنك بإمكانه امتصاص اي زخم على الطلب خلال لحظات وذلك لوجود مخزون إستراتيجي كبير من العملة الصعبة ، الا انه يحاول فرض الحماية الكافية للاقتصاد الوطني.
He explained that the Iraqi currency is strong because it covered dollar heavily despite unilateral Iraqi economy and that the bank can absorb any momentum on demand during the moments due to the existence of a large strategic stocks of hard currency, but he is trying to impose adequate protection of the national economy. يشار إلى أن البنك المركزي العراقي، أعلن عن ارتفاع احتياطياته من العملة الأجنبية إلى 60 مليار دولار للمرة الأولى في تاريخ العراق، بعد أن سجلت بداية أيلول من العام 2011 ارتفاعاً بالاحتياطات بلغت 58 مليار دولار وكانت 50 ملياراً نهاية العام 2010.
Noteworthy that the Iraqi Central Bank, announced rise in foreign currency reserves to $ 60 billion for the first time in the history of Iraq, after recording the beginning of September of the year 2011, up precautions amounted to $ 58 billion and $ 50 billion year-end 2010.
ويعقد البنك المركزي العراقي جلسات يومية لبيع وشراء العملات الأجنبية بمشاركة المصارف العراقية، باستثناء أيام العطل الرسمية التي يتوقف فيها البنك عن هذه المزادات، وتكون المبيعات إما بشكل نقدي أو على شكل حوالات مباعة إلى الخارج مقابل عمولة معينة ./انتهى/20/
The central bank held the Iraqi daily sessions for the sale and purchase of foreign currencies with the participation of Iraqi banks, excluding public holidays on which depends the Bank for these auctions, and be sales either in cash or in the form of remittances sold abroad for a commission certain.

http://www.dananernews.com/News_Details.php?ID=383
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Economic Editorial: Inflation; Heavy legacy inherited Iraq and shook confidence in its national currency

Date: 04/09/2012 12:13:23 Tuesday

Baghdad (news) / report / dreams Furaiji / .. inflation .. Recipe has become inherent in the Iraqi economy since the early nineties of the last century as a result of the siege and successive wars, and the subsequent paralysis almost entirely for domestic production after 2003.

large handful of local currency, is worth only a commodity is very simple, and confidence shaken, and money means big does not want people campaign to weight, but prefer an international currency more stable and less quantity, and often the U.S. dollar, those are the main symptoms of economic inflation experiencing rates up continues. member Economic Commission MP / coalition in Iraq / Qusay Fri Abadi, said (of the Agency news): “The inflation rate rises unreasonably also confirms the reality of the situation in Iraq,” expressing his surprise at the words of the Central Bank that the inflation rate fell to (6%). explained: that the central bank is able to reduce the rate of inflation by increasing the dollar supply and reduce the demand for it , which leads to lower its value against the Iraqi dinar.

stressed: that imports and limited domestic production led to the escape of hard currency and raise the rate of inflation, calling, the federal government and the central bank to activate the private sector explained dollar for banks and reduce the unemployment rate and to encourage investment, to fight inflation. As a member of Economic Commission MP / National Alliance / Amer Al-Fayez, stressed during a recent (the news) that the federal government did not provide any measure scientific to reduce the rate of inflation do not care about higher rates. attributed Fayez: reasons for the high rates of inflation to neglect the key element in supporting the economy and the fulfillment of a sector Special.

explained: that the fundamental solution to reduce the rate of inflation is deleted three zeros from the Iraqi currency and revalue against the U.S. dollar, to absorb inflation, as well as support the industry, trade, agriculture and the private sector.

while recommended by the Economic Commission MP / National Alliance / Ibrahim Rikabi , diversifying sources of income the state to reduce inflation rates, noting that the increase of the operating budget and low investment budget is the cause of rising inflation due to the distribution of salaries tremendous staff not Ikdon service.

