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Jerry
11-26-2004, 05:16 AM
This is an old article by the Wall St Journal it shows the intentions of the Bush team reguarding the ISX...

Bush Officials Devise a Broad Plan
For Free-Market Economy in Iraq
By NEIL KING JR.
Staff Reporter of THE WALL STREET JOURNAL
WASHINGTON -- The Bush administration has drafted sweeping plans to remake Iraq's economy in the U.S. image.
Hoping to establish a free-market economy in Iraq following the fall of Saddam Hussein, the U.S. is calling for the privatization of state-owned industries such as parts of the oil sector, forming a stock market complete with electronic trading and fundamental tax reform.
Execution of the plan -- which is expected to be complicated and possibly contentious -- will fall largely to private American contractors working alongside a smaller team of U.S. officials. The initial plans are laid out in a confidential 100-page U.S. contracting document titled "Moving The Iraqi Economy From Recovery to Sustainable Growth." The consulting work could be valued at as much as $70 million for the first year.....


For many conservatives, Iraq is now the test case for whether the U.S. can engender American-style free-market capitalism within the Arab world. In a February address, President Bush spoke of "a new Arab charter that champions internal reform, greater political participation, economic openness and free trade." A new regime in Iraq, he said, "would serve as a dramatic and inspiring example of freedom for other nations in the region." ...

AMERICAN BLUEPRINT
The Bush administration envisions sweeping reforms of Iraq's economy, based on free-market principles and carried out by private contractors. These include:
• Privatization of state-owned enterprises , possibly including oil companies
• Modernizing the Baghdad Stock Exchange by creating a new settlement system and tough oversight
• Reforming the Central Bank and the commercial-banking system
• Jump-starting the private sector with fresh credit and training
• Rewriting the tax code and tariff system
• Source: White House documents

http://216.109.117.135/search/cache?p=Iraq+Stock+Exchange+Wall+Street&ei=UTF-8&fl=0&xargs=0&pstart=1&b=11&u=www.classroomedition.com/wsjtoday/war/03may01_story1.html&w=iraq+stock+exchange+wall+street&d=2EED9F45AA&icp=1&.intl=us

I know this is an old document... however with the latest news on T.V. and Bushes latest statements reguarding the ISX, its nice to see some inside info as to what it is the Bush Administration wants to do and how bad they want to do it. This is going to play a major role during the construction boom.

Jerry
11-26-2004, 05:26 AM
This is also an older article .... I lost the link but look at the bottom for the official currency exchange rate and the black market rate would be noce for it to be "official" again...

Regional news, Iraq
The revamped Baghdad Stock Exchange is due to reopen soon and may have more than 100 companies listed by the end of the year.

Financial and technical advisers with the US-led civilian authority in Iraq have been working for months to get the exchange back on its feet after it shut down nearly a year ago and its listings were frozen.

After several, mainly technical, delays and after potential locations for the bourse fell through, the market is expected to reopen in a disused Baghdad hotel where it will remain until a fully modernised fixed site is ready.

Michael Pierson, a spokesman for the US-led Coalition Provisional Authority which is overseeing the exchange's relaunch, said last week that, "We're on track to get it done by the end of the month,"

According to local sources the plan is to relist 10 to 15 stocks a month, with companies only being requoted once their accounts have been verified by internationally recognised auditors and checks have been made into major shareholders to weed out former regime members.

Ultimately, 114 companies could be relisted on the BSE, which first opened in 1992. Its last official trading day was March 19, 2003, the day before the war to overthrow Saddam Hussein was launched.

Atlas Investment Group, a Jordan-based investment bank, last week unveiled a 150-page guide to Iraq's capital markets, with research on all 114 companies set to relist and details on more than 40 formerly state-owned enterprises that may soon be privatised.

Trading is expected to be done manually to begin with, eventually moving to an automated system. Settlement will be handled by an international group.

Notes:The biggest stock before the war was Baghdad Carbonated Beverages with a market capitalisation of just under 47 billion Iraqi dinars. At the official exchange rate at the time, that would have equalled US$150 billion.

The black market exchange rate of 2,000 dinars to the dollar would have put it at a more credible US$23.5 million.

The current exchange rate is about 1,400 dinars to the dollar, about 30 per cent stronger than a few months ago.

Jerry
11-26-2004, 05:34 AM
Rebuilding Iraq includes reopening its stock exchange
By The (Wilmington) News Journal
Policing Wall Street might seem like a lark compared with Ann Exline Starr's new gig: getting Iraq's stock market trading again....


