Iran starts transferring foreign assets

[Dover]

Iran starts transferring foreign assets


Friday 20 January 2006, 16:42 Makka Time, 13:42 GMT

The governor of Iran's central bank has confirmed that the country has started to transfer assets held in foreign accounts.

Ebrahim Sheibani told the ISNA students' news agency on Friday: "We transfer foreign reserves to wherever we see as expedient. On this issue, we have started transferring. We are doing that."

ISNA specifically asked whether the money was being moved to Asian accounts but Sheibani's answer sidestepped the issue.

Sheibani told reporters earlier this week that Iran stood ready to repatriate the money it held abroad should this prove necessary.

Iran, which could face UN economic sanctions over its atomic programme, has bitter memories of its US assets being frozen shortly after the 1979 Islamic revolution...cont'd

http://english.aljazeera.net/NR/exeres/497EDC03-ACD0-45A3-AC68-F51519B74916.htm

[leQ]

1. as they say, follow the money....

they see trouble ahead, i'll bet.

[no_more_rhyming]

2. It seems they may have caused many

countries to have itchy trigger fingers. Hot heads and nuclear power don't usually mix well.

[The Stranger]

4. WMD lies and invasions based on them -- like deja vu all over again.

One Nation, under PNAC, with torture and illegal wars for all.

[Tight_rope]

18. LMBAO....I love your true interpretation of Pledge!

[StClone]

23. Name a country that has used Nuclear weapons?

The U.S. stands alone. BushCo is the hot head. Rice is cruising the world in search of support for their next war of choice.

Iran is probably months or years from nuclear armament. Their threats are an attention getters and may have ulterior motives.

Iran has no ICBMs just short range range missiles and would find their country destroyed should they attack anyone with them. Now, when Bush uses Mini Nukes in bunker busters once again the U.S. is totally hypocritical. Also, Iraq and Afghanistan are polluted with radiative waste thanks to U.S. weapons.

[Nothing Without Hope]

44. The best US and world intelligence says that Iran is many years away

from nuclear bomb capability. For links to document this, see this post:

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=1983449&mesg_id=1984089

However, Iran is close to opening its own Euro-based oil bourse, which is a real threat - to the US oil dealers:

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=104&topic_id=5650584&mesg_id=5651316

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=364x187934

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=364x199112

[Fovea]

29. In the same situation I think

I would do the same. They have already had to deal with their economy being scuttled once. I predict they will try to cause economic chaos in the west, if they can.

[Javaman]

3. "go ahead, freeze our assets, you imperialist pig dog!!"...

This is the old story of the grasshopper and the ant. The ant worked all summer while the grasshopper fiddled away enjoying the beautiful weather.
Came the winter the ant was all cozy in his warm home with plenty to eat and drink while the grasshopper almost froze to death but if it weren't for the kindness of the Ant the grasshopper would have frozen to death.
Moral of the story: Prepare for the future.

So as Iran continues to put away it's money into more accessible bank accounts and the U.S. continues to rattle the sabers. At the end of the day, Iran will have it's money and oil while we will be broke and fucked with high crude prices. However, their won't be any kindness shown towards us by Iran.
Moral of the story: a fool and his oil are soon parted

[mom cat]

5. This will cripple if not sink the dollar. I am only surprised that they

waited this long.

[AngryAmish]

25. How so?

[mom cat]

30. It is part of the larger picture. Iran is protecting its resources against

a possible freeze. This alone will make some difference. But tue largest difference will come from the Oil Bourse that Iran schedules to start in March. That will start accepting euros for oil instead of dollars. That is the immediate threat to the dollar. When Saddam switched currencies in the Oil for Food Program, the US economy sufferred. This economic threat is even greater as is the implied threat that Iran might start slowing the flow of oil.

