What does this signify in regards to an RV?

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currencyinvestor19
Posts: 147
Joined: Sun Jul 05, 2020

What does this signify in regards to an RV?

Post by currencyinvestor19 »

I would have to agree that the response will be immediately. They change the exchange rate and the markets respond in like kind. And in a big way. Contracts will require it!!! imo.. The news is off the charts good…the way they are talking today and yesterday. Comprehensive development process have been on going and we are now finally see the fruit of it all!

Today Monday the World Bank confirmed that changing the exchange rate gives the state the ability to increase its revenue…” …They are not talking about decreasing. They’re talking about increasing…if they keep the exchange rate lower, imports are going to cost more. If they increase the exchange rate imports cost less........

[Iraq is trying to defer payment of debt to Kuwait because of their current financial crisis. What does this signify in regards to an RV? If the deferment is granted, does this affect the timing?] In regards to an RV, I say it signifies nothing. Iraq has always tried to plead poverty and defer payments and anything else they can do – just like we would expect any other country to do. The payments are in dollars, not Dinars… this means that after they RV, it will be easier for them to repay. In fact, it makes sense to stall payments until after the RV if possible, because they will effectively pay less that way. Or at least have more to pay with, but I don’t think their payment schedule will change for them. It’s just better for them all around that way.

If we are to get excited about anything in Iraq of late read up on the Buna payment system. This will create demand and facilitate exchange in Middle East currencies. The end result could be growth of the Iraq economy and an increase in the exchange rate. Time will tell…
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