"It'll be a central part of rejuvenating the economy, by establishing a fair pricing mechanism on companies," and giving them a way to raise capital, said Jay Hallen of the Coalition-led Office of Private Sector Development, which will oversee the stock market project in Iraq. "It will also become important if and when the privatization of state enterprises occurs."...

http://216.109.117.135/search/cache?p=Iraq+Stock+Exchange+Wall+Street&ei=UTF-8&fl=0&xargs=0&pstart=1&b=11&u=wgrz.gannettonline.com/gns/iraq/20040224-40240.shtml&w=iraq+stock+exchange+wall+street&d=9D1F152799&icp=1&.intl=us

Jerry
11-26-2004, 05:42 AM
How a 24-Year-Old Got a Job Rebuilding Iraq's Stock Market
By YOCHI J. DREAZEN
Staff Reporter of THE WALL STREET JOURNAL
As posted in the Wall Street Journal Online January 28, 2004

BAGHDAD, Iraq -- At Yale University, Jay Hallen majored in political science, rarely watched financial news stations and didn't follow the stock market.

All of which made the 24-year-old an unlikely pick for the difficult task of rebuilding Iraq's shuttered stock exchange. But Mr. Hallen, a private-sector development officer for the U.S.-led Coalition Provisional Authority, was given the job immediately after arriving in Baghdad in September.....

He has created a watchdog agency for the exchange modeled on the SEC, and an association of Iraqi securities brokers. He has met with every Iraqi company that wants to be listed on the new exchange....


Trader Hussain Kubba pointed recently to a wall-size chalkboard in his office showing stock prices from the day before the market closed. "The prices are a fraction of what those shares are worth today, but no one can take advantage of that until Mr. Hallen and the Americans stop dillydallying," he said.

Jerry
11-26-2004, 06:10 AM
I would like to correct the statement that all companies were owned only by the state....

Manufacturing down Banking up, November 24
Low turnover with manufacturing loosing more grounds but banking making gains were the salient features of today's trade in the Iraq Stock Exchange.

Turnover was disappointingly low at ID 655 million or a mere $415,000 which is almost one third of normal trade. Low turnover is explained by several factors prime among them is the uncertainty surrounding the over all investment climate. The impasse in the political situation is leaving its negative imprints on the environment. Supply of manufacturing stock was abundant according to brokers on the ISX floor.

On offer were various manufacturing stock of listed companies owned by state institutions. State institutions have holdings in companies such as New Paints, Hilal Industries, Light Industries and Chemical Industries. State institutions with holdings in these companies include for example the National Insurance Company which is completely state-owned. The share of the state in some listed companies date back to before privatization. Most of the blue chips manufacturing companies listed in the exchange were originally state owned. They were privatized during the 1980s by the old regime. Privatization was carried out through Initial Public Offerings. An average of 20-25% was bought by state institutions and hence emerged the so called "mixed sector" in reference to joint ownership by the private and public sectors
http://www.isx-aman.com/
Like for instance Baghdad Soda which is owned only 25% by the state.

Lux
11-26-2004, 09:46 AM
Great stuff Jerry!

Thanks!

Mucho Dinaro
11-26-2004, 10:11 AM
Great stuff Jerry!

Thanks!

I suppose I can't tell Jerry to put away his 8-track player.. ;) Just ribbing you Jerry. I can't tell you enough how much an average joe like me appreciates a guy like you. Keep it coming!! :wave:

Lux
11-26-2004, 10:21 AM
I suppose I can't tell Jerry to put away his 8-track player.. ;) Just ribbing you Jerry. I can't tell you enough how much an average joe like me appreciates a guy like you. Keep it coming!! :wave:

I'm just worried someone is going to tells us to put away our aprons
:shhh:

Jerry
11-26-2004, 11:24 AM
Dont worry men! I'll fend off the the evil one with my rolling pin while you guys make a break for it and gather reinforcements! ;)

Oh... and make sure you dont forget your white striped canes!

Dinarsky & Hutch
11-26-2004, 11:33 AM
Dont worry men! I'll fend off the the evil one with my rolling pin while you guys make a break for it and gather reinforcements! ;)

Oh... and make sure you dont forget your white striped canes!
Ha Ha!! My reinforcement is going to be the "chef wizard".....man that thing is so cool, you can pick up a dime with it:rolleye03 :lmao: