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The banks here didn't break any american laws.
It is an Iraqi law that controls their currency.
I notice you went after that part of my post and didn't address the fact that your post clearly says Iraqi citizens will be allowed to exchange abroad.
How many speculators have their Iraqi citizenship papers?
The right of a citizen is to remove the $ 200 thousand dinars and he could only replace it like any ordinary citizen here in Iraq
So... how many here holding dinar are Iraqi citizens?
This says NOTHING about foriegners holding cash outside of Iraq.
I think they's used the term "smuggled" in the past to describe currency that left Iraq.
Warka accounts will lop also.
All Iraq dinar denominated accounts will lop 3 zeros when this is implemented.
Bonus of having a Warka, or any other Iraqi bank account.
You don't have to worry about the physical exchange of currency.
It will be done for free.
Cash holders will have to deal with selling on e-bay, or selling back to a dealer. They will have to PAY for an exchange... and if the exchange period is short, they might get stuck with worthless paper.
Warka downside... like others have pointed out. You're trusting your money to an Iraqi bank. Who knows if they can be trusted.
My guess... a lot of people have sent money over there. When the lop is announced, a large percentage of those people will probably want their money back. Warka might/probably will have some type of policy to ease the pain of that for them. They probably aren't going to just send everyones entire account back to them all at the same time.
The CBI will probably not put out an official statement until they actually implement the plan. They are trickeling the news out there so no one can say they weren't warned. If you wait for the actual announcement you will likely get trampled in a stamped of investors trying to get rid of their dinar.
the spokesman even stated in the article last week that they were going to go about this quitely....
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=46006844
Saleh pointed out that "past wars fought by Iraq, has caused the rise and inflation in the money supply of 25 billion dinars in 1980 to 23 trillion dinars now," asserting that "the Central Bank of Iraq moving in the direction of literacy zeros currency quietly, to avoid problems for the future" .
You missed the most important fact.
The CBI has stated they will redenominate the Iraqi Dinar... lopping 3 zeros off the currency in the process.
That TRUMPS your opinion that it is poised for a huge RV.
The big RV pump was exposed as a lie the moment it bacame aware that Iraq had a money supply in the TRILLIONS.
Same guy who wrote that plan. Later said this.
Jeffrey Frankel, a Harvard economics professor
To critics, the fact that the dinar’s resale value relies on the enthusiasm of other speculators makes it little more than a collectible—or worse, the central element in an elaborate pyramid scheme. Jeffrey Frankel, a Harvard economics professor, calls the activity “pretend currency trading.” “I’ve received a large number of e-mails from people saying, ‘I understand you’re an expert on Iraq. Do you have any views? Can you advise me?’” he says. “I get the feeling that all these people doing this shouldn’t be. They’re little people, they don’t know what they’re doing, and they’re going to lose a lot of money.”
http://www.bostonmagazine.com/articles/a_fistful_of_dinars/
Also... I personally corresponded with Jeffrey Frankel after the story posted was plastered on dinar sites years ago. He told me at that time that his article was widly missinterpreted. He in no way was trying to prescribe an actual value for the dinar. He was only talking in generalities about how to support the dinar.
Redenomination study conclusions.
These are the conclusions of a study of lops. It's done by a educated economist... not a crazed dinar pumper.
These are the hypotheses of the UNC study.
http://www.unc.edu/~lmosley/APSA%202005.pdf
Hypothesis 1: Both authoritarian and democratic governments may have political reasons for redenomination. Democratic governments are likely to redenominate in response to high inflation. Authoritarian governments may redenominate even without high inflation, particularly in the presence of civil conflict.
Indeed, Mas (1995) suggests that authoritarian governments will choose confiscatory currency reform rather than direct inflation as a strategy of financing.
Iraq is trying to be a democracy and they are redenominating in a response to the high inflation, even hyperinflation, of the 80's and 90's.
Hypothesis 2: Redenomination is more likely following a period of high inflation and a subsequent stabilization. A dramatic downward movement in inflation increases the probability of a redenomination. This is particularly likely in countries that are more open to international capital flows, that are under an IMF adjustment program, and that have politically independent central banks.
That one describes Iraq perfectly
Hypothesis 3: Redenomination is more likely immediately after an election (or with many years remaining until the next election), less likely immediately before an election, and more likely in more fractionalized political systems.
Iraq is about to conduct elections.
Hypothesis 4: Redenomination is less likely, all else equal, when left-leaning parties are in office, and more likely when right-leaning politicians hold office.
are they left or right, not sure... probably not a huge factor
Hypothesis 5: Redenomination is more likely in nations where it has been used in the past. The total past experience with redenomination increases the hazard of its use.
Don't think Iraq has done it in the past, but certainly dosn't mean they wont
Hypothesis 6: Redenomination is more likely, all else equal, where foreign currency substitution is more prevalent in the domestic economy. This is more likely in nations with high inflation, with high local currency/dollar ratios; and foreign currency substitution is more likely after 1989 (as financial globalization expands) than before.
That sounds like Iraq
Hypothesis 7: Redenomination is a more likely response to economic problems in more heterogeneous societies, and in younger nation-states.
Iraq certainly is a "younger nation-state"
So of the 7 conclusions of the lop study done by someone with REAL qualifications... Iraq fits perfectly in 5 of the 7 Hypothesis.
Pre war dinar value... more.
(http://www.export.gov/iraq/pdf/crs_iraq_economy.pdf).
“This report was originally prepared at the request of the Senate Committee on Foreign Relations. With the Committee's permission, it is being made generally aailable for the use of Members.”
Currency and the Balance of Payments: The Iraqi dinar was long considered a strong currency aided by oil revenues and rising foreign exchange reserves. Some of this reputation may be attributable to the decision, by the National Bank of Iraq in the 1950’s, to maintain 100% reserves behind outstanding domestic currency.30 The official rate was variously set between $3 per dinar to $3.38 per dinar in the 1970s, the last official rate of $3.11 per dinar was set in 1982. During the 1970s, the official and markets rates generally corresponded and by 1980 the country had $35 billion in foreign exchange reserves. By 1987, that figure had fallen to $2 billion. The currency depreciated steadily during the Iran-Iraq war, and the pace of descent quickened after the first Gulf war. One estimate had the currency depreciate from 4 to 8 dinars per dollar in 1990-91. The advent of sanctions paradoxically stabilized the currency for a brief time as foreign exchange transactions virtually ceased. However, the onset of limited food and medicine trade under sanctions renewed the downward slide. The dinar reached an all-time low of 2,660 per dollar in December 1995. It has slowly appreciated from that low, yet has fluctuated widely from 1,000 to 2,300 dinars per dollar in the period 1997-2001 on the black market.
Inflation: As with other indicators, data on inflation are spotty and, during the 1990s, price data have a highly anecdotal quality. Before the oil boom, the Iraqi economy was characterized by price stability with an inflation rate at 5-6% during the period 1960-73.34 This source calculates inflation increasing from 18% to 68% between 1975-79 as a consequence of substantial currency inflows related to the oil boom.35 Prices continued to rise during the Iran-Iraq war as resources were diverted toward the military and government borrowing from the central bank expanded the monetary base. Inflation was recorded at 95% in 1980 and had increased to 400% by 1989. During the 1990s, a period of hyperinflation occurred. The government continued to print money to meet expenditures while economic sanctions shut off the supply of imported goods leading to a classical monetary overhang. A yearly inflation rate of upwards of 2,000% per cent was reported in open market food prices between 1990-1991.36 Another source estimated that inflation increased 5,000% between 1990and 1995.
CBI: removal of zeros is normal.
http://translate.google.com/translate?hl=en&sl=ar&tl=en&u=http://en.aswataliraq.info/%3Fp%3D101904
CBI described the removal of 3 inflation-generated 0's from Iraqi banknotes “a normal procedure by most central banks in countries that have gone through long periods of high inflation…
Some IMF info for you.
http://www.imf.org/external/pubs/ft/scr/2004/cr04325.pdf
During the previous regime, the (old) Iraqi dinar was the legal tender in the country and comprised two types of co-circulating banknotes: the “Swiss” dinar, issued between 1979 and 1989, and circulated only in the northern Kurdish provinces after 1989, and the “Saddam” dinar, issued by the Central bank of Iraq(CBI) from 1990 onwards (with effective available denominations in recent years of only ID 250 and ID 10,000 banknotes). The printing of the Saddam dinar was not fully controlled by the CBI, and the resultwas soaring inflation.
Or this IMF document.
http://www.imf.org/external/np/oth/102103.pdf
6. Two types of banknotes were in circulation—the Saddam dinar (issued by the CBI from 1990 onwards and whose only effectively available denominations were ID 250 and ID 10,000 in recent years) and the Swiss dinar issued between 1979 and 1989, which circulated only in the northern Kurdish provinces.
17. With the CBI yet to become fully operational, monetary policy has been passivesince the start of hostilities. However, the lack of banknotes has led to tight monetary conditions. This is reflected in the aforementioned stability of the price level since
February, as well as the broad stability of the exchange rate through August, notwithstanding the prevailing economic and political uncertainties. From July through end-August 2003, the value of ID 250 note fluctuated around an exchange rate of ID 1,500/US$, while in the case of the ID 10,000 note, the exchange rate was about ID 2,000/US$ (Figure 2). These rates implied some nominal appreciation relative to the average exchange rate of ID 2,000/US$ that prevailed in 2002. However, during September and in the first two weeks of October, the exchange rate for both types of notes fluctuated about ID 2,100/US$ on average.
See that... the rate appreciated in 2003... and as stated, the rate was 2000:1 for year 2002, which was before the war.
This is documemted in hundreds of places... yet you are the only person I know on any dinar board that still doesn't except it.
That article is about 2 years old. That's a site that todays date is always displayed. Yesterday when posted on another board, the link showed Feb 8 as the date, Today it shows Feb 9... and tomorrow it will show Feb 10.
Plus... how could you read this...."noting that the dollar exchange rate dropped significantly during the current year"
and think it's current. The hasn't changed one pip in the last year.
The official rate was a joke and everyone, almost everyone, in the world knew it.
the information I posted is from the Central Bank of Iraq. The information you posted was dictated by Saddam.
So they were walking around with STACKS of 250 dinar notes, worth $750 each according to you, for their everyday use.
Well done.
Yep... and here's the Naira redenomination.
There have been over 60 redenominations in recent history. This is nothing new. The all are basically the same.
It ALWAYS involves a new currency replacing an old currency.
http://www.gamji.com/article6000/NEWS7367.htm
From the link
1. The Theory of Currency Redenomination
Technically, currency redenomination is defined as the process whereby a country’s currency is recalibrated due to significant inflation and currency devaluation. In general terms, however, it is simply referred to as the “dropping of zeros” from a currency.
For example, in January 2005, Turkey dropped or removed 6 zeros from its currency, the Lira (L), and replaced it with the new Turkish Lira (YTL) with conversion rate of million lira (1,000,000L) = one YTL (1YTL). Also, in July 2005, Romania dropped or “knocked off” four zeros from its currency, the leu (ROL), when it replaced it with the new Romanian leu (RON) with a conversion rate of 10,000ROL = 1RON. In July 2007, the Ghana redenominated its currency, the cedi, by making one new Ghanaian cedi (GHc) equal to 10,000 old cedi (c), i.e. by dropping four zeros. Come August 2008, the CBN plans to convert 100 naira into one new naira, i.e. drop two zeros.
The introduction of a single European currency, the Euro, on January 1, 1999 can be viewed as a redenomination of the national currencies of some of the participating countries that had high “old currency”/Euro or dollar ratios such, as Italy, Portugal, Spain and Belgium because their conversion rates were fixed at 1 Euro = 1,936.27 Italian Lira (ITL) = 200.482 Portuguese Escudo (PTE) = 166.386 Spanish Peseta (ESP) = 40.3399 Belgian Franc (BEF) = 1.18 US Dollar. However, the Euro was physically non-existent until January 1, 2002 (“E-day”).
Currency redenomination is not a new phenomenon. It dates back to the 19th century but the most spectacular one was that of the German currency in the 1920s. According to Layna Mosley, “Among developing and transition nations, currency redenomination was employed on 60 occasions during the 1960-2003 period. These redenominations varied in size, from removing one zero from the currency (14 instances) to removing six zeros (9 instances); the median redenomination was three zeros, dividing the currency by 1000. Nineteen countries have used redenomination on one occasion, while ten countries have redenominated twice (sometimes, with many years in between, as in Bolivia, in 1963 and 1987; in other cases, redenominations follow rather quickly, as in Peru in 1985 and 1991). Argentina (4), the former Yugoslavia/Serbia (5), and Brazil (6) are the most frequent users of redenomination”.
In the ongoing debate about the redenomination of the Nigerian currency, some commentators have been using the terms redenomination and revaluation interchangeably, i.e. to mean the same thing. Technically, this is wrong. Currency redenomination is different from both currency revaluation and currency appreciation. In strict terms, redenomination does not increase the “value” (or strength) of a currency in relation to other currencies per se. What happens when a currency is redenominated is that some zeros are dropped in the official exchange rate at “conversion” date, e.g. one US dollar = 1.25 new Naira (NN) = 125 “old naira” (N) on August 1, 2008 (i.e. NN1.0 = N100.00). On the other hand, currency revaluation is an increase in the value of a currency vis-à-vis other currencies under a fixed exchange rate system, i.e. when the government or monetary authorities arbitrarily fix the exchange rate. For instance, the naira is revalued when the exchange rate is changed from IUS$ =N130 to 1US$ = N125, i.e. increase in the value or strength of the naira because you now need fewer naira to buy a dollar. Devaluation is the opposite of revaluation, i.e. a decrease in the value of a currency via-a-vis other currencies under a fixed exchange rate system, e.g. change from 1US$=N125 to 1US$ to N130, meaning a decrease or fall in the strength or value of the naira because you will need more naira to buy a dollar. The terms currency appreciation and depreciation are used to describe a decrease and increase, respectively, in the value or strength of a currency vis-à-vis other currencies under a floating exchange rate system, i.e. when market forces generate changes in the value of the currency. However, it is possible for currency redenomination to occur (pari passu) with revaluation or appreciation, for instance, if on the day of redenomination in August 2008, the new exchange rate is fixed 1US$=NN1.25 when the exchange rate just before the redenomination was 1US$=N128 (with NN1.0 = N100). Similarly, redenomination can occur with devaluation or depreciation if the exchange rate is fixed at 1US$=NN1.25 when the exchange rate just before the redenomination was 1US$=N123.
So agian I will ask you.
Do you believe that Iraqis were running around with $750 and $30,000 bills in their pockets?
There have been many reports that they only used two denominations... the 250 and 10,000 dinar notes. You claim they had a $3 per dinar rate... so that's $750 and $30,000 as their only bills.
Can you explain that?
Sorry Rick, read your post early this morn as I was running out of the house. I thought you were making the claim that it would not lop. Guess I should have read slower and more carefully.
How can you make that claim Rick? Theres about a dozen articles out over the weekend that say they are going to redenominate and remove 3 zeros. THAT IS A LOP.
Brigadier General Hugh Tant, who was in charge of the exchange.
(http://www.usip.org/library/oh/sops/iraq/sec/tant.pdf).
TANT: You had the Central Bank which answered, of course, to Saddam. And whenever he directed, they had to print more money, which was a negative inflationary monetary policy. That was one of the reasons why the currency had to be replaced.
But, in the great majority of the country, they had the Saddam dinar with Saddam's face on it. There were basically only two denominations of that: there was a 10,000-dinar note, which was worth about $5, and there was a 250-dinar note, which was worth about 12.5 cents, 12 cents. The reason its value had dropped so low was because of Saddam’s inflationary monetary policy. In comparison, back in the '80s, before the Saddam dinar came about, the rate of exchange was about $3 to one dinar. But because of Saddam there was now a total upside-down situation where one dollar was worth about 2,300 dinar.
But according to you... Iraqis... who only used two notes, a 250 and 10,000 dinar note... you claim that dirt poor Iraqis were running around doing all their business with $750 and $30,000 dollar bills in their pockets. LOL
CBI history, Dinar value
http://www.cbi.iq/history.html
From the new Cental Bank of Iraq web site.
By 1987 the banking system consisted of the Central Bank, the Rafidayn Bank, and the Agricultural, Industrial, and Real Estate banks. A 5 percent devaluation reduced the value of the dinar to US$3.2169, the official rate which remained until the Gulf War, although in late 1989, the black market rate was reported to be 1.86 dinars for US$1. (That's down close to 50 cents per dinar by 1989)After the Gulf War in 1991, and due to the economic blockade, the previously used Swiss printing technology was no longer available. A new, inferior quality notes issue was produced. The previous issue became known as the Swiss dinar and continued to circulate in the Kurdish region of Iraq. Due to excessive government printing of the new notes issue, the dinar devalued quickly, and in late 1995, US$1 was valued at 3,000 dinars.
Anyone trying to tell you the dinar was worth $3 just before the war is wrong.
Here the Central Bank of Iraq is saying the dinar had dropped to about 50 cents by the late 80s and then collapsed to 3000:1 by 1995. That's 15 years ago.
Saddam was a DICTATOR. He dictated that they keep the official rate at $3 to a dinar. That rate was laughed at, and not honored by the rest of the world. Everyone involved with the dinar for any time knows this is a fact. LOL... well... almost everyone.
That is exactly what they are going to do.
The current dinar is valued at .00085
The new dinar will be valued at .85
So currently you have 1,000,000 dinar worth $850
After the lop you will have 1000 new dinar worth $850
No change, or has been explained before, revenue neutral
There was no sudden devaluation of the dinar. It was a long slow process that took 20 years.
Financial describe the central bank attempts to remove the zeros from the currency as "useless"
07/02/2010 07:45 07/02/2010 07:45
Sulaimaniya, February 7 (AKnews) - The Central Bank of Iraq that there is a plan to remove zeros from the Iraqi currency before the end of this year, while the Under-Minister of Finance of Iraq that such a step would not affect the physical and economic situation vs. Iraq.
In a statement issued by the Central Bank of Iraq that "this plan was developed five years ago and so far have been the end of 50% of the necessary preparations for its implementation, and we hope we can start implementation by the end of the year."
The statement added that "the objective of removing the zeroes of the Iraqi currency is to facilitate the use and trading them."
For his part, Undersecretary of the Ministry of Finance Fadhil prophet of the Kurdistan News Agency (AKnews) that "this move is useless in economic terms, since the value of the Iraqi currency against the dollar and the euro will remain as is" .. He explained by saying "the only benefit of this step may be psychologically for the citizens, and not in the economic and practical aspects."
(???????) ?:?? 7/2/2010 (AKnews) Tel: Acts 7/2/2010
http://www.aknews.com/ar/aknews/2/111692/
Looks like somebody needs to explain to this guy he's about to become a multi millionaire and he just doesn't realize it yet... that is if you believe what some here are saying.
Speaking of BS... you just told Rick that according to this his million dinar will be worth over 1 million USD.
Do you honestly think that the CBI has announced to the whole world that sometime this year they will increase the value of the current dinar over 100,000%?
Anyone in the world, even myself, can go buy as much dinar as I can get my hands on... and sometime this year Iraq will increase the value of it over 100,000%.
Do you truly believe that?????????
I think we know where the BS is coming from here.
When they introduce the new currency, there will be an exchange. 1 new for 1000 old (what you have now). That's why it's called removing 3 zeros.
People in IRAQ will get the 1 for 1000.
Anyone holding dinar outside of of Iraq will be at the mercy of dinar dealers. YOU WILL NOT GET 1 for 1000. The dealers are going to RAPE you again.
Don't be fooled. This is a lop. This will be one last attempt by the dealers and their pumpers to get your money. They will try to tell you that only the higher denoms will be removed and that you need to trade your high demons for lower denoms... and of course they will charge you to do this.
The articles clearly state that this is a redenomiation. That is the same thing as a lop. ALL curent dinar... repeat, ALL current dinar, even the 500, 250 and 50 will become worthless/invalid at the end of the exchange period. There will be an entirely new series of notes to replace ALL the current notes.
