When the lop is enacted. There will be an exchange period for IRAQIS to exchange their currency. All of it, not just 25K notes. All currency will be exchanged.
No one knows at this point how long that exchange period will be. It was 3 months the last time Iraq exchanged currency. In other lops, I’ve seen up to a year given. There have also been cases of as little as 3 or 4 days given to exchange. I think Iraq will give 3 months again, but that’s just a guess.
Now… worst case for people holding cash outside of Iraq…. Iraq may announce that all currency outside of Iraq was illegally smuggled out and not allowed back into the country for exchange. If that happens the dealers will have a hard time getting it back in to the country, so they will be hesitant to buy it back
Best case for foreign cash holders. Iraq doesn’t crack down on currency returning and they give about 6 months for exchange. That will give plenty of time for the dealers to buy it all back and get it into Iraq for exchange. Dealers will still charge quit a fee for this.
Dow Jones Newswire: A current 25,000 Iraqi dinar banknote will become IQD25, and a dollar will equal only 1.17 dinars.
