Bondlady's chat Thursday August 18th, 2011
[BondLady] Ministries responsible for creating the confidence of citizens by 18/08/2011 18/08/2011 Warn of the effects of the new currency to be negative and strict procedures BAGHDAD - morning The Central Bank of Iraq is heading towards the printing of new currency after deleting three zeros had announced last year, bank expert warned of dire consequences may result from this process in the event of failure to take tough measures to reduce these effects. It is useful to note that many countries already in Iraq go through such experience and has taken measures capable of maintaining the real value of cash Btabath ancient and modern, while stability of the edition of modern Turkey, Brazil and many countries of the world have experienced deleting three zeros, but managed to limit effects caused by the experience. The expert said that the bank change the currency by removing three zeros will lead to disastrous effects if the monetary authority has not taken firm action to reduce them.
[BondLady] The executive director of the Association of Iraqi private banks Aziz Hassoun in an interview for (economic morning) that all the international experiences have passed this stage, such as Brazil and Trkiyao other countries, resulting in side effects and affected even the general level of prices towards the ascent, which led to the decline in the purchasing power of the currency. He stressed the need for the Central Bank of Iraq to take strict measures to strengthen the capacity of the decision to maintain the value of the cash by creating the required balance in the value of cash between the two currencies. Goldfinch warned of the instability of the exchange rate to act firmly to maintain the exchange rate equilibrium does not prejudice the value of currency in circulation of two currencies, and monitor the behavior of speculators who are trying to exploit the circumstances, as happened with the beginning of the occupation when you change the currency, where excelled others in the field of forging the new currency and the creation of differences between the categories of cash in the discharge and other tricks and manipulation, stressing that the experience was harsh and effects found so far by the launch of the decision to convert without follow-up time.
[BondLady] On the possibility of the banking sector in creating awareness about the value of the required cash said that the banking sector on Bakiem notify customers of their currencies at the time of entry into force of the decision. He said it is important how to deal ministries and government departments and the private sector to the new situation and carry the responsibility of creating a citizen's confidence in a strong new currency and the new reality, through their actions and dealings with the new publication. He stressed the need to study the reality of salaries and wages and maintenance of the required balance so as not to reflect the impact on the purchasing power of the citizen in case of a change of currency and without prejudice to acquired rights of staff and workers. He called the central bank to the need to control the exchange rate effective tool in achieving the required balance and maintain the value The real criticism of the new, stressing the need to address the counterfeiting of currency.
[BondLady] He concluded his speech (economic morning) the need for a CBI ability to perform not only make decisions and the formation of work teams have the ability to address all possible effects of treatment and their pace consistent and sustained follow-up implementation of the resolution and it may accommodate effects caused by the experience of the new edition after the occupation and painful effects that remain even now. The Iraqi Central Bank has approved a change the old currency after deleting threfor the purpose of submitting them to the concerned authorities for approval and ratification, without specifying a date for circulation.http://www.xxxxxxxxx...rict-procedures
[BondLady] ok there are several things that stick out to me in this awesome article
[BondLady] 1st *Notify customers this is mandatory
[BondLady] they are all going to have to use the new currency in Iraq
[BondLady] they want to remove the 000 from iraqs circulation
[BondLady] its mandatory and a must they do this
[BondLady] and it will aid in transactions better as they say will use less paper an have more spending using less will be able to buy more
[BondLady] cant do that at 1170
[BondLady] would reek an carry tons an tons of paper
[BondLady] next point
[BondLady] *Endure confidence in the currency
[BondLady] by giving the new currency the ld's a new rate
[BondLady] the dinar will regain confidence by the locals an the world
[BondLady] makes them look like they have graduated to big boy pants
[BondLady] next point
[BondLady] *Reduce the large notes in circulation
[BondLady] got to get the 000 notes back into the cbi
[BondLady] it doesnt really matter i mean it does but not really how much of the 000 notes are held out side of Iraq
[BondLady] but its a huge thing in Iraq
[BondLady] they cant have them all having big notes at the new rate
[BondLady] next point
[BondLady] *Address salaries and wages
[BondLady] and parliament did do this
[BondLady] they passed it
[BondLady] the salary reductions just this week
[BondLady] and they hope to release there pay before or by the end of ramadan beginning of eid
[BondLady] next 1
[BondLady] *Address counterfeiting of the currency
[BondLady] crooks are crooks
[BondLady] they have been counterfeiting the 10,000 iqd
[BondLady] but then the crooks knew they were going to release a new currency and the markets an gas station owner knew too they just didnt know what they look like
[BondLady] so some were able to get away with full tanks of gas an things
[BondLady] making the shop owners basically eat there loss
[BondLady] next one
[BondLady] *Convert without follow-up time
[BondLady] no time limit to exchange
[BondLady] they will probably run this for 3 yrs as I have seen them use the 3 yr thing in many articles
[BondLady] *Ensure pricing stability
[BondLady] making sure the dinar will be stable
[BondLady] in doing this bringing on the new currency and giving it a new rate will bring down there inflation
[BondLady] *Maintain exchange rate stability
[BondLady] what i just said *Laugh out Loud*
[BondLady] *No date had been specified
[BondLady] no date had been specified butttttttttttt
[BondLady] we saw articles early this week
[BondLady] that said cbi sent the laws an recommendations to the house of representatives to pass into law
[BondLady] so they could release the new money an get this show on the road
[BondLady] next 1
[BondLady] they sent that to the house early this week
[BondLady] next 1
[BondLady] Monitor speculators who try to exploit
[BondLady] trying to watch out for terrorist imo in iraq who do the exchanges for big bucks to fund terror like the articles we’ve seen in the past warnings when the cbi put them out like 4 months ago remember the articles about the banks asking the cbi to put a umbrella around them an protect them from huge exchanges?
[BondLady] so they have to watch which sick puppy tries to go in an cash in like 50 millio iqd 000 notes
[BondLady] an exchange it for some other currency or ld's
[BondLady] very well could be some 1 backing terrorists
[BondLady] so they have to monitor these transactions
[BondLady] because in reality
[BondLady] iraqs rv wont be the same as ours
[BondLady] they will have greater purchasing power
[BondLady] we will trade in for cash usd whatever
[BondLady] hope u all enjoyed my favorite article for the day and hope I have been accurate.
[BondLady] tyvm
[BondLady] drops the mic an walks off
