Mnt Goat News Brief 5/8/19

Hi Everyone,

I bring you some news today.

Folks there is not much news concerning any reinstatement of the Iraqi dinar. In fact, this item has been taken off the table for now since they must first deal with the Iranian issues in Iraq. These issues stem from everything from counterfeiting currency, currency auction fraud and security threats from the Iranian militias.

The US is meeting with Iraq and they are developing a plan on how to deal with this situation. Will it take military action? What I am hearing now is “all options are on the table”.

So if you ask me I don’t know where in hell the so-called banks get their information from in the USA to say that any reinstatement of the Iraqi dinar is “imminent”. It is far from that. No, they are not trying to hide it under a mask of “confusion”. I am so sick and tired of hearing this possible explanation. All this is just simple minds trying to justify everything to having the RV, which they want to happen right now. This is not going to be the case. Sorry! Buckle down, put your dinars back in the shoe box and in your hiding place. This is going to be a wait.

More news….

UPDATE ON THE ONGOING ELECTION SAGA

We will sit and wait to see what happens. Right now as a write this newsletter there is NO known date for voting in the remaining ministers scheduled in parliament. We do know that Mahdi has until June to complete his government for face a possible “no confidence” vote. Will this happen?

More news….

IMF STAFF COMPLETES 2019 ARTICLE IV MISSION ON IRAQ

IMF finally has this last session and files a public disclosure of results.

https://www.imf.org/en/News/Articles/2019/05/06/pr19142-Iraq-imf-staff-completes-2019-article-iv-mission

This is the article IV consultation session we have been waiting for since last year and it was postponed twice in 2018. We knew any reinstatement could not occur outside of the early January-march period without this last consultation. Now we have it. Full article is in the articles session.

Am I saying the reinstatement is now free to go? No, there are still approvals and the will of the CBI and the Finance Committee to approve it and go ahead. There are no signs they intend to do this now. But at least now we know we are getting closer and there are possibilities.

There is talk that the PM Mahdi has said he will reinstate the dinar by June 1st. I have absolutely no evidence that he has said this. Yes, indirectly he has made reference to the economy getting better by June but this could mean lots of things. He also said the ministers would be competed by June. We know why he said this too and it has nothing to do with an RV or anything else with the currency.

But we do know the IMF wants Iraq and the CBI to move ahead and reinstatement and “free their exchange rate”. They have said to directly to the government and this was reported by the news media. So what does this mean?

This means the need to reinstate it and put it on the planned “free float” just like all other currencies on the open trading platform. The IMF wants the investors to drive the rate and keep it stable. They say that Iraq is now ready and so why are they waiting?

We know why they are waiting.

It is due to all the corruption in the currency auctions and the reluctant to end them, as they are today. In our last newsletter we read an article that told us over 5 billion annually are stolen from the CBI reserves due to the currency auctions. Where does all this money go? It goes to Iran to help they get through the US sanctions.

We also know that the Iranian militias within Iraq are not favorable to the Iraqi government. These militia snuck in to help with fighting ISIS since 20014-2017. Now like used gum on your shoe, its hard to get rid of them.

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Formal Articles are below. Due to FACEBOOK limitations they do not print my RED colored fonts or italics, so my comments are in brackets ( ) throughout the articles. I will preface my comments with “Mnt Goat” so you know I am jumping in with observations. Also, I separated the articles with asterisks.
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Articles Begin

IMF STAFF COMPLETES 2019 ARTICLE IV MISSION ON IRAQ

May 6, 2019

End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF's Executive Board for discussion and decision.
Near-term vulnerabilities subsided in 2018, with the budget in surplus and a build-up in central bank reserves. Post-war reconstruction has been limited so far.

Fiscal deficits are projected to rise over the medium term, absent policy changes, and it will be hard to sustain capital spending. Growth is likely to slow markedly.
Tight control over current spending, particularly wages, and phased measures to boost non-oil revenue would make space for scaling up public investment and building fiscal buffers.
An International Monetary Fund (IMF) team led by Gavin Gray visited Amman from April 26 to May 2, to hold discussions with the Iraqi authorities in the context of the 2019 Article IV Consultation. At the end of the visit, Mr. Gray made the following statement:

“The end of the war with ISIS and a rebound in oil prices provide an opportunity to rebuild the country and address long-standing socio-economic needs. However, the challenges to achieving these objectives are formidable. The economic recovery has been sluggish, post-war reconstruction is limited, and large current spending increases risk placing the public finances and central bank reserves on an unsustainable path. Moreover, combatting corruption is critical to promote the effectiveness of public institutions and to support private-sector investment and job creation.

“Near-term vulnerabilities subsided in 2018, with the budget in surplus and a build-up in central bank reserves. Non-oil growth is expected to increase to 5.4 percent in 2019 on the back of higher investment spending. However, fiscal deficits are projected to rise over the medium term, requiring financing that may crowd out the private sector or erode central bank reserves. In these circumstances, it would be hard to sustain capital spending, and growth would slow markedly.

“Policy changes and structural reforms—including to improve governance—are therefore essential to maintain medium-term sustainability and lay the foundations for inclusive growth.

“Fiscal policy should aim to scale up public investment gradually while building fiscal buffers. To make space for this, staff recommends budgetary savings of around 9 percent of GDP over the medium term through tight control of current spending, particularly public-sector wages, and phased measures to boost non-oil revenue. Setting ceilings on current expenditure in the 2020 budget onwards would strengthen the fiscal framework’s capacity to support higher capital spending and to adapt to oil price shocks. Key reforms should include:

Containing public-sector wages. Spending pressures could be dampened in the short run through compensation measures such as capping allowances, bonuses and other non base wage payments, and by not fully replacing retirees. Structural measures will be required over the medium term, based on a functional workforce review as well as deeper civil service reform once new HR management and information systems are in place.

