Resolution Passed to Suspend The New Iraq Currency

Iraq Dinar Currency

There are several articles published recently that are mentioning the Central Bank of Iraq (CBI). Who by the way, are scrambling to control the outflow of U.S. Dollars in the market.  The CBI has put in place the restrictions for the banks and the money exchange centers however, this has not solved any of the problems. Unfortunately, criminal gangs and other entrepreneurs are continuing to gain more U.S. dollars to send to both countries of Iran and Syria.  Both countries are under sanctions and their currencies are depreciating rapidly.  The U.S. dollars are also in the streets of Iraq as the confidence in the Iraq dinar is not as high as it has been in previous years.

In January 2012 the CBI announced that everything was fine with the Iraq dinar and now in April, you have the dinar depreciating against the dollar.  The Governor, Shabibi will have a lot of explaining to do when he meets with the Council of Ministries.

When the Iraqi government gives the go ahead or authorization to the print the new currency the two (old & new) will co-exist with the current 2003 Iraq Dinars. Note that this will increase the money supply.  I have previously mentioned this (see posting from 1 March) and now it has been confirmed by the Iraq news media.  Also, contrary to what some may be thinking, the new currency will carry the same exchange rate.

The project to print the new Iraq currency has been placed on hold. Prime Minister Malki has signed resolution stating the project will be suspended if not canceled.  The Iraq government is very concerned about the elements inside Iraq who are undermining the economy of Iraq.  The department of Cabinet Affairs in the General Secretariat of the Council passed a resolution to stop all procedures on the changing of the new currency until further notice.

Here is something to think about, if the CBI had all the authority why did the Cabinet Affairs have to pass a resolution to stop the process?

On another note, all of the council ministers are in support of Nuri al-Maliki, the current Prime Minister of Iraq.  These Minister’s are loyal to Maliki and will continue to support him.

Prime Minister Nuri al-Maliki has the unwavering support of Iran and the USA as the leader of Iraq and will seek a third term in 2014.

Comments

  1. john says

    well there are several articles published quoting the parliment saying the com does not have the power to stop the deleting of the zeros.
    See the following:It showed al-Tamimi, “The first paragraph in Article 103 of the Iraqi Constitution stipulates that the central bank an independent body, independent financially and administratively, and second of the same article stipulates that the Central Bank is linked to the House of Representatives of Iraq, the solution relates to reassign the Council of Ministers is a violation of the constitution” care to explain how they can dictate policy to the cbi

    • says

      The Iraq Cabinet just passed a resolution to stop the printing of the new Iraq currency. If they are independent (CBI) as you say they are than there would be no need for passing a resolution in the matter. They have a major crisis with the economy so the Prime Minister’s office stepped in to try and get it under control. The CBI Governor Shabibi will be brought to the Cabinet and Parliament to explain why he allowed the economy to go down hill when he said in January 2012 all is fine. Shabibi has his bags already packed and his plane ticket already bought.

  2. Mike says

    how can the new money (1,2, 5, 10, etc.) still have the old rate? They will need a dump truck full of money to buy a loaf of bread.

  3. john says

    it is not me saying they are independent it is there constitution saying they are:See the following:It showed al-Tamimi, “The first paragraph in Article 103 of the Iraqi Constitution stipulates that the central bank an independent body, independent financially and administratively, and second of the same article stipulates that the Central Bank is linked to the House of Representatives of Iraq, the solution relates to reassign the Council of Ministers is a violation of the constitution” I see this as Maliki making another play on the 60 billion in reserves so he can fund his dictatorship and funnel some money to the country he that he should be living in Iran

  4. Scott says

    On the Dinar value dropping.
    I wonder why there is no confidence in it. They have only been telling the people since I know atleast 2006 “We are going to raise the value of the dinar” and bring it back to were it use to be at pre war level. What ever rate that might be. Pick one, I’ve seen so many different rates real and black market I wouldn’t even know what the “real Value” of the older pre war dinar was. If CBI or GOI would just raise the rate give the people what they are telling them for years they are going to give them, things just might get a little better over there. Until that happens, I don’t think much will change, and may just keep getting worse. That’s my 2 cents. Thanks for letting me vent. Have a good day.

    • says

      Scott thanks for stopping by my blog. The Iraq media will always continue to publish the same articles for years to come. The only state run media is al-Iraqiya and they are always the government mouth piece. The rest of the media are always hesitant to report accurately however they are a few that are really good.

  5. Mark says

    For all the people thats so quick to judge and say hes wrong WHERE IS YOUR PROOF????HMMMM???? EXACTLY. Ok question wouldnt u want to pass a resolution? If there is a crisis and no internal law to fix within themselves….. it would be no different than a kid telling their teacher theres a fight in another classroom bc that other teacher stepped out for a minute.

  6. Duane says

    And you also think that the Federal Reserve System in the USA is an extension of the US Government, don’t you?

  7. Mark says

    Also if u check out PUKmedia.com kurds news not ran by iraqs government has the article to back American Contractors claim…….been to this site twice and so far he is the only one being realistic if u wanna keep hearing tomorrow tomorrow theres cashin tomorrow its only a daaaaay aaaaaaawaaaaaay………… go lurk around OOM…

  8. Enorrste says

    AC is mistaken in his interpretation of the articles referenced. John has rightly quoted the relevant sections from Najafi in Parliament in which paragraph 103 of the Constitution clearly states that the CBI is independent in administration and ACTIONS, especially from interference from the Government, which is specifically named in the Constitution!

    Shabibi does not have to report to the Council of Ministers, nor will he have explaining to do if he should elect to visit them. He already has the full backing of Parliament, to whom he does have to report.

    The supposed “halt” of the “remove the three zeros” by the Cabinet is vaccuous. They have no authority in the matter per the Constitution. Parliament has also stated that they have no authority, and Saleh stated last week that no law needs to be passed or regulations from the Cabinet. In fact, he said, all that needs to be done is a posting of the regulations for exchange in the Gazette.

    The CBI is ON RECORD that the RV will raise the value of the IQD to about $1 per dinar, and that the rate will rise gradually up until September, at which time the new currency will be issued to coincide with the existing currency. The two will coincide for one to two years, during which period the old currency will gradually be removed.

    The money supply will not rise. In fact it will fall dramatically. Not only have most of the large notes already been withdrawn (Shabibi stated so) but the few that remain will disappear after the $1 RV, probably in the near future. By September there will be no large notes left. The currency, per their own press conference, will consist of 1 to 100 dinar notes, with values of about $1 per dinar. Therefore the money supply will DROP from the current 25 trillion dinars to about 25 billion dinars, as they had predicted clear back in 2007 and re-iterated in 2009 and 2010 and 2011. After September the dinar will continue to rise in value until it reaches equilibrium in the international market. This will be about $3.50 or possibly higher depending on oil revenues.

    With 25 billion in money supply and $3.50 for the dinar they will have about $77.5 billion in money supply with $60 billion in reserves, by far the strongest currency in the world.

    Finally, Shabibi has the authority to change the value of the currency whenever he feels it is time to do so. The Cabinet did not “HAVE” to give him that authority. He already has it. Neither can their resolution STOP him from acting. This is bluster, and Najafi rightly pointed this out by quoting the Constitution. The GOI is powerless over actions of the CBI. Parliament backs the CBI 100%. The IMF has also backed the CBI, specifically on the “remove the three zeros” project (RV). Nothing from the GOI can stop this.

    AC is mistaken and needs to do his homework before bloviating.

    The Professor

  9. Enorrste says

    I will provide links to all that I have written, one paragraph or sentence at a time.

    “The estrus (of the Agency news): The Central Bank is an independent body financially and administratively nor can any other party to put under its control as stipulated by the Central Bank Law No. (66) for the year (2004), while Article (24) of Law No. (56 ) for the year (2004) authorized the central bank and government coordination in the monetary policy among themselves, and also granted the Cabinet the right to call the Governor of the Central Bank or any member of the Bank for the purpose of discussion in matters of monetary policy of the country provided it does not interfere with the federal government the contents of the work of the Central Bank.”
    http://almadapaper.net/news.php?action=view&id=63907

    This clearly delineates the independence of the CBI from the government.

    The Professor

  10. Enorrste says

    The Finance Committee of Parliament goes on record to state the the Cabinet has no authority over the CBI.

    “The Finance Committee has confirmed the parliamentary vote on the resolution not to link the Central Bank of the House of Representatives and annexed to the Cabinet as a violation of the Iraqi Constitution. Said committee member MP for the Liberal bloc internalized within the National Alliance Majida al-Tamimi in an earlier statement / JD / ‘All of Representatives will not vote on the resolution link the Central Bank of Iraqi Council of Representatives.’

    It showed al-Tamimi, ‘The first paragraph in Article 103 of the Iraqi Constitution stipulates that the central bank an independent body, independent financially and administratively, and second of the same article stipulates that the Central Bank is linked to the House of Representatives of Iraq, the solution relates to reassign the Council of Ministers is a violation of the constitution’.

    She pointed out that ‘the House of Representatives will vote on the resolution of any independent body to be connected to the Council of Ministers because the deputies do not want to breach the Iraqi constitution.’”

    The Professor

  11. Enorrste says

    Saleh states that no law need to be passed, only a regulation posted in the Gazette to change the value of the IQD.

    “Baghdad (news) .. Commended the deputy governor of the Central Bank of the appearance of Mohammed that the draft deleted three zeros from the Iraqi currency does not need new legislation but issued a regulation to serve as instructions as stipulated by the Central Bank Law.

    “Saleh said (of the Agency news) on Tuesday: The Central Bank Law gave full authority of the monetary authority to change the structure of the Iraqi currency, or delete zeroes of them, and can not be new legislation for the project to delete the three zeroes from the currency, having been discussed twice in the House and Minister, and became branches Executive and Legislative more familiar with it, adding that the project needs to issue a regulation and is a published instructions in the Official Gazette, and the Central Bank is in the process configured.”

    The Professor

    • says

      Changing the value of the Iraq dinar is totally different than printing new currency. The printing of new Iraq currency which the deletion of the zero’s is what it is will require the approval of the Iraq government. Right now with the current economic crisis I don’t believe its going to happen anytime soon.

  12. john says

    Where are the holes and please back up what you are saying by dissecting his inaccuracies with articles or facts as you know them.
    It seems like the professor has done his homework and knows what he is talking about, you on the other hand put your opinion out here and never back it up.
    I am not trying to start anything here just looking for facts.

  13. Enorrste says

    Although this plan has been delayed, it was laid out back in October of 2010 that two currencies would co-exist. The plan was formulated in 2005, as I said.

