Excellent indicator

[icarusII]

Goods and Services Expo in April 2006
Rebuild Iraq 2006 expo launches next April
http://menafn.com/qn_news_story_s.asp?StoryId=107026

Why would this conference be scheduled in April 2006? A Contract summit is being held in November 05? Vendors coming to sell reconstruction goods and services in Iraq leads me to believe that the Iraqi people and businesses will have purchasing power and an influx of investment capital by April 2006. If not......then this is a huge waste of time and this expo is going to be a bust.

Just my take,
Icarus

[Okie]

The Kurds are getting their act together up North....com'on Dinar!!!


http://www.dbxkurdistan.com/

[JeffreyW]

Anyone think Zarkawi is gonna try and star a Civil War?

[Specul8tor]

Anyone think Zarkawi is gonna try and star a Civil War?I think so. I think the bombings yesterday were the insurgents' way of saying...."here you go, here's a little taste of what's to come." It won't be an all-out "civil war", of course. But no doubt, it will be ugly. :no:

[Specul8tor]

Sorry to get off subject....Icarus, good find. Thx for posting!

[icarusII]

http://siteresources.worldbank.org/IRFFI/64168382-1092419001661/20642152/UNDG%20ITF%20August%202005%20Newsletter.pdf

Icarus

[icarusII]

This material may have been posted. The article is from August 2005.
"The Iraq Financial Management Information System (FMIS) is online, with 41 of the 54 units in the Ministry of Finance able to access the system."
"Recommendations have already been developed for expanding the system to all remaining 128 spending agencies in the Ministry of Finance by the end of the year."

The implementation of this system was included in the IMF report recommendations. Partial use with full operations expected by the end of 2005.

Icarus

[Okie]

Some positive input for our grey matter to ponder......

http://www.boston.com/news/globe/editorial_opinion/oped/articles/2005/09/16/good_news_from_iraq/

[icarusII]

"ESCWA is currently preparing for a project titled “Business Incubators for Creation of Small Enterprises in Sectors of Basic Needs and for Job Creation,” which aims to create 30 business incubators in different cities in Iraq. The project will be funded by the United Nations Development Group / United Nations Assistance Mission for Iraq. The line partner in Iraq is the Ministry of Industry. The project is planned to be implemented during the period 2005-2007."

http://www.escwa.org.lb/ntpi/iraq.asp

Icarus

[icarusII]

What we can expect in the next few months.

Reporter's Datebook
September 13: Iraqi President Jalal Talabani in Washington for talks with US President George W. Bush
September 26 - 28: Sourcing group for Iraq rebuilding to take part in 2005 International Sourcing Conference in Shanghai
October 15: Voters asked to approve the new constitution via referendum
November 15 - 17: Iraq Development Program Contracts Summit takes place in Amman
December: Target for 792 additional MW placed in national grid by USAID and partners
December 14: Japan's reconstruction and humanitarian mission to Iraq ends
December 31: Deadline for new government to take office
January 1 2006: Target for USAID and partners to go live with Iraq's state-of-the-art Financial Management System

http://www.iraqrevenuewatch.org/

Icarus

[icarusII]

http://usinfo.state.gov/mena/Archive/2005/Jul/13-599453.html

"Both sides affirmed the importance of continuing the Joint Commission on Reconstruction and Economic Development in order to coordinate and intensify efforts to revive Iraq's economy and re-integrate Iraq into the world economy. They agreed to meet again in the fall of 2005."

Icarus

[icarusII]

Iraq has a rich and diverse resource base— third largest oil reserves in the world, abundant water, and a national labor force of more than 7 million people--much larger than any member country of the Gulf Cooperation Council (GCC). In one decade this combination of resources could help the country regain the middle-income status it enjoyed earlier. To do this, Iraq will need to make three transitions: from conflict to post-conflict rehabilitation, from a closed, state-dominated economy to a growth-oriented, market-driven economy, and from extreme dependence on oil to a diversified economy. The report lays out some of the policy options to accomplish this transformation.
http://siteresources.worldbank.org/IRFFI/Resources/CEMEXsum.doc

Icarus

[icarusII]

The IMF report recommended a revision of the PDS system. Here are the options Iraq is considering:

"Specifically, the report recommends a four-part program including (i) gradually introducing targeting, (ii) reducing the number of products in the ration basket, (iii) increasing the role and capacity of the private sector in the PDS, and in food markets in general, and (iv) immediate improvements in procurement and financial management."

http://siteresources.worldbank.org/IRFFI/Resources/ExecutiveSummary-PDSReportJune2805.pdf

Icarus

[icarusII]

The IMF recommended a review and revision of these financial systems. Here are the options Iraq is considering.

"Pension payments account for the largest share of social protection spending other than direct food ration subsidies"
http://siteresources.worldbank.org/IRFFI/Resources/IraqPolicyNoteOnPensions.doc

Icarus

[icarusII]

The IMF recommended a comprehensive strategy to develop both domestic jobs and entice foreign investment capital. Here are the options Iraq is considering.
"One part of an ongoing economic sector work program to provide timely discussion of critical issues facing Iraq, this note seeks to guide and inform the Iraqi authorities, the Bank and the international community in the continuing development of support strategies and, in particular, efforts to nurture a healthy climate for future investment in Iraq. Responding to questions that have arisen in the ongoing dialogue with the Iraqi authorities, the note examines and emphasizes the need for private investment from both Iraqi and foreign services to generate growing and sustained employment."

http://siteresources.worldbank.org/IRFFI/64168382-1092419012421/20266666/Investment%20Climate.pdf

Icarus

[icarusII]

The IMF praised Iraq for its steps towards full membership in the WTO as a means to speed the reconstruction of their economy. These are the options Iraq is considering to speed this process.

"Despite significant progress towards establishing institutional foundations of a
market-based economy made over the last year in Iraq, the transition is far from complete. The challenge remains huge: It concerns the choice of institutional structures that would offer incentives to maximize microeconomic efficiency, assure the allocation of resources to their best use and prevent easy policy reversals. Ultimately, it concerns the choice of policies assuring maximization of national economic welfare rather than of rents for a few privileged. The note proposes leveraging the WTO strategy to design strategy of structural reforms and drawing on the experience of recent entrants to the European Union to design institutional setting for the development and implementation of the strategy."

http://siteresources.worldbank.org/IRFFI/64168382-1092419012421/20266671/WTO.pdf

Icarus

[icarusII]

Now....with all these recommendations and plans on the table for consideration from the Iraqis, we can watch the news for PR or policy shifts to move into compliance with the IMF guidelines.

Icarus

[ramis]

Well, despite all the good news, the value of dinar is still unchanged. If the Iraq government simply releases it on the forex, its value will increase. They should stop daily CBI auctions immediately and let dinar begin its journey. I am confident that it will not fall and will only rise.

Here are my assumptions:

1- CBI buys back at least 1 trillion dinars every month. Even if they retain a part of it, its big amount.

2- I believe most of the Iraqi currency is in Iraq, with banks etc. A start at the current rate will soon result in major appreciation, at least 5 times its current rate.

3- There are tens of thousands of people who visit Iraq every year for religious reasons, they need Iraqi currency, so its demand will increase, so its value. There are thousands of businessmen who are just waiting for stability to return and then they'll go there with money and plans.

4- The value of currency, shares, and real estate depends on its potential and perception of people. While some people are pessimistic, many are optimistic.

5- Last but not least, the US is on the back of Iraq, and as long as GWB is there, he'll make every effort to make Iraq a success. This is the most significant aspect.

[icarusII]

IRAQ: THE EMERGING POWER POINT OF MENA-BOUND WORLD TRADE
July 15, 2005

“Iraq can become a power point in the MENA region’s trade with the world if it can have in place a legal structure for domestic commerce and international trade in less than 12 months from now. Nothing is impossible!”

http://www.iraqiamericancci.org/iacci/news/latest%20news/072/new_page_9.htm

Icarus

[icarusII]

Iraqi housing proposal put forward at Iraq Development Program summit

“A proposal has been drafted by Iraq’s Ministry of Housing & Construction that would provide investors land in Iraq on a long term lease basis or at rates well below market level.
During this week’s Iraq Development Program summit in Amman, Iraqi Deputy Minister of Housing & Construction Thaner Al-Feely and Program Director John Glassey confirmed that three million housing units are needed in Iraq and that only 10,000 units are currently available.”
Feely was recently appointed chairman of investment in order to attract foreign direct investment into the country. Currently 70 per cent of property cost in Iraq is the cost of land. The return rate profit margin is expected to be at around 25 per cent, none of which will be taxed.
http://www.iraqiamericancci.org/iacci/stories/new_page_99.htm

Icarus

[icarusII]

Bidders' conference draws 350 Iraqi contractors
September 10, 2005
“McCoy noted that some contractors had the erroneous perception that the bidding process was designed to award contracts only to American firms. “Over 60 percent of the contracts are being performed by Iraqi or Arab firms.” McCoy added that current projects available for bidding will be given to Iraqi firms. “We believe the vast majority will be built by Iraqi or Arab firms.”
http://www.portaliraq.com/news/Bidders%27+conference+draws+350+Iraqi+contractors_ _1111492.html?PHPSESSID=7f38f634c04a0145b53c7c0538 e059df

IDP Contracts Summit to bring Iraqi ministers to Amman
November 15-17, 2005
“Attendees at the summit will have the chance to meet with senior Iraqi companies, in order to establish partnership agreements and secure the supply of crucial goods and services.”
http://www.iraqibusinesscenter.org/

5th Rebuilding Iraq Conference and Expo
December 1-2, 2005
In this Conference we will be having Top Iraqi officials, prime contractors and presentations from US Government agencies. And in this conference you will also be having
1. Companies from the U.S., Iraq and around the world will participate in a two-day conference and expo on Iraqi reconstruction that will be broadcast live on Iraqi television.
2. Hear top Industry and Government speakers discuss opportunities in the New Iraq
3. Meet with and build relationships with executives from the top energy, telecommunications, agriculture, education, transportation, defense, engineering, technology, banking and international business development firms
4. Find out what you need to know to successfully compete for the more than $33 billion in contracts and sub-contracts rebuilding Iraq.
http://www.baghdadbusinesscenter.org/5th%20Rebuilding%20Iraq%20Conference%20and%20Expo. doc

[icarusII]

OCCI holds trade talks with Iraqi businessmen – Oman

“He called for establishment of joint investment projects between the businessmen in the two countries, especially in the presence of incentives and potentials for success of foreign investments in the Sultanate, and the Sultanate strategic location, economic resources and infrastructure.”
http://menafn.com/qn_news_story_s.asp?StoryId=108970

No need to wait for full reconstruction of Iraq……..use Oman.

