Another great history lesson from my man, tlar. I love the conspiracy stuff. Maybe, I'll try to get him over here:
[link to dinaralert.webs.com
Dr. Shabibi underwent a test as we all know at the request of the IMF in 2009 to prove he could control inflation and support the dinar at 1077 through the only tool avaiable to him at the time, the auctions. We know he announced at the beginning of 2010 atfer he successfully passed this test in 2009, that he would redenominate the dinar by the end of 2010. We know he did not. Why? His stated reason was that the government was not formed and everyone assumed he was talking about the Security Ministers not being assigned. We also know that again in 2011 he was talking about removal of the zeros and by October he announced that the CBI was ready with all pieces to the puzzle being complete. Again he did not do it. The excuse this time was that he was waiting for approval from the government even though the Iraqi constitution gives him full authority to act alone in this decision. Then comes 2012. Shabibi again says he is going to redenominate whether the government approves of it or not. He states that on January 1st, 2013 the dinar will equal the US dollar and he will be passing out the lower denoms which can only mean RV. The lower denoms we know are unusable at a low rate such as 1166. Here is where I separate my beliefs from the pack.
In 2010 Maliki signed favored trade agreements with both Syria and Iran. These two countries started accumulating vast amounts of dinars through these agreements as they accepted dinars as balance of trade payments. Both Iran and Syria totally accepted dinar as a usable currency inside their countries as did Iraq accepted theirs. This became a great concern to the UN and its membership and they vocalized this to the Maliki administration that it should stop. Maliki ignored them. It did not. So all through 2010 these to pariah states were accumulating dinar. I personally have always believed the premise that the US controlled the CBI and its money
and I believe this is a valid assumption on my part for a number of reasons.
First is when the war started there were demonstrations in the US streets by the anti-war folks. Their signs read "no blood for oil". The Bush administration realized that if the US was seen a big benifactor of the oil production that they would be seen just as the anti-war folks had portrayed them. War only to steal the oil.
When the US entered Iraq and won the war, we occupied Iraq under the Bremmer provisional government. The US was suspiciously missing out on most of the oil contracts with the biggest recipiants being big oil companies from other countries. China was the biggest recipiant of the early contracts. We did not take the oil. We took the money.
The dinar as we know had basically collapsed. Our Treasury dept actually paid $80 million dollars to print the new dinar. We did the exchange in Iraq and we funded the start up of the new government and its ministries with USD. We did not do this for free. The Treasury website indicated that we did a currency swap. USD for dinar.
We sent employees from our Treasury dept along with major banks to Iraq to start the CBI and to help in rebuilding the bank. In 2009 we doubled the number of Treasury employees permanently assigned to the CBI. These guys have been there all along working in and advising the bank. We did not take the oil. We took the money that controls oil.
So what is my premise? I believe Shabibi was put on hold by the international community until we could figure a way to repatriate those trillions of dinars that were in Syria and Iraq. The nuclear standoff with Iran provided the perfect opportunity to destroy Irans currency through aditional sanctions and force them to seek hard currencies from the outside to be able to aquire goods a services. Remember Iran had announced earlier that they would not accept US currency as balance of payment so they were seriously low in hard currency reserves. Once their currency started to collapse they had to use any acceptable currency as balance of trade. Iraq was easy for them because through the auctions they could get immediate dollars for dinar. Remember the dinar was not sellable to anyone else. So Iran was one of the biggest dumpers of dinar in the trillions back on Iraq.
Syria, through the arab spring also has to have hard currency to conduct their war. Their currency also having collapsed due to UN sanctions, they started selling their dinars for USDindirectly in Iraqi auctions. Saleh said the middle of 2011 that there was approximately 4 trillion dinars out in Iraq. The question is if you look at all the dinar that has been purchased by the auctions, it dwarfs what was out in Iraq. It can only have been the CBI cleaning house as Syria and Iran dumped their dinars for dollars. The auctions got as high as 375 million dollars being sold daily. We know it was not coming from us as speculators, we are in a holding pattern. We know it did not come from central banks as they too are in a holding pattern.
I think Maliki, for his own reasons has tried to stop this as most of us do. The reality in my opinion is quite different from what we read in the news. I believe one of his reasons for not wanrting to see a change in the currency is that he is covering for the biggest counterfieter, Iran. Today Iran's economy is in dire straights and they are actively printing counterfiet dinars. As long as Iraq does not change its currency Iran will be able to pass these counterfeit bills in Iraq. I'm sure Maliki has more than one reason but to me he has a major IOU to Iran because Iran helped engineer his Prime Ministership.
To sum this up. IMHO Iraq' CBI has been and still is a surrogate of the US Treasury and the IMF. I believe that the hold has been because they had to clean the dinar out of both of the rouge countries. They could not RV while these two countries were holding trillions and trillions of dinar. Now that that is effectively been done I believe we will see a controled movement on the dinar using the program rate which will be used step by step to make sure that they are controlling every support level. Sorry that this is long. I'm just long winded.