It appears the person that wrote the story talked to two people.
First was Mohammed Salih who is a CBI advisor.
He says they will lop this year, and have been planning it since 2005.
Then the author apparently talked to Dr. Hilal Al-Tahan who he referred to as an economic analyst. Dr. Hilal seems to be saying that he doesn’t see any problems in lopping but that the timing is wrong. He thinks the economy should be stronger before they do it.
Just like any time our Fed, or any government agency announces any policy. There are plenty of people who support it, and plenty who do not.
From me? It's from a CBI advisor. This latest one states they've been working on this since 2005.
70,000 troops to leave, and formal combat to end Aug 31.
Lop will probably be announced soon after that date.
Doubt they will do it before then.
CBI says lop this year.
Monetary policy to delete the zeros of the Iraqi currency
Iraqi Central Bank is working on a strategy to delete the zeroes of the Iraqi currency in and out of their face value while maintaining the values of cash and purchasing power.
Central Bank of Iraq adviser to the appearance of Mohammed Salih said that this year will witness the launch of this strategy, stressing that the bank has completed 50% of the preparations that are working on since 2005.
Salih said the strategy was based on the principle of gradual substitution of the Iraqi currency with another is lower than in the nominal value, and pointed out that the positives of this strategy is that it will be less expensive and easier to trade.
For his part, sees Dr. Hilal Al-Tahan, that the application of such a strategy will not cause economic turmoil, or damage to the local market at the present time, while the economic analyst is willing to find satisfaction that the timing of the launch of this strategy is not appropriate, noting that the country's economy must be in a position of strength before the application of such changes.
[url=http://translate.google.com/translate?hl=en&sl=ar&tl=en&u=http://www.iraqhurr.org/content/article/1946613.html&rurl=translate.google.com]http://translate.google.com/translate?hl=en&sl=ar&tl=en&u=http://www.iraqhurr.org/content/article/1946613.html&rurl=translate.google.com
Only in Dinarland would a 1000% increase not be considered big.
Dinar in a shoebox is not Forex.
It's not even remotely close to Forex.
Talk to the Central Bank of Iraq... they are the ones talking about the lop.
You say lops are too expensive... and then predict a RV for the currency. That is really funny.
Yeah... it's quite a joke people are holding onto a currency from a country half way around the world that the central bank is saying they will make obsolete.
Currency lops are a non issue.
There's been about 70 or 80 of them in the last 30 years.
How many of them did you read about in the US press before it happened? Probably none.
How many did you you read about in the US press after they were announced? Very few if any at all... they get a quick mention and that's it.
Take the CBI, on Wednesday, transfers of foreign currency out of Iraq "a legitimate act," while seeking to cancel confirmed zeros from the Iraqi dinar.
The adviser said the central bank governor and general manager of statistical appearance of Mohammed Saleh said that "the conversion process outside of the foreign exchange came in accordance with the transition from totalitarian regime to a free economic system", stating that "This is one of the economic rights of citizens which are guaranteed under the law."
Saleh pointed out that "the CBI committees involved in combating money laundering and proceeds of crime and terrorist financing, and otherwise is an act of legitimate," he said.
The law against money laundering Iraqi development of procedures in 2004 due to regulatory institutions, especially banking ones.
Saleh added that "the transfer of funds, by citizens abroad, through the remittances is to finance the trade of Iraqi private sector, not for reserves in foreign banks, the lack of interest granted by the Iraqi banks compared to foreign banks."
He said Advisor to the Governor the Central Bank that "the Central Bank of Iraq is only in Iraq, which is conducting the financing of the Iraqi private sector and traders in foreign currency, through auction conducted by the daily."
Salih stressed that "The auction was able to maintain the Iraqi dinar exchange rate, for a period of four years of non-volatility, as well as the auction has to absorb excess liquidity, which is reflected positively on the price stability," indicating n "of the Iraqi dinar has become very strong, The strength of rising foreign exchange reserves, would be reflected on the positive performance to cope with any crisis that may occur in the future ", he said.