[icarusII]

"Today, the first lot of equipments and machines, necessary for the vocational training centers and industrial schools, has arrived through the support program (the program of developing employment and vocational training centers), which is presented on behalf of the American agency for social development."
"It is worth mentioning that there are 17 employment centers in Baghdad and the provinces."
http://www.almendhar.com/english_6563/news.aspx

[ramis]

Icarus,
Thanks for the updates. It seems we need to hibernate. All good news indeed, but not the ONE we all are so eagerly waiting for :D

[icarusII]

Icarus,
Thanks for the updates. It seems we need to hibernate. All good news indeed, but not the ONE we all are so eagerly waiting for :D
I believe these stories to be a frontrunner to the "one". These news stories would indicate steady progress towards a stable economic platform both for the short term and into the future for Iraq. IMO, these are very wise moves thought out by the Iraqis and the many consulting organizations for Iraq's success. Training, jobs development, foreign investment strategies, renewed trade ties, future trade contracts.......all tell me Iraq will be the "power house" in the Middle East. It's just going to take some time. I've gotten over my "microwave mentality". LOL

Icarus

[icarusII]

http://siteresources.worldbank.org/IRFFI/64168382-1092419012421/20637718/datasheetSept6_2005.pdf
On pg 2, nearly every economic indicator listed in the tables show significant to excellent improvement for 2006 as compared to 2005. Overall fiscal balance projected for 2006? (-4.3%)

Icarus

[icarusII]

15. What impact do the Iraqi elections in January have on Iraqi commercial/investment law?
There are no guarantees that the commercial law will be maintained as currently written after the election of the National Assembly. However, for Iraq to maintain the international community's confidence in Iraq it will need to maintain a transparent and predictable commercial environment. The Transitional Administrative Law lays out the framework by which any laws can be changed prior to the adoption of a new constitution.
http://www.export.gov/iraq/bus_climate/faq.html#16

Thing are shaping up VERY well for 2006. Looks like once the NA elections are settled in January, the green light will be given for foreign investment.

Icarus

[Good_Karma]

http://www.bahraintribune.com/ArticleDetail.asp?CategoryId=2&ArticleId=84096

“With our souls, with our blood, we sacrifice ourselves for the constitution.”

“Some people want to lead us into civil war. If that were to happen, God only knows how long it would last and how much blood would be shed,” Abdul Mehdi Al Karbalai said at weekly prayers in Karbala.
“We must be patient and endure,” he added

"I call on our brothers in religion to speak up and condemn those who are prolonging the occupation of the country, said Aws Al Khafaji, reading a message from Sadr." “We want our brothers in Islam to speak up and say they have nothing to do with such acts,” the prayer leader added. “Zarqawi is nothing ... but a tool in the hands of the occupiers to divide Muslims.”


"Furious Balad residents blamed the attacks on “foreign fighters”, long accused by the US military of infiltrating Iraq from Syria, to undermine the referendum on the constitution opposed by many Sunni Arabs."

[Good_Karma]

Iraqi Police Conduct Baghdad Raid Without U.S. Oversight!

http://www.defenselink.mil/news/Oct2005/20051001_2904.html

"In the dead of night Sept. 24, Iraqi police with the 2nd Public Order Brigade conducted their first raid without oversight by coalition forces." :happy64:

[myranchretirement]

Iraqi Police Conduct Baghdad Raid Without U.S. Oversight!

http://www.defenselink.mil/news/Oct2005/20051001_2904.html

"In the dead of night Sept. 24, Iraqi police with the 2nd Public Order Brigade conducted their first raid without oversight by coalition forces." :happy64:

Now thats good to see.

[icarusII]

http://siteresources.worldbank.org/IRFFI/64168382-1092419012421/20637718/datasheetSept6_2005.pdf
On pg 2, nearly every economic indicator listed in the tables show significant to excellent improvement for 2006 as compared to 2005. Overall fiscal balance projected for 2006? (-4.3%)

Icarus
Looking Forward: The World Bank’s Program
"Finally, a brief word about future World Bank assistance to Iraq. I am pleased to announce that in furtherance to our pledge in Madrid, we are making available up to US$500 million in concessionary IDA resources. These resources, as well as any additional ITF resources, will be used to address Iraq’s priorities in key sectors by scaling up activities where existing ITF-financed operations have a good implementation track record and are showing results. We will also commence operations in a few additional priority sectors where there is a strong dialogue with our Iraqi counterparts. The lessons discussed at this conference will be brought to bear in designing future projects.
Using our own Bank administrative budget and building on our existing dialogue with Iraqi counterparts and other international partners, including the IMF, we will also intensify our economic and sector work, focusing on economic reforms, poverty reduction and social safety nets, as well as public governance, especially public resource management, which is the driver for donor coordination and the key to Iraq’s future economic prosperity."
http://web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK:20588747~menuPK:34472~pagePK:34370~p iPK:34424~theSitePK:4607,00.html

The Iraqis agreed to the IMF guidelines on better oil management, transparency in operations, and government subisidies reductions......looks like the WB will turn loose the 500 million.

[icarusII]

"The Food Security Analysis Study along with the National Census, scheduled for October 2005, and the planned creation of a social security number for each citizen thereafter may help provide the data necessary for wider application of this policy. It would then be able to better target food subsidies to the most vulnerable segments of society. This action might save up to 25% of the total costs of the food ration system over the next two years.
Taken together, direct and indirect subsidies consume a major portion of government revenues. Direct subsidies amount to $10.34 billion in 2005. This is more than 37% of national expenditures. The proportion of direct subsidies in national expenditures will drop to 31% in 2006 and 27% in 2007."
“Although the PDS is an effective safety net for the poorest it is inefficient, costing about $6.30 to transfer just $1 worth of food to an individual”

"Monetization of the PDS is likely to yield considerable static and dynamic benefits to the Iraq economy compared to the current in-kind distribution system. However, monetization needs to be introduced with care. The complexity of implementing a nation-wide program pertains to the large numbers of recipients involved, setting the amount of Dinars to be given in lieu of the basket right and the political sensitivity of the change-over."

http://www.export.gov/iraq/pdf/iraq_development_strategy_063005.pdf

[icarusII]

“Gasoline prices in the black market have risen to very high levels recently, but the authorities continue to supply gasoline locally at heavily subsidized prices (about 1.3 US cents per liter of regular gasoline), including by importing these products at international prices (private imports of petroleum products are not permitted).”
“Official prices for refined petroleum products sold in Iraq are set well below international prices. In addition to subsidizing sales from domestic production, the government imports petroleum products ($3.2 billion in 2004) for sale domestically at subsidized prices. This results in a substantial loss of revenues for the budget, equivalent to nearly $8 billion (or some 30 percent of 2004 GDP).”

http://imf.org/external/pubs/ft/scr/2005/cr05294.pdf

[icarusII]

"The EPCA program envisaged a phased elimination of the subsidy over a five year period ending in 2009. By way of illustration, under this plan, revenues would have been $1 billion higher in 2005 and $3.5 billion higher in 2006. This would have covered a large part of the financing gap that has since emerged for 2005, and more than covered it for 2006 (although this does not take account of additional spending that may be included in a supplemental budget)."
"While financing gaps exist for both 2005 and 2006, thereafter they largely disappear"
http://imf.org/external/pubs/ft/scr/2005/cr05294.pdf

If Iraq will work the plan, the dinar releases quicker.

[icarusII]

Iraq Credit and Grant Facility (ICGF)
[ RFA ]
"USAID envisions a program that results in an independent, sustainable organization providing loan capital to the domestic market in Iraq. This could be in the form of an independent or quasi-governmental organization. The grantee shall set up an organizational structure to manage and operate the Facility, and establish a governing board. Bidders should plan for an exit strategy and a complete turn-over of the institution to Iraqi control after the conclusion of the award period."
http://www.usaid.gov/iraq/activities.html#contracts

[icarusII]

Contracts and Grants
"USAID is implementing a broad-based program through five strategic objectives to bring political and economic stability to Iraq and to provide support to Iraqis who face dire humanitarian needs,"
http://www.usaid.gov/iraq/contracts/

[icarusII]

http://www.usaid.gov/iraq/updates/sep05/iraq_fs48_093005.pdf
Check out the economic governance developments on page 2.

[icarusII]

NEXT STEPS
A full-scale micro, small and medium-sized enterprise (MSME) lending program will begin in summer 2005. This program will include activities to promote the growth of MSMEs and is organized into three parts: policy and legal reform; small and medium business lending; and sustainable microfinance.
USAID's implementing partner will train 900 microfinance lending officers by September 2005.
USAID's implementing partner is working with the Iraqi government to establish an Investment Promotion Agency (IPA). The first grant agreement between the U.S. Government and the IPA will be signed in July 2005.
http://www.usaid.gov/iraq/accomplishments/privsec.html

[myranchretirement]

NEXT STEPS
A full-scale micro, small and medium-sized enterprise (MSME) lending program will begin in summer 2005. This program will include activities to promote the growth of MSMEs and is organized into three parts: policy and legal reform; small and medium business lending; and sustainable microfinance.
USAID's implementing partner will train 900 microfinance lending officers by September 2005.
USAID's implementing partner is working with the Iraqi government to establish an Investment Promotion Agency (IPA). The first grant agreement between the U.S. Government and the IPA will be signed in July 2005.
http://www.usaid.gov/iraq/accomplishments/privsec.html

So, what do ya think they are lending? Dollars or Dinars?

[icarusII]

So, what do ya think they are lending? Dollars or Dinars?
I PRAY they are lending dinar. They really need to cut the dollar loose. Sink or swim they must use the dinar. I think after the permanent government is seated in January we'll see huge changes. Here is why they are delaying "political sensitivity of the change-over"

Icarus

[icarusII]

http://www.rebuilding-iraq.net/pls/portal/docs/PAGE/IPMO/0_IMAGE_TOOL_CONTAINER/CD%20BROCHURE.PDF

Check out the number of Iraqi based contracts and citizens trained on page 4. Things are looking very good for 2006.

Just my take,
Icarus

[PWND]

yep things are getting better,,,its stll gonna take some time.... :p :p

[icarusII]

The Iraqi businessmen society is participating in the 9th gathering of the Arab business community, which would be held in the Qatari capital of Doha on December 13.
"The consultant pointed out that during the gathering, which is held under the motto of (investment is an open world), Thamer Al Shaikhali, head of the society, would submit a working paper that includes several views, ideas and pivots that deal with the giant resources of Iraqi businessmen and their big technical facilities for the reconstruction of Iraq in several fields."
http://www.almendhar.com/english_6703/news.aspx

[icarusII]

"In a sign of progress, oil officials said yesterday that Iraqi crews had rebuilt a 70,000 bpd oil refinery unit in the north, despite regular attacks, helping to plug shortages that cost over $5 billion a year in fuel imports."
http://www.tradearabia.com/tanews/newsdetails.asp?Ref=S&Article=94313&Sn=&Cnt=31

[icarusII]

http://www.almendhar.com/english_6741/news.aspx

Baghdad – Dr. Ibrahim Al Ja'fari, Prime Minister, has received the Kurdish delegation, which has met with Mr. Abdul Aziz Al Hakim for finding a solution for the crisis of the dispute between the two heads; Al Talebani and Al Ja'fari.
”On his behalf, Mahmoud Othman said, "The delegation has discussed five major points with Al Hakim: The means of applying article 58 of the State Administration Code”

Excerpt of TAL Article 58:
“The permanent resolution of disputed territories, including Kirkuk, shall be deferred until after these measures are completed, a fair and transparent census has been conducted and the permanent constitution has been ratified. This resolution shall be consistent with the principle of justice, taking into account the will of the people of those territories.”

Looks like Dr. Jaafari is garnering Kurdish support for his reelection in December.

