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What I would suggest to anyone that is holding Dinar is to start looking at a plan. Do your research on assest protection and start looking for a good tax attorney and cpa. This is just like anything else and you want to be prepared when it may hit. Do not and I repeat do not spend any money till after the RV, unless there is a release about new legislation or tax laws that will be coming out soon. What I mean by that is hold off setting up offshore corp accts and such till the RV has been confirmed. Let's face it if you spend 1500 to open a offshore corp and then we see a lop followed by a rv your 1 mil Dinar are only work about 3k. Now is that really worth setting up a 1500 offshore corp, no it's not. I hate to see people waste money. Basically do your own DD. I know there are many people out there that haven't a financial clue, trust me I know. You have to buckle up and educate yourself.
Probably more like 32% Turnernator, and more than likely once there is a RV or RI there will be a new long list of taxes.
sportfisher
No you can't. You would have to convert the Dinar first. There are some mortgage companies overseas that do take different types of currencies, but all the US one only take USD.
I'm actually in the process of setting up something. Not speculation more of if RV happens what can you do to save on taxs etc. Not gonna be a charge or anything, just people getting together to share ideas.
IMO him and Barbara and a few others are taking some people for a ride. I'm in the process of typing a nice little letter to the US Treasury dept and the IRS. I have copied many of the posts, chats and have the recorded call from Mr Frank Buck. People like this are such scam artists. No wonder he talked about getting in a gated community, because when it's said and done there will be many people looking for him.
Iraq13770
Now he's trying to get people to fork over 1700.00 to set up a corp in the seychalles islands and a account in Belieze. He has some guy by the name of Frank G Buck doing it with him. I found out this Frank guys office in NV is a MailLink Po Box. Now he is also charging 20.00 for his so called VIP. What a rip off. I feel real sorry for people that get sucked into this scheme.
Hey guys,
Wanted to let everyone know what a ride Mr Adam Montana at Dinar Vets is taking people on. OMG, I got banned just because I was skeptical of his latest money making scheme.
You nailed it gonna be pegged to oil.
Aero but pay attention to currency issued and currency in circulation. Difference of about 159 mil. This is what many have been saying Iraq may have 25 trillion printed but stilll the question is how much of that is actual circulation?
And this value is on a nation that right now has massive debt per person.
Lopping would do nothing but send the country into high inflation as it has any other nation. Russia, Turkey, Afgan all after Lop had high inflation and still do. This is exactly why they won't LOP. This is already evident by the CBI's countless memos regarding avoiding inflation and I know you don't need me to post links cause I know you've seen them. Once the RV has been done I do see a LOP. At that point they would need to do a LOP to prevent the Dinar from going to high. So you will see a LOP but not till after the RV. I for one am not one that says it will go back to 3.20, but we will see somewhere between .10 to .30 and still a chance for 1 - 1.49 depending on how much Dinar they have bought back before the revalue. That's why you see many companies switching to Dinar. The CBI is trying to reign in as much as possible to speed up the RV. I think when the RV is done many people will be very suprised at the MO at that time. And we won't know the M0 till the RV is done. As I said before in a fiat based monetary system a country can use anything they want as a form of currency. So it's not out of the question for Iraq to use their oil reserves as a form of currency. Now tell me that any nation wouldn't take oil as a form of payment especially at a discounted amount. If you say no you're a fool. Especially with Iraqi oil being sold at a 30% discount. That's why we will see a RV first and a LOP second.
Good catch bigh41, wonder how that is?
Ema I do know the meaning and I think as a mod you need to calm down a little. Name isn't Dude. Many people read your posts and look to you for advice, that's fine. But if you site something out of context even a mod needs to stay in check.
Ema by deleting my post to FX still doesn't change the fact that in your statement below you are misleading people. Please if you speak of sharing the truth with people don't bend words to mean something they don't. This is not a personal attack just trying to make sure that things stay clear.