    “Two currencies coexist together and gradual replacement Central Bank (time): Delete the zeros start end of the year

    “10/02/2010
    “BAGHDAD – Ahmed Saleh Khyoun

    “CBI begins the end of the year and gradually replace the currency now in circulation a new currency which zeroes deleted within the strategy to reform the monetary system started in 2005.
    “Bank consultant and announced the appearance of Mohammed Saleh told (time) on that (the bank has completed 50 percent of a strategy switch in and out, delete the zeros of the nominal value of the new currency while retaining the cash value and purchasing power), said that (the replacement process will be gradually and spontaneously high and without fanfare, as will be There are two currencies to trade at the same time go hand in hand), but (that the purchasing power of the new currency will remain fixed).
    “Saleh said (there are multiple advantages of this strategy, including ease of trading between the citizens and facilitate the work of banks, counting, sorting, and stand on the counterfeit currency and to facilitate transactions of the citizens with the banks on the deposits and withdrawals in addition to facilitating the process of monetary reform after hitting a currency issued in circulation now 25 trillion dinars, while in 1990 was about 25 billion dinars and this in itself calls for the deletion of zeros).
    “In the answer to a question by (time) whether the Central Bank has set a deadline for the replacement of the currency said (we did not define this ceiling until now that the matter is still under study and the reality of work at that time will decide how long the replacement process).
    “Responding to another question about the Iraqi currency held abroad and how to replace it “(The right of a citizen is to remove the $ 200 thousand dinars and he could only replace it like any ordinary citizen here in Iraq, either from abroad, the banks in the States would be responsible to us of the assets of our currency), He pointed out that (a media campaign will precede and guide the process in order to raise public awareness of the importance of this and that our banks and our will all be ready to provide all facilities to the citizens and emphasize once again that the process does not affect absolute quiet in the market also note that many countries replaced their currency and benefit from their experiences in this area, including Turkey, Russia, Brazil and others).

    The Professor

    • says

      The strategy for the new currency was only 50% completed according to the article. We know that no new Iraq currency has ever been printed and that the current Iraq currency is still in circulation according to the M2 reports from the CBI. The CBI deputy Saleh has stated the matter is still under study. Deputy Saleh knows that he still needs the government approval to implement the CBI plan to replace the Iraq currency. The approval had not been granted in Oct 2010 the time of this article being published.

  14. Enorrste says

    It appears that AC won’t have the courage to reproduce these articles since they clearly state exactly what I just posted.

    I’m sorry that you are more concerned about your reputation than you are about the truth.

    I dare you to post these articles.

    The Professor

    • says

      It amazes me that you would come to my blog and accuse me of not having courage to publish your diatribe of Iraq articles. I posted all the articles and explained most of them to satisfaction. My reputation is solid and I have always given my best commentary and analysis even if it was not what you all wanted to hear. You show your true colors and character with your posts and it is unbecoming of you.

  15. Enorrste says

    Shabibi on record March 4 of this year stating that the value of the IQD would be increased “significantly” in “the coming days.”

    BAGHDAD / not / A member of the parliamentary Finance Committee Faleh applicable, the registered companies in the Iraqi market for securities is the reason Riisa the high value of the U.S. dollar against the Iraqi dinar, indicating that the central bank has promised to reduce its value in the next few days. He said in effect, in a press statement received by the Agency “Secrets News / We are not” on Monday that “the central bank is responsible for fiscal policy and therefore obligated to take measures and controls to preserve the value of Iraqi dinar,” adding that “measures the bank last did not work in raising the value of the dinar Iraqi and inquire about this thing called the Governor of the Central Bank and told me that the measures developed but not implemented by 100% and the promise of its application in the coming days which will then significantly decreased the value of U.S. dollar against the Iraqi dinar. ”

    A significant reduction of the value of the dollar against the dinar is the same thing as a significant INCREASE in the value of the dinar against the dollar.

    The Professor

    • says

      The CBI Governor Shabibi can state anything and it does not mean its going to happen. Look at the current crisis and in this article it stating that he wanted to decrease the value of the U.S. dollar and just the opposite has happened. The CBI governor knew what was happening in Jan 2012 with the Dinar ie. the counterfeiting and the smuggling of U.S. dollars to the neighboring countries. The CBI governor will be reporting to the Iraq government to give his explanation on what is happening with the Iraqi currency to the Parliament and Cabinet finance committee.

  16. Enorrste says

    This came out today. Shabibi is on record that he does not want to do an “end run” around the GOI. However, he is clearly ready to do so as is clear from Saleh’s statement today. The question is whether Maliki will go along, or will stall, as he has done in the past. If he stalls too long, however, Shabibi has the backing of the IMF and Parliament, as well as most of the economists in the country to go ahead.

    “Saleh said that the central bank exceeded the advanced stages in the preparation of studies and logistical preparations for the mission project to delete the three zeroes from the currency and within a specific timeframe as the draft reform of the Iraqi currency. He added that in the event of obtaining approval by the federal government on the implementation of the project work will be on the tactical level and higher will be the announcement of the implementation and contract with advertising companies and the media to educate citizens on how to use the new currency and to answer all questions raised by him.”

    Notice two things here: first, he refers to “in the event of obtaining approval of the government.” He did NOT state that the project required the approval, but indicates that he would like their approval. Second, they are ready for the “implementation” of the project, which is the RV itself.

    The Professor

    • says

      Saleh stated in the event of government approval everyone knows that the CBI must obtain approval from Prime Minister Maliki and his Cabinet Finance committee for the implementation of this project. Today the Cabinet Finance committee issued a resolution for the suspension of the New Currency project indefinite. If the CBI could act alone than the Cabinet would not have signed a resolution on the matter with complete approval from the Iraq parliament. Why waste everyone’s time to get a resolution on the matter if the CBI is supposedly independent. The CBI has independence on certain matters but not totally autonomy from the Iraq government.

  17. Enorrste says

    This is one of many articles indicating that the dinar will be RV’d to equal $1. Several have come out in the last couple of months. This was only 1 week ago and states it quite clearly.

    “Financial: ‘Iraq is creating the conditions for even the Iraqi dinar against the U.S. dollar’

    “Date: Thursday, 04/05/2012 20:48

    “Citizen / special / Sarah al-Obeidi

    “At the time when the central bank that its policy on the level near will work to stabilize the Iraqi dinar exchange rate against the U.S. dollar, for mid-level and near will work to equal the exchange rate of the Iraqi dinar against the dollar, a number of finance confirmed that the implementation is the step in such circumstances taking place in the country things are complex and require a brief period in order that the central bank can be in his ability to equal the Iraqi dinar against the U.S. dollar (Citizen News) The follow up this subject and was the first speaker. Financial expert, Munzer Mohsen said: “that it is very difficult in such complex conditions that are equal Iraqi dinar with the U.S. dollar for the time being at least, the reason for a number of objective reasons is most important that the budget that passed shortly before given a majority for the area Alchglah and not investment, making it difficult the development of the Iraqi economy to diversify its resource-dependent by an estimated 95% on oil exports, and that most of the materials, goods and services imported and non-productive and nationally. He improved “: the problem is the other sensitive to Iraqi oil, which is such a large proportion of the resources of the country is stable prices.”

    http://almowatennews.com/news.php?action=view&id=39121

    The Professor

    • says

      Another article referring to the Plan of the CBI. We know what happened as the Iraq Dinar is depreciating against the dollar and the loss of confidence in the Dinar by the Iraqi people thanks to criminals and entrepreneurs who are profiting from the dollar and not the Dinar. Iraq imports everything and pays in dollars so they have a large amount of U.S. dollars in the foreign reserves. This crisis in Iraq could go on for awhile.

  18. Mike says

    wrong,,,wrong,,,wrong

    again,,,again,,again

    Do you really think Maliki has the power,,,,,any longer

    SMOKE,,,SMOKE,,LAST DITCH TACTICS BY A FOOL IN POWER

  19. Enorrste says

    How can AC state that the CBI reports to the Iraqi government when the Constitution clearly states just the opposite. The CBI reports to Parliament and may report to the Cabinet, but the Cabinet is not authorized to tell it what to do. I quote paragraph 103 from the Constitution:

    “Article 103:
    “First: The Central Bank of Iraq, the Board of Supreme Audit, the Communication and Media Commission, and the Endowment Commissions are financially and administratively independent institutions, and the work of each of these
    institutions shall be regulated by law.

    “Second: The Central Bank of Iraq is responsible before the Council of Representatives. The Board of Supreme Audit and the Communication and Media Commission shall be attached to the Council of Representatives.”

    There is no mention here of the CBI reporting to the GOI, only to the Council of Representatives (Parliament). If AC has something that equals the Constitution but says otherwise I would be glad to see it.

    The Professor

  20. Enorrste says

    The Iraqi Judicial Court reports to and is a lacky of Maliki. The fact that they came out on January 18 with a statement that totally contradicts the Constitution itself will be shown to be irrelevant, and the Parliament has stated such. When push comes to shove the Constitution will be shown to be supreme. This isn’t over, and for AC to imply that just because the Judicial Branch sent a letter to the CBI that it is somehow over is misleading, at best.

    The Professor

  21. Highlander says

    One can post all the news articles they wish from parliament to base their opinions on, but a news article containing statements of opinion do not trump the iraqi constitution article 110 or the supreme court ruling in Jan of 2011 placing the CBI under the direct arm of the executive branch. Najafi can try to intervene between the 2 sides all he wants but it is not within his power to override the decision made by the council of ministers anymore than it is within the authority of the CBI to do so. The IMF step in? What a joke. They have no authority to force a country to revalue and that is clearly laid out in their articles of agreement located at http://www.imf.org/external/pubs/ft/aa/index.htm

    The most the IMF can do is consult with them, encourage them, and then if they can prove they are doing extreme currency manipulation they could move to a hearing to remove their membership from the IMF.

    “The supposed “halt” of the “remove the three zeros” by the Cabinet is vaccuous. They have no authority in the matter per the Constitution. Parliament has also stated that they have no authority, and Saleh stated last week that no law needs to be passed or regulations from the Cabinet. In fact, he said, all that needs to be done is a posting of the regulations for exchange in the Gazette.”

    Ennorste you better check out who is responsible for posting of laws in the gazette. There is only one person that can do that and that person works for Maliki, otherwise know as the Minister of Justice. Also the proper quote that Saleh made was that legislation was not necessary but government approval is.

    “Saleh said that the central bank exceeded the advanced stages in the preparation of studies and logistical preparations for the mission project to delete the three zeroes from the currency and within a specific timeframe as the draft reform of the Iraqi currency. He added that in the event of obtaining approval by the federal government on the implementation of the project work will be on the tactical level and higher will be the announcement of the implementation and contract with advertising companies and the media to educate citizens on how to use the new currency and to answer all questions raised by him.”

    Notice two things here: first, he refers to “in the event of obtaining approval of the government.” He did NOT state that the project required the approval, but indicates that he would like their approval. Second, they are ready for the “implementation” of the project, which is the RV itself.

    The Professor”

    Saleh has stated many times over the last year and a half the government approval was required. The papragraph you posted is in fact another statement to the same. In the event of approval work would be on a tactical level. Meaning that once approval is obtained they could move this project along. Now think of this, if in fact he could move this along on his own and this ruling from the council of ministers is so irrelevant then why would Najafi feel so threatened by the decision? For that matter why would Shabibi? This never was in Shabibis hands alone to do or it would have been done. If it was a saviour to the worlds economics it would have already been done. What this event is about is the future of one country and the players in that country alone will decide when and how this thing goes down plain and simple. This is a pure power struggle plain and simple. There is already a court ruling as to who is going to still be standing on after the final outcome of this is revealed.

  22. Enorrste says

    From the CBI Law directly

    Article 4 Functions of the CBI:

    1. The functions of the CBI in achieving the objectives set forth in Article 3 and as further described in the Law shall be to:

    formulate and implement monetary policy, including exchange rate policy, for Iraq in accordance with Section 6……

    issue and manage Iraqi currency in accordance with Section 7.

    Section 7, Article 32 Issuance of Currency

    1. The CBI shall have the exclusive right to issue banknotes and coins intended for circulation in Iraq.

    I fail to see where the GOI or Maliki fall under this category. The word EXCLUSIVE usually means only ONE.

    The Professor

    • says

      Listen no matter how many times you bring up the Iraq Constitution in reference to the CBI it does not tell the truth on what is happening on the ground. PM Maliki has his rules and a court ruling that came out in his favor.

  23. Enorrste says

    The strategy for the removal of three zeros notes (not the new currency, as stated by AC) was 50% completed in October of 2010. It is now essentially complete (I have the article from the CBI stating this if necessary) as of 3 weeks ago. This was called the completion of the first phase of the overall strategy (namely removing the large denoms from within the country). The “intermediate phase” is the RV to $1 or about that amount, and was said to be “ready to implement”. The final phase is the issuance of the new currency, stated to occur this September. The two will coincide for 1 to 2 years, after which the old small denoms will disappear. ALL currency (including the large denoms) will remain legal tender throughout the project. I will find the articles and post them shortly.

    M2 includes the total money printed and in circulation, including money drawn back into the CBI (large notes) which will be destroyed shortly as the existing small denoms are issued (they were printed in 2003 along with the large notes and are in storage at the CBI). The currency outside Iraq will NOT be included in the total money supply after the $1 RV because, according to Saleh himself (I have the article) the dinar will become one of the strongest currencies in the world and will be used as a reserve currency for other countries “for a long time” (quoting Saleh). The INTERNAL money supply will drop to 25 billion and be backed by $60 billion, making it the strongest currency in circulation. This is according to Saleh, not me.

    Saleh has stated that the time study is now complete. I posted that article earlier this afternoon on this site.

    AC states that Saleh “knows that he still needs the government approval to implement the CBI plan”. This runs counter to the CBI Law and the Constitution, both of which I have posted VERBATIM on this site. Therefore, no approval needs to be granted, contrary to AC’s comments to the contrary. Sakeh is not ignorant of these two items.

    If AC can find something that supercedes the CBI Law AND the Constitution, I welcome seeing it. Incidentally, the Parliament is on RECORD stating that no law can supercede these two entities (CBI Law and Constitution). Besides, Parliament wouldn’t pass one anyway. This leaves a “regulation” of some sort from the GOI (Cabinet) which won’t carry any weight.

    The Professor

    • says

      When they say delete the zero’s they are talking about printing new currency. It is a bad translation from the beginning and they CBI and the media just ran with it and the words stuck.

  24. Enorrste says

    I apologize to AC for thinking that he was withholding my posts. None were posted for well over an hour and in fact until I challenged him, after which they were posted. I congratulate him for posting these articles for the people to decide themselves who is correct. However, I do not think that in making a simple statement to the contrary of what an article clearly states that he has “adequately” addressed my posts, or the content within them.

    The Professor

    • says

      You bombarded my web site with several (6) Iraq news articles and I was attending to other matters when you posted them. Later, I came back to check on my web site and saw your comments and was ready to respond when I read your comments and articles. At least give me a few hours to respond or maybe 24 hours before you insult me. I am sorry I didn’t respond to you within the hour.

      You did apologize and I accept…I will move on.

  25. Enorrste says

    When Shabibi states that something will happen, he has the power and authority from the CBI Law, the Constitution, and the Parliament to implement his plan. He has kept everyone aware of his intentions since 2005 (read my book) and is supported by everyone except Maliki at this point. If he says he will do it, he can do it.

    The dropping of the value of the dinar from 1166 to 1320 recently is, in my opinion, related to several factors that Shabibi had no reason to expect would occur. He was ready to implement this plan in June of last year (I have the article). The delay was because of his “desire” to make this a country-wide event rather than just a CBI event, as he has stated. He has waited patiently due to PROMISES made by Maliki that in fact Maliki never came through with. His patience is now running thin, since he is now on RECORD with the PEOPLE that he will implement this plan in the near future, and in particular will implement phase 2 (the $1 RV) shortly, then allow the currency to gradually rise until September when he will issue the new currency.

    He has already issued contracts to 4 companies in other countries to print the currency at a cost of $150 million (I have the article). He did not need to get any approval for this, as I have shown already.

    The articles about counterfeiting of currency are smoke. There is no significant counterfeiting of the IQD per Saleh himself (I have the article). However, in an apparent effort to get the GOI off his back he has created a “scare tactic” that would indicate that counterfeiting is taking place. This would further justify the issuance of a new currency in the near future. However, if anyone would just think about this it makes no sense to counterfeit the dinar. The money is nearly worthless! DUH! In any case, according to Saleh only a few notes have appeared in a couple of banks that were obviously fakes.

    Finally, Shabibi MAY report to the government but he will not do so to “explain” on what is happening. He has issued several articles that have already done that (dollars leaving Iraq for Iran and Syria, for instance). He is on record clearly as to the reason for the short-term fall in the dinar. He has also stated that the problem will be solved before July 1. Most people thought that he meant he would cancel the auctions before that time, but Saleh came out and stated unequivocally that he was NOT referring to canceling the auctions.

    So, what other action could the CBI take to stop the wholesale drain of dollars from Iraq to Iran and Syria? Answer: raise the value of the IQD to over a dollar. In doing so then the CBI can withdraw dollars from Iraq and the people will be happy with their currency because it will be worth MORE than the dollar. This is really fairly simple to see. After all, it has all been laid out in the press already!

    The Professor

  26. Charles says

    Interesting points from both Contractor and The Professor.
    I just fear that there will be no RV for a few more years. Well by that time guns and freedom will be gone from America. So much for my plans to buy a *&*( load of guns and ammo before obummer bans them. Once he is reelected, he will sign the U.N. Gun ban and start passing more laws that remove our freedoms.
    RV delays = less freedoms.

  27. john says

    highlander
    i posted this earlier:“The first paragraph in Article 103 of the Iraqi Constitution stipulates that the central bank an independent body, independent financially and administratively, and second of the same article stipulates that the Central Bank is linked to the House of Representatives of Iraq, the solution relates to reassign the Council of Ministers is a violation of the constitution” you are saying article 110 contradicts this could you post that somewhere or tell me where i could find it.

  28. john says

    Delta » April 13th, 2012, 4:54 pm • [Post 305] urgent from iraqi tv: parliamentary economic committee is calling the cbi to raise the value of iqd against the dollar and give a purchasing power to Iraqi people
    any thoughts on this a c

    • says

      John this is the norm for the Iraq media. The Iraq media continues to announce the same talking points straight from the CBI. Wait a few days and they or some other media organization will publish the same story.

  29. Enorrste says

    Everyone does NOT “know that the CBI must obtain approval from Prime Minister Maliki and his Cabinet Finance committee for the implementation of this project.” I have already shown that the CBI does not need Maliki’s approval for this project, per CBI Law and the Constitution. Therefore the resolution from the Cabinet has no weight behind it, as Najafi of Parliament also stated today. The fact that the CBI made the resolution was because they are being left out of the process and want to be included so that they can take credit (I suppose). But no one is listening because their “resolution” does not carry any weight of law. Also, contrary to what AC has stated the Parliament DID NOT approve the Cabinet resolution. Quite the contrary! The Finance Committee of Parliament stated that the GOI should STAY OUT OF THE BUSINESS of the CBI. Read the article, or ask me to post it for you. Therefore, the “waste of time” is on the part of Cabinet, which is reaching for some semblance of inclusion in the process. It is NOT a statement with any authority whatsoever, and CBI, Saleh, Shabibi, Najafi, and the Finance Committee of Parliament have said so in the last 24 hours.

    As stated earlier, the CBI has TOTAL independence from the GOI as stated in the CBI Law. It clearly states that NO PERSON OR ENTITY, including the government, can interfere in its decisions or the implementation of its plans.

    I am amazed that the simple statements of the law, the Constitution, Parliament, Shabibi, and Saleh fall on deaf ears. My dad used to jokingly say this: “Don’t confuse me with the facts! My mind is already made up!” Perhaps that applies here.

    The Professor

  30. Enorrste says

    This is in response to Highlander:

    Here is the quote from the article that he referred to which I posted earlier today:

    “Saleh said (of the Agency news) on Tuesday: The Central Bank Law gave full authority of the monetary authority to change the structure of the Iraqi currency, or delete zeroes of them, and can not be new legislation for the project to delete the three zeroes from the currency, having been discussed twice in the House and Minister, and became branches Executive and Legislative more familiar with it, adding that the project needs to issue a regulation and is a published instructions in the Official Gazette, and the Central Bank is in the process configured.”

    Highlander said: “Ennorste you better check out who is responsible for posting of laws in the gazette. There is only one person that can do that and that person works for Maliki, otherwise know as the Minister of Justice. Also the proper quote that Saleh made was that legislation was not necessary but government approval is.”

    I only repeated what the article said. I did not say anything about who has authority to put something in the Gazette. Besides, the statement of Saleh was the”published instructions” which may or may not even need “authority” to be published. However, I will take Highlander’s advice and check on who can have something published in the Gazette.

    Highlander wrote: “Saleh has stated many times over the last year and a half the government approval was required. The papragraph you posted is in fact another statement to the same.”
    Since I have been willing to post articles that prove my point I would ask Highlander to provide an article or two in which Saleh states that he needs government approval. What he will find is that the CBI has stated that they want the government to be on board with the project because, as Shabibi has stated, he wants the whole country involved and not just the CBI. However, he has NEVER said that he needs the approval of the government. In fact, he has said just the opposite as I showed with Saleh’s statement quoted above and re-quoted here:

    “the draft deleted three zeros from the Iraqi currency does not need new legislation but issued a regulation to serve as instructions as stipulated by the Central Bank Law.”

    Note that no law is required. Furthermore, note that only a regulation is required, but the regulation will NOT come from the Cabinet, but from the CBI itself, as “instruction as stipulated by the Central Bank Law.” The bottom line is that he is clearly stating, again, as he has in the past, that they do not REQUIRE approval from the GOI, only that they would like to have it to unify the country around this large project.

    It is in this light, then that the statement, “in the event of obtaining approval of the government” must be understood. Based on the earlier statements of the CBI that they would like to have the GOI on board, this must be understood in this light, unless Highlander can provide clear statements to the contrary from the last year and a half, as he claims exist (they do not). Therefore “in the event” does NOT mean “through the authority of” but must mean something different. I am suggesting that what is meant is that “assuming the GOI goes along (approves of our plan)” rather than that the CBI recognizes that approval is required from the GOI, which the CBI law and Constitution clearly state is NOT the case. In fact the CBI is quite clear that NO PERSON OR ENTITY may interfere with the implementation of CBI policies. I would again ask Highlander to find something that woud supersede this clear statement in the CBI Law.

    Referencing Article 110 of the Constitution is a good attempt. However, it is not sufficient. I will explain why. First, here is the relevant passage from Article 110:

    “Third: Formulating fiscal and customs policy; issuing currency; regulating
    commercial policy across regional and governorate boundaries in Iraq; drawing
    up the national budget of the State; formulating monetary policy; and establishing
    and administering a central bank.”

    Now, on the surface it would appear from this that the GOI has total control over the CBI and the issuance of currency. However, two things must be noted. First, the GOI formulated the CBI Law in 2004, and that law lays out clearly that the CBI is NOT to be interfered with whatsoever. Therefore, acting under article 110, the GOI has ALREADY made its position clear on this matter. Second, Article 103 of the Constitution clearly places the CBI under the overriding authority of the Parliament and NOT the GOI.

    Therefore, the GOI has already had its say in this matter, through the formulation and approval of the CBI law in 2004. Short of rewriting that law, the GOI is now out of the equation, as Saleh and Najafi have so appropriately stated in the last few days. The Finance Committee of Parliament has also told the GOI to “lay off the CBI.”