said: that the agricultural sector in Iraq almost nil and there is no national industry fact, what led to high inflation rates, so you must open investment and activate the sector free market and the role of agriculture, industry and reduce the unemployment rate to tackle inflation.

was reported earlier talked about the high rate of annual inflation to 140.7% due to higher prices of housing, electricity and food, which was denied by the central bank adviser appearance Mohammed Saleh, stressing: that inflation rates fluctuate constantly between high and low, but it does not affect the economy of the Iraqi market. explained: that the highest level of inflation is 6.7% and oscillates to be up 5%, a percentage that does not require a fear of economic disaster. In the view member of the Finance Committee MP / Kurdistan Alliance / Najiba Najib, the high rate of inflation came from Iraq’s dependence on oil imports and the lack of domestic production.

said Najib: that conditions throughout the Middle East to help the growth of inflation and rising rates, stressing the importance of diversifying sources building the economy through support of religious tourism and banking sector and support the industry and agriculture to reduce inflation. A member of the Finance Committee MP / National Alliance / Haitham al-Jubouri: that higher inflation rates earned on higher prices for services such as housing and electricity.

confirmed Jubouri: that encourage housing and distribution of residential land ease inflation, calling, the Central Bank to take action to raise the exchange rate of the dinar against the dollar and avoid the arrival of inflation to high levels is difficult to avoid. Economists expect to see inflation rates during the month of September this significant increase, according to data from the Ministry of Planning compared to what the outcome of the prices during the festival mushrooms and predecessors. In this context, economic analyst nice Abdulsalam (of the Agency news): There unexpected rise in inflation rates globally, as witnessed in July and August a significant rise in inflation rates and is expected to this month will rise further. attributed analyst Economic out rising inflation in Iraq to sizeable foreign debt that he inherited the country from the former regime.

pointed out: that the exchange is justified in government departments and the space of financial and administrative corruption has led to high rates of Altdkhmn alongside remnants of the former regime, which is the basis of the problem. between: that address the high rates of inflation depends on the central bank raised interest rates on deposits in order to encourage the deposit money in banks in order to absorb excess liquidity. continued: should adopt a policy of effective tax on imported goods, and determine the size of spending in the operating budget and reduced compared budgetary investment to curb inflation.

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Ministry of Finance has different opinion than his own deputy; The deletion of zeros falls within the powers of the CBI

03/09/2012

Ruled out the Undersecretary of the Ministry of Finance Fadel Bani deletion of zeros from the currency until the end of the year two thousand and thirteen (2013). Bani said in a press statement that the deletion of zeros falls within the powers of the central bank, which is supported by,

While the Ministry of Finance to Ataadh, said Undersecretary of the Ministry of Finance between that next year’s budget was calculated current Iraqi currency and therefore can not delete the zeros and replacement,

http://bit.ly/PDxnlh

Alternate translation:

The Financial Secretary has ruled out Bani Fadel delete zeros from the currency until the end of 2000 and thirteen (2013). Brown said in a press release that the deletion of zeros outside the powers of the Central Bank, which supported that, in
While the Ministry of finance not back him, said Financial Secretary built to balancing next year calculated current Iraqi currency and therefore cannot delete zeros and replaced,
http://bit.ly/OMaDP1-TheCurrencyNewshound
Debate heats up on the process of deletion of zeros from the currency during seminar

02/09/2012 2:02 am

During a seminar held by ((morning))
discussed Economists process of deletion of zeros from the Iraqi currency, and the order of the positives that can be reflected on the overall economic activity in Iraq or cons able to affect the business process

The overall financial, and as Deputy Governor of the Central Bank that the disintegration of the monetary system in the country is a clear lack of overall political process, wave specialists others participated in the seminar that the process requires timelines testify during the economic reality of Iraq more stability, which otherwise is witnessing now According to specialists.