EMA - "They are saying pricing valuation in the markets will remain the same. No hyperinflation. IMHO"
Ema although much of this makes in logic sense the majority of analysts saw the Dinar prewar only actually worth about 1.50. Now I like your scenario better, but the reality of it will fall back on fair market value. Saddam had the Dinar overpriced so to say. I think the 1.50 mark is reasonable to start having it float to a possible higher level. I still believe that even though they will eliminate the higher notes they will do as you have said and remove them gradually so if 1 iqd = 1usd then 25k IQD note would equal 25k usd. Good post though. Your teacher seems to know a little, but a lot of it is still speculation.
Ema
First of all this is a blog, enough said. Second when the person that wrote it refered to the valuation being the same it was directed towards rebasing the Dinar(lop) and that in the end their money value would stay the same. Has nothing to do with hyperinflation. I agree with you on a lot of things ema, but don't throw things out of context.
The only scam that is here is the Fed and any central bank that has been created in any country. U have no concept of what is really going on or what has already happened.
The GDP would change. You mean to tell me that China only has, what did it say 4.7 trillion GDP. They should be way over that. They make practically everything. The reason their GDP is lower is because of the spread of what they make. They have kept that spread low to fuel expansion. Ex. Look at the philippines. I had the chance to goto manila when i worked at capital one. Now a pair of jeans, Levis, that they make cost 10 dollars a pair while in the US they are 50 or more. So you are saying if they increased the cost of the jeans sold there to 50 their GDP would not go up. That is crazy. The so called exchange rates have been pegged to the US dollar for a long time and are slowly moving away because the US can no longer support it's ability to pay back the debt it owes. That's why the US doesn't show the M3 because in reality it would show we are bankrupt. Go ahead try and find any legit source that shows our M3 and you won't.
GDP is defined as:The gross domestic product (GDP) or gross domestic income (GDI) is a basic measure of a country's overall economic output. It is the market value of all final goods and services made within the borders of a country in a year. It is often positively correlated with the standard of living,[1] though its use as a stand-in for measuring the standard of living has come under increasing criticism and many countries are actively exploring alternative measures to GDP for that purpose.[2] GDP can be determined in three ways, all of which should in principle give the same result. They are the product (or output) approach, the income approach, and the expenditure approach. The most direct of the three is the product approach, which sums the outputs of every class of enterprise to arrive at the total. The expenditure approach works on the principle that all of the product must be bought by somebody, therefore the value of the total product must be equal to people's total expenditures in buying things. The income approach works on the principle that the incomes of the productive factors ("producers," colloquially) must be equal to the value of their product, and determines GDP by finding the sum of all producers' income.+
GDP = private consumption + gross investment + government spending + (exports - imports) Obviously our GDP is higher than many other countries based on this equation because government spending is included in GDP and our government spends more than any other nation 10xs over. If you took government spending out of the picture our GDP would be a fraction of what it really is. GDP used to be measured just based on the goods a nation sold, then services and investments were added as we moved away from a intrinsic monetary system worldwide. Again if say phili say sold 20 mil pairs of jeans a year and increased the cost there to make the jeans by only 2 dollars a pair their GDP would rise 40 mil dollars. i think for 2010 our % of government GDP is around 45%, that's not good. Before the Fed was created and the dollar was pegged to gold the US gov portion of GDP was below 10%. Which is where it should be. Our public debt is almost 120% of our GDP. What does that tell you.
Sparkplug
If you want to look at it from a GDP stand point of view, RV the Dinar to equal the US dollar and then tell me what their GDP would be?
Sparkplug
You can't look at it that way. For starters the US won't even release our M3, because they don't want the public to really know we are broke. GDP doesn't mean anything unless there is physical intrinsic value involved. As I said before we are a service nation and you cannot by theory include monies earned in this manner. You can't trade insurance or say a airline, this is were derivatives came into play and is what makes up the majority of the so called wealth in the world. It's just numbers on a screen.
Again FX this quotes M1. I bet you don't even know what type of money system all currencies circulate under. As of 12/31/09 there was 888.3 billion us dollars in circulation as reported by the Fed. http://www.federalreserve.gov/paymentsystems/coin_currcircvalue.htm
Now 300 mil of that was in notes like the 500 to 10000 that can be used but are removed when they come in and are mostly held by collectors. So we can reduce that number to 888 bil. The 888 bil is all paper currency and coin but the majority of it is held by large institutions and foreign countries. In reality there is probably only less then half that in actual circulation, around 300 bil. The same can be said for any other currency in the world. Now here comes your lesson and you will want to pay attention.
