I must say that I have not been in this investment for anytime just over a year. There are a lot of articles I missed but I am grateful to Breitling that this archived article was brought to my attention.
If there was ever any proof that CBI is into heavy currency manipulation and maintaining an extreme dirty float, this article is the nail in the coffin. This article will express to everyone that the IQD is eXtremely undervalued and held down or controlled specifically for certain economic purposes by the CBI to be released into its true value at the proper time.
(Parts of article included here for reference – Italic portions are words of TrinityeXchange)
On April 29, Jay Garner, the retired lieutenant general who headed the reconstruction effort in Iraq at the time, reported to Washington that the payments had lifted the mood of people in Baghdad during those first few confusing days. Even more important, a collapse of the financial system was avoided.
This success paved the way for the second stage of the plan. In only a few months, 27 planeloads (in Boeing 747 jumbo jets) of new Iraqi currency were flown into Iraq from seven printing plants around the world.
Armed convoys delivered the currency to 240 sites around the country. From there, it was distributed to 25 million Iraqis in exchange for their old dinars, which were then dyed, collected into trucks, shipped to incinerators, and burned or simply buried.
The new currency proved very popular. It provided a sound underpinning for the financial system and remains strong, appreciating against the dollar even in the past few months. Hence, the second part of the currency plan was also a success.
The story of the currency plan is one of several that involved large sums of cash. For example, just before the war, Saddam stole $1 billion from the Iraqi central bank. American soldiers found that money in his palaces and shipped it to a base in Kuwait, where the U.S. Army’s 336th Finance Command kept it safe. To avoid any appearance of wrongdoing, American soldiers in Kuwait wore pocketless shorts and T-shirts whenever they counted the money.
Later, U.S. forces used the found cash to build schools and hospitals, and to repair roads and bridges. General David Petraeus has described these projects as more successful than the broader reconstruction effort.
But that wasn’t the only source of dollars. Because the new Iraqi dinar was so popular, the central bank bought billions of U.S. dollars to keep the dinar from appreciating too much. As a result, billions in cash accumulated in the vaults of the central bank. Later, with American help, the Iraqi central bank deposited these billions at the New York Federal Reserve Bank, where they could earn interest.
[TrinityeXchange: am i reading this right?!! this is the true essence of a dirty float. not that a dirty float is bad but just saying that the cbi purposely has been holding the value of the iqd down. for all who need a little help on definition of dirty float here you go:
Dirty Float – A system of floating exchange rates in which the government or the country’s central bank occasionally intervenes to change the direction of the value of the country’s currency. In most instances, the intervention aspect of a dirty float system is meant to act as a buffer against an external economic shock before its effects become truly disruptive to the domestic economy.
so the cbi have been actively manipulating the value of the dinar preventing it from appreciating naturally in value. regardless of the rate, this tells me that the cbi is withholding a lot of true information from the general public concerning the dinar. i highly believe that no one knows what is really in circulation. no one knows what the true numbers are because it is being scientifically manipulated by the money changers supreme, the cbi.]
Finally, when Iraq started to earn dollars selling oil, the United States transferred the cash revenue to the Finance Ministry, where it was used to finance government operations, including salaries and reconstruction. Many of these transfers occurred in 2004, long after the financial stabilization operation had concluded. Iraqi Finance Ministry officials had already demonstrated that they were serious about keeping the controls they had in place. The 360 tons mentioned by Henry Waxman includes these transfers as well as the 237.3 tons shipped in 2003 during the stabilization.
[TrinityeXchange: this says it all. these controls (dirty float of the currency) has been maintained as a matter of monetary policy. what is the true value of the dinar? who knows. but one thing i do know is that it certainly aint $1200 to the $1 usd. another thing i know, I SHOW AS HECK AINT SELLIN! be blessed my friends.]
One of the most successful and carefully planned operations of the war has been held up for criticism and even ridicule. As these facts show, praise rather than ridicule is appropriate: praise for the brave experts in the U.S. Treasury who went to Iraq in April 2003 and established a working Finance Ministry and central bank, praise for the Iraqis in the Finance Ministry who carefully preserved payment records in the face of looting, praise for the American soldiers in the 336th Finance Command who safeguarded the found money, and, yes, even praise for planning and follow-through back in the United States.