305 replies to this topic

[SWFloridaGuy]

6-26-2012 SWFloridaGuy: There was an excellent article released. "The Iraqi Parliament and the Finance Committee supports the Central Bank of Iraq (CBI)’s efforts to revalue of the Iraqi Dinar through the removal of three zeros from the currency. The removal of three zeros is expected to raise the value of the Dinar as well as facilitate dealing with the currency and the payroll system in the country." Here's my interpretation of that article and the result of my research up to this point: No country has ever accomplished what Iraq is about to. They have reached this stage with a lot of help and I propose this is by design and all part of the ingenious reconstruction plan for Iraq. Economic policy is influenced by international capital markets and also by foreign central banks. This revaluation is how the government of Iraq will reassert monetary sovereignty, dedollarize and give the citizens confidence in the national currency. Many overlook the psychological aspect and simply focus on the economic implications. Establishing their credibility is also a major factor, not only with their own citizens but also with international capital markets. Iraq must revalue their currency if they ever hope to be respected as a borrower and a location for private investment in the eyes of global capital markets. This is NOT going to be a case of redenomination. The Iraqi dinar is not being recalibrated due to years of struggling with hyperinflation. They are one of the wealthiest countries in the world and soon their currency will reflect that. These foreign central banks that have invested so heavily into the reconstruction of Iraq will prosper and Iraq's debts will be paid. FACT: Democratic governments only redenominate in response to hyperinflation. FACT: Authoritarian governments only redenominate in the presence of civil conflict. Neither of these conditions describe Iraq. I believe once the zeros are removed from the IQD the large notes will retain their value. I also believe a rate somewhere on par with the USD is realistic. Anywhere close to equal the USD would make it a historic revaluation. In my opinion this has all been part of a very well-orchestrated plan and the end result will be a very favorable outcome for all parties involved. We will see the removal of the zeros and a simultaneous revaluation of the currency. Locally the currency may be exchanged at branches of the Rafidain and Rasheed banks. The Iraqis will have a time limit to deposit all their dinars to facilitate the change into the lower denoms. Iraq is positioning themselves to become economic leaders both regionally and globally and no longer will they be isolated from the international community. Iraq got to where they are today with a lot of help. They received this help, not because they are a charity case, but rather because (like we do) others see Iraq's potential. Therefore in order to profit themselves, they have been willing to offer assistance in the reconstruction, rebuilding the infrastructure and revitalizing the banking sector, thus helping the CBI institute the framework for a functioning monetary policy that achieves stability. Simply put, a revaluation is an upward change in the currency's value and that is what is on the horizon for the Iraqi Dinar!

[KamelKeeper]

I love this guy!

[Boozer]

Thats good news today, BUT tomorrow it will be somethig else. these people flop around like fish out of water..MY Fav.. IN THE COMING DAYS... What the H____ does that mean ???

[DinarThug]

MY Fav.. IN THE COMING DAYS... What the H____ does that mean ???

Soon .....




Thx For The Upbeat Post SWFG !

[wpsmit]

IMHO, the removing of the 3 0's has always referred to removing from the rate, not the bills themselves. Hence .00086 becomes .86; Dinar becomes closely = the $, it presents the easiest transitions for the Iraqis, and it makes all of the investors (particularly governments and world banks) a very nice profit.

Pipe dream? Maybe. Links to back up my opinion? Nope - just what my logical mind says to me based on 13 mos of reading, looking up, and digesting information.

[sandstorm]

"Revalue through the deletion of three zeroes". The rd will lead to the ability to revalue the dinar. Now, this is clearly saying lop, but you copy it from the news section and title it (no lop), as if to create excitement?? Your opinion may be good natured, but the meat and potatoes dont line up with your opinion. they may never pull off deleting the three zeroes, the economic and political situation isnt good.

Its all gravy, you think this is amazing news......your opinion must be altering what deleting zeroes has always meant.

Edited by sandstorm, 26 June 2012 - 10:25 AM.

[shabbadude]

Makes sense that Iraq would be beholden to the US and other nations and entities that are assisting them in restructuring their country. I think that the guys popping up lately espousing their theories that we will all get shafted (plausible, not likely) are not taking into consideration the simple fact that Iraq owes a lot to very powerful entities (US) and the agreements made to obtain that assistance are not something that we will ever be privy to.