The US as any other country operates on a Fiat money based system. What that means is that the paper money and coin that exchange hands is worthless itself. It is basically just a promise. Money is in fact nothing but debt. By creating the Federal Reserve Bank and creating amendments in the constitution the government in fact broke the laws of the constitution. The other form of money based system is intrinsic. This is something the US used to be until they removed all the silver from coins, creation the Fed and removal of the US dollar being pegged to gold and actually being able to exchange the bills for it's equal value in gold at any federal reserve branch located in the country. In reality the Fed is actually the biggest Ponzi scheme ever created by man. It makes Madof look like Mickey Mouse.
So now that you understand what type of money system we use we can go further. Being that the US dollar is backed by power and a promise if we wanted to we could use seashells as a national currency. A nations wealth is only measured by it's ability to pay the debt back. Hence I mentioned to you money is actually debt. So what is iraqs MO, which is the actual notes/coin money in circulation and notes/coin in bank vaults. Well we know from looking at the CBI website what Iraqs M1 is. This of coarse is the notes/coins in circulation outside the Fed and vaults of depository institutions, travelers checks of non bank issuers, demand deposits, and other checkable deposits (OCDs), which consist primarily of negotiable order of withdrawal (NOW) accounts at depository institutions and credit union share draft accounts. M1 does not include currency held in bank vaults, only M0 and MB do. Now if this to much for you take a break.
Ok so lets say you deposit 1000 dollars into your checking. The bank only keeps 100 dollars in reserve and loans the other 900 out. This again shows how money itself is nothing but debt. Now originally the US dollar was pegged as the world reserve currency. Now that we are a service based economy and really don't make anything anymore you can see why many nations are no longer or don't want to be pegged to the US dollar. Which leads us to Iraq. Since paper/coin is basically worthless we have to look at a countries ability to payback money/debt. Now I would wager that anyone would look at Iraq with their 300 bil plus barrels of oil and not even question their ability to pay anything. The one key factor that has kept them down is the unfair valuation of the Dinar after the war. It's no question that Iraq can pay back any PTP based on their natural resources. Which in reality in this day and age is more valuable then a service sector.
You can't look at currency like a stock which is what you have tried to do in the past. You can't say oh they have more currency so the value of there currency is less. Look at the US. We primarely just sell stuff and service stuff but our currency is valued much higher than many other. This has again be based on our power and ability to pay. Iraq has actual physical or intrinsic value. Which in the long run makes it more valuable then the US dollar. Look at it this way, say you are a bank and you have 2 companies coming to you for a loan. One is a services based/fiat company like insurance the other is an intrinsic/hard value company like a natural gas company. Now although the insurance company has less overhead and a higher profit margin the natural gas co is still ahead because it produces a physical product.
This is why many companies that are valued on the stocks are way over priced because they really have to intrinsic value. So to sum it all up as I said before, Iraq does not have 26 tril Dinars in M0 circulation. Even if they did they could back that with oil reserved as a form of currency. Remember in a fiat money based system anything can be used as currency, because it's only tied to power and the ability to pay the debt back. I hope you have learned something and if you want to sign up for my expert economics class it's only a 49.99 fee. Have a day!!!!
Wlll if Kuwait is half of what Iraq is that would put the Dinar between 1 dollar and 1.50. Thanks for supporting the RV FX35. You're posts further shows that Iraq can do a RV based on their M1. Good find, way to go.
Iraq1370
Regarding your PM. If that is the case then u can expect Iraq to do the same as the US and just phase them out but they will still retain their value. If I have a 5k us note today, it's still worth 5k.
Iraq1370
Where did you hear this?
