Investigate, Question & Deliver
Tuesday, Sept 4, 2012
Highlights/Summary & Replay of Conference Call
Conference Call Replay - Sept. 4, 2012
760-569-7699 Pin 769478#
Recap of the News tonight & analysis
(Listen to the recording for all of the detailed analysis of the articles discussed after each news article listed below - the following are just a few Highlights)
CBI/ECONOMY - Highlights
STRAIGHT TALKIN MIKE
"Kuwait confirms an acceleration in resolving many of the outstanding issues with Iraq"
"a major breakthrough seen relations between the two countries explaining that is was resolved many of the files, the most important issue of sovereignty."
Great update and as we have discussed many times we know they are done except for the announcement from United Nations.........talking and getting rid of all of the paperwork and the things they need to do...as we have said in the past, as things start to move with the government - things will happen quickly and you will see 5 or 6 things happen all at once the government is fully formed. Remember as we have said many times, this is NOT event driven or date driven...(more on the recording)
"Central Bank announces the success of the first phase of the plan to increase the money banks"
We like to see the banking system get healthier and better and remember it was not that long ago that we read that they were increasing the capital - wanted to increase the capital for fractional banking - that you have to put up so much money and have to have so much money in reserves in order to do this and they have achieved Phase I.....150 billion dinars....not only was this a requirement for them it was a requirement from IMF for international banking standards that they have banks that can be trusted - that they can have capital and they can stand on their own
It is extremely important that they get this done - talking about being 98% done - Phase 2 is to bring it up to 250 billion dinars is where they want to get it - this will help them compete internationally with the currency - the reason they are trying to do this is the currency is so low now.....kinda like the chicken before the egg syndrome - you want your banking system healthy - Well the banks are having a difficult time because there really is noone depositing or alot going on - you see them basically talking about increasing capital...And what are they getting ready for? They are getting ready for Investments and getting ready for people to put money in their banks - eventually they will add value to the dinar and people will put that money in their banks and that will open up investments and people will come in and put money into Iraq to build...they are going to loan - they will do all of the things healthy banks do but they have to have these reserves in order to be there
Its pretty interesting of the process thats going on with the banks - What we are watching day by day is the banking system getting stronger and they are not getting stronger because they have worthless currency - they are getting stronger so that they can handle some sort of value to this currency - some sort of wealth that is going to be dropped into this country that they people are going to have and we are starting to see that they are getting ready to have a piece of the wealth - the oil that is out there
Now think of this ...the Central Bank is moving along like the government is set- they are taking care of everything they need to get done so that they can be ready when this government is fully formed and they can start into the phases of what they need to do - quite interesting to see all of the things taking place in the banking system and I am very excited to see them knocking off the things on the list required by the IMF....all this is going to do is enhance their ability to control their currency and the value of their currency when the time comes
Mike and Debbie discuss the companies moving into Iraq and why they are moving into Iraq......some of the articles and highlights are discussed are below.....- listen to the recording for the rest - good stuff)
Porsche announces opening an office in Erbil soon...opened an office in Erbil September 19th
Joining several international companies in the auto industry opening offices in the Kurdistan region, most notably BMW, Jaguar, Audi in addition to other companies..and now Porsche
Leather company plans to increase its marketing outlets for direct sale in Baghdad and the provinces
The General Company for Leather Industries prepared a study and plan to expand its marketing and promotion of their industry
national - they are increasing the number of centers from 35 to 90 for direct sale in Baghdad
Baghdad Burger Boom Iraq - Debbie recalls an article from last week sent to her by Scott - A wave of new American style restaurants are spreading across Baghdad - Iraqi entrepreneurs and investors from nearby countries see Iraq as an untapped market where the potential returns are high. Managing director of just one of the companies and investors called Kurdistan Bridge that brought the restaurants to Iraq, called the restaurants a safe investment for companies like his that are getting in early. He is already opening up several more branches. The restaurants are a symbol of progress.
Please note: At the end of the news, there is a slight 5 minute time frame where Straight Talkin Mike was dropped from the call and due to the lines being full and to capacity - he had trouble getting back on when he was dropped - He does the Recap of the News AFTER the Q & A and at the end of the call for the night...