said deputy central bank governor Dr appearance of Mohammed Saleh during the seminar a debate organized by the morning yesterday on the process of deletion of zeros from the currency and with it, it’s positives or negatives regarding the economic process as a whole: that Iraq suffers from the influence of the mass cash enormous estimated at 35 0.3 trillion dinars caused an increase inflation to dangerous levels, which called for initiating change currency and deleting three zeros them in order to shrink as it believes the use of categories of small cash.

pointing out that the deletion will be produced by issuing classes cash small up to 25 fils order filling a need transactions small future, stressing that the Iraqi dinar currently covered well and cash value estimated at more than $ 60 billion, a cap could keep the value of the dinar from all economic variables that could face the country.

was Saleh, who gave Mahazerh first Symposium has answered a number of questions that guide the participants in the same order, as explained during his answers to the financial value of the dinar after the change will maintain its position fully, denying that you get some imbalances in the process transactional to banks and banks with customers who deposited their money before the deletion of zeros.

Despite what was said in favor of the positives can be realized after the deletion, but the president of the Association of private banks Abdul Aziz Hassoun wondered about the feasibility of the change in value of financial standing after the deletion, saying at the same time: what will result from the deletion of zeros, from the comfort of the use of the currency, Will will that rest economically successful.

turn expressed an economic expert Dr Akram Abdel Aziz during Mhazertha on the sidelines of the seminar for lack its own absolute in times of time to process the deletion of zeros from the currency, wondering about the impact of the operation in enhancing the value of the currency and whether it will contribute to the positive impact on indicators cash as well as the guarantee that can protect against process of corruption.

believes Abdul Aziz said the adoption of a strategy for managing and structuring currency require surround all economic indicators, particularly the effectiveness of real sectors and services in the economy and what is the percentage of its contribution to the gross domestic product.

drew Abdul Aziz that enhance the value of the currency does not can be achieved implicitly, pointing out that the reasons for this comes because the value of the dinar and the strength derived from the diversification of income sources and increase built sectoral and making them able to produce goods and services, criticizing a growing reliance on the oil sector in supplying the budgets of the country of Finance, which has affected the stability of cash income from foreign currency and balances enhanced the value of the currency, as well as that this matter can keep on unilateral content export and increasing content import expands external borrowing.

participated in the seminar a number of experts and specialists in economic affairs representing many government and private agencies, and will be posted the morning an extensive report on the symposium in numbers next to them.

http://bit.ly/NKa1sB
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Committee member: Parliament committee calls for a conference to prepare the mechanism of CBI
Posted: August 18, 2012

The member of the Finance Committee parliamentary deputy coalition / state law / Abdul Hussein al-Yasiri to “hold a conference participates by economists to prepare a mechanism for the central bank on the issue of transferring funds abroad.”

He said in a press statement today that “the Finance Committee formed a sub-committee to follow up the work of the Central Bank and to the bank confronted a number of inquiries and investigations in the forefront of selling the currency and what the benefit of these quantities sold these auctions are high. ”

He Yasiri “The committee was discussing with the central bank to change and reprint the currency and delete the zeros and what is intended and what the companies that deal with the central bank to reprint the currency in addition to the existence of assets belonging to Iraq on behalf of the Central Bank deposited in international banks are estimated at billion dollars sixty-seven and what interest rate of retention with the money and Iraq today need it. “

“There are great fears of the process of money laundering and there are accusations of the existence of mafias within the central bank, “but did not mention the names of these mafias and those behind them, pointing out that” all countries in the world to sell the dollar once in a while and there is no country in the world sells continuously currency and central bank Justifies us that he wants to raise the value of the Iraqi dollar. “

He asked Yasiri on “How to granting the license for the currency conversion companies in Iraq and how are monitored.”