Thanks Turnner
There is still no expected date of RV and believe me I have been searching. Still no confirmation of a cash in timeline either. What I do know is that there have been freighter boat after freighter boat going into Iraq for awhile now. It's almost IMO going to be like black friday. Ema has always been a little more on the link side than myself. I am more of an analyst. It is my personal opinion that the whole delay with Iraqs RV has to do with the new Gulf Currency that we will hear more about 3/30. There is no other reason for Iraq to of held out this long except to plan a merger with the other nations in the new GC. In order to do this they have to do 1 key thing. RV their currency. As I mentioned before about this and no one really paid attention to me. Once the new GC is created and Iraq comes aboard the middle east will be a powerhouse like never seen before for 10-15 years. When ema kept talking about a novel event he was right. For the 1st time in history a developed nation will be used to kickstart the entire world economy. Look at it like this, if you were playing the 85 bears and saw the Fridge coming at ya what would you do, get the hell outta the way. The US is doing everything it can at this point to keep the dollar from dropping: possible restrictions on precious metals futures, possible restrictions on foreign investments and the list goes on and on. You can bet when it's said and done few currencies will be pegged to the dollar. The US knows it. Why do you think there is such a push on China all of a sudden. Our economy is hanging by a thread and the rest of the world knows it. Consumption and the service sector can not be factored into GDP and face it besided defense contracts that's all we really have. One thing that has always amused me is how people have always said the US is the greatest country on this planet. The funny thing is most of those people have never been out of the country. And if someone you know comes into money and you ask them what they are going to do, they say move out of this country. The US is nothing but a old stag waiting to go to the slaughter house or left in some pasture. Obama will probably be the last president we have in what used to be the greatest nation on earth. Any after him will be pure political puppets no different than any other 3rd world country. From this point on people it will be dictators not presidents. I strongly urge you to establish foreign accounts now before any new laws are put into place to prevent us from doing so. Invest in gold, silver, emerging markets both currency and stocks. If you want to stay here that IMO is your best option. By the way I write tonight as I'm actually in Kuwait on my way to Iraq to meet some other investors regarding a deal we've been working on for 2 years.I wish u all the best of luck and be patient. Holding 8 mil Dinars now with my group holding 120 mil total.
Ema
Normally I agree with you on things, but support your local bank. Those A-Holes are the one that got us in trouble in the first place. One of the main reasons I left banking. They have cut bonuses to all the lower level people,but the big boys are still getting their bonuses. I will do everything possible to keep my money out of US banks hands. Most foreign banks charge half of what US banks do for foreign exchange fees.
VND next big meal ticket!!!!!!!
I would set up a private IRA under a small corp I set up years back and then transfer it
Swayguy
At this stage I don't think they will reschedule anything to keep the ball rolling
Tricky rick, whats up
I still believe RV especially with the convoy of trucks coming in. None of the Lopsters have been able to officially prove high M0. We just don't know the real M0. At the end of the day I believe we will all be very pleased.
Dear Warka Clients,
Please note that we have just been informed that Iraqi Customs will no longer permit courier companies to receive and deliver packages containing funds of any currency and strictly prohibits this matter locally.
Best regards,
Warka Bank for Investment and Finance
There goes that idea!!!!
If you are this chart does not represent the true M0. M0 is strictly cash paper money in circulation. So unless the Iraqis have a different defenition of M0, this chart is showing total assests both foreign and domestic held by cbi not M0 paper and coin currency in circulation.
GBD do you mean sheet 2
Tech Stock Bob I'll look into that.
Final results of election Friday, says IHEC chief
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You are in > Home / Baghdad, Latest News, Lead Story, Politics / Final results of election Friday, says IHEC chief
Final results of election Friday, says IHEC chief
March 21, 2010 - 03:28:02
BAGHDAD / Aswat al-Iraq: The final results of Iraq’s legislative elections will be announced on Friday, according to the Independent High Electoral Commission (IHEC) Faraj al-Haydari on Sunday.
The final results of the parliamentary elections in Iraq will be announced in Baghdad’s al-Rasheed Hotel at 07:00 p.m. on Friday,” Haydari said in a press conference.
He added that any party or bloc has the right contest the results in three days since their announcement, noting they will be published later on in Arabic and Kurdish at the official gazettes.
Haydari appealed to all political parties to “observe patience.”