Icarus

[icarusII]

"The Food Security Analysis Study along with the National Census, scheduled for October 2005, and the planned creation of a social security number for each citizen thereafter may help provide the data necessary for wider application of this policy."
"Direct subsidies amount to $10.34 billion in 2005. This is more than 37% of national expenditures. The proportion of direct subsidies in national expenditures will drop to 31% in 2006 and 27% in 2007.
Subsidy reforms will reduce the burden on the national budget and release resources to be used for productive investments in infrastructure and basic service"

Iraqi National Development Strategy
http://www.export.gov/iraq/pdf/iraq_development_strategy_063005.pdf

Icarus

[MEALTICKET]

"The Food Security Analysis Study along with the National Census, scheduled for October 2005, and the planned creation of a social security number for each citizen thereafter may help provide the data necessary for wider application of this policy."
"Direct subsidies amount to $10.34 billion in 2005. This is more than 37% of national expenditures. The proportion of direct subsidies in national expenditures will drop to 31% in 2006 and 27% in 2007.
Subsidy reforms will reduce the burden on the national budget and release resources to be used for productive investments in infrastructure and basic service"

Iraqi National Development Strategy
http://www.export.gov/iraq/pdf/iraq_development_strategy_063005.pdf

Icarus

Wow there going to have SS# NUMBERS that is great!!! :happy64:
Now let get the Iraqis out of importing gasoline and start get them strated on refining that oil! :D

[icarusII]

Wow there going to have SS# NUMBERS that is great!!! :happy64:
Now let get the Iraqis out of importing gasoline and start get them strated on refining that oil! :D
"The cost of production is among the lowest in the world because the fields are onshore, very large, and have a relatively simple geological structure. The Ministry of Oil has prepared medium and long term plans to increase the country’s oil production capacity to reach or surpass 6 million bbl/d. The target for the year 2007 is 3.5 million bbl/d."
"Under optimal conditions, and including routes through both Syria and Saudi Arabia that are now closed or being utilized for other purposes, Iraq’s oil exports infrastructure could handle more than 6 million bbl/d (2.8 via the Gulf, 1.65 via Saudi Arabia, 1.6 via Turkey and 300,000 via Jordan and Syria)"
http://www.export.gov/iraq/pdf/iraq_development_strategy_063005.pdf

Iraq is currently negotiating deals with these countries for distribution channels.

Icarus

[icarusII]

"Iraq expects oil exports to rise by about 300,000 daily by January, when a new government is elected with authority to decide on foreign involvement in the sector, the head of Iraq’s Energy Council said"
“We expect 1.8 million by January. We are looking at substantial increases after the January elections when parliament will act on oil production through some form of association with international companies,“ Chalabi said"
http://www.iran-daily.com/1384/2400/html/energy.htm#s98229

[icarusII]

"With an oil products import bill of $5 billion a year and the need to finance reconstruction, Chalabi said Iraq had no option other than boosting output and cutting fuel subsidies. He did not give a timeframe for ending the subsidies for 1 cent a litre of petrol, but said the government would deliver a KD500 billion ($357 million) cash handout to poor families by the end of November."
http://www.iran-daily.com/1384/2400/html/energy.htm#s98229

500 billion NID hand out announcement right before elections..........but no time frame on the gas increase? Yes sir......this guy is a politician.

Icarus

[Alamar]

Icarus - Why does it say KD500 Billion and not NID or IDQ? Does KD stand for Kawaiti Dinars? Just asking since I remembered seeing this once before in one of your previous posts.

Alamar

[myranchretirement]

"With an oil products import bill of $5 billion a year and the need to finance reconstruction, Chalabi said Iraq had no option other than boosting output and cutting fuel subsidies. He did not give a timeframe for ending the subsidies for 1 cent a litre of petrol, but said the government would deliver a KD500 billion ($357 million) cash handout to poor families by the end of November."
http://www.iran-daily.com/1384/2400/html/energy.htm#s98229

500 billion NID hand out announcement right before elections..........but no time frame on the gas increase? Yes sir......this guy is a politician.

Icarus

Hey yeah. KD is Kuwait Dinar.

[icarusII]

Icarus - Why does it say KD500 Billion and not NID or IDQ? Does KD stand for Kawaiti Dinars? Just asking since I remembered seeing this once before in one of your previous posts.

Alamar

I'm sure it's a typo......but we could start a rumor that the IRD will equal the KD. This was a reporter leak! That is about the only one I haven't heard yet!

[icarusII]

Reform agenda in the post-war reconstruction of Iraq - Sept 25th
"He (Dr Ali Allawi, the Iraqi Finance Minister) sees 2006 as an economic transition period for the economy in terms of trade, investment and external relationships."
http://www.brettonwoodsproject.org/article.shtml?cmd[126]=i-126-084483caf7db77f5721dd78a4b444772

Icarus

[icarusII]

"The U.S. Trade and Development Agency (USTDA) invites you to attend a business briefing to learn about opportunities in the reconstruction of Iraq's civil aviation sector. During the business briefing, you and your company will have the opportunity to receive the latest information on Iraq's Civil Aviation sector requirements and to discuss your products in one-on-one meetings with 11 senior officials from the Iraqi Ministry of Transportation, Civil Aviation Authority, Regional Airports, and Iraqi Airways who are directly responsible for the development of their reconstruction projects and the allocation of resources."
http://www.export.gov/iraq/pdf/iraq_aviation_flyer.pdf

[icarusII]

Iraq Security, Technology & Communications Summit
29 - 30 November 2005
With the full support and endorsement of the Iraqi Government and coalition partners, the Iraq Development Program (IDP) is proud to announce this official summit, essential to the future security of Iraq and the implementation of key contracts and projects.

http://www.iraqdevelopmentprogram.org/idp/istc/index.htm

[Silver Spoon]

Goods and Services Expo in April 2006
Rebuild Iraq 2006 expo launches next April
http://menafn.com/qn_news_story_s.asp?StoryId=107026

Why would this conference be scheduled in April 2006? A Contract summit is being held in November 05? Vendors coming to sell reconstruction goods and services in Iraq leads me to believe that the Iraqi people and businesses will have purchasing power and an influx of investment capital by April 2006. If not......then this is a huge waste of time and this expo is going to be a bust.

Just my take,
Icarus


Going back to your original subject.....I googled it and found this as well.

http://www.rebuild-iraq-expo.com/

I can personally tell you that rebuilding has begun as I'm sure alot of you know. In the southern region they are building even more prisons to prepare for this major conflict everyone is talking about.

http://www.washingtonpost.com/wp-dyn/content/article/2005/05/09/AR2005050901072.html

This project is getting alot of US Government push....and is just about completed.

[icarusII]

"Referring to the significance of holding the fair at present time, Mehrabi-Movaqqar said: "Iraq's market today is the greatest business opportunity in the course of the past half century."
"He predicted that the country's exports of goods and services to Iraq through Kermanshah Province would reach $300 million within the next couple of years, and Iran's total exports from its northwestern and southwestern borders to that country would exceed $1 billion within two years' time."
http://www.portaliraq.com/news/250+Iranian+companies+to+participate+in+Kermanshah +Exhibition+for+Reconstruction+of+Iraq__1111613.ht ml

[icarusII]

"The Iraqi official concluded that foreign entrepreneurs can benefit from a 5-year tax holiday while land and other facilities will also be made available to them."
http://www.iran-daily.com/1384/2422/html/economy.htm#s104793

Icarus

[icarusII]

"The Iraqi official concluded that foreign entrepreneurs can benefit from a 5-year tax holiday while land and other facilities will also be made available to them."
http://www.iran-daily.com/1384/2422/html/economy.htm#s104793

Icarus

Adoption and expansion of the 1998 Industrial Investment Law. Foreign development groups can see definite incentives.
http://www.iraqiindustry.com/developments/develop.aspx

Icarus

[icarusII]

http://www.brookings.edu/fp/saban/iraq/index.pdf (November 21st)

Icarus

[icarusII]

Project Objective and Description

The project aims to lay the foundation for increasing investment and economic
growth by addressing selected priorities in institutional capacity building and
essential communications infrastructure to help foster the development of the
private and financial sectors. A secondary objective is to generate job creation
through the development of the private sector.


Project Implementation Status

The PMT is evaluating the bid proposals submitted for the telecommunications
backbone (about US$40 million). Twelve companies submitted proposals in
October 2005, and work should commence early in 2006. The Central Bank
component that will allow for the modernization of the payment systems has
progressed recently due to the clear commitment of the Central Bank and ITPC as well as the close coordination with the World Bank, IMF and U.S. agencies.Technical requirements and bidding documents are being finalized for Bank review and clearance.

http://siteresources.worldbank.org/IRFFI/64168382-1092419012421/20722718/PSSPrivateSectorOctober31.pdf

[icarusII]

"Opening the exchange for non-Iraqi investors is one such pillar of economic reform. There has been too much dilly-dallying on the long awaited decision mainly because the Iraqi Securities Commission (ISC) seems still reluctant to give the go ahead. Pressure on the ISC is mounting. The latest news, according to reliable sources, is that the Central Bank of Iraq has given its full support for allowing non-Iraqis to trade in the ISX. This has been conveyed officially to the ISX in writing. Many months back the Ministry of Trade did likewise. All stakeholders seem to agree that the ISX, hungry as it is for liquidity, could attract important foreign capital. Most private Iraqi banks, such as the Credit Bank of Iraq and the Ahli Bank of Iraq, have entered into joint ventures with foreign banks. Manufacturing and Hotel companies are eyeing these developments with much interest because of their need for similar arrangements."
http://www.berc-iraq.com/

2006 is looking VERY good..........
Icarus

[Dinar_Trump]

"Opening the exchange for non-Iraqi investors is one such pillar of economic reform. There has been too much dilly-dallying on the long awaited decision mainly because the Iraqi Securities Commission (ISC) seems still reluctant to give the go ahead. Pressure on the ISC is mounting. The latest news, according to reliable sources, is that the Central Bank of Iraq has given its full support for allowing non-Iraqis to trade in the ISX. This has been conveyed officially to the ISX in writing. Many months back the Ministry of Trade did likewise. All stakeholders seem to agree that the ISX, hungry as it is for liquidity, could attract important foreign capital. Most private Iraqi banks, such as the Credit Bank of Iraq and the Ahli Bank of Iraq, have entered into joint ventures with foreign banks. Manufacturing and Hotel companies are eyeing these developments with much interest because of their need for similar arrangements."
http://www.berc-iraq.com/

2006 is looking VERY good..........
Icarus

I agree...2006 is looking very promising. I believe that an internationally traded ISX will require an internationally traded dinar. Shabibi's goal is to make the dinar internationally tradeable. More than likely, before 2006 is over, the Iraqi currency will become convertible as a step to joining the WTO. How this will affect the exchange rate is a debate for another thread...but in my opinion only,the rate will be higher than it is now, upon the currency becoming convertible.

[Adster]

Guys,

Brilliant news and a great find but I can't see it on the link you provided, where is this piece listed?


Cheers.

[icarusII]

Guys,

Brilliant news and a great find but I can't see it on the link you provided, where is this piece listed?


Cheers.
In the business monitor section.........story number 4.

[icarusII]

I agree...2006 is looking very promising. I believe that an internationally traded ISX will require an internationally traded dinar. Shabibi's goal is to make the dinar internationally tradeable. More than likely, before 2006 is over, the Iraqi currency will become convertible as a step to joining the WTO. How this will affect the exchange rate is a debate for another thread...but in my opinion only,the rate will be higher than it is now, upon the currency becoming convertible.