    It is clear that the GOI would LIKE to take back authority that it has already granted, but this could only be done through additional legislation, approved by Parliament, which is highly unlikely to happen, since Parliament backs Shabibi and the CBI 100%.

    I welcome further discussion on this from Highlander if he is so inclined. However, I would respectfully request that statements made be backed up. Opinions of the reality in Iraq do not help to “move the ball along.” Simple statements, backed by facts, will work wonders. I try to use this method and have found it helpful for those still trying to make up their minds who to believe.

    The Professor

  31. Enoch8 says

    Ennorste….
    I see the very articles you are posting, directly contradict about half of what you are arguing. Funny….as I was reading your original response to AC, I was thinking the same thing as AC….”So full of holes….”, it is laughable.
    To start off with, your opening statement is based on a cornerstone of ‘Half Truths’ and your argument is also biased, based on desire and ‘Inductive’ in reasoning, rather than a willingness to gather and examine all the facts, in ‘Deductive’ logic.
    The very articles you are posting at best, are political talking points, because for every one you can find that argues Article 103, Allawi Party talking points, there is another arguing Article 110 and defending Maliki’s.
    The truth is, there is a big difference between the job of an ‘Independent Agency’, IE. to implementing policy, at the wishes of the government it serves; vs actually changing monetary policy or the currency, beyond the scope and authority of the independent agency.
    Clearly, Setting Fiscal and Monetary Policy and Approving new currency, is listed as a Governmental obligation to set, as per Article 110.
    One major hole, I will gladly point out.
    Steve states, that Shabibi is calling for an RV.
    Not one time have I seen that.
    In fact, he has repeatedly called for a Re-denomination. There is a big difference.
    Secondly, he is suggesting that Shabibi is targeting a $1.00 exchange rate.
    OK…. I can concur with that, until you say, the plan to remove liquidity to a level of 1988 liquidity and increase the exchange rate to $3.50.
    There are numerous Staff Reports from the IMF , not to mention the University of North Carolina Report from Layna Mosely, explaining how Trade Balance, Supply, Demand and Equilibrium determine the exchange rate. If you really understand how that works, you might see, that the exchange rates of the 1970s are no longer viable, as the population increases, based on a rentier nation, who is dependent solely on oil revenues, distributed to the population as a primary source of revenue.
    The point here, is that the Dinar exchange rate is not based on oil. It is based on the combination of Trade Balance, Supply and Demand Equilibrium to Flow of Circulation and Consumer Price Indexing, along with calculations, based on Traditional Gravity Equations, meaning, Lower Exchange Rates tend to advantage the country to be more competitive in exporting in the non oil markets and higher rates tend to advantage the country who is totally dependent on Imports or have large Trade Surpluses.
    Iraq fits into a category of a large, non oil trade deficit, which would indicate, a lower exchange rate is logical, if they plan to increase non oil exporting and expect to be competitive in the world markets.
    Feasibility studies concluded models from 2006 through 2008, that the exchange rate equilibrium, would be at the projected values of $1.13.
    It is also true, that since then, it is also conceivable, that the exchange rate equilibrium, could in fact be even lower than that.
    Exchange Rates have nothing to do with the strength of a currency. The Purchase Power Parity of today’s, vs future buying power is what determines the strength, regardless of the exchange rate.
    I will close with this last thought.
    CBI never once has mentioned anything about a revaluation, but has proposed re-denomination, which historically, in it’s pure form is revenue neutral, meaning a lop.
    My observation here is this: Regardless of what we think is right or wrong about the talking points of the newspapers in Iraq, who are all arguing for one faction or another, for political reasons, to begin with…. I would suggest, or even ask you all; “What makes us think, that the Counsel of Ministers, by stopping the CBI Re-denomination plan, is not saving us from a lop, that clearly, is all CBI is proposing?”
    Maybe, we just got saved from disaster, if that is true.
    So, I would say this, just maybe, Maliki actually be the good guy, in this. Or- is he the villain the opposition parties are painting him out, to be?
    You be the judge.

    I think it best, to just take the time to just breath and not to take yourself, too personally.

    That is Rule 62: “Don’t take yourself, too personally.”

  32. Enorrste says

    According to Wikipedia:

    The Official Gazette of Iraq has been the official source for the laws and resolutions passed by the Council of Representatives of Iraq since August 1922. Article 129 of the Constitution mandates that laws shall be published in the gazette and shall take effect on the date of their publication, unless stipulated otherwise. It is published by the Ministry of Justice.

    According to the same source, the Ministry of Justice is in charge of publishing in the Gazette. There is no statement that the Ministry has any sort of veto power over what gets published. Furthermore, it is “instructed” to publish by the Council of Representatives (Parliament). Therefore, if Shabibi offered to the Council of Representatives a list of instructions for the implementation of the project to remove the three zeros, then the Ministry would be DIRECTED to publish the same by the Council of Representatives.

    Article 129 of the Constitution states:

    “Laws shall be published in the Official Gazette and shall take effect on the date of their
    publication, unless stipulated otherwise.”

    Therefore, if Parliament were to pass a resolution (law) of instructions on implementing the remove the three zeros project, according to the Constitution, it would automatically be published in the Official Gazette.

    Just because the Ministry of Justice falls under the government does not mean, as Highlander has implied, that it somehow has any form of veto power over instructions from Parliament.

    If Highlander has any EVIDENCE to the contrary I would be glad to see it.

    The Professor

  33. Alaskandinargal says

    Interesting comments…but, if indeed the RV does happen, where does a person go to exchange their dinar. Some say Wells Fargo..I called them, and they said all they got recently, was a FRAUD ALERT concerning the Dinar. Any advice about that is appreciated…thanks for keeping us informed on whats going on.

  34. PTR IS NO GOOD says

    Good cop/bad cop also known as Mutt/Jeff. Good cop/bad cop tactics
    involves partners who take apparently opposing approaches on a
    subject, like the Iraqi Dinar. The good cop might say “it’s going to
    be a great day” or “you should be happy right now”. The bad cop takes
    an aggressive, negative stance towards the subject making blunt
    accusations, like “is this done yet” or other derogatory comments and
    in general creating frustration between the subject, in this case
    Iraqi Dinar and himself.
    This sets the stage for the ‘good cop’ to act sympathetically:
    appearing supportive, understanding, in general showing sympathy and
    patience for the Iraqi Dinar. The end result is the same. The two
    partners walk away holding the goods and getting paid.

    The two men I’m talking about are PTR Dan and Tony. The people of PTR
    are like a Cult.
    These two men have the people of that website Sooooo BRAINWASHED IT
    MAKES ME SICK..
    These two guys don’t care about PTR and if the Dinar NEVER revalues
    they are still making between $18,000- $20,000 a month from the paid
    side of PTR. They have no real INTEL.. They both are PUMPERS along
    with OKIE OIL MAN.. Don’t you all
    remember last March Tony said it was going to RV ON HIS BIRTHDAY? At
    the same time OKIE OIL MAN
    was saying it was going to RV TOO…ALL the times Tony and Dan said it
    was going to rv there
    ole pal Okie oil man said it would too. Don’t you all remember when it
    got out about Okies real name
    and that he was a pumper, on Dan and Tony next call that week they
    both said they talk to Okie on a
    regular basis and they both said they backed his Intel.. and we all
    know Okies intel is worthless.
    So that should tell the people that pay for the back stage pass
    something… OK lets go over some of Tony’s
    lies he told that i can remember

    lie #1 HE SAID HE HAD A INTEL SOURCE THAT WAS IN THE IRAQ PARLIAMENT
    LIE #2 HE SAID HE HAD A COUSIN THAT WORKED FOR THE U.S. TREASURY
    LIE #3 HE SAID HE HAD A NIECE THAT WAS A EXECUTIVE AT ONE OF THE BIG
    THREE BANKS
    liE #4 AND HIS BIGGEST LIE OF LATE THE BANK PACKAGES
    Dan and Tony told people that Big lie in the middle of the week so you
    all would out and buy more
    Dinar. A great pump tactic and a great way to trick you into buying
    more dinar.. i dont
    know who’s paying them but be sure they are getting paid from someone
    for putting out false info.
    Why would a bank give you credit for a currency that’s not even
    recognized international…
    That’s not forget his BEST FRIEND of 20 years Dan. Most of the people
    of PTR thinks he is keeping them grounded.
    this guy is a great talker. the people get on dan and tony’s call to
    hear INTEL INSTEAD DAN IS SO GOOD AT TALKING
    YOU FORGET ABOUT IF HE HAS INTEL OR NOT AND HIM AND TONY TALK ABOUT
    STUFF THAT HAS NOTHING TO DO THE DINAR..
    THAT’S HOW GOOD a MARKETING GUY DAN IS, AND HE SAID HE DID MARKETING
    FOR 20 YEARS AND HE’S GOOD AT FOOLING PEOPLE
    HIS best lie is this, He says he gets INTEL from a three letter
    agency. So what there letter agency is he talking about? IS it the CIA
    , Is it the FBI? Who is Dan that these three letter agency are calling
    to give him INTEL?
    Well the way I see it is if the three letter agency is calling Dan I
    know they are calling WILL SMITH, PAYTON MANNING, OPRAH WINFREY, JIM
    CARY, BILL GATS, BILL COSBY. Even TIM TEBOW got more connection than
    Dan.
    If the three letter agency is calling Dan dont yall think the
    celebrities i just named are more connected than Dan.
    Think about it. I wrote this so that the people of the PTR websight
    would open there eyes and stop financing
    these two guys great life style with your $15.00 a month that you pay
    for no INTEL…THE NEXT CC LISTEN TO WHAT
    THEY HAVE TO SAY AND YOU WILL SEE THEY HAVE NO REAL INTEL..IF YOU WANT
    REAL INTEL LISTEN TO WANG DANG OR BREITLING
    OR RANDY KOONCE OR STEVEI. I WROTE THIS SO THE PEOPLE OF PTR KNOW
    WHAT DAN AND TONY AND DOING

  35. Highlander says

    Enorste

    I posted yesterday several links on this site directing people to the items I am pointing out tonight. You must have failed to read the blog post and comments from yesterday.

    You can go here to the last IMF report and see how the ruling was reported to the IMF. This is not a news article. It is official statements to an international organization which contains Shabibi’s signature not a reporters opinion.

    B. Monetary and Exchange Rate Policy
    14. The authorities remain committed to ensuring the independence of the CBI. A
    ruling by Iraq’s Federal Supreme Court also noted that while the CBI is part of the country’s
    executive apparatus, it is by law independent in its decisions and operations.

    http://www.imf.org/external/pubs/ft/scr/2011/cr1175.pdf

    Now when you go back to Jan of 2011 and read the statements that came out in the following 2 months and read the clarification that was issued by the supreme court it was made clear that they do in fact fall under the council of ministers. It was defined that the day to day operations were to remain independent in decisions. It was day to day operations that were independent. A revaluation, change in monetary policy and issuance of a brand new currency is hardly a day to day normal operation for maintaining an approved monetary policy.

    I will gladly post again article 110 of the constitution which is what the court used in its ruling last year per the articles.

    Article 110:
    The federal government shall have exclusive authorities in the following matters:
    First: Formulating foreign policy and diplomatic representation; negotiating,
    signing, and ratifying international treaties and agreements; negotiating, signing,
    and ratifying debt policies and formulating foreign sovereign economic and trade
    policy.