“There are suggestions, not requests, by some officials to re-count the votes, which is very difficult because this should take 300,000 employees to be brought back to election stations,” he said.
Iraqi President Jalal Talabani and Prime Minister Nouri al-Maliki had asked for having the votes re-counted manually.
Meanwhile, IHEC spokesman Qassem al-Abboudi, during the same press conference, denied that the IHEC staff received threats.
“The IHEC has good relations with all partners in the democratic process including the presidency, the cabinet, the parliament and other officials,” Abboudi pointed out.
Ema
Wasn't the original amount put in circulation 4.5 trillion Dinar?
That's a 10-4 guys. I'm also joining Adam Montana's VIP. There is supposed to be a lot of post RV investment options going on. One he claims is 8% guar for 1 mil Dinar.
Gambling on Iraq's Slow Rise from Ruin
Gambling on Iraq’s slow rise from ruin
Hub investors bought bonds others shunned
By Farah Stockman, Globe Staff | March 21, 2010
WASHINGTON — Some count the kidnappings. Others count the suicide bombs. Still others count the deaths of US soldiers. But, in the saga of Iraq’s slow struggle toward normalcy, Robert Smith keeps track of something far more obscure: the price of Iraqi governmentissued bonds.
Smith, one of Boston’s most intrepid investors, has made his fortune betting on the world’s most dangerous places. Dubbed the “Indiana Jones of International Finance,’’ Smith buys IOUs from governments so unstable that few others will touch them.
From an office that overlooks Boston Harbor, Smith can recall when Iraq looked like a terrible gamble, as sectarian violence raged and the country slid toward a civil war. But now, a week after Iraq’s historic election, his bets are paying off: The price of Iraqi bonds has doubled in the last year, recently hitting their highest value ever.
“Iraq has the potential to vault past other countries’’ to become a top oil producer, said Smith, a 70-year-old debt merchant whose recent book, “Riches Among the Ruins,’’ details his investment adventures.
The story of Iraqi bonds is, in many ways, the story of the troubled nation itself. Issued to clear $2.6 billion of Saddam Hussein-era debts, their value reflects the ebb and flow of war, declining when the insurgency rages and rising as violence subsides.
Iraq is still fraught with chaos, as newly elected leaders wrangle over power and struggle to form a governing coalition. In two months, US troops will prepare to draw down to 50,000 by the end of August, from about 90,000 now — another big window of uncertainty. But civilian deaths are at their lowest levels since the beginning of the war, down from some 3,500 per month to a few hundred. Since December, three US soldiers have died because of hostilities in Iraq, down from more than 100 monthly at the height of the war. Half as many Iraqis applied for refugee status last year as the year before.
But of all the signs of hope for Iraq, some see the value of government-issued bonds as the best predictor of long-term stability. Violence flares periodically, but the price of a bond is based on educated guesses about what the country will look like decades into the future, founded not on politics or ideology, but on a businessman’s bottom line.
“The only thing the bond market cares about is whether a functioning Iraqi government will be there in the future to make the promised interest payments,’’ said Michael Greenstone, an MIT economist. Bond traders take bombings, oil production, and myriad other factors into account when they decide what these bonds are worth, making their price the best aggregate of all that data, he said.
In 2007, Greenstone tracked the value of Iraqi bonds to determine the success of the US military surge, and concluded at the time that Iraq’s prospects still looked murky. But last week, he analyzed the data again — comparing Iraqi bonds with similar bonds from other developing countries. He found a striking change.
“The market’s assessment is that the prospects for a functioning Iraqi state in the future have improved dramatically,’’ he said.
It takes great patience — and not a little chutzpah — to squeeze a profit out of Iraq’s debt, which mounted in the 1980s during a devastating war with Iran. Hussein borrowed an estimated $130 billion, then he invaded Kuwait in 1990.
Iraq got slapped with war reparations and UN sanctions. As debt piled up, Iraq defaulted. But after the 2003 US-led invasion, the Bush administration sent former secretary of state James Baker III around the world, arranging deals that forgave 80 percent of what Iraq owed. To clear the remainder, some creditors were given new bonds in 2006 that pay out 5.8 percent interest annually, and larger amounts as they mature in 2028.