The CBI said: “The sale of the dollar to the banks intended to withdraw Liquidity from the market as it is in place in the majority of the world’s central banks”

The bank said in a statement on 15 of this month: “The majority of the markets where the price of an official price parallel, the World Bank seeks to minimize the difference between the two rates through the inspection teams, to comply with the instructions of the Central Bank, which sells the dollar to all government and private banks and branches of foreign banks, and not to the banks of civil only “.

pointed out that He “monetary policy this was welcomed by the International Monetary Fund.”

http://bit.ly/PEgomq
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New Banknotes Expected Next Year Despite Warnings from Economists

08/08/2012

ERBIL, Kurdistan Region — New Iraqi banknotes are expected to hit the market next year, but economists are warning that now is not the time to change currency due to the weakness of local production and the country’s political situation.

Najiba Najib, a member of the financial committee in Iraqi Parliament, said the new currency would be in circulation next year, with three zeros omitted from the denominations. The new currency will be used alongside older banknotes for three years before the older notes are completely withdrawn.

Mazhar Salih, deputy governor of the Iraqi central bank, said, “We are determined to change the Iraqi currency because the biggest banknote in Iraq is 25,000 dinars which is the equivalent of $21. This has forced Iraqi merchants to resort to U.S. dollars. Besides omitting the zeros from the currency, we will redefine the Iraqi currency and have banknotes larger than 25,000.”

Faysal Ali, vice president of the Kurdistan Economic Forum, does not believe the situation in Iraq is healthy enough for a change of currency. “The political situation in Iraq is very unstable and it is economically weak.”

“Therefore, it is not possible to change the currency now because in order to do so we would need more than a trillion banknotes and coins. Exchanging new banknotes with older ones being used by citizens will greatly harm the economy,” added Ali.

Generally, people need time to adapt to a new currency. Some people in Iraq are still counting money in terms of the older currency — Swiss dinars – that was changed a few years ago.

Ali described in more detail some of the problems that could occur while people adjust to new banknotes. “It is a perfect time for merchants to play with the prices of goods as they wish and make unlawful gains,” he said.

The value and strength of any currency depends on the power of domestic productivity. According to Ayub Anwar Simaqayi, an economics lecturer at Salahaddin University in Erbil,

Iraq is not a productive country.

“It depends entirely on oil which it exports for U.S. dollars. So, if they change the currency of Iraq and the price of oil goes up, it will have no impact on the value of Iraqi currency. But, if the oil prices go down, the currency of Iraq will lose value as well,” Simaqayi said.

During the British mandate of Iraq after the First World War, the official currency of Iraq was the Indian rupee. When the country became independent in 1932, it made its own currency, called dinars [locally known as Swiss dinars for their print in Switzerland]. After the invasion of Kuwait by Saddam in 1991 and the subsequent economic sanction by the United Nations Security Council the Iraqi government started printing its own money known in Kurdistan as “fake” or “prints” in the Kurdistan Region.

As the Baath regime collapsed and coalition forces occupied Iraq in 2003, Iraq modified the dinar—by removing Saddam Hussein’s pictures—and printed new banknotes known as the “Bremer” by locals, named after coalition governor of Iraq Paul Bremer. This is the currency is still in circulation in Iraq.

The financial committee has presented seven different banknotes to the Iraqi central bank which range from 5 dinars to 200 dinars and include coins from 50 fils to 2 dinars coins.

Najeeb said that three Kurdish icons are featured on the new currency: the waterfall of Geli Eli Beg, displaced Fayli Kurds and a woman farmer. The notes will contain Kurdish, Arabic and English script.

http://bit.ly/OMplGc
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CBI Governor receives a delegation of the Finance Committee
Posted: July 23, 2012

I keep Dr. Shabibi central bank governor on Tuesday, 17/7/2012 Sub-Committee which includes members of the Finance Committee (Attorney Yasiri Hussain, MP Ibrahim al-Mutlaq, MP Magda al-Tamimi) in the building of the Iraqi Central Bank in Baghdad and in the presence Addinm officials in the bank.

During the meeting, they discussed latest developments reached by the Central Bank in the subject to delete the zeros and replacing the national currency and the policy of the completion of this process. as meeting discussed the issue of controls adopted in the auction currency and the volume of money supply in circulation.

