Iraq’s CBI IQD Currency Revalue scenario.

A shared thought to entertain..jp

USD 100 dollar Bills

THIS IS JUST MY OPINION OF WHAT IRAQ COULD DO…………(Brewbaby from DS)

I have been sitting here reading everything everyday that Iraq has put out in the media: i.e. the Dinar will RV, it won’t RV, they can cover by 2.5 times the nominal value and they can’t cover it, the political politics say it can’t happen the Parliamentary Finance says it has to happen, yada, yada, yada. Well, I put my thinking cap on and came up with a possible scenario of how it could happen, and here it is………..

We all know that Iraq has a history of never paying their bills, of always saying they are broke, of never making a decision until it is almost to late, and always looking for someone else to save the day for them. The IMF has been in Iraq since the May meeting going over their books before Iraq goes out on their own and screws things up, and also in giving CBI the opportunity to come up with a rate that is feasible to their situation (I think they already have one). The (4) banks that just opened up in Iraq if you think about it have covered the bulk of the Paris Club countries, BOA – USA, CITIGROUP – Middle East, JPMORGAN CHASE – Europe, and Standard for China and Russia. These banks are not in Iraq to twiddle their thumbs. They would not have opened up unless something was definitely fixing to happen and not in 6 months, they invest money to make money they need to get an ROI (return on investment) like yesterday. 
Oil Plant_17-2817

This is where my thinking came in. CBI has 76-80 Billion in their coffers, and 30 Tons of Gold which at today’s price is another 1.25 Billion. The IMF told them they only had to back 15% of an RV instead of the normal 25%, (again someone saving their bacon). So, if 33 Trillion Dinar is 28 Billion in USD at .86 per Dinar, then 2.5 times that would be $2.15 per Dinar or 70 Billion, they are covered with 78 to 80 Billion.

Now, before you go getting excited, my theory is Iraq will not pay out 1 dime of anything they have to anyone or any country. The IMF and the Parliamentary Finance Committee is negotiating with every country that Iraq owes money to by coming out at a decent rate of let’s say $2.15 per Dinar and what those countries have in Dinar in their own coffers will cover the debt, or they will give Iraq immunity from the remainder of their debt to them. CBI and the Gold reserves, will cover the RV, and once again nothing leaves Iraq. The people will get a one to one in country so they know their USD is now equal to their Dinar (or vice versa) and they will get their new Dinars. They will be very happy, their ppp will increase so they can buy better goods from outside the country, and not have to accept the junk they have been getting from China.

So, to sum it up, between the CBI Reserves and the GOLD, the RV is covered at $2.15, the Countries that Iraq owes will get paid or accept the rate as their payment, because it increases their currency assets for their countries, the Paris Club banks are involved in the exchange inside Iraq so they will increase their currency assets, the protection can be lifted, and their 800 million in frozen assets stays intact, CITIgroup will collect Dinar and split it up between the Middle East countries for their currency assets, Kuwait will benefit from that and still get the balance owed them from the DFI for the 11 Billion, we will get ours, and the US will get their taxes from us and increase their currency assets thus decreasing our debts.

All of this and not one dime leaves the Country of Iraq. Perfect scenario for them, and they actually pay back their debts to everyone and they gain the 800 million in frozen assets, unprotected.

PLEASE, PLEASE REMEMBER THAT THIS IS STRICTLY MY OWN PERSONAL OPINION OF HOW THIS COULD TRANSPIRE……..DO NOT TAKE IT OUT OF CONTEXT. THANK YOU!

Sources: Sunny’s shared post from “The Right Choice” facebook IQD group 

Blue’s added Thoughts: Interesting post for sure from Sunny and from Brewbaby over at DS..I can rap my thoughts around this with a few minor adjustments but overall very well thought out..and not unrealistic at all..

#Iraq, #CBI, #IQD, #Currency, #IQDRV, #Bluewaters2u

Iraq’s CBI IQD Currency Revalue Scenario July 2013!

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