The convertibility of the dinar must be linked to the opening of ISX to foreign investors. With the CBI endorsement, I would think they are ready to do currency exchange. The CBI must issue monetary policy changes to reflect this move. Using USD as the intermediary currency would be a hinderance to foreign investors.
In the article, Dr. Kubba says "Prices are generally thought to be well below their true intrinsic value. Such intrinsic value however is true if and only if political stability prevails and economic reform gathers momentum. On these two counts the odds seem encouraging".


Just my take,
Icarus

[icarusII]

USAID programs assist Iraq's MoF, Central Organization for Statistics and Information Technology (COSIT), and Iraq's Central Bank in meeting their International Monetary Fund (IMF) requirements. This $19 million technical assistance effort is expected to return to Iraq $480 million in the IMF Standby Agreement by December 2005 as well as debt forgiveness of $27 billion from the Paris Club by March 2006.

http://www.reliefweb.int/rw/RWB.NSF/db900SID/HMYT-6JVNLJ?OpenDocument&rc=3&emid=ACOS-635P5D

[Dinar_Trump]

The convertibility of the dinar must be linked to the opening of ISX to foreign investors. With the CBI endorsement, I would think they are ready to do currency exchange. The CBI must issue monetary policy changes to reflect this move. Using USD as the intermediary currency would be a hinderance to foreign investors.
In the article, Dr. Kubba says "Prices are generally thought to be well below their true intrinsic value. Such intrinsic value however is true if and only if political stability prevails and economic reform gathers momentum. On these two counts the odds seem encouraging".


Just my take,
Icarus

Nice quote, Icarus. I agree. The dinar needs to be internationally accepted if foreigners are gonna buy Iraq's stocks, and therefore convert their money into the local currency. Political stability as in after a permanent government is put in place for 4 years? Economic reforms such as those being put in place by the IMF(as part of the SBA with Iraq) dealing with the phasing out of fuel and other subsidies? Yes. These things are happening in 2006. 2006 is shaping up rather nicely for our investment.:shhh:

[icarusII]

''Iraq's economy will grow at 4 percent this year and accelerate into the double digits next year," he said. ''Per capita income is nearly double what it was two years ago, [and] sales of consumer and durable goods are booming." Although unemployment remains a problem, more than 30,000 new businesses registered with the government in the last year, Speckhard said.
http://www.boston.com/news/world/middleeast/articles/2005/12/09/us_official_says_iraq_economy_growing/

Icarus

[Lux]

And when security gets better (I believe it will sooner than we think), the numbers will explode (pun not intended).

[rkpdwp]

I like hearing all this good news.I just hope someone does not try to shoot
it down.Thanks for all the good news.

[icarusII]

I noticed a new CBI report posted at their site. Instead of just the CBI data....they have included all commercial banking sector data. Very good sign IMO

http://www.cbiraq.org/Monetary%20Survey.xls

Icarus

[icarusII]

Looks like an major increase in business push ahead of the elections. 2006 should be the roll out of this effort in the economy.

USAID IZDIHAR Briefs Military Civil Affairs Officers on Microfinance Techniques
6 November 2005
Associations Form Alliance to Promote Iraqi Business Interests
7 November 2005
Iraq Forms Steering Committee to Review Tariff and Trade Policies
13 November 2005
IZDIHAR Seminar on Privatization Draws 250 Iraqi Businesspeople
15 November 2005
USAID IZDIHAR Trains Future Staff of Iraqi Trade Information Center
19 November 2005
Capital Markets Seminar Held for Business Leaders
21 November 2005
Iraqi Businessmen Learn about Financing Opportunities for Investments
28 November 2005
Code of Ethics for Iraqi Business Associations
29 November 2005
http://www.izdihar-iraq.com/news/stories.html#story58

Icarus

[BIG WAVE]

The 75th Council of Ministers meeting of the Organization of Arab Petroleum Exporting Countries (OAPEC) have wrote off 70 percent of accumulated debts owed to the organization by Iraq,
http://www.menafn.com/qn_news_story_s.asp?StoryId=118230

[BIG WAVE]

13 December 2005-- Iraqi Oil Minister Ibrahim Bahr al-Ulum has said his country plans to raise its oil production capacity to as much as 6 million barrels per day by 2011, up from the current output of around 2 million.


Al-Ulum said on 12 December that initially, the focus will be on boosting production from existing fields, then Iraq would embark on developing new fields.

He was speaking to reporters in Kuwait where he was attending an OPEC oil producers' meeting.

The minister said security for thousands of kilometers of pipelines, which have been the target of attacks by insurgents, has improved in southern Iraq, where there has not been an attack in 11 months.

He said the ministry has a new plan to deal with repeated attacks in Iraq's north, and this will be implemented after the country's 15 December legislative elections.

http://www.rferl.org/featuresarticle/2005/12/1661D549-BBF2-4FC2-911E-697310D9E366.html

[icarusII]

THE ECONOMIC TRACK IN DETAIL
Strategic Summary: Restore, Reform, Build
The economic track is based on six core assumptions:
www.whitehouse.gov/infocus/iraq/iraq_national_strategy_20051130.pdf

Good read.........
Icarus

[millionairetobe71]

And when security gets better (I believe it will sooner than we think), the numbers will explode (pun not intended).

Let's me add that we are already turn in several key cities to the Iraqis security forces(army). The biggest problem are the damn police. The are so afraid to even go and purchase food in the local market!!! Of course after four cops got gun down on brad daylight, who wouldn't...but we can have a good army, but the police will always remain the back bone for a stable city and put down in concrete, security for the neighbors, just like a nighborhood cop. The day will come were thay might able to take over and provide better security, but still will cost many lives....hopefully, after the elections and drawdown of US soldiers, things will get better.... and the dinar will go up, up and away!!!

[haggisbasher]

hello forum,here is some good news,GWB has tasked Condoleeza Rice for Iraqs reconstruction programe and revive its economy.
I also believe that he has given her a secret coded message,the figure wot the IQD is to be pegged at,check it out. www.upi.com/security/terrorist

[Gluphus]

Haggis,

could you repost that link? It seems to be a /dev/null link.

[haggisbasher]

Try this link Guplhuis,(www.uip.com/securityterrorism/view).
The artical is taken from united international press.

[Aunt Gwennie]

http://www.upi.com/SecurityTerrorism/view.php?StoryID=20051215-060120-1803r

Try this link.....this may be the one that was being referred to.

AG

[millionairetobe71]

hello forum,here is some good news,GWB has tasked Condoleeza Rice for Iraqs reconstruction programe and revive its economy.
I also believe that he has given her a secret coded message,the figure wot the IQD is to be pegged at,check it out. www.upi.com/security/terrorist (http://www.upi.com/security/terrorist)

Ok...can you briefly explain what lead you to believe that there is or might be a secret coded message related to the pegg of the IQD?? I read the whole thing and I thing I got blind..please explain...

[hilljack13]

hello forum,here is some good news,GWB has tasked Condoleeza Rice for Iraqs reconstruction programe and revive its economy.
I also believe that he has given her a secret coded message,the figure wot the IQD is to be pegged at,check it out. www.upi.com/security/terrorist (http://www.upi.com/security/terrorist)

"Even now, 33 months after the dictator's fall"


I have seen on here where others believe .33...I like it b/c its my "number".....

[BIG WAVE]

HAMMAN AL AIL, Iraq—This area was a hive of terrorist activity a year ago. Now, this community south of Mosul is getting ready to open The Northern Iraq Regional Training Center in an effort to continue strengthening the Iraqi Army for the fight against terrorism.

"Twelve months ago it was the most dangerous area in Iraq and now it's the most safe area in Iraq," Iraqi Army Col. Haje Maher Alzebari said Thursday.

http://www.news-miner.com/Stories/0,1413,113~7244~3170118,00.html

[icarusII]

Iraq is moving towards prosperity and success.

New Economic Life
"Ordinary Iraqis are financially better off now than they were at any time in the past two decades. According to World Bank and International Monetary Fund estimates, per capita income has doubled since 2003. Iraq's per capita gross domestic product is today almost twice that of Yemen and nearing that of Egypt and Syria, hardly a sign of failure in a country in which, just three years ago, antiwar groups insisted children were starving en masse. Statistics aside, the Iraqi economic boom is apparent to anyone who visits an Iraqi market. Not only are appliances and luxuries in the stores, but customers are actually purchasing them."
http://www.meforum.org/article/784

"The clearest sign of the new boom in Kurdistan is the increase in salaries. Before the fall of Saddam Hussein a white collar worker earned 22,000 Iraqi dinar per month (around $148)--today 158,000, according to the Ministry of Finance"
http://www.kurdistancorporation.com/wonderofkurdistan.htm

[icarusII]

This discussion came up the other night with some Kuwaiti businessmen.
The CBI is currently operating a de facto fixed rate regime in violation of their Banking Laws. The CBI only allows eligible banks to enter bids by volume not price. This is one of the tools they are using to maintain price stability and inflation. It is also one of the reasons Iraq has not accepted the IMF Article VIII sections.
So the CBI will have to publish a monetary policy shift to signal a true free market exchange regime.
When the bidding banks begin competing for currency by price rather than volume……we have movement.

Article 16 Powers and functions of the Board
While observing the primary objective and other objectives set out in Article 3, the Board shall, within the limits set out in this Law:
a. develop and define the primary monetary policy objective;
b. formulate policies to attain the primary monetary policy objective, including the exchange rate policy, limits on open market operations to be conducted by the CBI, policies regarding interest rates for other provisions of funds to the banking sector, and the types and levels of reserves that banks will be required to maintain; except that the Board shall not have the power to enter into a fixed exchange rate regime, such as a monetary union or currency board.
http://www.cbiraq.org/Binder3.pdf

[BIG WAVE]

Iraq is facing a huge housing crisis which will aggravate unless at least three million housing units are built in the coming 15 years, said Housing and Reconstruction Minister.

Jassem Jaafar said the country would need to liberalize its construction industry as domestic construction firms, whether state-owned or private, do not have the capacity to meet rising demand.

“We have plans to construct three million housing units in 15 years and plan to allocate $120 billion for their building,” Jaafar said.

He said the outgoing government has built 20,000 housing units since assuming power early this year.

“We will build 5,000 more housing units in 2006,” he added.

He said the country was passing through “an acute housing crisis” and one way to alleviate it was to open the market for foreign construction firms.

There has been little construction in the country since the early 1980s due wars and U.N. trade sanctions, the minister said.

“We are exerting huge efforts to persuade Arab and foreign investors to construct housing complexes in the country,” Jaafar said.

He said the World Bank and other international financial institutions were willing to finance housing projects in the country.

Asked whether oil rich Arab Gulf states were interested in investing in the housing sector, Jaafar said: “So far we (Iraq and Gulf states) have not coordinated our efforts in this regard. We ask our Gulf brethren for joint meetings to discuss the issue.”
http://www.iraqdirectory.com/DisplayNews.aspx?id=624

[icarusII]

Iraq will witness a surplus in 2006:
An Iraqi economist recently predicted that Iraq will witness a budget surplus in 2006 due to the increase in petroleum prices. Dr. Talib Muhsin, an economist and consultant in the Council of Ministers, confirmed that Iraq’s expenditure in 2005 was $24 billion, while its income was $20 billion, making a shortfall of $4 billion. In 2006 the expenditure will be $24 billion and the expected income will be $40 billion. Accordingly, there will be a surplus of $16 billion. Dr. Talib said this surplus has to be used in developing the Iraq economy, and he suggested setting long term programs for this purpose.

