Iraqi Dinar Discussion Board

[Aerospace]

Oil prices fell about 10% today. Now down to $35.35.
Iraq also just reported their oil production had dropped from about 2 miilion barrels a day down now to 1.6 million barrels a day.
That makes for barely over $20 billion a year from oil. Iraq is IN A WORLD OF HURT!

Iraq wanted a $100 billion budget for 09.
http://www.rigzone.com/news/article.asp?a_id=65418

Iraq then cut the budget to $67 billion... and that is still based on $62 a barrel oil.
http://www.javno.com/en/economy/clanak.php?id=198053


Bloomberg News

WASHINGTON — Iraq will have "severe financial problems" and probably will need to borrow money to close a budget shortfall if oil prices stay below $80 a barrel next year, the nation's ambassador to the U.S. said.
http://seattletimes.nwsource.com/html/nationworld/2008528984_iraqoil17.html?syndication=rss

Oil is now less than half of when that article was written. IRAQ IS SCREWED!!! There is no way they revalue their currency. Devalue is more likely at this point.

The US dollar problems are a totally different issue. But I can't see any positive in hoping for the value of the $ to fall to the level of the dinar... then you will have 2 totally worthless currencies.