Keep up the great work SWFG!

[SWFloridaGuy]

"Revalue through the deletion of three zeroes". The rd will lead to the ability to revalue the dinar. Now, this is clearly saying lop, but you copy it from the news section and title it (no lop), as if to create excitement?? Your opinion may be good natured, but the meat and potatoes dont line up with your opinion. they may never pull off deleting the three zeroes, the economic and political situation isnt good.

Its all gravy, you think this is amazing news......your opinion must be altering what deleting zeroes has always meant.

You refuted none of the facts I mentioned that relate to conditions that lead countries to redenominate rather than revalue. If you were the CBI would you tell the world you were about to revalue or would you make them think you would redenominate? We have to look at history here and the criteria for each scenario. This will not be a lop. I am not here to create excitement, as I said I am giving my opinion based on years of research. Please enlighten me as to why a redenomination is the only possible outcome and why you know that to be the case. Prove to me how Iraq fits this criteria because THEY DO NOT!! I respect your right to voice your "opinion," respect mine without saying I'm here to create excitement. I very much resent that.

Edited by SWFloridaGuy, 26 June 2012 - 10:35 AM.

[powerpager]

Good Post !!!

[Mxmann]

Why do sooo many people in this investment want a LOP? For those who want a lop, and beleive in a lop, you really don't have a clue!!! Simply put, take your bank account, would you want to remove 3 zeros off your balance? I don't think so! I know you don't have to pay a bunch of speculators back for anythng, like Iraq does, but when they revalue, WITHOUT a lop, they simpy increase their worth all around! I know, they have to pay back the speculators, but when you give them your dinars, and they give you dollars back, they now have all the dinars, and they are still worth 100 time, 860 times, 1000 times, or 3,860 times what they are worth now, depending on what they revalue at! They want to revalue, maybe more than we want, but they have some hoops to jump through, and they are getting there! Don't worry people, its like going on a long car ride. We argue who is gonna drive, who sits where, where we are going to stop, we might have a flat tire, and they kids in the back always asking, are we there yet! As painfull as the ride is, you do get there!

[sandstorm]

You refuted none of the facts I mentioned that relate to conditions that lead countries to redenominate rather than revalue. If you were the CBI would you tell the world you were about to revalue or would you make them think you would redenominate? We have to look at history here and the criteria for each scenario. This will not be a lop. I am not here to create excitement, as I said I am giving my opinion based on years of research. Please enlighten me as to why a redenomination is the only possible outcome and why you know that to be the case. Prove to me how Iraq fits this criteria because THEY DO NOT!! I respect your right to voice your "opinion," respect mine without saying I'm here to create excitement. I very much resent that.

First, let me say i respect your opinion.

Do you believe the cbi is pre-announcing to the world a 1000,000% increase in the value of the dinar? Central banks do not do this. the cbi has used several critical, key analogies when describing this event. The value doesnt change, two currencies in the market, 1000 old =1 new, replacing the current currency. all those are exact descriptions of a rd/lop.

why would the cbi let you buy 5,000 dinars for 5 bucks, announce a rv 6 months out, so they can pay you $5000 for the $5 dollars you paid for it?? Do you understand the unlimited liability and complete destruction of any such plan, by issuing this 6 month notice to the world. common sense will lead people to the understanding.

why we think a lop will or wont happen is irrelevent. it doesnt matter why, the cbi has been given a media blitz for a long time on this rd process. this article clearly says a lop will lead to the ability to raise the value of the dinar. the frequency and the intrinsic details should start to open eyes. the main reason they give to doing this....is the large cash bloc and given the official, audited statistics which shows 60 trillion in m2, this should be expected.

Im not trampling your opinion. i just dont agree with it on the foundation youve built your opinion.

[duckyboy]

Makes sense that Iraq would be beholden to the US and other nations and entities that are assisting them in restructuring their country. I think that the guys popping up lately espousing their theories that we will all get shafted (plausible, not likely) are not taking into consideration the simple fact that Iraq owes a lot to very powerful entities (US) and the agreements made to obtain that assistance are not something that we will ever be privy to.