The Central Bank of Iraq urges Iraqis to accept using coins:
The Central Bank of Iraq (CBI) recently appealed to the Iraqi people to accept dealing with coins. An authorized source in the CBI said that the Bank received a large quantity of these coins in denominations of 50, 100, and 250 Iraqi dinars. Iraqi people have complained because wholesalers and retailers don’t accept these coins from them, although the coins are considered a national currency and issued by law.

Iraq will open an office in the WTO:
Mr. Abdul Basit Kareem, the Minister of Trade, said that Iraq will open an office in the World Trade Organization HQ to facilitate Iraq’s accession to this organization. The Minister added that the current stage requires adjusting Iraqi legislation in accordance with WTO rules.

Soon all Iraqi banks will have automated teller machine services:
The Banking Committee recently held a meeting to discuss the status of Iraqi banks. The meeting was attended by Dr. Ahmed Al – Chalabi, Deputy Prime Minister, general directors of Iraqi banks, and the Under-Secretary of the Minister of Finance. Dr. Al – Chalabi said the Iraqi banking system needs to be developed to offer better services by training banking staff, benefit from international experience to build a good banking system in Iraq, rehabilitate bank buildings, and open new branches. He announced that automated teller machines soon will be in all banks and their branches.

Increasing liquid gas production:
Mr. Nazar Hatim, the director of petroleum products in the Baghdad governorate council, said on the 10th of March that the production of liquid gas will be increased in the coming days from 800 tons per/day to 2000 tons per/day. Mr. Hatim said that the Ministry of Oil explained the cause of shortage in liquid gas is due to sabotage attacks on gas pipelines that led to a decrease in production.
http://www.izdihar-iraq.com/news/round-ups.html

Just my take,
Icarus

[$ONEDAYSOON$]

Try this link Guplhuis,(www.uip.com/securityterrorism/view) (http://www.uip.com/securityterrorism/view)).
The artical is taken from united international press.

THIS LINK WILL NOT WORK:confused:

[$ONEDAYSOON$]

Icarus

Very Nice Work Great Info Thank You

[icarusII]

This article is a bit reactionary......but a great indicator of what is going on behind the scenes.

“It is a little known fact that Iraq is now well on its way to becoming a fully-fledged member of the WTO. Iraq has now advanced to step 3 of the accession process and will most likely complete it without most Iraqis knowing it even happened.”
http://www.nadir.org/nadir/initiativ/agp/free/wto/news/2006/0128wto_iraq.html

Icarus

[icarusII]

"An official of the Iraqi group revealed that the group will mainly purchase construction material, automobile, medical equipment, petrifaction and electricity generator products. Also, we are interested in light industry products, such as home appliances, clothes, toys and home cleaning equipment."
http://menafn.com/qn_news_story_s.asp?StoryId=130861

Since Iraq's MOLSA has implemented the new Social Law giving registered citizens 80-120K in cash on a monthly basis......these business people are getting their inventories built in anticipation.

Icarus

[icarusII]

Iraq's per capita income had fallen from around $4,200 per person in 1980, which at the time was higher than Spain, to $500 per person in March 2003, he said. Today it stands at $1,200 -- "a significant advancement in a very short time," Speckhard said.
If you look out into the streets, you'll see a very vibrant economy," Speckhard said. "People (are) buying consumer and durable goods -- refrigerators, air conditioners, televisions and so forth."
He said the demand for electricity has doubled since March 2003, which has presented a significant challenge. "But that's a sign again of the growing economy and the robustness of the economic activity taking place and the freedoms that people are enjoying, which they didn't enjoy in the past to access those goods," he said.
http://www.defenselink.mil/news/Mar2006/20060327_4632.html

Icarus

[niss0001]

I only found out about NIQ 6 mo ago, from someone I hardly new. I knew very little about it but decided to buy into a tune of 5 m. Since then ofcourse I have been paying much close attention to all aspects of the situation. I try to get as many different new sources as possible. I was hopefull at first, and still am but I have been wondering if some of my close friends and realitives think less of me for investing into this very horrific tragdity thats going so far away. What do you say.I know I'm going to be. confrounted I know its around tbe corner for me not sure how I will handle this.....thanks for any constructive advice.

niss001

[icarusII]

Iraq needs a law that distinguishes between national and foreign investments:
"The Under- Secretary of the Minister of Finance, Mr. Kareem Hamoud, recently said he expected that Iraqi dinars’ value will increase in the next five years after Iraq debts are paid. He added that Iraq needs to have an investment law that distinguishes between national and foreign investment and provide motives and privileges to investors. Mr. Kareem added that Israeli investors have started collecting Iraqi currency and will keep it for the coming years in case it witnesses an increase in value."

http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_03_March/2006_03_22_roundups.pdf

Iraq will join the WTO in late 2007:
"The deputy of the National Committee for the WTO, Mr. Saad Abdullah said that Iraq will join the WTO in late 2007 in cooperation with international organizations. He mentioned that one of the positive impacts of Iraq accession is stimulating agricultural production and developing it, while a negative impact is increasing agricultural product prices since Iraq is considered a major importer of these products."

http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_03_March/2006_03_26_roundups.pdf

Icarus

[BIG WAVE]

Iraq needs a law that distinguishes between national and foreign investments:
"The Under- Secretary of the Minister of Finance, Mr. Kareem Hamoud, recently said he expected that Iraqi dinars’ value will increase in the next five years after Iraq debts are paid. He added that Iraq needs to have an investment law that distinguishes between national and foreign investment and provide motives and privileges to investors. Mr. Kareem added that Israeli investors have started collecting Iraqi currency and will keep it for the coming years in case it witnesses an increase in value."

http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_03_March/2006_03_22_roundups.pdf



Icarus

Part 1

It is anticipated at the Arab summit ending today that governments will cancel most of whats left from Iraq's debt. But even at that why would it matter if a country has debt before entering the international markets, every country I have heard of owes money to another country..

Part 2

I wonder if this is the law they were talking about?

Iraq’s oil sector is waiting for an oil investment law to organise foreign investment and draw in international companies.

The law must be ratified by a parliamentary committee. But such issues will not be discussed before a fully-empowered government is formed under the constitution ratified in October.

“The interim government cannot strike deals and sign contracts,” a senior oil ministry official said. “And we all know that without foreign investment the industry will not grow.” reuters
http://www.dailytimes.com.pk/default...-3-2006_pg5_33

(hijacked from an old post of mine)
http://www.investorsiraq.com/iraqi-economy/15583-what-we-waiting.html?highlight=law

[calstar]

Kuwait said, '' It would not cancel its debt with Iraq. :no:

[dejavu]

Kuwait said, '' It would not cancel its debt with Iraq. :no:

is there a link for that? i hope this is not 100% for sure:(

[icarusII]

Kuwait said, '' It would not cancel its debt with Iraq. :no:

I don't believe they said they would not cancel the debt outright. What they said was they would defer that decision until a resolution was brought forward from the Arab League. They would consider debt restructuring or cancellation along with the Arab League and GCC Nations. Basically their stance was of unity among the GCC countries.
The Kuwaiti govt has been VERY cooperative with all negotiation thus far. They have pushed a public initiative to all private sector companies to accept the debt for debt swap or cash settlement offers the GoI made in late 05 to January 06.
If the Arab League resolution passes, Kuwait I am sure will be on board.

Just my take,
Icarus

[goldraker]

Could this be a subliminal message!

Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched


:happy64: :lmao: :happy64:

[icarusII]

Could this be a subliminal message!

Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched


:happy64: :lmao: :happy64:

Ironic thing about the "liberation of Iraq" is the current power levels are pretty close to pre war levels. Since there is a growing economy, increased per capita income, and a level playing field for ALL Iraqis.........they need twice the power production in the country.
More TV's, DVD players, cell phones.........now all they need is a little better purchasing power for their currency. Just a matter of time!

Just my take,
Icarus

[v1rotv2]

I think your wrong on the power grid levels. It is my understanding that the power generating and distribution levels are in fact now higher than at the time of the start of the war.

[JeffreyW]

the more the better!

[Lonestar]

Icarus has a valid point. Where I was in 04 every house had a satellite dish on it. This was not allowed during the reign of Saddam. More consumer electronics mean higher consumption of electricity. v1rotv2 is correct there is more electricity available but with increased demand it would appear the levels are not rising when in fact they are.

[panhead]

Could this be a subliminal message!

Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched


:happy64: :lmao: :happy64:
Have to agree with Icarus on this......more goods are in the hands of the people, another slanted observation by the original poster.

[icarusII]

Finance decides to close Iraqi banks:
Under – Secretary of the Minister of Finance Mr. Kareem Hmoud recently said that the ministry seeks to close many Iraqi banks, especially Al – Rasheed and Al – Rafdain bank branches due to financial losses that were made by them. Mr. Kareem added that this decision was agreed upon by finance experts in the ministry. Mr. Kareem stated that he headed a delegation that met with representatives from the International Monetary Fund last week to exchange information about Iraq’s financial affairs.

Iraq starts second phase to join the WTO:
The National Committee of Iraq Accession to the WTO will start its second phase of negotiation with the organization. This has been recently confirmed by a source in the Ministry of Trade. The source said that the Committee is continuing its effort to prepare answers for the Iraqi sectors that received questions from the country members of the WTO.
http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_04_april/2006_04_01_roundups.pdf

Negotiations to convert Al –Kufa cement factory to a joint-stock company:
A member in An-Najaf governorate council, Mr. Nazar Al – Malali, recently said that the governorate council approached the Iraqi Ministry of Finance to give the priority to An-Najaf citizens to invest in Al – Kufa cement factory when the ministry starts converting it to a joint-stock company. Al - Kufa cement factory is one of the two factories that the Ministry of Industry has selected to privatize in order to start the privatization experience in Iraq.

An ambitious plan to participate in reviving the national economy:
The Ministry of Trade is currently implementing an ambitious plan to stimulate exporting Iraqi products to different countries in order to revive the Iraqi national economy. A source in the ministry recently announced that it issued 17 export licenses in the past few days for Iraqi exporters. These licenses included exporting agricultural & animal products and furniture to Turkey, Syria, UAE and Jordan. The source added that the Ministry of Trade is cooperating with Iraqi merchants and businessmen to smooth the progress of exporting Iraqi products to make revenues that support the Iraqi national economy.
http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_04_april/2006_04_03_roundups.pdf

Icarus

[icarusII]

3.5 billion dirham is the Iraqi investment in UAE stock exchange:
The UAE stock exchange recently revealed it has received an increase in Arab investment. Dubai Financial Market announced that the amount of Iraqi investments jumped from the seventh rank to fourth in 2005 and is ranked fifth in 2006. Dubai Financial Market stated that the cause of increasing Iraqi investments in Dubai is due to the bad security situation in Iraq. Iraqi investments reached 3.5 billion dirham ($1 billion).
Al – Mashreq

Icarus

[goldraker]

Could this be a subliminal message!

Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched


:happy64: :lmao: :happy64:


You all know I was refering to the 33 in this paragraph!

[goldraker]

You all know I was refering to the 33 in this paragraph!
Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched

See that 33 above.

Then you add this along with their 33 Point National Agenda!

And what do we have .33

:happy64: :happy26: :happy64:

[DinarDummy]

Rumsfeld and his lieutenants are increasingly blamed for the chaos they allowed to rapidly develop in Iraq after ousting Saddam. Even now, 33 months after the dictator's fall, oil production and electrical generation levels have still not reached the extremely poor levels they were at before the Iraq war was launched

See that 33 above.