    Second: Formulating and executing national security policy, including
    establishing and managing armed forces to secure the protection and guarantee
    the security of Iraq’s borders and to defend Iraq.

    Third: Formulating fiscal and customs policy; issuing currency; regulating
    commercial policy across regional and governorate boundaries in Iraq; drawing
    up the national budget of the State; formulating monetary policy; and establishing
    and administering a central bank.

    Fourth: Regulating standards, weights, and measures.
    Fifth: Regulating issues of citizenship, naturalization, residency, and the right to
    apply for political asylum.
    Sixth: Regulating the policies of broadcast frequencies and mail.
    Seventh: Drawing up the general and investment budget bill.

    Eighth: Planning policies relating to water sources from outside Iraq and
    guaranteeing the rate of water flow to Iraq and its just distribution inside Iraq in
    accordance with international laws and conventions.

    Ninth: General population statistics and census.

    Their constitution clearly stated that the federal government (executive branch) formulates monetary policy and issues currency and administers a central bank.

    The process in Iraq is as follows. The CBI is an independent institution in its day to day operations unless those operations will include a monetary policy change or require issuance of a new currency.

    The council of ministers is the one responsible for coordinating and developing a monetary policy with the CBI and administering the CBI.

    The council of representatives is the over site for these 2 entities. They have the right to call the CBI or the Ministers to parliament and question them on their policies. The council of representatives is the over site as the elected representatives of the people to question Maliki or Shabibi concerning their policies and both Maliki and Shabibi are in fact answerable to parliament.

  36. steviehhi says

    Very interesting arguments, especially enoch’s perspective that Maliki could be saving us from the dreaded LOP. AC, do you agree with him?

  37. Silvership says

    AC,
    Well I can totally understand how the little luv from Ryan would totally make your day. Seeing as you have been getting pummeled by the professor all day long!

  38. Enoch8 says

    ROFL…… One thing I have learned, is never bring mere political talking point articles, to a debate with Highlander.

    That is like taking a knife to a gun fight.

    Taking these articles, as the basis for an argument, reminds me of the many donkeys, in a poker tournament, who continuously chase straights and flushes…. bluff their way out, when they do not draw, then finally draw, and are ‘All in’, only to learn after being called, someone is holding the ‘Boat’…. Rockets over 7s… the very 7 of Hearts that made the flush, at the river, made the Boat.

    The Irony. Gotta love it.

  39. Enorrste says

    Editor: BR | SZ Saturday 14 April 2012 12: 51 GMT Alsumaria news/Baghdad

    The Council of Ministers, confirmed Saturday, the Central Bank of Iraq Act requires the exchange of information and views and coordinate monetary policy with the Central Government, pointing out that this Government is requested.

    Transfer information unit Director in the Secretariat of the Council of Ministers Abdel Zahra altalkani in an interview for alsumaria news “, the Secretary-General of the Council of Ministers as saying Al-Alaq” article 24 of the law on the Central Bank indicate that among the responsibilities of the exchange of information and views and coordinate monetary policy with the Government, is required by the Government. ”

    This is the second time I have posted this here. Apparently the first time it got lost. The Counil of Ministers recognized today that it can call Shabibi in for “discussions” but has no authority over what the CBI does FINANCIALLY OR ADMINISTRATIVELY. If this gets posted, as it should in the interest of truth, I’ll get the other article as well, which was also dumped.

    Highlander is mistaken. The CBI has total independence, and not just over “day to day operations” as he stated. This article, and the next, prove this. The article is from the COUNCIL OF MINISTERS itself, admitting that Article 24 gives the CBI total authority. The government can call in Shabibi, but only for discusssions, and it has NO AUTHORITY over the actions of the CBI.

    The Professor

  40. DaveD says

    I like the poker analogy. Dinar holders waiting for a big RV are playing 5 card draw and hoping to draw into an inside straight. Only problem is they are holding 5,6,9,10.
    In other words… can’t happen.

  41. Enorrste says

    Thank you, AC, for letting me know about Saturday being a “day off.” I am here posting the second article that got dropped. It clearly shows that the CBI has total independence administratively and financially and that the government has the right to call for discussions but cannot dictate actions of the CBI. These statements came out AFTER the Council of Ministers said that the “remove the three zeros” was indefinitely delayed. They admit that they overstepped their authority in these articles, dated today and yesterday.

    12/04/2012

    BAGHDAD / JD / .. The government has denied a request submitted includes linking the Central Bank Council of Ministers. The Secretary-General of the Council of Ministers in a statement received by Keywords / JD / copy of which was that the Iraqi government did not ask the Council to link the central bank, or even trying to undermine its independence.

    The Finance Committee has confirmed the parliamentary vote on the resolution not to link the Central Bank of the House of Representatives and annexed to the Cabinet as a violation of the Iraqi Constitution. Said committee member MP for the Liberal bloc internalized within the National Alliance Majida al-Tamimi in an earlier statement / JD / “All of Representatives will not vote on the resolution link the Central Bank of Iraqi Council of Representatives.”

    It showed al-Tamimi, “The first paragraph in Article 103 of the Iraqi Constitution stipulates that the central bank an independent body, independent financially and administratively, and second of the same article stipulates that the Central Bank is linked to the House of Representatives of Iraq, the solution relates to reassign the Council of Ministers is a violation of the constitution” .

    Clearly the CBI has more independence that just “day to day operations”.

    As I have already indicated, the government has already made its say in this matter. The government approved the CBI Law in 2004 which is quoted in the article above. Therefore it is already on record regarding the independence of the CBI. In fact that law is specific that no person nor any entity can interfere with the actions of the CBI.

    If the government now wants to interfere, it will first have to amend the CBI Law that IT approved in 2004. This will not happen because the Parliament will not approve an amendment. Therefore, by its own approval of the CBI Law, it has applied Article 110 of the Constitution and given up its authority over the CBI. For this reason, then, the CBI Law and Article 103 (as noted in the article above) supercede Article 110 of the Constitution. Recognizing this the Council of Ministers backed off today and is only “requesting discussions” as opposed to dictating terms. I’m sure that Shabibi will grant the request and explain his views on the matter. He may also delay the RV based on these discussions, but only because he wants to involve the whole country in the process, not because the Council has authority over him to force a delay.

    The Professor

    The Professor

  42. john says

    professor
    i am sure they will come back and say these article are full of holes but i for one want to thank you for the spirited debate you have provided and i also feel you have more than provided enough proof of your point. thank you

  43. Enoch8 says

    Looks to me like the courts, none the less, have ruled otherwise, Mr. Norris
    Looks like you are basically banging a gong, for all the good it will get ya.
    Regardless of the talking points and Juxta Posturing of the Political Talking Points, (which are all you have presented); all those articles and 50 cents still wont get you a latte.

  44. Enorrste says

    In the article below the Deputy Prime Minister himself says that the government overstepped its bounds. He specifically mentions the resolution of the Council of Minister say “hold off” then turning around and saying, “whoops, we overstepped” as being contradictory.

    However, and this is important because it is coming from the GOVERNMENT, he concludes that the GOI should stay out of the CBI’ business!

    Finally, this is described as an “official” statement from within the government on this matter. And then he clearly states that Article 103 applies here from the Constitution, and that the CBI reports to the House of Representatives and not to the Council of Ministers.

    This is from the GOVERNMENT itself.

    14/04/2012

    BAGHDAD / JD warned Dr. Saleh al-Mutlaq, Iraqi Deputy Prime Minister of the attempts to link the Central Bank of Iraq’s government and intervention for privacy, warning that this action and intervention for privacy and his powers and fiscal policy will lead to the collapse of the Iraqi currency and weaken the economy and will display the central bank money of the Holy is public money at risk. He al-Mutlaq in an official statement broadcast on his office and obtained by (JD) on the copy, “that the Iraqi government issued two positions contradictory about it, the first in which it denied its intention to bind the bank by while the situation was the second decision to postpone the process of raising the yellowing is unlawful interference in the work of the Bank’s independent policy, pointing out that the Iraqi currency dropped their revenue recently to the lowest level in years. The al-Mutlaq said “the Iraqi government issued two positions officials contradictory about the central bank, pointing out that the” statement of the Iraqi government on denied its intention to connect to the Central Bank is contrary to its second resolution to postpone the process of raise zeros from the Iraqi currency. ”

    And al-Mutlaq said “It was better to leave the subject of lifting the zeros of the Iraqi currency to the Central Bank, consultation and coordination with him being the competent authority Her experience and responsible constitutionally for the Iraqi currency,” warning that “this decision reflects the government’s control over central bank policy and linked to an undisclosed bank the government.”

    Mutlaq said that “linking the central bank to hold the Iraqi government will have serious negative effects on the monetary policy the central bank independent and will affect the strength of the Iraqi currency and thus weaken its collapse and the economic situation of the country.” Mutlaq said that “this action is not acceptable will of Iraq’s money and its citizens money deposited in the Central Bank to the danger.” Stressing that “this money is sacred, and not one has the right to endanger the public funds being.”

    He stressed Mutlaq that “Article 103 of the Iraqi Constitution, specifically the second paragraph of this article states that” the central bank held accountable by the House of Representatives for his work and his policy. “Saying it was” not a last right to do so because it protects the public money of the country. “He al-Mutlaq that “the central bank is responsible to manage approximately $ 100 billion of imports of the government, banks and cash reserves of the country.” and warned al-Mutlaq said that “respect for the independence of the independent bodies in the country and especially the Central Bank is part of a democratic new Iraq that must be respected by all the political blocs being the largest financial institution in Iraq. “He al-Mutlaq said that” attempts to link the Central Bank of Iraq’s government would send a negative message to international banks, particularly the International Monetary Fund and the World Bank, which confirms the independence of the policy of the Iraqi Central Bank and considers that his money is sacred. “It is noteworthy that the central bank intends to start the execution of the deletion of three zeros from the Iraqi dinar early next year in order to block the Iraqi monetary feminine, in addition to printing small and large groups to suit the requirements of handling cash in Iraq.

    http://translate.google.com/translate?sl=auto&tl=en&js=n&prev=_t&hl=en&ie=UTF-8&layout=2&eotf=1&u=http%3A%2F%2Fwww.dananernews.com%2FNews_Details.php%3FID%3D355

    I’m sorry, Enoch8, Highlander, and AC, but you are all mistaken, and the government has confirmed this.

    The Professor

  45. john says

    Enoch8
    so you are saying the courts which are controlled by maliki supercede the constitution of their county because it appears the professor has proven his points here.
    it my assertion that maliki wants control of the 60 billion in reserves to finance his dictatorship and god forbid if he his successful

  46. Silvership says

    I also want to second John’s appreciation for the professors efforts to prove his position. This has been the most interesting debate I have read in a long time covering such a difficult subject. I appreciate all your efforts to bring clarity here. But I think Enoch8 needs to do more than stick his tongue out at the professors presentation here, otherwise it looks like he’s the one who actually brought the knife to the gun fight.
    Thanks professor.

  47. 3-BALL says

    The debates that have been happening lately are priceless. The undisputed champ right now is Enoch8. My friend you don’t have to say much to get your point across. Great stuff AC.

  48. Enorrste says

    One thing is clear from this exercise: you can lead a horse to water, but you cannot make him drink it.

    I’ve enjoyed the opportunity to be allowed to shed some light on this topic. I had no hope that I would convince all of what is obvious to me, after having done extensive research on the matter. Some people prefer to leave their head in the sand rather than admit that they might be wrong. Fortunately I don’t have that problem. When I am wrong I admit it, add the new information into my databank, and move on. In doing so I have found that I find myself quite well informed. I do not let prejudice or pre-conceived ideas blind me to new information. I trust that at least some of the readers on this little exercise have learned something. For those whose heads are still buried, I wish you well. I will now move on to a different venue.