Keep up the great work SWFG!

I agree..... the one thing that is not mentioned is WHY on earth is are these LOPers here? If this is what they truly believe then they are wasting their time here and anyone who wastes their time, on anything, is not too bright. Then why would anyone want to listen to a person that is not bright? Take Hammerman, for example, he may call him self a "smart redneck," which is an INSULT to all rednecks because of his lies and manipulation of the truth.

Just don't listen to the LOPers...

[Tropics]

First, let me say i respect your opinion.

Do you believe the cbi is pre-announcing to the world a 1000,000% increase in the value of the dinar? Central banks do not do this. the cbi has used several critical, key analogies when describing this event. The value doesnt change, two currencies in the market, 1000 old =1 new, replacing the current currency. all those are exact descriptions of a rd/lop.

why would the cbi let you buy 5,000 dinars for 5 bucks, announce a rv 6 months out, so they can pay you $5000 for the $5 dollars you paid for it?? Do you understand the unlimited liability and complete destruction of any such plan, by issuing this 6 month notice to the world. common sense will lead people to the understanding.

why we think a lop will or wont happen is irrelevent. it doesnt matter why, the cbi has been given a media blitz for a long time on this rd process. this article clearly says a lop will lead to the ability to raise the value of the dinar. the frequency and the intrinsic details should start to open eyes. the main reason they give to doing this....is the large cash bloc and given the official, audited statistics which shows 60 trillion in m2, this should be expected.

Im not trampling your opinion. i just dont agree with it on the foundation youve built your opinion.

For the life of me I will never understand why you pro lopsters are invested in the dinar.

[sandstorm]

Listen, im using common sense and the cbis own words and statistics. if you and all the others think this awesome...have at it.. im not here to convince, persuade, or change anyones opinions. Im stating the obvious in the article. ill leave how all this will really happen to you.

This is my comprehension of the article...........none of it is my speculation. i dont care to be negged for having a civil conversation. it seems my place isnt on this site. later

For the life of me I will never understand why you pro lopsters are invested in the dinar.

Understanding and interpreting an article is totally different from my opinion and speculation of this investment. dont be so quick to label and sanction someone before you care to find out more of where their coming from

[SWFloridaGuy]

First, let me say i respect your opinion.

Do you believe the cbi is pre-announcing to the world a 1000,000% increase in the value of the dinar? Central banks do not do this. the cbi has used several critical, key analogies when describing this event. The value doesnt change, two currencies in the market, 1000 old =1 new, replacing the current currency. all those are exact descriptions of a rd/lop.

why would the cbi let you buy 5,000 dinars for 5 bucks, announce a rv 6 months out, so they can pay you $5000 for the $5 dollars you paid for it?? Do you understand the unlimited liability and complete destruction of any such plan, by issuing this 6 month notice to the world. common sense will lead people to the understanding.

why we think a lop will or wont happen is irrelevent. it doesnt matter why, the cbi has been given a media blitz for a long time on this rd process. this article clearly says a lop will lead to the ability to raise the value of the dinar. the frequency and the intrinsic details should start to open eyes. the main reason they give to doing this....is the large cash bloc and given the official, audited statistics which shows 60 trillion in m2, this should be expected.

Im not trampling your opinion. i just dont agree with it on the foundation youve built your opinion.

I respect your opinion also but if you think for a second anything you've said has influenced my opinion in any way you are underestimating my convictions and confidence in my own research. I see you in this forum every day. If you truly believe there is no possibility to make a profit here, then I would say it's quite foolish to pursue this so vigorously. I have friends who do share the view you claim to and they have all put their dinar in a safe and moved on with their lives. This tells me you are once again fishing for encouragement and reassurrance by posing your doubts to the room.

[caz1104]

opinions pro or con are valid for they are just that....................opinions. Seeing as nothing in regards to this investment can be proven as fact other than words spoken(which may or may not end up being true) by Iraq,opinion & speculation is all thats available. History of what other countries have done can be used as examples of the possibility of what may happen.Buuuuuuuuuut can't be used as fact for it has not yet been proven as such in Iraq. P.S. for my buddie Dinarck..................GO RV!!!