But Iraq’s future was so tenuous then that most investors didn’t think the bonds were worth much. It was unclear what kind of government would take shape in Iraq, let alone whether it would be stable enough to keep its promises to creditors.
In other words, it was the kind of environment that Smith and his partner, Saleh Daher, thrive in. They reap great profit — and take great risks — going “where the Wall Street boys don’t want to be,’’ Smith said, although he declines to provide specifics of their financial performance. Their company, Turan Corp., operates out of a modest office on Federal Street, overshadowed by the financial behemoths of Boston. But in the world of emerging markets, they are legendary.
In 2004, before Iraq even issued its new bonds, Smith and Daher traveled to Baghdad to figure out how to buy them. The country was in ruins. Kidnapping was rife. More than 140 suicide attacks struck that year.
“We stayed at a hotel that had the virtue of already having been bombed,’’ Smith recalled.
Smith, a Brookline native who graduated from Roxbury Latin, Bowdoin College, and Boston University Law School, became a USAID loan officer in Vietnam in the late 1960s to see the world. After stints in El Salvador and Brazil, he returned to Boston to work at his father’s law firm, which specialized in debt collection.
When Smith was hired to go to Turkey to collect a debt, he realized that he could make money buying up Third World government bonds — sometimes called “jungle bonds’’ — for pennies on the dollar. Smith would hold them until the countries could pay or until another buyer came along.
Smith, who enjoys the moniker “the King of the Jungle Bond,’’ hunted for business where capital markets had not yet taken root — Nigeria, Honduras, Russia — pioneering what is now a trillion-dollar industry.
Although Iraq was in turmoil, Smith and Daher thought it was a good long-term bet because geologists estimate Iraq has enough untapped oil to one day rival Saudi Arabia as the world’s largest exporter. On top of that, Baker was all but erasing Iraq’s debt, and Smith didn’t believe that the US government would let Baghdad default on what was left.
From 2006 to mid-2007, as beheadings and attacks mounted, the value of the bonds dropped from $73 to $56 on a $100 bond. But after the surge of extra troops ordered by President Bush began to slow the pace of killings, the price shot back up to $74.
At the end of 2008, the world financial meltdown sent the bonds into a nosedive — to $40 — after investors panicked or were forced to unload the bonds to raise quick cash. Luckily, Smith and Daher had a client who wanted to move the money elsewhere, so they sold the bonds just before the crash. They bought them back again as the bonds began climbing steadily through 2009 as the world economy — and Iraq itself — stabilized.
The bonds hit their highest value ever — nearly $84 — in January 2010, the same month that civilian casualties hit an all-time low, according to Pentagon officials.
Michael O’Hanlon, who tracks indicators of progress for the Brookings Institution’s Iraq Index, said that “Iraq has continued its remarkable trajectory of improvement.’’
“It is still fairly violent by Mideast standards, but many countries in places like South America have higher overall levels of violence now from crime,’’ he said.
Traditional Wall Street investors have taken note. Iraq is now considered a safer bet than Argentina, Venezuela, Pakistan, and Dubai — and is nearly on par with the State of California, according to Bloomberg statistics on credit default swaps, which are considered a raw indicator of default risk.
“Compared to California, I’d rather bet on Iraq,’’ Daher said. “Iraq is a country where there are still bombs going off and people getting murdered, but they are less indebted than the United States. California is likely to have more demands on its resources, and there is no miracle where California is going to have more revenue coming out of the sky. Iraq has prospects for tremendously higher revenues, if they can manage to get their act halfway together, which they seem to be doing.’’
Smith and Daher are keeping their Iraqi bonds, but they aren’t buying any new ones. Now that other investors have returned to Iraq, prices are high, so Smith is looking elsewhere. Perhaps that is one of the strongest signals yet that normal life is returning to Iraq: Bob Smith is getting out.
http://www.boston.com/news/nation/wa...m_ruin?mode=PF
Blue99
the rate Saddam set could only be got in Iraq. So if you wanted 3.30 per 1 IQD you had to goto Iraq.