For his part, said Shabibi the main reason in the process of deleting the zeros due to the economic stability experienced by the country and the ability of the large cash with the Central Bank, and on the currency auction between Shabibi that the operation was a window to enter the foreign currency and raise the value of Iraqi dinar.

He stressed that the central bank chose a British company and the other a German among the many international companies to complete the process of printing the new currency being the Ttavan About 75% of the currencies in the world. noting that the central bank has reserves of the currency so that they can in the process of deletion of zeros and coverage significantly.

http://bit.ly/NruRBO
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Shabibi announces the selection of British and German companies for the printing of the currency after you delete the zeros

Sunday, July 22, 2012 16:11

Baghdad {: News} Euphrates said Central Bank Governor Sinan Shabibi for the selection of a British company and the other a German for the printing of the new process to delete the zeros after it.

Shabibi said during a meeting with members of the Parliamentary Finance Committee, according to a statement of the Commission that the bank ‘s central chose a British company and the other a German among the many international companies to complete the process of printing the new currency being the Ttavan about 75% of the currencies in the world .

He noted that the central bank has reserves of the currency, including in the process can delete the zeros and coverage significantly.

And Shabibi said that the main reason in the process of deleting the zeros due to the economic stability and the ability of the country experienced significant cash at the bank ‘s central.

And on the currency auction between Shabibi the operation as a window to enter the foreign currency and raise the value of Iraqi dinar .

The delegation parliamentary annexation MP Abdul-Hussein al-Yasiri , and MP Ibrahim al-Mutlaq, MP Magda al-Tamimi .

During the meeting, discuss the latest developments reached by the Central Bank on the subject of the deletion of zeros and replacement of the national currency and the policy of the completion of this process .

the meeting also discussed the issue of controls adopted in the auction currency and the volume of the money supply

http://bit.ly/NGwPLY
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Shabibi expected delays to be put on new currency but continues to ask for Jan 1, 2013 despite GOI requests
Posted: July 23, 2012

Baghdad/JD/…The CBI predicted delays in putting the new currency early next year and to developments and discussions with the Government.

Prime Minister Nuri al-Maliki demanded earlier with the Bank to wait with his work and put it in the currency changeover from January of 2013.

Central Bank Governor Sinan Al-Shabibi/JD/: “put the currency early next year is uncertain because of the recent discussions and debates with the Government”.

Al-Shabibi said “it would be in the process of cooperation with the Government.”

Central Bank Governor noted that the continuing currency switch, and the previous dates for remaining but developments have delayed.

The Bank confirmed the earlier l/JD/: “ask the new currency would be 1/1/2013, despite Government demands a wait operation”.

The World Bank official letter to Cabinet explaining pros switch currency market and money supply and exchange rate increase and other issues

http://bit.ly/PIoiGW
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Member of Finance Committee: The new currency will witness the presence of the Kurdish language and will be released mid-next year
Posted: July 18, 2012

On: Wednesday 18/07/2012 12:11

Baghdad (news) .. According to a member of the Finance Committee MP / Kurdistan Alliance / Najiba Najib, that the new Iraqi currency will include three languages (Arabic, English and Kurdish).

said Najib (of the Agency news) said on Tuesday: The new currency will be issued in three languages Arabic, English and Kurdish as stipulated by the Constitution Iraqi that the two official languages are Arabic and Kurdish.

she said that the currency will see the presence of the Kurdish language as agreed by the Central Bank and the Ministry of Finance three days ago, noting that the Finance Committee reviewed the models designed by the companies that will be issued and printed new currency.

ruled out Najib : Distribution of budget (2013) the new currency as a result of lack of time and not completing the procedures the central bank to be issued, confirmed, that the Finance Committee and the Central Bank agreed to put the new currency in the middle of next year and be in circulation alongside the old currency for a period of two years to complete the withdrawal of old currency once and for all. and said: You will not see any negative impact on the economy of the market and the new currency will be traded properly.

http://bit.ly/Q5OBwv
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