Regulated by the central bank auction sessions a day, except Fridays and official holidays, and the participation of Iraqi banks, and within which buying and selling foreign currencies, the central bank sold currency conversion process to the outside, for some companies and citizens for a certain commission.
For his part, the economic expert Falah Hassan Alwan said "get out the currency remittance through the auction has a positive side and a negative."
Alwan explained that "the positive side is to move the Iraqi economy, by encouraging the private sector and entrepreneurship, while the downside is the fact that some companies out of money laundering."
Alwan called on the Iraqi Central Bank to "pass a law forcing banks, with which to determine the amount of money, which turned out, for the employment of funds, and transfers to be made under the control and supervision of the Central Bank of Iraq."
In another context, "said Advisor to the Governor Central Bank of Iraq that" the proposal to cancel some of the zeros of the Iraqi dinar, is one of the priorities of the Central Bank of Iraq, to reform the currency and organizing it.
Saleh pointed out that "past wars fought by Iraq, has caused the rise and inflation in the money supply of 25 billion dinars in 1980 to 23 trillion dinars now," asserting that "the Central Bank of Iraq moving in the direction of literacy zeros currency quietly, to avoid problems for the future" .
The CBI, with headquarters in Baghdad and has four branches in Basra and Sulaymaniyah, Irbil and Mosul, he founded the bank under the law of an independent Iraqi Central Bank of Iraq issued on 6 March 2004, and shall be responsible for the maintenance of price stability and the implementation of monetary policy, including exchange rate policies and management foreign reserves and the issuance of currency management, as well as to regulate the banking sector
Sorry... try these.
http://translate.google.com/translate?js=y&prev=_t&hl=en&ie=UTF-8&layout=1&eotf=1&u=http%3A%2F%2Fwww.alsumarianews.com%2Far%2F3%2F2589%2Fnews-details-%D8%A7%D9%84%D8%A8%D9%86%D9%83%2520%D8%A7%D9%84%D9%85%D8%B1%D9%83%D8%B2%D9%8A%3A%2520%D8%AA%D8%AD%D9%88%D9%8A%D9%84%2520%D8%A7%D9%84%D8%B9%D9%85%D9%84%D8%A7%D8%AA%2520%D8%A7%D9%84%D8%A3%D8%AC%D9%86%D8%A8%D9%8A%D8%A9%2520%D8%A5%D9%84%D9%89%2520%D8%A7%D9%84%D8%AE%D8%A7%D8%B1%D8%AC%2520%2522%D9%85%D8%B4%D8%B1%D9%88%D8%B9%2522%2520%D9%88%D9%86%D8%B3%D8%B9%D9%89%2520%D9%84%D9%85%D8%AD%D9%88%2520%D8%A3%D8%B5%D9%81%D8%A7%D8%B1%2520%D9%85%D9%86%2520%D8%A7%D9%84%D8%AF%D9%8A%D9%86%D8%A7%D8%B1.html&sl=ar&tl=en
