Wednesday 21-10-2015 | 12:39:15
Mohammed Tawfiq Allawi / received comments from one of the brothers on my article (how to protect our country from collapse / Episode II), where he says
[Professor esteemed Why does not raise interest rates on savings accounts in order to be encouraged citizens to put their money in banks and available cash]
(and below my answer)
My dear is not the problem with liquidity, central bank has billions of dinars printed and that have not inflicted to the market, and could have inflicted whenever he wants, but he can prints new dinars and inflicted to the market; the sole determinant in what's available cash on the street is critical cover from the reserve dollar, the reserve in 2013 was more than 230% of the cash mass Dinars, which is a high percentage, but due to lack of reserve that percentage dropped to about 170%, which is also high, but if the situation continues as it is now will reach to 100% under this rate we will enter in the caution zone If amounted to cover 60 percent we will enter in the danger zone and hence the risk, where if we do not provide solutions then the collapse of the dinar where we can reach a point where the central bank is unable to provide the dollar against the dinar, and we could get to this point with certainty within a period not exceeding two, and in this case can be repeated economic situation that prevailed in the period of the siege in the nineties, they delay taking any action to correct the situation, because that provides them with tens of millions of dollars in thefts in every day, if you leave it will become the difference between the two rates is greater than that much, and this provides them with the potential to steal more than a hundred million dollars a day from people's livelihood if the difference up to Alstmih points, or if it becomes the dollar price up to 1800 dinars; that things are left at face value without find a radical solution would go most of central bank reserves into the pockets of thieves and spoilers.
Their goal was in the past to postpone the crisis borrowing high benefits, and now after it was revealed these facts Engaged good reference for this, stop it, but at the same time began to shrink the central bank reserves without taking any serious policy to preserve the future of the country and the its economy from collapse Madamo achieve this very large thefts amounts, as if they were saying (it's our last chance to achieve the profits that have not dreamed of one day out and goes the country and its economy to hell) unfortunately this is the reality, and I repeat again if they are good reference does not want Iraq Meltdown we must take the perspective of any solid global economic and prestigious institution of economists is steeped in the swamp of corruption based, to provide the right advice to save our country from destruction, dear compatriots of great suffering, waiting for them in the very near future. This is the maximum I can do in the interest of our country and a warning of the collapse that awaits us, and bear all responsibility is responsible before God and before the people and moves in order to save his country and the underdog citizen who does not deserve all this suffering for a group of corrupt people and thieves.
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