    The Professor

  49. 3-BALL says

    Yes AC, Highlander is top notch along with yourself. The CBI has confirmed today, Sat.14, that they are upholding the postponement of the deletion of the zeroes from the currency until further notice. Now who has the control. Maliki is our best bet right now, but only in the short term.

    • says

      3 Ball, Maliki short term? When you control the Police, Army, and Security Forces and clamping down on the banks it is a match made in heaven for a long term political career. My bet is Maliki long term and don’t forget the backing of USA and Iran.

  50. Enorrste says

    Sorry, fellas, the article you are referring to may be dated the 14th, but it refers to a resolution made last Thursday the 10th. It was picked up by a news service today, but that means nothing. There are other articles that give the same information that specifically refer to the “resolution passed last Thursday.” The Deputy Prime Minister has since vacated that resolution by his OFFICIAL statement which I posted here in which he said that the CBI should be left alone.

    The Professor

  51. Enorrste says

    Here is an article that specifically refers to the resolution 111 being passed on 4/10/2012, last Thursday. The Deputy Prime Minister’s message was made this morning, Saturday.

    Council of Ministers decided to wait to remove the zeros from the currency

    12/04/2012 18:01

    BAGHDAD / Aswat al-Iraq: Council of Ministers decided, to wait to remove the zeros from the national currency to further notice, according to a statement issued by the Council, on Thursday. The statement received by the agency (Voices of Iraq) a copy of “The Council issued a decision No. (111) On 10/4/2012 whereby the patient in the deletion of zeros from the national currency to further notice of what I expounded on the Committee on Economic Affairs.” The statement added that “requires the decision to stop all procedures relating to the operation mentioned.” The face of the Iraqi Council of Ministers, on Wednesday (April 11, 2012), to form a committee to study the fluctuation of the exchange rate of Iraqi dinar, as he emphasized that the Commission will provide appropriate solutions to prevent harm to the national economy. The process of deleting the zeros announced by the central bank earlier, convert thousand dinars to one dinar, are not satisfied with a number of economists, the Iraqis, who believe that Iraq is not ready for operation at the present time, because it lacks the security and political stability as well as stability economy. H c m (b) P k j

    The Professor

  52. Enorrste says

    While I would tend to agree with AC that Maliki would like to remain in power for a long time, the following article indicates that he is willing to allow an early election if the Iraqis demand it. Of course he may have the election apparatus rigged (who knows) which would allow him to make this statement while knowing that he will still remain in power.

    Maliki confirms an early election if the Iraqis demanded that

    14/04/2012

    8:50 p.m.

    BAGHDAD / electronic integrity

    Warned Prime Minister Nuri al-Maliki on Saturday, politicians of “playing to the Constitution,” stressing the possibility of early elections if the people have demanded this, while pointing out that the peaceful transfer of power in the country were to be repeated four times and for the fifth time.

    Al-Maliki said during a conference for families of Iraq under the slogan (the success of the Baghdad summit emphasized the leading role of Iraq in the Arab and regional levels), held in Baghdad and attended by “Alsumaria News”, that “no one should be singing Ah outside the flock of Iraq, and so things got days of the Arab summit, but did not affect, “calling the so-called” fiery statements to the need to review the same. ”

    He said al-Maliki “to disagree with us, but that officer ruled the nation and the Constitution,” calling for a “not to play on the constitution so as to speak in his name and exploits it and invest it to manipulate the facts, rights, powers and privileges.”

    Maliki said that “if there were defects in the elections, it is possible to return them at the next session or in an early election, but must comply with the people say and not to laugh at the people of Iraq so that it is then elected to circumvent the will of which is to circumvent the Constitution.”

    The Professor

  53. 3-BALL says

    Yes Mutlaq has said for the CBI to be left alone. Isn’t he the same person who called Maliki a dictator. Maliki might be a dictator but he is stopping a “lop” so eventually we might make some money on this investment. Its all a power struggle over there and Maliki seems to be winning .

  54. Enorrste says

    I get your message, AC. I think I may have overstayed my welcome. I hope we all get through this thing unscathed! Take care AC-Team. I’m outta here for good this time, until next time. LOL

    The Professor

  55. usc73man says

    Enorrste, I appreciate your consistent analyses and realistic conclusdions based upon facts, Iraqi actions, and Iraqi news articles from numerous sources.

    Thank you for keeping things in balance and a viable perspective. Thanks for Enoch8 & HGighlander for their perspectives.

    Be Blessed,
    RON

  56. Highlander says

    For those who want to continue educating themselves on this process and how it works let me take you down memory lane for just a moment and show you shabibis words concerning the relationship between monetary policy and the Central Bank and the GOI.

    “Rahim notes that some accuse the Central Bank of adopting strict policies in order to control inflation, and others justify these policies saying that these policies are dictated by the IMF, and he asks Al-Shibibi to comment.

    Al-Shibibi says this matter should not be exaggerated, noting that the Iraqi Government, not the Central Bank, has an agreement with the IMF, and the Central Bank implements the government’s monetary policies.”

    http://dinaroutcast.forumotion.com/t1885-in-this-interview-al-shabibi-explains-how-the-cbi-is-not-the-sole-determiner-of-monetary-policy#4827

    That is from November 22, 2008.

    Shabibi clearly stated that they implement the governments monetary policies. These articles today coming out of parliament are obfuscation and misinformation and ignorance on the part of parliament. The laws in Iraq on this issue have not changed to date and neither has their constitution as Najafi has been unable to get the committee together for constitutional amendments.

    Enorrste
    18 hours ago (Reply)
    One thing is clear from this exercise: you can lead a horse to water, but you cannot make him drink it.

    I have a quote for you as well…

    “People don’t drink the sand because they’re thirsty. They drink the sand because they don’t know the difference.”

    I have learned the difference and I will choose which water I will drink from.

  57. Enorrste says

    Highlander –

    The same article you quoted has the following exactly 2 paragraphs above your quote:

    “Asked about the relations between the Central Bank and the Iraqi government, Al-Shibibi says: “Although the Central Bank is part of the state’s system and works alongside the government, it has its own independent policies,” explaining that some of these policies cut across the government’s course of action, but at the same time “they stabilize the exchange rate, increase reserves, and contribute to other matters that benefit Iraq and the Iraqi society in general.”

    Clearly this is a declaration of the independence of the CBI, because he states that sometimes their actions, which he says are “independent policies” at times “cut across the government’s course of action.”

    In saying these two things he is clearly staking out the ground of independence FROM the government, even to the point of taking actions contrary to the government’s wishes. If what Highlander says is true, then he would not be able to make this statement, would he?

    This debate is being handled effectively by Parliament and Al-Mutlaq, who have rightly quoted the CBI LAW and Article 103 of the Constitution to back their claims of independence. As I have already stated earlier, the government itself granted this independence to the CBI with the approval of the CBI Law in 2004. Acting under that law Shabibi can do what he wishes, even if it runs counter to the objectives of the government, just as he stated in the article from 2008.

    The CBI Law is clear: “the CBI is independent both financially and administratively and no person nor any entity may interfere with its actions, including the government.” This statement was APPROVED by the government in 2004. Only a revocation of the law will remove this, and that will not happen.

    The Professor

    (Gee,I hope I get a “kudo” comment from AC as Highlander did. LOL)

  58. Enorrste says

    Even the Secretary General of the Council of Ministers admitted that the council had overstepped its bounds. It doesn’t get any clearer than this statement made yesterday, after Parliament told the Council of Ministers that it had no authority to pass a resolution (no.111) to postpone the project:

    “The government has denied a request submitted includes linking the Central Bank and the Council of Ministers. The Secretary-General of the Council of Ministers in a statement received by Keywords / JD / copy of which was that the Iraqi government did not ask the Council to link the central bank, or even trying to undermine its independence.”

    Today the Parliament announced that it is proceeding with the review of the project:

    “Iraqi Parliamentary Economic Commission MP disclosed that discussions were conducted with the Central Bank of Iraq the cancellation of the zeroes from Iraqi currency. MP Aziz Shareef al-Mayahi added that detailed discussions were held today with economic experts. The commission will study the suggestions in order to reach a suitable response on this question, he added.”

    Clearly, the CBI reports to Parliament and not to the Council of Ministers. ALL parties are now in agreement on this. Only Highlander, AC, and Enoch8 seem to believe otherwise at this point.

    Have an enjoyable Sunday afternoon.

    The Professor

    (and THANKS, AC, for being a good sport and allowing me to post. I’m REALLY done now.)

  59. Enorrste says

    The independent Iraqi news agency / follow-up. The member of the parliamentary Economic Committee Abdul-Hussein Abtan to take bold steps and quick to raise the Iraqi dinar exchange rate against the U.S. dollar.

    Abtan said in an interview quoted (and independent Iraqi news agency) that the low price of the Iraqi dinar had burdened the poor citizen because of the openness of the domestic market is witnessing as well as import goods from abroad. ”

    He added that everyone now knows that the price of the Iraqi dinar four years ago is Xaara three months ago did not see any fluctuation in price, despite the reserve of the Central Bank of Iraq. Stressing that strengthening the purchasing power of the citizen comes by increasing the Iraqi dinar exchange rate against the dollar. ”

    He noted that the parliamentary Economic Committee has hosted more than once, the central bank governor and asked him to take bold steps and quick to enhance the value of Iraqi dinar against the U.S. dollar. ”

    http://ina-iraq.net/news/ektesad/17796.html

  60. Sharon B says

    Enorrste once again you have made a fool out of yourself. I can’t think of a more honest take on whats going on in Iraq than The American Contractor. Sorry but your posts against AC once again prove your pulling things and your math out of thin air, just like your silly book. Sam just gave you the Douchbag award of the week at his site for this. Maybe you and Adam “James Wolf” Montana should write books together.

    Great Job AC, again.

  61. Silvership says

    Honest to God, I can’t believe what my eyes have witnessed on this site over the past 2 days. For all the crap that has been spewed out over the years by one guru after another, all claiming to have the most precise intel coming from Iraq, without having even a sliver of proof to back up their claims, causing us all to have to swim through a cesspool of opinions. Yet when someone like Ennorste arrives and backs up every bit of his views with articles and real evidence, and all he gets is the douchebag award??? And during all of this, AC hasn’t been able to even respond to any of it with anything of substance to support his views, yet he hasn’t failed to thank the girls who have come on with their cat scratch to fight his battles for him.
    AC’s site is what deserves the douchebag award and AC has shown himself to be nothing but a momma’s boy.

    • says

      Enorrste didn’t receive a Douchie for what he could back up. He received it for what he couldn’t. He claimed that the CBI said the RV would bring the dinar up to $1. They said no such thing. When they’ve talked about raising the value of their currency it has been within the context of redenomination, not revaluation at an unprecedented 100,000%. Then Enorrste states that Shabibi says they’ve pulled in most of the larger notes which is also untrue. Then he proceeded to accuse AC of avoiding the truth … and bloviating. Look through this thread at the length of the posts and tell me who’s bloviating. It’s certainly not AC.

      • says

        Sam I am, first thank you for stopping by the American Contractor web site.

        We all can read and look at the M2 from the CBI and see for ourselves that the Central Bank of Iraq (CBI) has not even started to remove any of the Iraq currency (2003 version) from the streets of Iraq.