Edited by caz1104, 26 June 2012 - 11:10 AM.

[utvolfan]

I hope that SWFGUY is right. However, he fails to recognize two very important aspects:

1) The Iraqi Dinar CURRENCY is hyperinflated. That's why there are so many zeros on the notes!

2) The CBI has said time and time again that they will proceed with a re-denomination that includes the "lifting, raising, dropping, or remove" the zeros. If this process was to "retire" the big notes, then that process would not reduce the amount of currency in circulation, which is ANOTHER stated goal of the CBI.

If SWFGUY can address those two aspects, then I will agree with his theory.

I am just listening to what the CBI says. The CBI has done everything they said they would do. Why should we suddenly think they are not telling the truth now?

What dinar guru has been right anything, anytime, anyplace?????

[SWFloridaGuy]

opinions pro or con are valid for they are just that....................opinions. Seeing as nothing in regards to this investment can be proven as fact other than words spoken(which may or may not end up being true) by Iraq,opinion & speculation is all thats available. History of what other countries have done can be used as examples of the possibility of what may happen.Buuuuuuuuuut can't be used as fact for it has not yet been proven as such in Iraq. P.S. for my buddie Dinarck..................GO RV!!!

I agree with that. Good post.

[jackster]

So, let's talk about that "revalue after the redenom".

First, it has been stated that the current exchange rate is 1 IQD = US$0.00086. After removing 3 zeros 1 IQD = US$0.86 as pointed out by wipsmit.

Second, the Dinar was $3.22 as late as 1989. So, that's what many people have been hoping for. Hoping to turn back the world economies almost one quarter of a century.

Third, many are changing their hopes and predictions to a US$1 = 1IQD exchange rate. At least, that what many in here are saying. This one is more reasonable.

After the removal of 3 zeros, the IQD = $0.86. A 16% in value of the IQD would make it reach US$1.00. Thus, you have IQD = US$1. Just what everyone has been hoping and predicting.

A 16% increase can definitely happen. In order for it to reach $3.22, that would require a 374% increase.

A revalue does not necessarily mean that the value will go up. It could go down. It is possible.

The large notes will NOT retain their value. 25K note will be replaced by 25 note.

Here is a good read from Layna Mosley, Dept. of Political Science, University of North Carolina. Dropping Zeros, Gaining Credibility? Currency Redenomination in Developing Nations I think this person might know a thing or two about RDs. She'd also be a qualified member for any debate team. This is a real researcher.

As for establishing pride or creditibility, Indonesia has also been looking at an RD in 2011. "The issue, raised by Bank Indonesia last year, has drawn controversy, although the spirit of the policy is to increase national “pride” in our currency, the rupiah." and "The most important benefit of redenomination is restoring the credibility of policy makers." and "Another advantage of (successful) redenomination is convenience." Planned rupiah redenomination for national pride? The writer is the head of the Center for Business and Economics Studies, Ma Chung, University, Malang. I want this person on the debate team.

Currency values remain the same. What Effect Does Re-Denomination Have on Financial Statements? Read more: What Effect Does Re-Denomination Have on Financial Statements? | eHow.com http://www.ehow.com/info_8691793_effect-redenomination-financial-statements.html#ixzz1yv5hYnvx "Although the value of the redenominated currency remains the same, some translation differences may happen as a result of rounding that took place at the cutoff period for the former currency." "Various countries have redenominated their currency a total of approximately 70 times within the last five decades, as of 2011."

[sandstorm]

I respect your opinion also but if you think for a second anything you've said has influenced my opinion in any way you are underestimating my convictions and confidence in my own research. I see you in this forum every day. If you truly believe there is no possibility to make a profit here, then I would say it's quite foolish to pursue this so vigorously. I have friends who do share the view you claim to and they have all put their dinar in a safe and moved on with their lives. This tells me you are once again fishing for encouragement and reassurrance by posing your doubts to the room.

Ive given nothing more than a description of what the article is saying. its a top story for the day, im giving my perspective and that it. id love to hear a response to the questions i posed of your opinion. if you do not wish to do so, thats ok. just dont minimize or try to justify my presense or the one square inch in dinarland im taking up.