Then you add this along with their 33 Point National Agenda!

And what do we have .33

:happy64: :happy26: :happy64:
No, I believe what we have is yet another hijacked thread by one of your silly outbursts. Let's stop with the high schoolish rah rah rah, and the need to comment on every post when there's nothing to say. If you have any true, factual, interesting information to contribute in an adult fashion, I'm sure everyone would want to read it.

[REITman]

No, I believe what we have is yet another hijacked thread by one of your silly outbursts. Let's stop with the high schoolish rah rah rah, and the need to comment on every post when there's nothing to say. If you have any true, factual, interesting information to contribute in an adult fashion, I'm sure everyone would want to read it.

Well put DinarSmartie!

[Borage]

I like the 33 observation. :p

[lance]

The convertibility of the dinar must be linked to the opening of ISX to foreign investors. With the CBI endorsement, I would think they are ready to do currency exchange. The CBI must issue monetary policy changes to reflect this move. Using USD as the intermediary currency would be a hinderance to foreign investors.
In the article, Dr. Kubba says "Prices are generally thought to be well below their true intrinsic value. Such intrinsic value however is true if and only if political stability prevails and economic reform gathers momentum. On these two counts the odds seem encouraging".


Just my take,
Icarus

Double revalue, one for our stocks and one for our dinar. Thanks Icarus.

[icarusII]

Possible future legislation proposed by the Ministry of the
Interior in a December 26, 2005 memo..........
Specifically the ministry proposes:
1. All contracts would be issued only to Iraqi contractors
2.No international companies would be permitted to register in
Iraq without proof of residency
3. Restricted access of non-Iraqi international or Arab speaking people to Iraq
4. Creation of a commission called the Investment Promotion
Agency with responsibility for overseeing all foreign investment
into Iraq, coordinated through nineteen government ministries
5. No U.S. dollar accounts to be permitted in Iraq; all accounts to be in Iraqi dinars
6. All ministry accounts to be centralized.
http://web.nps.navy.mil/%7Erelooney/Rel-Challenge-06.pdf

Icarus

[eosirl2]

....this gem

>>>>>>>>>>>>>

...With the stipulation of the program's target of no net domestic Credit creation, net international reserves of the Central Bank of Iraq (CBI) should continure to increase by some $1.7 billion to $10 billion by the end of 2006.

>>>>>>>>>>>>>


As per CBI's financial stats, the Net Foreign Assets is at 18,336 billion dinar which is approximately 12.55 billion USD, but 16,506 billion is classified as "Investments" which any monies in the US Federal Reserve can be classified as, so that would equal $11.3 billion USD.

I would draw the conclusion that Iraq has exceeded it 2006 goal in terms of money in reserves. The higher this value is, the higher the rate of the dinar that can be backed.

[icarusII]

Iraq Reconciliation Confab June 11-12
CAIRO, Egypt, May 8--A much-delayed Iraqi reconciliation conference aimed at defusing sectarian tension is scheduled to go ahead in June, diplomats at the Cairo-based Arab League said Monday.
“The conference will now take place on June 11-12,“ an official from the pan-Arab body told AFP on condition of anonymity. An Egyptian diplomat confirmed the date, AFP reported.
http://www.iran-daily.com/1385/2557/html/

Icarus

[icarusII]

Inflation rate increased to 107%:
The Minister of Planning recently revealed that inflation for March increased to 107% compared with February. The inflation report was prepared by the Statistics Center for Information Technology. The Center made a survey on goods and commodities prices for a consumer food basket in Baghdad and the governorates in order to calculate the inflation rate.
AlAdala

Icarus

[icarusII]

The Ministerial Committee, which is responsible for setting a privatization law and adjusting the banking system, is now preparing a study to convert all the public sector state enterprises to the private sector. This announcement was recently made by the Minister of Industry, Mr. Osama An-Najafi, in a press conference. The minister added that privatization doesn’t mean the public sector workers will be unemployed. The Ministerial Committee includes the ministries of Industry, Planning, Finance, and Trade as well as the Central Bank.
AlMashreq

[REITman]

Inflation rate increased to 107%:
The Minister of Planning recently revealed that inflation for March increased to 107% compared with February. The inflation report was prepared by the Statistics Center for Information Technology. The Center made a survey on goods and commodities prices for a consumer food basket in Baghdad and the governorates in order to calculate the inflation rate.
AlAdala

Icarus

This is an excellent indicator? Doesn't inflation at this level and higher bring on the threat of zero loping? :(

[icarusII]

This is an excellent indicator? Doesn't inflation at this level and higher bring on the threat of zero loping? :(

OK......I guess that is one way to look at it!
Actually what I saw......was the need for the CBI to let their monetary policy evolve along with the economic development. The current policy was put in place in anticipation of hyperinflation characteristic of emerging/recovering nations. IF there is to be a zero lop.......I would guess it wouldn't happen until after 2007. This is when the Iraqi NDS and most international donor monies will be stopped.
The base currency has stabilized around 15T so prudent monetary policy would dictate a tightening of the money supply through monetary tools (the CBI just raised interest rates to squeeze the money supply) or irresponsibly print more money. Either way the Iraqis must have more currency or purchasing power to meet the inflation in the economy.

Just my take,
Icarus

[dejavu]

OK......I guess that is one way to look at it!
Actually what I saw......was the need for the CBI to let their monetary policy evolve along with the economic development. The current policy was put in place in anticipation of hyperinflation characteristic of emerging/recovering nations. IF there is to be a zero lop.......I would guess it wouldn't happen until after 2007. This is when the Iraqi NDS and most international donor monies will be stopped.
The base currency has stabilized around 15T so prudent monetary policy would dictate a tightening of the money supply through monetary tools (the CBI just raised interest rates to squeeze the money supply) or irresponsibly print more money. Either way the Iraqis must have more currency or purchasing power to meet the inflation in the economy.

Just my take,
Icarus

I agree with your take absolutely, this with the interest rates and the new government wanting to make good with the people makes me beleive revaluing would be the way to go.

[REITman]

OK......I guess that is one way to look at it!
Actually what I saw......was the need for the CBI to let their monetary policy evolve along with the economic development. The current policy was put in place in anticipation of hyperinflation characteristic of emerging/recovering nations. IF there is to be a zero lop.......I would guess it wouldn't happen until after 2007. This is when the Iraqi NDS and most international donor monies will be stopped.
The base currency has stabilized around 15T so prudent monetary policy would dictate a tightening of the money supply through monetary tools (the CBI just raised interest rates to squeeze the money supply) or irresponsibly print more money. Either way the Iraqis must have more currency or purchasing power to meet the inflation in the economy.

Just my take,
Icarus


So are you saying they're recognizing the inflation problem early and taking steps such as raising interest rates to restrict the money supply in the hope of curbing inflation? If so, then this is good. If they're restricting the money with the focus on increasing Iraqi's purchasing power then that's good too.

Thanks :happy26:

[icarusII]

"Al-Saa'a" bulletin issued by the UAE's Strategic Studies and Research Center said oil revenues are expected to increase for years to come which requires serious adjustment of exchange and monetary policies in order to check serious increase in inflation……”
"The way to reduce inflation is to curb imports and further diversify points of origin. As to inflation triggered by the depreciation of local currency, it should be countered by pegging to a basket of main currencies.”
http://www.kuna.net.kw/home/Story.aspx?Language=en&DSNO=866422

Icarus

[dejavu]

peg that baby! LOL......excellent find!

[icarusII]

SALARY INCREMENT & ADVANCE PAYMENT FOR EMPLOYEES
Baghdad, May.16 p1
A charged studying salaries classes for employees committee decided lifting of the low level and yearly increased salaries besides suggesting additional allowances, while finance ministry limited marriage advance payment for the first marriage figures and widows stuff amount of 1.5 million diners.The committee waiting affirming and generalizing the new salary levels after ministries council's certifications. Worth mentioning that integrity commission had suggested this salary level then transmitted to the quintet committee included finance, justice, planning, work and industry represents to fully developed and finding other ways aiding stuffs as far as possible.
http://www.alsabaah.com/English.html

Icarus

[ISX_TIME]

I think that one indication of the future value of the Iraqi Dinar is in the 80% debt reduction.

Why is 80% so significant in all countries absolving their debt ?

[hojoatt]

I think that one indication of the future value of the Iraqi Dinar is in the 80% debt reduction.

Why is 80% so significant in all countries absolving their debt ?

That might be significant ONLY IF the debt is valued in dinar so that they agree to an 80% reduction aniticpating an RV so they actually get 100% if paid in more valuable dinar. However, most trade and debts is denominated in dollars so that RV would have no effect on the value of the debt being repaid, they still get the same number of dollars.

[icarusII]

I think that one indication of the future value of the Iraqi Dinar is in the 80% debt reduction.

Why is 80% so significant in all countries absolving their debt ?

IMO, the 80% reduction allowed Iraq to recover economically in a relatively short time. The G8, IMF, Paris Club, and all other creditors agreed in principle to this amount based on Iraq's potential ability to service this "reasonable" debt and contribute to the reconstruction funding in relation to their current and projected GDP.

Just my take,
Icarus

[icarusII]

Finance Ministry intends to reduce the number of Al – Rafdain and Al – Rasheed Banks branches:
"An official source in the Iraqi Banks Union recently revealed that the Iraqi Ministry of Finance intends to reduce the number of Al – Rafdain and Al – Rasheed bank branches by 30%. The source said that such a decision may turn into the first step in privatizing these two banks. The source expects that 100 branches of both banks will be closed. This will require private banks to be ready for a huge number of local clients. "

Tourism investment in Kurdistan may attract more than $7 billion:
"Mr. Salah Awla, the responsible for the Kurdistan region for Investment and Grants Affairs, recently said that the tourism sector in Kurdistan may attract more than $7 billion in tourism investments. Mr. Awla recently headed a delegation to Kuwait to sign contracts with Kuwaiti companies interested to invest in tourism projects in the Kurdistan region."
http://www.izdihar-iraq.com/news/PDFs/RoundUps/2006_05_may/IBN20%20%20May_pdf.pdf

Little by little,
Icarus

[icarusII]

"In his first statement to parliament, the newly appointed Iraqi Prime Minister Nouri al Maliki, identified his government’s priorities: combating terrorism and achieving economic prosperity, taking into consideration the challenges ahead…..If issues such as unemployment, improving standards of living, improving services, combating financial and administrative corruption, are some of the core issues, the new government will have to resolve, the security situation remains its first and foremost priority. There can be no economic growth and no end to unemployment and no investment without security.
http://www.asharqalawsat.com/english/news.asp?section=3&id=5086

Icarus

[icarusII]

Al-Maliki revealed some details of the plan to secure Baghdad, discussed earlier in the day by al-Zubayi. "I have asked all forces to mobilise a plan that I have christened 'the Baghdad plan'," he said.
"We will create specially trained units to secure Baghdad and its perimeter and to confront the ethnic cleansing that is taking place in many areas around the capital."
Al-Maliki said one of the best ways to confront bomb attacks was to further develop the country's intelligence services.
"Our intelligence services will be able to go deep into the sources of terror to confront it," he said
http://english.aljazeera.net/NR/exeres/A81CE8D9-2D0F-4FDD-88E2-959C7BB1B625.htm

Icarus

[icarusII]

Important Meeting........