Straight Talkin Mike
We talked about Kuwait coming in and telling everyone they have made alot of progress on these issues and really Chapter 7 has gone to the wayside - we know that UN can hold that over Iraq to keep them as a negotiating chip - it certainly doesn't have alot to do with the RV but it has a tremendous amount to add some pressure to the ongoing negotiations for reform and it looks like they are really trying to really move ahead and go forward - Remember Chapter 7 and all of this is associated with them getting their government formed and moving together so it is no deal that Maliki is over there trying to get himself some sort of agreement to move forward - he's kinda picking off the things that he needs to get done so that they dont have to do the things inside of the government and he is trying to be the hero to the people - its really kinda of a mute point right now - things are going together - we have always said that it was really a done deal - It is really about them getting the Port up and running - I think Kuwait is getting impatient because they want to start sharing in the oil profits that is coming out of Iraq as we see them going with their production
We talked about the CBI and the auctions - the things they are doing with those auctions - You've got the Finance Committee coming out and taking a look at them and saying there is some sort of collusion - NOT!!!
When they talk about it remember the Central Bank has the monetary policy - there out there making sure the banks have money and they can control the monetary flow and it is sort of collusionary as they go forward but that is what they are designed by
They fired all of the money changers - Shabibi is pulling alot of dinars off of the street and thru his auctions and thru his banks and putting out dollars - there is alot of benefit and advantages to him doing these type of things for the RV purposes
So he is moving right along - They are saying they want to question him but they only have 50 votes - they need alot more than that to do that...Its pretty far off...Eventually he will go there and let them know whats going on
We talked about them ending the 1st phase of their banking system and making sure the banking system has enough assets and they certainly have enough assets...150 billion dinars - that phase is done - they want to bring them up to $250 billion dinars in the 2nd phase- this is absolutely wonderful - we talked about those phases several months ago - all has to do with the international banking and the banking system going forward - it is very very positive news!!
Its is wonderful to see CBI is again on track and moving forward - VERY GOOD
We talked about Article 140 and that committees have been formed and they are getting that all together - They are excited and trying to get the implementation of this - The Commission will begin its supervisory work next week to oversee the work on the implementation of Article 140......Good news
Remember You can pass alot of things but If you don't implement them then it is just a mute point hanging out there
Lots of meetings going on inside the government - trying to get the Reforms done and Talabani back
Had couple of Congressional high level delegation show up - Mcain, Lieberman and Graham to get their whole take on whats happening...The Under Secretary of State showed up to talk and recommit our support - find out whats going on and Syria talks
As I said earlier its election season - don't read alot into it - alot of these are just political people showing up looking to see whats going on and if their is an advantage one way or the other and move it forward - They are not over there making side deals - as we have said it is not event driven - this is going to happen when it happens - it is going to happen on its own time
And there you have it...
Straight Talkin' Mike On The Straight Talk Express Bringing You Another Night of Positive News!
The I.Q.D. Team's News Coverage
for Tuesday - Sept. 4, 2012
CBI / ECONOMY
Kuwait confirms an acceleration in resolving many of the outstanding issues with Iraq
Central Bank announces the success of the first phase of the plan to increase the money banks
Detect collusion central bank advisers and government officials in the currency auction sale
A high-level delegation from the U.S. Congress up to Baghdad on an unannounced visit
Article 140 Committee elected parliamentary deputy Mohsen al-Sadoun as its chairman
Postpone adoption of the amnesty law indefinitely
Urgent ... Meeting social complement to Arbil and Najaf in the coming days, combines Allawi and Barzani and chest
NEWS ARTICLE LINKS
What a great night of news, analysis and discussion and Q & A - Listen to the call for all the rest of the news shared and more during the Q & A
We are getting closer every day......GET R DONE!!
Conference Call Replay - Sept 4, 2012
760-569-7699 Pin 769478#
As Always.... Discussion and Analysis of the Latest Iraq, Dinar & RV News....Pre & Post RV Information...Q & A
Every Tues & Thurs 8PM EST
760-569-7676 769478# or 712222#