http://translate.google.com/translate?hl=en&sl=ar&u=http://www.alrafidayn.com/2009-05-26-22-07-53/8857-2010-01-27-09-27-55.html&prev=/search%3Fq%3D%25D8%25A3%25D8%25B9%25D8%25AA%25D8%25A8%25D8%25B1%2B%25D8%25A7%25D9%2584%25D8%25A8%25D9%2586%25D9%2583%2B%25D8%25A7%25D9%2584%25D9%2585%25D8%25B1%25D9%2583%25D8%25B2%25D9%258A%2B%25D8%25A7%25D9%2584%25D8%25B9%25D8%25B1%25D8%25A7%25D9%2582%25D9%258A%25D8%258C%2B%25D8%25A7%25D9%2584%25D9%258A%25D9%2588%25D9%2585%2B%25D8%25A7%25D9%2584%25D8%25A3%25D8%25B1%25D8%25A8%25D8%25B9%25D8%25A7%25D8%25A1%25D8%258C%2B%25D8%25B9%25D9%2585%25D9%2584%25D9%258A%25D8%25A7%25D8%25AA%2B%25D8%25AA%25D8%25AD%25D9%2588%25D9%258A%25D9%2584%2B%25D8%25A7%25D9%2584%25D8%25B9%25D9%2585%25D9%2584%25D8%25A7%25D8%25AA%2B%25D8%25A7%25D9%2584%25D8%25A3%25D8%25AC%25D9%2586%25D8%25A8%25D9%258A%25D8%25A9%2B%25D8%25A5%25D9%2584%25D9%2589%2B%25D8%25AE%25D8%25A7%25D8%25B1%25D8%25AC%2B%25D8%25A7%25D9%2584%25D8%25B9%25D8%25B1%25D8%25A7%25D9%2582%2B%2522%25D8%25B9%25D9%2585%25D9%2584%25D8%25A7%25D9%258B%2B%25D9%2585%25D8%25B4%25D8%25B1%25D9%2588%25D8%25B9%25D8%25A7%25D9%258B%2522%25D8%258C%2B%25D9%2581%25D9%258A%25D9%2585%25D8%25A7%2B%25D8%25A3%25D9%2583%25D8%25AF%2B%25D8%25B3%25D8%25B9%25D9%258A%25D9%2587%2B%25D9%2584%25D8%25A5%25D9%2584%25D8%25BA%25D8%25A7%25D8%25A1%2B%25D8%25A3%25D8%25B5%25D9%2581%25D8%25A7%25D8%25B1%2B%25D9%2585%25D9%2586%2B%25D8%25A7%25D9%2584%25D8%25AF%25D9%258A%25D9%2586%25D8%25A7%25D8%25B1%2B%25D8%25A7%25D9%2584%25D8%25B9%25D8%25B1%25D8%25A7%25D9%2582%25D9%258A.%26hl%3Den%26sa%3DG&rurl=translate.google.com
Central Bank still set on lopping.
http://www.alsumarianews.com/ar/3/2589/news-details-%D8%A7%D9%84%D8%A8%D9%86%D9%83%20%D8%A7%D9%84%D9%85%D8%B1%D9%83%D8%B2%D9%8A:%20%D8%AA%D8%AD%D9%88%D9%8A%D9%84%20%D8%A7%D9%84%D8%B9%D9%85%D9%84%D8%A7%D8%AA%20%D8%A7%D9%84%D8%A3%D8%AC%D9%86%D8%A8%D9%8A%D8%A9%20%D8%A5%D9%84%D9%89%20%D8%A7%D9%84%D8%AE%D8%A7%D8%B1%D8%AC%20%22%D9%85%D8%B4%D8%B1%D9%88%D8%B9%22%20%D9%88%D9%86%D8%B3%D8%B9%D9%89%20%D9%84%D9%85%D8%AD%D9%88%20%D8%A3%D8%B5%D9%81%D8%A7%D8%B1%20%D9%85%D9%86%20%D8%A7%D9%84%D8%AF%D9%8A%D9%86%D8%A7%D8%B1.html
In another context, "said Advisor to the Governor Central Bank of Iraq that" the proposal to cancel some of the zeros of the Iraqi dinar, is one of the priorities of the Central Bank of Iraq, to reform the currency and organizing it. "
Saleh pointed out that "past wars fought by Iraq, has caused the rise and inflation in the money supply of 25 billion dinars in 1980 to 23 trillion dinars now," asserting that "the Central Bank of Iraq moving in the direction of literacy zeros currency quietly, to avoid problems for the future" .
So Iraq has $42 billion in currency reserves.
They have an M2 of 43 Trillion dinars… at the 1170 rate that means they have a $37 billion money supply.
They have stated a number of times that they will continue to FULLY back their money supply with currency reserves. So it’s safe to assume that the money supply will not exceed the $42 billion in reserves.
So the highest value would basically be 1000:1. that would value the M2 of 43 Trillion dinars at $43 billion.
That’s the best case… but they won’t do that because M2 is growing every month, so they have a cushion.
22 Trillion dinar deficit, $4.5 billion loan from IMF and $2 billion loan from world bank.
Doesn't reallty sound like a country about to increase the value of their currency 100,000%.
Insider secrets... LOL