UN SC Resolution 1637
Determining that the situation in Iraq continues to constitute a threat to international peace and security,
Acting under Chapter VII of the Charter of the United Nations,
1. Notes that the presence of the multinational force in Iraq is at the request of the Government of Iraq and, having regard to the letters annexed to this resolution, reaffirms the authorization for the multinational force as set forth in resolution 1546 (2004) and decides to extend the mandate of the multinational force as set forth in that resolution until 31 December 2006;
2. Decides further that the mandate for the multinational force shall be reviewed at the request of the Government of Iraq or no later than 15 June 2006, and declares that it will terminate this mandate earlier if requested by the Government of Iraq;
3. Decides to extend until 31 December 2006 the arrangements established in paragraph 20 of resolution 1483 (2003) for the depositing into the Development Fund for Iraq of proceeds from export sales of petroleum, petroleum products, and natural gas and the arrangements referred to in paragraph 12 of resolution 1483 (2003) and paragraph 24 of resolution 1546 (2004) for the monitoring of the Development Fund for Iraq by the International Advisory and Monitoring Board;
4. Decides further that the provisions in the above paragraph for the deposit of proceeds into the Development Fund for Iraq and for the role of the International Advisory and Monitoring Board shall be reviewed at the request of the Government of Iraq or no later than 15 June 2006;
http://www.iamb.info/pdf/unsc1637.pdf

[icarusII]

BAGHDAD (Reuters) - Prime Minister Nuri al-Maliki will fly to Iraq's second city Basra on Wednesday to end faction fighting among fellow Shi'ites and said he is ready to use force against "gangs" holding oil exports and other trade to ransom. "We must restore security in Basra and if anyone defies peaceful solutions then force will be the solution," he told Reuters in an interview on Tuesday. "There's no way we can leave Basra, the gateway to Iraq, our imports and exports, at the mercy of criminal, terrorist gangs. We will use force against these gangs."
http://today.reuters.com/news/newsArticle.aspx?type=worldNews&storyID=2006-05-30T150741Z_01_L30182670_RTRUKOC_0_US-IRAQ-BASRA.xml

[panhead]

BAGHDAD (Reuters) - Prime Minister Nuri al-Maliki will fly to Iraq's second city Basra on Wednesday to end faction fighting among fellow Shi'ites and said he is ready to use force against "gangs" holding oil exports and other trade to ransom. "We must restore security in Basra and if anyone defies peaceful solutions then force will be the solution," he told Reuters in an interview on Tuesday. "There's no way we can leave Basra, the gateway to Iraq, our imports and exports, at the mercy of criminal, terrorist gangs. We will use force against these gangs."
http://today.reuters.com/news/newsArticle.aspx?type=worldNews&storyID=2006-05-30T150741Z_01_L30182670_RTRUKOC_0_US-IRAQ-BASRA.xml

It's about time someone grabs the bull by the horns....get em Maliki!

[Lonestar]

This guy reminds me of the old Rudy Guilianni(sp). This is great!

[lance]

http://www.strategypage.com/qnd/iraq/articles/20060529.aspx

[REITman]

His words sound great but I've learned with these guys you have to wait for action. They've been very weak on follow through.

[icarusII]

http://www.dgmarket.com/eproc/np-notice.do~1303977

Icarus

[windwalker]

what is this about you need a subscription to get on it maybe you can post it for us that cant get it

[icarusII]

Important Meeting........

UN SC Resolution 1637
Determining that the situation in Iraq continues to constitute a threat to international peace and security,
Acting under Chapter VII of the Charter of the United Nations,
1. Notes that the presence of the multinational force in Iraq is at the request of the Government of Iraq and, having regard to the letters annexed to this resolution, reaffirms the authorization for the multinational force as set forth in resolution 1546 (2004) and decides to extend the mandate of the multinational force as set forth in that resolution until 31 December 2006;
2. Decides further that the mandate for the multinational force shall be reviewed at the request of the Government of Iraq or no later than 15 June 2006, and declares that it will terminate this mandate earlier if requested by the Government of Iraq;
3. Decides to extend until 31 December 2006 the arrangements established in paragraph 20 of resolution 1483 (2003) for the depositing into the Development Fund for Iraq of proceeds from export sales of petroleum, petroleum products, and natural gas and the arrangements referred to in paragraph 12 of resolution 1483 (2003) and paragraph 24 of resolution 1546 (2004) for the monitoring of the Development Fund for Iraq by the International Advisory and Monitoring Board;
4. Decides further that the provisions in the above paragraph for the deposit of proceeds into the Development Fund for Iraq and for the role of the International Advisory and Monitoring Board shall be reviewed at the request of the Government of Iraq or no later than 15 June 2006;
http://www.iamb.info/pdf/unsc1637.pdf
IAMB - June 02 Press Release

"With the expiration of the IAMB mandate by December 31, 2006, the IAMB reiterated its earlier observations that it is important to continue the oversight role over oil export sales, and the resources there from. Building on the financial management law, an oversight body should be set up by the Government of Iraq that would be independent, competent and professional, to ensure the continued oversight of external audits. The IAMB will make recommendations on the modalities of an oversight body to the Government of Iraq….The next meeting of the IAMB is tentatively scheduled for July 17–18, 2006."
http://www.iamb.info/pr/pr060206.htm

[icarusII]

Iraq: Planning for an American Withdrawal
http://www.asharqalawsat.com/english/news.asp?section=2&id=5243

New Iraq is like a caravan continuing its journey towards its destination while it is attacked at its rear and on is flanks by wolves and bandits who might kill and rob but cannot stop the caravan's progress let alone alter its course.
It is, therefore, important to launch a new phase in the Iraqi project: that of stabilisation and reconstruction. That means shifting the emphasis from the military aspects of the project to "nation-building".
The first step in that direction is for the new Iraqi government to establish a strategy that, while providing for the ultimate defeat of the terrorist insurgency, mobilises the nation's resources for a massive, and overdue, economic revival.
One signal that the emphasis is being shifted from the military aspects of the project to nation-building would be agreement on the status of the coalition forces. The coalition is present in Iraq under a United Nations mandate that ends in December. Because Iraq now has a sovereign government, the mandate can no longer be extended by the UN.

Security and time..........
Icarus

[icarusII]

Bush, Maliki to lead two-day working session on Iraq next week

"When President George W. Bush and Iraqi Prime Minister Nouri al-Maliki join their Cabinet ministers next week by teleconference, topics will include not only military matters but also economic development, energy, cultural matters and a broad range of other issues, White House spokesman Tony Snow said on Thursday…..What we are really going to be talking about is how to support this new government," Snow said
http://www.kuna.net.kw/home/Story.aspx?Language=en&DSNO=874671

Icarus

[Borage]

Icarus, do you think the Zarqawi killing is a turning point to ending this too long war?

[icarusII]

Icarus, do you think the Zarqawi killing is a turning point to ending this too long war?
Honestly no. I think that Maliki and company will do more for the security of the country by policy implementation than the death of Zarqawi. This upcoming reconciliation conference (June 22) is going to be a critical turning point in the Sunni/Shia situation.
I believe economic incentives will be placed on the table soon if they haven't happened already. The wide spread corruption is draining too much now.

Just my take,
Icarus

[Borage]

Thanks, hoping for sanity over there quickly, like everybody else.....

[icarusII]

Thanks, hoping for sanity over there quickly, like everybody else.....
I think that Maliki will instill sanity soon. Disarming these roaming militias is his first priority. This allows them to know who they're fighting.
The new Parliament just approved a new govt. retirement plan to be implemented in July. More people will have money in their hands....along with reducing the govt expenditures.
I think once all the players meet.........things will turn around in a hurry. Local citizens will starting giving up the "terrorists" once they gain confidence in the new govt.

Icarus

[icarusII]

Our Strategy for a Democratic Iraq /June 9, 2006/Prime Minister Nouri al-Maliki
“This government will build on the additional momentum gained from the death of Abu Musab al-Zarqawi in order to defeat terrorism and sectarianism and to deliver on the Iraqi people's hope of a united, stable and prosperous democracy by following a three-pronged strategy……..”
http://www.washingtonpost.com/wp-dyn/content/article/2006/06/08/AR2006060801532.html

[REITman]

Maliki can write a good article and so far he seems like a doer. I hope he implements the strategy he's proposing, they really need it in order to turn things around. :)

[icarusII]

WASHINGTON, June 10 — The new government of Iraq has decided to postpone any demand for negotiations to establish a more formal legal basis for the presence of American and other foreign troops on its soil, Iraqi and American officials said this week. Instead, these officials said, Iraq will allow the current United Nations mandate to remain in effect beyond a deadline next Thursday for a review of Security Council Resolution 1637, which provides legal authority for the American-led military coalition to continue its combat operations. "I've just finished speaking with my foreign minister, who intends to be in New York for the review, and it will not be a point at which we terminate," Samir al-Sumaidaie, Iraq's new ambassador to the United States, said Friday.
http://www.nytimes.com/2006/06/11/world/middleeast/11troops.ready.html

This resolution also mandates that Iraqi oil revenue be deposited in a DFI account in New York until Dec 31, 2006.

Icarus

[icarusII]

The Shiite prime minister said the plan will include securing roads into and out of Baghdad, banning people from carrying weapons and implementing a 9 p.m.-6 a.m. curfew, but he did not provide more details.
Maj. Gen. Mahdi al-Gharrawi, the commander of public order forces under the Interior Ministry, told The Associated Press that the plan would launched at 6 a.m. Wednesday, with 75,000 Iraqi and multinational forces deployed in Baghdad. He said it would be the biggest operation of its kind in Baghdad since the U.S. handed over sovereignty to Iraq in June 2004.
http://news.yahoo.com/s/ap/20060613/ap_on_re_mi_ea/iraq_security_plan

[icarusII]

The Iraqi Government Has A Plan To Move Iraq Forward
Prime Minister Maliki Is Focused On Taking Immediate Actions In Three Areas:
1. Improve security by both military and political actions; secure Baghdad; eliminate armed gangs; and promote national reconciliation and the rule of law.
2. Immediately build economic and government capacity; increase production of oil and electricity; and build a foundation for prosperity.
3. Engage the nations of the region and the world in Iraq's democratic and economic development.
On Engaging The Nations Of The World In Iraq's Success:
-- International Compact: The international community has made pledges to support Iraq's fledgling democracy, but many are unfilled. It is time for the international community to meet its obligations. Prime Minister Maliki is asking international organizations to take the lead with his government in developing a compact between the international community and the Iraqi government and people. This compact will bind actions by Iraq to actions by other countries and international institutions, and make Iraq's success a shared objective and commitment. The Prime Minister envisions a compact in which Iraq will undertake a series of political, economic, and security steps in exchange for more robust political and financial support from the international community.
-- Coalition Action: The President directed his Cabinet to work with the international community to build this compact with Iraq. The President designated Deputy Secretary of the Treasury Robert Kimmitt to lead these efforts. Deputy Secretary Kimmitt will be supported by State Department Counselor Philip Zelikow and other senior U.S. government officials. They will travel soon to the United Nations and then to Iraq for consultations, and then will travel - as necessary - to Europe, Asia and the Middle East to build support for the compact. This effort is expected to culminate in a conference later this year where the Iraqi government can lay out its commitments and engage the financial, technical, and other support of a broad group of nations to continue rebuilding its country.
http://usinfo.state.gov/mena/Archive/2006/Jun/14-109342.html

Icarus

[icarusII]

Company Refuses To Drill Iraq Wells
TEHRAN, June 24--Iranian Marine Installation Company has turned down Iraq’s invitation to conduct oil drilling operations given the insecurity in that country.
Nosratollah Seifi, director of the company’s Drilling Department told ILNA on Saturday that his company had been invited twice to drill 20 and 16 wells respectively in Basra, southern Iraq. “However, due to the lack of security and also the fact that our banking system does not trust the Iraq side’s financial commitments, we turned down the request.“:lmao:
Pointing to other offers, he said, “We receive so many proposals that we cannot attend to all of them. We also received an offer recently from Saudi Arabia.“
Seifi rejected the idea that the company would participate in international drilling tenders.
http://www.iran-daily.com/1385/2594/html/economy.htm#s154467
Iran calls halt to petrol imports
Friday, 23 June 2006
BBC News - Iran is to stop importing petrol from September and instead start rationing the fuel, its oil minister has said.
http://www.ncr-iran.org/content/view/1817/71/

Now that is some funny Shiite..............
Icarus

[hunterdbk]

I think its more of the Iranian flapping their gums to stir up unrest. Can't believe the Iraqi people or government would want Iran in there to do anything. :rolleye03

[icarusII]

"US ambassador to Iraq Zalmay Khalilzad said Sunday that agreeing to the national reconciliation plan will allow Prime Minister Nuri Al-Maliki to launch a major economic program to rebuild Iraq..........The Iraqi PM will announce a major international economic project to rebuild Iraq after reaching an agreement on the reconciliation plan."
http://www.kuna.net.kw/home/Story.aspx?Language=en&DSNO=880270

Icarus

[icarusII]

International Compact for Iraq agreed with U.N.
“The purpose of the Compact is to achieve a National Vision for Iraq which aims to consolidate peace and pursue political, economic and social development over the next 5 years,” it added.
The primary focus of the Compact will be to build a framework for Iraq’s economic transformation and integration into the regional and global economy.
The statement said that Malloch-Brown’s discussions with the Iraqi official focused on the establishment of a Preparatory Group which Iraq will co-chair with the United Nations.
“This Group will assist with preparations for the Compact and will be strongly supported by the World Bank in coordination with the IMF and other regional financial institutions", the joint statement said.
http://www.aswataliraq.info/modules.php?op=modload&name=News&file=article&sid=22682&mode=thread&order=0&thold=0
http://www.irffi.org/WBSITE/EXTERNAL/IRFFI/0,,contentMDK:20984198~pagePK:64168627~piPK:641674 75~theSitePK:491458,00.html


IAMB Meeting in Wash DC
"The next meeting of the IAMB is tentatively scheduled for July 17–18, 2006."
http://www.iamb.info/pr/pr060206.htm

Icarus

[JASONTL]

International Compact for Iraq agreed with U.N.
“The purpose of the Compact is to achieve a National Vision for Iraq which aims to consolidate peace and pursue political, economic and social development over the next 5 years,” it added.
The primary focus of the Compact will be to build a framework for Iraq’s economic transformation and integration into the regional and global economy.
The statement said that Malloch-Brown’s discussions with the Iraqi official focused on the establishment of a Preparatory Group which Iraq will co-chair with the United Nations.
“This Group will assist with preparations for the Compact and will be strongly supported by the World Bank in coordination with the IMF and other regional financial institutions", the joint statement said.
http://www.aswataliraq.info/modules.php?op=modload&name=News&file=article&sid=22682&mode=thread&order=0&thold=0
http://www.irffi.org/WBSITE/EXTERNAL/IRFFI/0,,contentMDK:20984198~pagePK:64168627~piPK:641674 75~theSitePK:491458,00.html


IAMB Meeting in Wash DC
"The next meeting of the IAMB is tentatively scheduled for July 17–18, 2006."
http://www.iamb.info/pr/pr060206.htm

Icarus


We are getting close.

[JASONTL]

Examples Of Specific Actions The U.S. Government Will Take In The Short Term To Advance The Iraqi Government Plan

...On Economic And Government Capacity-Building:

Revitalized Economy: The Prime Minister is committed to a policy of national revitalization. This demands the creation of a new economic framework that rewards innovation and investment and the removal of market distortions that abet smuggling and corruption. Today the President welcomed Prime Minister Maliki's plan to spur growth and create a better investment environment.

Coalition Action: The President has asked the Treasury Department to send additional professionals to Iraq to provide technical support for creation of a public finance system that is accountable and transparent. The State Department will coordinate a broad effort to support an economic policy framework that enhances investment, job creation and growth. The President has also asked Secretary of Agriculture Michael Johanns to travel to Iraq to meet with his Department's counterparts and determine what additional actions the United States can take to help return Iraq to its former status as a breadbasket for the region.

...

On Engaging The Nations Of The World In Iraq's Success:

International Compact: The international community has made pledges to support Iraq's fledgling democracy, but many are unfilled. It is time for the international community to meet its obligations. Prime Minister Maliki is asking international organizations to take the lead with his government in developing a compact between the international community and the Iraqi government and people. This compact will bind actions by Iraq to actions by other countries and international institutions, and make Iraq's success a shared objective and commitment. The Prime Minister envisions a compact in which Iraq will undertake a series of political, economic, and security steps in exchange for more robust political and financial support from the international community.

Coalition Action: The President directed his Cabinet to work with the international community to build this compact with Iraq. The President designated Deputy Secretary of the Treasury Robert Kimmitt to lead these efforts. Deputy Secretary Kimmitt will be supported by State Department Counselor Philip Zelikow and other senior U.S. government officials. They will travel soon to the United Nations and then to Iraq for consultations, and then will travel – as necessary – to Europe, Asia and the Middle East to build support for the compact. This effort is expected to culminate in a conference later this year where the Iraqi government can lay out its commitments and engage the financial, technical, and other support of a broad group of nations to continue rebuilding its country.
http://www.whitehouse.gov/infocus/iraq/



Full systems go.

[Borage]

This line has me a little worried.
"This demands the creation of a new economic framework that rewards innovation and investment and the removal of market distortions that abet smuggling and corruption."
Thoughts anyone? :confused:

[LeapOfaith]

Sounds to me like they're just framing together an Iraqi version of the SEC.

[icarusII]

This line has me a little worried.
"This demands the creation of a new economic framework that rewards innovation and investment and the removal of market distortions that abet smuggling and corruption."
Thoughts anyone? :confused:
The "market distortions" are the GOI subsidies on oil and food products. This program is spending billions of dinar out of the annual budget, encourages the smuggling to neighboring countries, and corruption within govt. officials.

All the best........
Icarus

[Borage]

Thanks II, That makes me feel better. :huge:

[icarusII]

International Compact for Iraq
“In September, broader consultations with the international community will take place in New York at the next meeting of the United Nations General Assembly – Sept 12th, followed by an update to finance ministers at the annual World Bank/International Monetary Fund meeting in Singapore.” – September 13th
“It is envisaged that the finalized Compact, including key priorities, benchmarks and commitments, will be presented by the Government of Iraq by the end of 2006.”
UNITED NATIONS, IRAQ JOINTLY ANNOUNCE LAUNCH OF FIVE-YEAR INTERNATIONAL COMPACT AIMED AT ACHIEVING NATIONAL VISION OF UNITED, FEDERAL, DEMOCRATIC COUNTRY (http://www.un.org/News/Press/docs/2006/ik552.doc.htm)

Establishment of an audit oversight committee, to become effective
on or before December 31, 2006, including the participation of independent
international audit experts, to continue the work of the International Advisory and Monitoring Board (upon its dissolution) in overseeing and making public audits of the Development Fund for Iraq and oil export sales.
September 30, 2006

Reform of pension law in line with sustainable pension system
September 30, 2006

Approval by Council of Representatives of law liberalizing private gasoline imports
September 30, 2006

Commencement of payments clearing system between the headquarters of commercial banks and the CBI through the Automatic Clearing House (ACH).
November 30, 2006

Completion of census of all public service employees (including military).
December 31, 2006

Full capitalization of CBI to the stipulated ID 100 billion, based on the 2005 audited financial statements and taking into account the restructuring of outstanding claims on the central government that are on the December 31, 2005 balance sheet of the CBI.
December 31, 2006

"While the monetary transmission channel is relatively weak, the CBI agrees with staff that strong moves in interest rate will signal the clear determination of the monetary authorities to control inflation dynamics and prevent the consolidation of inflationary expectations.
Furthermore, the authorities aim to strengthen the effectiveness of monetary policy through linking deposit rates to the policy rates in the future. Finally, the CBI will consider the possibility of a gradual appreciation of the Iraqi dinar if needed, which could have a positive effect on both inflation and the process of dedollarization."

http://www.imf.org/external/pubs/ft/scr/2006/cr06301.pdf

[opportunist]

International Compact for Iraq
“In September, broader consultations with the international community will take place in New York at the next meeting of the United Nations General Assembly – Sept 12th, followed by an update to finance ministers at the annual World Bank/International Monetary Fund meeting in Singapore.” – September 13th
“It is envisaged that the finalized Compact, including key priorities, benchmarks and commitments, will be presented by the Government of Iraq by the end of 2006.”
UNITED NATIONS, IRAQ JOINTLY ANNOUNCE LAUNCH OF FIVE-YEAR INTERNATIONAL COMPACT AIMED AT ACHIEVING NATIONAL VISION OF UNITED, FEDERAL, DEMOCRATIC COUNTRY (http://www.un.org/News/Press/docs/2006/ik552.doc.htm)

Establishment of an audit oversight committee, to become effective
on or before December 31, 2006, including the participation of independent
international audit experts, to continue the work of the International Advisory and Monitoring Board (upon its dissolution) in overseeing and making public audits of the Development Fund for Iraq and oil export sales.
September 30, 2006

Reform of pension law in line with sustainable pension system
September 30, 2006

Approval by Council of Representatives of law liberalizing private gasoline imports
September 30, 2006

Commencement of payments clearing system between the headquarters of commercial banks and the CBI through the Automatic Clearing House (ACH).
November 30, 2006

Completion of census of all public service employees (including military).
December 31, 2006

Full capitalization of CBI to the stipulated ID 100 billion, based on the 2005 audited financial statements and taking into account the restructuring of outstanding claims on the central government that are on the December 31, 2005 balance sheet of the CBI.
December 31, 2006

"While the monetary transmission channel is relatively weak, the CBI agrees with staff that strong moves in interest rate will signal the clear determination of the monetary authorities to control inflation dynamics and prevent the consolidation of inflationary expectations.
Furthermore, the authorities aim to strengthen the effectiveness of monetary policy through linking deposit rates to the policy rates in the future. Finally, the CBI will consider the possibility of a gradual appreciation of the Iraqi dinar if needed, which could have a positive effect on both inflation and the process of dedollarization."

http://www.imf.org/external/pubs/ft/scr/2006/cr06301.pdf



The banking system still has several items of importance to integrate such as the ACH, but the rv is close and will be gradual.

The banking system has to meet the IMF standards first just as banks here have to meet all the banking regulations as per the FDIC and funding requirements such as reserves.
Investing in Dinars is the same as investing in the organization of a bank in the US with the added benefit of nationalized oil. Off to the races soon .