I apologize for not posting regularly this week just been busy. Last week I had a question and I asked for people to write and answer it and I must say I received several replies that were close and some not so close. It was a good try and I appreciate everyone that wrote in.
Here is the question written below:
In early 2005 the Iraqi government and the Central Bank of Iraq (CBI) had deposited usd 5 billion in the Federal Reserve Bank in New York. The question is how did the CBI and the Iraqi government deposit the money in the Federal Reserve bank in New York. How did Iraq get the 5 billion usd to New York in an interest bearing account?
Now let me answer this question for all you in Iraq enthusiast. Back in 2005 the US government has you all know was sending plane loads of US dollars from the United States and delivering the US dollars in nice fresh printed money to Baghdad airport and then were moved throughout the country in Iraq.
Now to think that Iraq was sending the 5 billion usd back to the states after it had arrived in Baghdad is just not cost effective. So, the US government just opened an account with the Federal Bank of Reserve in New York and opened the account in Iraq government name and accredited the account 5 billion usd. No security to set up no plane loads of US currency very simple transaction thanks to the US government and making 100 million annually so it has been reported.