[fedsron2us]

31. For their bourse to function

Iran is actually going to have to be able ship its oil to market. This might prove to be difficult if events escalate to the point of a physical blockade. As for the US dollar Bernanke has more or less said that he is going to set the printing presses going full blast to inflate away existing US debts. A hugely devalued dollar is bad news for a lot of other people in the world apart from Americans. Of course any economic mayhem is going to screw a lot of ordinary US citizens but since when has Bush and his followers ever cared a damn about them.

[Mithras61]

32. If we blockade Iranian oil shipments...

the INternational economy will put massive pressure on oil prices, and our economy (along with that of many other nations) will suffer. IIRC, Iran supplies about 2.5 million barrels of oil daily. I don't know where anything even close to that could come from to buffer the loss...

[fedsron2us]

34. The US may be in rapid decline

but it is still a major continental power with large internal resources in relation to its population size. This means it is probably better placed to withstand a major economic crisis than some other nations. Even the Iranian government seem recognise that fact. Todays actions by Tehran shifting overseas funds to the Far East and its earlier threats over oil supplies all seem targetted at Europe rather than the USA. Iran is obviously trying to undermine the resolve of the EU in this crisis and seeking to detach it from Washington. How successful they are going to be remains to be seen. The Russians and Chinese are obviously going to be key players in how events pan out. They may be lending tacit support to the Iranians at the moment but I very much doubt that they are going to sacrifice their own economic and political security just to ensure that the current religious rulers of Persia survive.

[Warren Stupidity]

6. Iran begins transferring currency reserves out of Europe

Iran begins transferring currency reserves out of Europe
The Associated Press

FRIDAY, JANUARY 20, 2006
http://www.iht.com/articles/2006/01/20/africa/web.0120iran.php



Iran's claims that it has started transferring its foreign currency reserves out of Europe could affect as much as US$50 billion in deposits, analysts estimated Friday, and appeared to be a pre-emptive move ahead of possible U.N. sanctions. The country, mindful of the freezing of its U.S. assets after the 1979 seizure of the American Embassy in Tehran, said Friday it had begun transferring its reserves from European banks to an undisclosed location.

''We transfer the foreign exchange reserves to wherever we deem fit,'' Iran Central Bank Governor Sheibani was quoted by the semiofficial Iranian Students News Agency as saying. ''We have begun transferring. We are doing that.''

Most analysts viewed the move as signaling Iran's fears of U.N. sanctions over its increasingly criticized decision to restart its nuclear program.


Oh joy, the looming crisis gets ever closer.

[hippiechick]

7. um, so it's NOT about WMD ??

:sarcasm:

[tatertop]

9. Yes, they have the Oil Bourse cannon trained on us

[fedsron2us]

35. I thought the oil bourse was supposed to be trading in Euros

The Iranians have just announced that they are moving all their assets out of Europe. Have Tehran decided to use the yen or yuan instead ? If they have then the latter are going to increase rapidly in value against the dollar and the Euro. I am not sure that this is a scenario that Beijing would necessarily want to see played out.

[tatertop]

38. Swiss Francs, Canadian Dollars, the Yen where it suits them

Some Euro countries will play into the US game, for all
kinds of evil fucked-up reasons.
Iran is very wise to trade into Swiss Francs as well as other currencies.
Wouldn't you? If Iran can persuade enough countries to buy oil in euro dollars the US dollar will fall like a stone.
(The Swiss franc has suffered devaluation only once, on 27 September 1936 during the Great Depression, when the currency was devalued by 30% following the devaluations of the British pound, U.S. dollar and French franc.)

Plus, they are warning Europe:
DO NOT FUCK WITH THE GIANT!

Fact is, Europe will greatly enjoy a petro euro based oil bourse.

[Maggie_May]

8. Hey Bush you aren't dealing with someone that is stupid.

[Joanne98]

10. Does anyone know where their putting it?

Would they put it in the swiss banks or maybe Russia?

[Mithras61]

12. I don't KNOW that they are moving them...

to Russia & China, but Russia & China have both come out in opposition to sanctions, so...

[grahamhgreen]

14. I would venture Saudi banks, Citibank....

[AngryAmish]

26. Not allowed to put money in a US bank.

Carter-era sanctions still apply. Plus there are several judgments against the Iranian government for terror activities and they do not want to pay the judgments.

[Pachamama]

47. China?

:shrug:

[plasticsundance]

15. This is what Reuters is reporting

It might be an indicator:

Iran says pulling money out of Europe

The Asharq Al-Awsat Arabic daily said on Thursday Iran's Supreme National Security Council had already ordered that $8 billion, around a quarter of its overseas assets, be moved to Singapore, Shanghai, Malaysia and Hong Kong.

There are few figures available on the size of Iranian overseas holdings but they are thought to total over $30 billion. Moving them would have major implications for financial markets.

Swiss banks said they would welcome asset transfers from Iran and analysts said Switzerland was a possible destination.

Switzerland is home to more offshore wealth than any other country and is a traditional haven for investors who seek political neutrality and legal guarantees of banking privacy.

"If you're talking in terms of a safe haven proposal, that's where Switzerland is very strong, stronger than Singapore or other places. We are a country that is non-judgmental," said Steve Bernard, director of the Geneva Financial Center.

[SnowGoose]

11. I wonder if this will affect the currencies their reserves are in.

As in, move reserves out of US and European banks, move reserves out of US and European currencies.

Anyone know?

[doublethink]

13. From what the article says ....

Iran doesn't disclose it's actual holdings of Euros, Dollars, etc ... so for now it looks like they are just transferring their funds to a safer place. And not exchanging currencies one for the other or some other foreign exchange denomination.

[mdmc]

16. so it shouldn't effect any single currency?

this move wouldn't devalue the euro and bump up, say, the ruble?

[doublethink]

19. This in itself wouldn't.

You are correct. Well it shouldn't, and it seems the investors they interviewed for this article state as much. However .... this is becoming quite a quick 'Poker Game' here in the geopolitical arena. Iran has played a hand here, to protect their assets from possible sanctions, or freezing of those assets. I wouldn't be surprised to see quite a few other moves financially by other Nations here soon leading up to the 'Possible Iranian Oil Bourse' coming into reality in March. I say possible now because Iran may be re-thinking that strategy if Europe puts monetary sanctions on them. We'll have to see what someone in Europe does next, more than likely. Not a coincidence that Gold is reaching 25 year highs every other day now. Those smart investors don't really know like you and me if, and who's monetary denomination will tank in all of this yet? Also not a coincidence the U.S. is hiding the M-3 figures come March of this year too (a precedent since those figures were first kept in 1971). This among other things could artificially hold up the NYSE from collapsing for awhile (pumping who know how many $ into the system) ..... so it too seems to be a protection measure too. A lot of speculation here, and a lot more to come. Peace. :)

[mdmc]

20. thanks

peace and low stress!

[doublethink]

22. No problem ....

and yes Peace and low stress .... Funny here's an article just out about a half hour ago covering some of this stuff from todays Market. Thought you might be interested .... looks like the Market took some hits today but no-ones particular currency lost or gained much. Peace again. :)
here ... :http://today.reuters.com/business/newsarticle.aspx?type=reutersEdge&storyID=2006-01-20T201500Z_01_N20354684_RTRUKOC_0_US-MARKETS-FOREX-IRAN.xml

[mdmc]

24. peace

read the link... sounds dire -

This would be especially the case if Iran manages to block the oil waterways in the strait of Hormuz, through which passes a quarter of the world's traded oil," Laidi said.

high gas prices ahead...

[doublethink]

27. Not to mention what Venezuela would do ....

where the U.S. imports most of it's domestic oil from ..... the tea leaves say rough times ahead but keep the faith. Oh the Market just closed, biggest single day loss since March 2003, gee what was going on in March 2003? Oh yea the Iraqi war started. :crazy:

[Dover]

42. Story from the Guardian

http://www.guardian.co.uk/iran/story/0,,1691730,00.html

[Tight_rope]

17. Good...Cause you know our greedy fucking leaders will take your shit!

[cliss]

21. This is going to harm European banks.

They already have portfolios based on these billions. Now that the Iranians are withdrawing their funds, it's going to hurt the bank's financial strength.

I HIGHLY doubt Europe is going to stand next to Bush, as he pounds the war drums and rattles his saber. They are going to fold, by this afternoon I'm betting. Europe has extremely high gas prices, compared to the US. They can ill afford a big bump in prices, which is exactly what's happening right now.

The futures markets are jittery; they're pushing gas deliverables to new highs already.

This is the usual result from being friends with Bush. You go along with his Ploys, and you pay and pay and pay and pay.

[lovuian]

28. Iran is getting ready for war economically and physically

this is a wake up call for Europe and US ... are we ready for war???

[julianer]

33. Preparing to defend itself, more like. n/t

[TrogL]

36. If you haven't already, check the Stock Market thread

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x2053768

What a bloodbath.

[Barrett808]

37. I can't help but think is somehow positioning them for the Oil Bourse

The Iranian Oil Bourse is supposed to open in March, which seems to coincide with the designs of certain nations to bomb Tehran.

[Nothing Without Hope]

40. Yes, what a "coincidence." Links for people who want to know more:

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=104&topic_id=5650584&mesg_id=5651316

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=364x187934

[leesa]

39. What else can they do in the face of manufactured insanity?

[Ouabache]

41. SO NOW WE KNOW WHY STOCKs TOOK A BIG DIVE today ??

Surprised I am first to speculate that? This announcement and did you notice the DJIA drop today? Hugh! Even poor old GE stock is down.

[psychopomp]

50. Tokyo SE took a big hit last week n/t

[Nothing Without Hope]

43. ***A BBC article on Iran moving its assets out of Europe:

http://news.bbc.co.uk/2/hi/business/4632144.stm
Last Updated: Friday, 20 January 2006, 17:45 GMT

Iran 'moves assets out of Europe'

Iran has started moving its foreign exchange reserves out of Europe in a bid to shield the country from the threat of sanctions, reports suggest.

Iran's central bank governor said the country had begun withdrawing assets from European banks, the Iranian Students News Agency reported.

(snip)

It is difficult to estimate the amount of assets that Iran has abroad, but the Asharq Al-Awsat Arabic daily said that about $8bn (£4.5bn) had already been moved, mainly to Asian markets.

Other sources have put the total value of Iran's foreign assets at somewhere between $30bn and $50bn.

This article also talks about the possible move to enrich uranium for Iran in Russian territory.

[lovuian]

45. Right now Iran trusts China more than they trust us...

and China could sure use the oil...

[Nothing Without Hope]

46. EXACTLY. And China has a lot more money to spend that we do

They've been buying up our national debt. They need oil and they want economic power. IT's obvious that this would constitute another step to more of both.

[Jose Diablo]

48. Close the hatch, dive, dive

Changing the 'international' currency. I imagine it must be hard to want to do 'business' with a thoroughly corrupt western civilization, maybe they figure it's time to take the world back to the 10th century. Close the oil spigot to your enemies will shut this world down, if they can keep the oil flow off.

There will be a response, Iran knows this and is closing the gate, preparing for war. Their way of saying, "Bring it on!". I think we can expect an 'uprising' in Saudi Arabia too. This should effectively sever the middle east oil fields from western influence and control.

PNAC has screwed the pooch. Idiots, all of them. I imagine the squatters will be evicted also. Long term? The lights/heat is about to be shut off. Time to get the wood stove out of the garage and fix the tires on the bicycle. Maybe a horse would be a good thing to have.

[oblivious]

49. Strange. Now Iran is saying it is not moving money.

Iran denies transferring foreign currency reserves
(Xinhua)
Updated: 2006-01-23 08:59
Iran on Sunday denied reports that it has begun transferring assets in Europe to Asia to dodge possible sanctions for its controversial nuclear program.