        How do we know this? Because over the years the CBI has been systematically introduced into the local economy trillions of Iraq currency over the last several years. To prove this readers should look at the CBI reports directly from the CBI web site. It is all for public review.

        Thanks again for stopping by.

  62. john says

    american contractor has not contributed 1 little bit of fact to these debates he has let highlander & enoch8 do his bidding for him and in my own opinion the professor has mopped the floor with them.
    Just my opinion

    • says

      I have been contributing since June 2006. Just because a person can recite articles does not mean it is right. You have to look at what actions the Iraq government takes and I have shown which is the ground truth. This is an article mentioning the CBI must coordinate and exchange information with the Iraq government as it states in the CBI laws. You can not dispute the fact that it was the Iraq cabinet issuing a resolution to stop the CBI from going ahead and printing the new Iraq currency. The CBI has semi-autonomy not fully independent as their Iraq constitution states. The Iraq government will be and always has directed the CBI and will give it direction in future endeavors.

  63. john says

    well you cannot dispute they came back and said they overstepped their bounds per the professor or do you just turn a blind eye to the articles that do not agree with your opinion.
    i am curious what makes your articles & opinion right and enorrste’s articles and opinions wrong

  64. Highlander says

    John this article came out yesterday and they are not claiming that they overstepped their bounds at all. In fact they are stating that they stand by their decision in the article. See below.

    * Cabinet calls for the CBI to exchange information and coordinate monetary policies
    April 15th, 2012 02:48 pm · Posted in NEWS (Iraq & World Currency)
    Confirmed the Council of Ministers, that the law obliged the Iraqi Central Bank to exchange information, views and coordinate monetary policy with the central government, pointing out that this is what is currently required by the government.

    He noted the Secretary-General of the Council of Ministers on the Keywords that Article 24 of the Code of the Central Bank aims to exchange information, views and coordinate monetary policy with the government, how Article may exercise the Bank operations with government departments and semi-official, and the banks operating in Iraq, and government institutions Arabic,

    in addition to Sell or import and export of bullion and gold coinsto the conditions and the prices are determined by the bank, so warned the economic advisor to Prime Minister Abdul Hussein Al-Anbuge, the separation of management of the Rafidain and Rasheed for the Ministry of Finance and placed under the control of the Central Bank of the fact that the latter is the watchdog issued instructions and banking regulations and can not be play the role of reference for the banks .

    Notice the referece to the CBI law article 24, which some believe trumps the constitution? Here is what article 24 of the CBI law says:

    Section 4 – Relations with the government
    Article 24 Consultation with the Government

    1. The Governor and other representatives of the CBI and officials of the Government shall hold regular meetings to exchange information and opinions on the extent to which monetary and fiscal policies can, each withing their own areas of responsibility, be coordinated, and on other matters of mutual interest and responsibility.

    2. The Governor and the Deputy governors may, upon invitation by an official of the Government, attend meetings with the Government at which they may provide, on behalf of the CBI, advice and information within the CBI’s area of competance.

    http://www.cbi.iq/documents/CBILAW-EN_f.pdf

    There may actually have been a very good reason that on the 10th of April the council of ministers put a hold on things and called for setting up a committee to look into the CBI and the monetary policies. There was a report released by the CBI on April 11th that showed that Shabibi has not only not been withdrawing the dinar from circulation but in fact he issued an additional 6.5 trillion dinar into circulation from February to March! Now why would a man who is getting ready to revalue a currency and have to pay for that revaluation be issuing another 6.5 trillion dinar into circulation after Saleh stated in January that the central bank would not be issuing anymore currency this year? In fact many have claimed that the CBI has been reducing the dinar in circulation for 2 years now. You will find on the spread sheet that that is a bold faced lie. He has issued currency every single year since 2004 including last year! Here is the link for you to verify this for yourself.

    http://www.cbi.iq/index.php?pid=Statistics

    Go To the CBI web site. Go to statistics. Download Key Financial indicators. It is an excel document. Open it and scroll down to line 79. Look across to March. You will see that the CBI has almost 35 trillion in physical currency outside of banks. In February they had 28 trillion 538 billion. So in one month they released over 6 trillion in physical currency.

    Again note that the Ministers decision came out on the 10th and this report was made public on the 11th. The ministers would of had this report before it became public. They had every reason to blow a small fuse. The CBI agreed not to issue any more currency in january of this year per Saleh himself and then the issue over 6 trillion in 1 month! This is not the actions of a central bank that is preparing for a revaluation.

  65. Enoch8 says

    The following is a commentary based on my own opinion and research and a bit of commentary on the above articles and conversations.

    OK…… I have been reading this thread and it is time to clear something up.

    ++++++++++++++++++++++++++++++++++++++++++++++++++++
    Quoting Enorrste:

    “Clearly, the CBI reports to Parliament and not to the Council of Ministers. ALL parties are now in agreement on this. Only Highlander, AC, and Enoch8 seem to believe otherwise at this point.”
    +++++++++++++++++++++++++++++++++++++++++++++++

    Enorrste, who here said, that the Counsel has control over CBI? Certainly not myself, and I can’t speak for AC or Highlander, but I did not see one place, where either said that the Counsel has control over CBI as you seem to be thinking, for some strange reason.
    What I did see, is that while it is certainly true, that CBI is an independent agency, of which we all agree, you seem to be working overtime, to try to prove that someone here does not think CBI is an independent agency. Why? Nobody here ever said that.
    It makes me wonder if you have some kind of ax to grind or maybe some kind of agenda or personal issues to prove. Are you just spoiling for a fight?

    Some of what you have done here is to prove, the very point I have always made mayself, namely, that the CBI is indeed, an independent agency, to which nobody here is disputing anyway.
    Where is the argument?
    Seems you really burned up a lot of energy, to prove there was an argument, where there was really, no argument, to begin with… unless…. OK…. so there seems to be a disagreement, whether or not Maliki is justified in stopping the CBI from implementing the CBI Plan?
    OK….. if that is it, then this is just observation and I am not interested in proving any points here.
    Some seem to feel that Maliki is a dictator and others do not. That seems to be the real issue…. and I might add, that some are hanging onto the notion, that Shabibi is this glorious white knight, who if only the evil dictators would leave him alone, would RV the Dinar and we would all be suddenly, insanely wealthy.
    OK…. I get it. This is why this is such a charged issue, for a fact.
    If you want to hang onto the notion that a Central Banker has a plan to make us all independently wealthy…. by all means. Go for it. Personally, I prefer to do the math rather than listen to some Dinar Donkey, sit around filibustering and misdirecting and dictating, all rational comments and misrepresenting good people, who because their views do not fit in some contrived paradigm, seem to have some form of despondent need to prove everyone wrong who does not agree with their own paradigm.
    I am a realist and I could really care less if you believe me or not.

    I think the real reason Steve is so set on this, is because he still thinks there is going to be an RV in 2012 and this issue, might take away some imagined notion that there is actually a window, in 2012.
    Personally, I am done with Window Shopping.
    If you want to continue the weekly addiction then by all means, go listen to Steve, Kappy, Okie, Frank, and many others who will gladly fill your prescription of ‘Hopium’ to fill your fantasy.

    Here, I will point out, that the Phase 1, Phase 2 and Phase 3 scenario, as discussed earlier by the ‘So Called and self proclaimed, ‘Professor’, is so totally far fetched, it really does show just how willing, our good Professor given to Cherry Picking, Inductive Reasoning and believing whatever fancy, that suits him at the time.

    Phase one: Is already begun and will be complete after Sept. 2012 through Jan. 2013, when the new currency will be introduced. {Notice, I said ‘Introduced’, just as was said in the article posted above. THERE IS A BIG DIFFERENCE BETWEEN THE WORD ‘INTRODUCE’ and to ‘ISSUE’. Notice neither I, nor the article said ‘ISSUE’.}
    Phase 2: The CBI plan, is to Issue the new currency, (Which by the way, it is required to get an approval from the GOI, to do, as per ART 110) and at that time, I should suspect, as the CBI Plan is calling for a Re-denomination, the instructions for the exchange of Old IQD to New IQD along with a new ISO code will be issued along with whatever additional instructions for exchange ratios, of Old IQD for the New Dinar.
    Phase 3: Is a 2 to 10 year plan, that involves, 2 years to remove the large denominations from circulation and replace them with digital banking accounts and probably about 25 to 30 Trillion new IQD, in lower denominations, mentioned earlier.
    {There are any number of articles published at the various forums to prove this. IMO, it is a joke to post a flood of articles in this format so I will restrain from doing so.}
    10 years is the decided limitations that CBI has suggested, the Old Notes can be held in international banking vaults, reserves, etc. and will be replaced, by something else of value and more than likely, by instruments, such as GOI Bonds or Securities, Cash, other potential assets, Bearer Bonds, etc. etc. and in this way, removed from circulation.

    Not once, has CBI ever stated there is to be a revaluation, in the past 3 years. They have said they plan to Re-denominate.

    Now, back to Maliki and Shabibi.
    If you think Shabibi is going to give you your RV, you might want to consider, how over 33 Trillion IQD will be covered and at what rate.
    Maybe one might also ask, if Shabibi is concerned to increase the value, he has the capacity to double the value any time he wants, yet has consistently only increased the circulation, instead of the value.
    Circulating money is a liability and I guarantee, if you follow the CBI Spread Sheets, they have NOT…. I repeat…. HAVE NOT removed liquidity from circulation, but have in fact, increased it consistently every year for the past 8 years.
    The facts are the facts, regardless of what you think of CBI, Maliki or what. That is not even the issue here. I mean really? Do we really want to get caught up in the same political media circus as we do here in the US? Don’t we get enough of that here?

    Most of these articles are no more, than political talking points and are a total waste of productive time.
    We already knew all of the stuff in these articles anyway, thank you. Who the heck cares, if Allawi’s Party thinks Maliki is a dictator or not? Certainly not I. This is utter nonsense, and many in the dinar forums buy this load of bunk, based on their own self centered delusions, that maybe Maliki might be holding up an RV.
    Better get a clue, people. It is Central Bankers who will never allow the ignorant masses to have unearned money.
    Politicians want to be elected.
    Who pays Shabibi’s check?
    Who elected him to office? Hmmm ?
    Maliki happens to at least be the elected representative of the people.
    So… who is more of a dictator?
    Just sayin’
    Central Banksters are defacto dictators…. “The Puppet Masters”

    The fact is, if CBI does not have policy and legislation from Parliament, that involves the signature of the Prime Minister, by law, we will never see the CBI plan implemented at all, because it far exceeds the limit CBI is authorized to back it’s currency. But wait!!! UNLESS……
    Unless the Ministry of Finance approves and allocates additional GOI Bonds and Securities as are listed on the CBI website, as part of the Monetary Plan, which can only be approved by the Legislative and Executive branches.
    {I will post this document in a bit. If I forget, someone kindly remind me.}
    Before I forget, Did you know the Ministry of Finance is a part of the Cabinet, IE Counsel of Ministers?

    If you do not get one other word here, get this:
    FACT:
    Every single IQD in circulation is a liability and must be covered by CBI Law and GOI Monetary Policy.
    Fact:
    To increase the value from 1/10th of a cent to even 1 cent, increases the real liability, from about $30 Billion Dollars, to about $300 Billion.
    To Increase it to 1 dime, increases the liability to about $3 Trillion US.
    To increase it to a Dollar, increases the liability to about $30 Trillion Dollars.

