They are talking about the “CBI program rate vs the Iraqi market rate on the streets” and not the rate to be announced on FOREX when the reinstatement occurs.
Quote: “NOTING THAT “THERE ARE INCONSISTENCIES IN THE MARKETS SOMETIMES INDICATE PRICE LEVELS RELATIVE.”
This is referring to the market rate vs the “official target” CBI rate called the MCP (multiple currency practice).
The IMF needs them to be able to control the rate of their currency in- country first prior to letting it go international.
Quote: “The official target price of the dollar is 1200 dinars per dollar,” “the gap in the exchange market in the presence of a fixed price adopted by the central is available in many economies, an acceptable change.”
The IMF wants this gap in the market rate vs the central bank rate to be within an acceptable range is +- 2%.
Article quote: “THE STABILITY OF THE EXCHANGE RATE IS AN IMPORTANT STEP IN SUPPORT OF THE NATIONAL ECONOMY AND INCREASE INTERNATIONAL CONFIDENCE IN ALL ITS JOINTS”.
Why would they be concerned about international confidence in the dinar if they wanted to stay in a closed, sanctioned economy?
The goal of all this effort to recover the value of the dinar and I quote – “TO WORK ON THE RECOVERY OF THE IRAQI DINAR AND RAISE ITS MONETARY VALUE AND PURCHASE AGAINST THE US DOLLAR” thus they mean reinstatement on the international arena.
Folks the news could not get any better than this. I believe this MCP issue is winding down to the last week of the mandated 90 day period by the IMF. The Reinstatement window is getting very close at hand