"We have not transferred our hard currency assets. Such reports are not correct," Foreign Ministry spokesman Hamid-Reza Asefi told a weekly news briefing.

Meanwhile, Iran's Central Bank also denied moving hard currency deposits, saying the country's foreign currency reserves would be kept in all trustworthy banks in the world, including banks in Europe and elsewhere.

Iran attacks UN's scrutiny, denies currency transfers

AGENCIES , TEHRAN
Monday, Jan 23, 2006,Page 1
...Meanwhile, Asefi yesterday said that Iran has transferred no money from its foreign accounts, denying reports from the central bank governor that such transfers had begun.

"So far we have not moved any hard currency, we have not transferred it," he told reporters at a news conference.

[Dover]

Beirut: Byblos Bank to list all shares on BSE

Byblos Bank to list all shares on BSE


Daily Star staff
Tuesday, January 17, 2006


BEIRUT: In a step to boost liquidity in Beirut Stock Exchange, Byblos Bank said it will list all its shares in the bourse. After an extraordinary general assembly, Byblos Bank decided to float all of the bank's shares on the BSE.

The bank said in a statement that this step aims at increasing the trade volume of Byblos shares; taking advantage of the increasing activity on the bourse; taking advantage of the excess in liquidity in the regional markets that are invested in financial instruments listed on Beirut bourse and simplifying the trading and pricing of Byblos Bank shares.

Byblos shares closed on Monday at $3.54, a drop of 7.04 percent.

The bank, one of the five leading banks in Lebanon in terms of profits and assets, plan to increase the capital by another $300 million to $400 million....

http://www.dailystar.com.lb/article.asp?edition_id=1&categ_id=3&article_id=21491

[Dover]

51. Beirut: Byblos Bank to list all shares on BSE

Byblos Bank to list all shares on BSE


Daily Star staff
Tuesday, January 17, 2006


BEIRUT: In a step to boost liquidity in Beirut Stock Exchange, Byblos Bank said it will list all its shares in the bourse. After an extraordinary general assembly, Byblos Bank decided to float all of the bank's shares on the BSE.

The bank said in a statement that this step aims at increasing the trade volume of Byblos shares; taking advantage of the increasing activity on the bourse; taking advantage of the excess in liquidity in the regional markets that are invested in financial instruments listed on Beirut bourse and simplifying the trading and pricing of Byblos Bank shares.

Byblos shares closed on Monday at $3.54, a drop of 7.04 percent.

The bank, one of the five leading banks in Lebanon in terms of profits and assets, plan to increase the capital by another $300 million to $400 million....

http://www.dailystar.com.lb/article.asp?edition_id=1&categ_id=3&article_id=21491

[Dover]

52. Lebanese banks see increase in assets

But growth lowest in region.

_______

Lebanon's banking sector recorded a 2.5 percent increase in its assets during 2005, the lowest rate in comparison to the increases in other Arab countries. Despite the negative ramifications of the assassination of former Premier Rafik Hariri and the decline in the country's economy, the sector turned a a profit and the $2 billion withdrawn from banks after the assassination, found its way back by the end of 2005.

Head of the Union of Arab Banks, Joseph Torbey made this announcement Friday during a news conference.

The sector also increased its regional presence during the past year as Bank Audi expanded to Syria and Jordan, Byblos Bank to Algeria and Sudan and Fransabank to Algeria.

According to Torbey, the Arab economy has witnessed unprecedented growth over the last few years caused by the increase in oil prices, which reached $35 per barrel in 2004 and $50 per barrel in 2005 and approximately $68 currently.

This has led to excess liquidity in the GCC countries, which affects the banking sector across the whole Arab world. ...cont'd

http://www.dailystar.com.lb/article.asp?edition_id=1&categ_id=3&article_id=21602