    Enorrste is 100% wrong, in the assessment that most of the IQD has been removed from circulation.
    Look at Scooter Research for the Spread Sheets to show this.
    CBI also has them.
    The IMF and CIA also have such documentation.

    Now…. so far, I have given you plenty of data to research this for yourselves. There is plenty of data in the forums and here, to begin your own search rather than sitting in someone’s chat room and trusting any Guru/Donk to tell you what to think.

    The IQD has merely been moved outside of Iraq and is still in circulation. All they did was that the Government Banks removed 24.8 Trillion IQD from ‘Excess Liquidity’, which is to say, removed from the country, based on the amount of USD and other currencies circulating in country, as an intervention program, as advised, more than likely, by CBI. Advisory and intervantion is all part of the obligations of any Central Bank. Often that duty is performed by the Government, though the Ministry of Finance.
    You can see that information in some other documents, if you wish to research it, try Bank of International Settlements, IMF, Central Bank Intervention, World Bank, for searches.
    Bottom line: All Currency in circulation, MUST be covered, by the Governments and Central Banks who issue it. That is a well documented fact and can easily be researched and verified, for any who dare to do so.
    Iraq does not have enough oil to cover $30 Trillion liability in the next 30 years, and even if they did…. it would still require an act of both the Legislative and Executive Branches, to do so.
    They can, however create bonds and other instruments to essentially, allow other banks to pay us for our dinar.
    Either way…. it will take a cooperation from the Counsel and CBI to accomplish this.
    Make no mistake about it. The CBI cannot and will not give a revaluation they do not have the liquidity to cover, directly. Only the Government has that kind of asset wealth to cover the IQD with the kind of money we are talking about.

    Enorrste, if you had stopped to inquire as to what either myself, Highlander or AC have suggested here, rather than running off at the mouth and chasing windmills, or some imaginary enemy of your own imagination; had you asked, you might have found, not one of us has suggested anything like, what you seem to be representing here. Maybe, you might actually learn something, if you were not so damned smart. Just maybe, if you did not come in here with guns blazing, wildly, before you even located a target, we might actually share some documentation with you.
    But you already seem to have it all with your articles and know it all anyway, so I will not waste my time. I could care less.

    Nobody is disputing the fact that CBI is an independent agency.
    Nobody here is suggesting that it is right for the Counsel to interfere, in CBI policy, but now I will add this: So long as CBI is in fact, conducting policy that is determined by the GOI for them to implement, then there will be no need for the Executive Branch to Intervene anyway, so it is moot.
    The Court Ruling was all about the Supreme Court, who is part of a system of checks and balances and just as in our own country, is who sees to it, that the Separation of Powers are always forthright.

    We do know, that the CBI was in fact, given a limited independence, that is overseen by Parliament. Yes, again, nobody here is disputing that.
    Here is something I think your research is lacking.
    It is also the GOI, who sets monetary and fiscal policy and even approves the currency to be issued, per Article 110. That still does not contradict 103, in any way, shape or form.
    But…. what that does, is provide that it is, the GOI, who sets monetary and fiscal policy and to approve the national currency.
    The CBI, as an independent agency, by the direct authority of and at the pleasure of the GOI, (not only as per Art. 103 but also per CBI Law as well), “Implements” said monetary policy, which is determined by the GOI; the CBI implements it.
    It is the duty of CBI to carry out and implement, and independent agency delegates the full authority of the GOI to do so.
    Some seem to think that 103 and 110 are contradictory. That is simply not so. They are in fact, as upheld by the courts on Jan. 19, 2011 and defined on Jan. 26 2010, as per request of Allawi and his party, that it is the normal system of checks balances and separations of powers, and that in the event an independent agency exceeds it’s authority, failing Congressional Oversight, the Executive Branch, can in fact, step in, under warranted circumstances.
    CBI cannot just do as they please with the Iraq Money Supply. They must and are held to account by Parliament, failing that, the ruling implies that the Counsel can in fact lawfully intervene.

    Now….. This is not only consistent with what I happen to understand about this, but it also is quite consistent with the positions, both Highlander and Enorrste have presented…. with some exceptions, but basically, it seems to me, that Steve is just came here spoiling for a fight anyway.

    See…. it was never the point AC was even referring to, in the first place….. that Maliki has some dictatorial power to interfere with CBI, nor was it even the intention of Maliki to do so, as so many seem to be so, afraid of.

    Steve, you are right, in principal, that it would be wrong for Maliki, to interfere with CBI, so long as they are doing their lawful job and not overstepping their lawful boundaries as is the case with our own Central Bankers, who are a perfect example of Central Bankers run amok, without any checks and balances, In MY Opinion.

    OK…… that is a long write and I can back that all up with documentation, but I am not going to do it all in one setting here.
    Besides, I have published many of these articles and links often enough and so have many others here.
    We will make time to do this and look forward to continuing the Series, “Dinar, Fact or Fiction” at revalue.us Friday at 8PM EST.
    THis is week 10 of the 11 week series and this week we are discussing the topic, “Who Pays for the RV and How is it Paid for?”

    Now…. put some bullets in them pistols, Professor.
    Mere articles do not trump the facts, math, nor sound economic principal, much less real operations of Central Banking and Governments in the real world.
    Time to awaken to the real world.
    Wake up Dorothy! This ain’t Kansas.

    Regards,

    Enoch8

  66. john says

    Enoch8
    thank you for your response as it sure has given me something to think about & research which is all i have asked for.
    where is all this additional dinar going since it is not worth anything and it is not tradeable and why would goverments want to have it in their reserves if it is not going to r v or be worth more anything more than it is now ?

  67. hammeredman says

    Enoch8,
    While I agree with you, I have already begun to sell back my dinar on ebay, why do you own dinar if you are so sure nothing will come of it?
    Im assuming you have dinar because you said ” I might add, that some are hanging onto the notion, that Shabibi is this glorious white knight, who if only the evil dictators would leave him alone, would RV the Dinar and we would all be suddenly, insanely wealthy.”

  68. john says

    highlander
    can you provide the M0 NUMBER as i am sure you & marcus curtis and enoch8 are aware per phoniex3333 the M0 # which Iraq used to report & were given a special waiver so they did not have to reveal that # any more is the total of actual currency in circulation. please do not take personal i am just researching & learning what i can.

  69. Highlander says

    John,

    That is a great question and Phoenix3333 is correct that Iraq does not report their M0 any longer. That unfortunately has become common practice in all countries.

    For those that don’t know what the M0 number is that John is asking about here is the definition of it:

    Definition of ‘M0′
    A measure of the money supply which combines any liquid or cash assets held within a central bank and the amount of physical currency circulating in the economy. In the United Kingdom, the M0 supply is also referred to as narrow money. Investopedia explains ‘M0′
    M0 (M-zero) is the most liquid measure of the money supply. It only includes cash or assets that could quickly be converted into currency. This measure is known as narrow money because it is the smallest measure of the money supply.

    Read more: http://www.investopedia.com/terms/m/m0.asp#ixzz1sRdngagD

  70. B.I.W says

    So are we all thinkin that all 33 trillion is still alive since a 20 in the usa last 1.8 years are we to assume they have made some super bill that has lasted 8 years i dont think so i think maybe we are talking about 15 trillion maybe little more but hum food for

  71. Enoch8 says

    John,

    Thank you.
    I would suggest that the demand for Iraq Dinar is rather large, just based on private holdings alone, even at the current 1166 rate.
    It is my guess and you are making a very good point, that if it is true, there are say, 27 Trillion of 35 Trillion, out of the country, it would be reasonable, to expect that people or banks holding it, expect a positive return.
    How much that return might be, is subject to speculation, as often predictions are right and other times are not.
    We just do the best we can, to come up with a reasonable assessment.

    Regards,

    Enoch8

  72. Enoch8 says

    Hammeredman asks,

    “Enoch8,
    While I agree with you, I have already begun to sell back my dinar on ebay, why do you own dinar if you are so sure nothing will come of it?”

    ++++++++++++++++++++++++++
    My Response:
    At what point did you ever hear me say that nothing would come of it? I have always shown why I believe that Iraq must increase it’s liquidity to over 10 times the current Purchase Power Parity, per capita and GDP, which equates to a greater likelihood of increased value, making it a worthwhile investment.
    I examine all possibilities and it is my own responsibility, to evaluate probability of any and all event of gains or losses.
    Just because it might not make me a millionaire, for a $1,000 investment, does not make it a bad investment. Even a 10 times return, would be significant capital increase, and if it is greater than that, serendipity.
    +++++++++++++++++++++++++++

    Hammer says,
    “I’m assuming you have dinar because you said ” I might add, that some are hanging onto the notion, that Shabibi is this glorious white knight, who if only the evil dictators would leave him alone, would RV the Dinar and we would all be suddenly, insanely wealthy.”

    ++++++++++++++++++++++++++
    My Response:
    That was a reflection of my personal view, that Shabibi is not in possession of a ‘Magic Trigger’ and cannot give the kind of increase, we are talking about, without the authority of the GOI, because it is the GOI, who holds the vast wealth, that is not controlled by CBI.

    We will be discussing that topic on our Friday Night Conference Call at Freeconferencecallhd.7676, courtesy of Revalue.us forum, in the 11 week series, “Dinar, Fact or Fiction”, in this weeks topic, Week # 10, “Who will pay for an RV and How will it be Paid For?”

    We welcome you to that discussion, with Highlander, Scooter, Patriot, Proteus and myself.

  73. john says

    from what i understand there is no way to really know how much physical currency is out there and without knowing that no one can say for sure if they will need to lop or redenominate or just do a straight r v. i personally would love to see a 1 to 1 but who knows!

  74. john says

    A C
    I agree with you so my theory is no one can say one way or the other with any kind of confidence what is going to happen with this investment.

  75. john says

    Sam i am
    from what i understand a redenomination is the changing of the currency either by lopping the zero’s or introducing new currency ie: lower denoms,and without the mzero # you have no idea how much physical currency they have or have not removed, unless you have some cyrstal ball and can tell us please by all means do so.
    a c and again according to phoneix3333 the m2 # is a total of all their assets and anything they can convert into an asset quickly and as you said in your response to me earlier who even knows if these numbers they are providing are true.
    i am trying to figure out why people come on here and call somebody a Douchie when their information they are posting can no more be proven as fact as the so called douchies information!!!!!!!!

    • says

      I didn’t address the M0, M1, or M2. I addressed Enorrste’s claims about what Shabibi and the CBI said. They never said what he claimed they said. Prove me wrong.

  76. john says

    My point was that with this country nobody can prove or disprove anything with 100% accuracy because their not giving us all the information needed, so why do people on all these site have such a problem when someones opinion differs from theirs.
    I come on these sites to research and learn from others, I try not to bury my headin the sand, as I have figured out there are some very informed people on these sites pro & con towards this investment.
    Sam I Am I do not have to prove you wrong you may be right that it was never said, but the bottom line is you cannot say with any certianty that the cbi hasn’t removed enough currency to complete a straight r v just like Enorrste cannot say they have, but we are all entitled to our opinion.

  77. Bette says

    John, I am like you — trying to assimilate this investment. You have been articulating my thoughts. I’m at a loss. Not sure if I should convince my husband to sell our IQD or continue to hold on.

  78. Dawid89 says

    I am wondering if anyone has ever accounted for all the money that was frozen after the USA took over the country of IRAQ. I have never heard anything about it so would love to have someone enlighten me. In my opinion, that money needs to be factored into the RV equation and eventual value of the Dinar.

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