Electricity reforms are key to addressing the weak quality of service and reducing the high budgetary costs, due to modest tariff rates, chronic non-payment of electricity bills, poor maintenance and over-reliance on expensive generation sources, coupled with losses throughout the generation, transmission, and distribution process. It would be important to ensure that the poor and most vulnerable are protected throughout this reform.

Bolstering public financial management. Enhancing the legal framework and improving commitment and other control systems are key to minimizing misuse of public resources and restoring budgetary discipline.

“In the financial sector, a robust plan to restructure the large public banks coupled with enhanced supervision is essential to secure financial stability and will help promote financial development and inclusion. Strengthening anti-money laundering and countering financing terrorism (AML/CFT) controls and oversight will help prevent Iraq’s financial sector from being misused for the laundering of criminal proceeds and terrorist financing.

“Addressing governance weaknesses and corruption vulnerabilities is critical to achieving the described policy objectives. As a first step, the authorities need to develop a comprehensive understanding of the corruption risks present in Iraq and then implement policies to tackle these risks in a coherent and coordinated manner. The legislative framework needs to be strengthened to effectively prevent officials from abusing their position or misusing state resources. To this end, laws strengthening the asset declaration regime and criminalizing illicit gains should be rapidly adopted. Furthermore, the independence and integrity of bodies involved in combatting corruption should be ensured and the AML/CFT regime should be mobilized to support anti-corruption efforts.
“The team will prepare a report that, subject to management approval, is tentatively scheduled to be considered by the IMF’s Executive Board in July 2019.

“The IMF team would like to thank the authorities for the candid and constructive discussions during this visit.”

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MIKE POMPEO LANDED IN BAGHDAD LATE TUESDAY ON AN UNANNOUNCED VISIT

BAGHDAD – US Secretary of State Mike Pompeo landed in Baghdad late Tuesday on an unannounced visit, an Iraqi government source told AFP, cancelling a trip to Germany amid escalating US-Iran tensions.
The source, speaking on condition of anonymity because of the high security nature of the visit, said Pompeo was set to meet Iraqi Prime Minister Adel Abdel-Mahdi.

The visit comes two days after the US announced it was dispatching an aircraft carrier strike group and bomber task force to the Middle East to SEND A “CLEAR AND UNMISTAKABLE” MESSAGE TO IRAN.

National Security Advisor John Bolton said the deployment was in response to a “number of troubling and escalatory indications and warnings,” but did not elaborate.

“THE UNITED STATES IS NOT SEEKING WAR WITH THE IRANIAN REGIME, but we are fully prepared to respond to any attack, whether by proxy, the Islamic Revolutionary Guard Corps, or regular Iranian forces,” he said.
Pompeo had been on route to Germany but suddenly cancelled the trip due to “pressing issues,” the State Department said, without elaborating where he was heading.

But in response to a question about threats from Iran or its proxies on US forces in Iraq, the top US diplomat mentioned both Iraq and Jordan.
“As Secretary of State I have a responsibility to keep the officers that work for me safe each and every day all around the world. That includes in Erbil and Baghdad, in our facilities in Amman, all around the Middle East,” he said.

“And so any time we receive threat reporting, things that raise concerns, we do everything… that we can to make sure that those planned or contemplated attacks don’t take place, and to make sure that we’ve got the right security posture,” he said.
Pompeo had been traveling from Finland, where he had attended a meeting of the Arctic Council.

He was due to meet both Chancellor Angela Merkel and Foreign Minister Heiko Maas later Tuesday in Germany.

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Their words not mine…..No Rumors, No Hype, No Opinions ,,,,,
Just the FACTS!

Disclaimer: All information in this newsletter is not intended for investment decisions / purposes. Mnt Goat is not a financial analyst, planner, banker, attorney or associated in any role with giving out professional investment advice.

In ending I want everyone to know your constant prayers in the fight against evil (ISIS) in Iraq have worked. God has guided these young men and women on the battle field. The major war with ISIS has been over since Dec 2017. Let us all know that there is a new battle now to fight. A battle to save our homelands from the corrupt politicians and secret societies who are bent on taking what they want from our current wealth and from future generations without our permission. We must keep praying for the end to the rapid corruption and enslavement of people in Iraq and in the United States. We must pray for our leaders when they are being guided by the Holy Spirit. We must stand by them and let them know we are still there to support them, even after the election is over. I have composed a prayer maybe we can all pray today in our own way and until the reinstatement of the Iraq dinar occurs.

PRAYER

“For the Iraqi Prime Minister and the President of the United States, that all their cabinet members, and deputies may be anointed by the Holy Spirit to do God’s will and bring the free democracies of the Republics of Iraq and of the United States of America to the much-deserved prosperity and abundance.

To do this thru justice and freedom from oppression and corruption. That they may be a shining example for the rest of the middle east and the rest of the world to follow.

In the name of Jesus Christ our King and Savior, Amen”

Auf Wiedersehen
Much love to ya all,
Mnt Goat

TELL TONY THAT----SOMEONE IS FULL OF SHIT-----I THINK IT MIGHT BE RAY, TONY, MARKZ, FRANK AND SO ON----WE WILL SEE----