Aljazeera: Call to delete the zeros of the Iraqi dinar

[MDrake]

Ran across this link last night and thought that everyone would like to take a look and give your opinions. First thing I have seen mentioning info about a strategy to raise the value of the Dinar.

My link

This link is actually to a article that came out right after the one above.

My link

[syzygy]

Links don't work

[frankc]

Links don't work.

[brighterdays]

Yes, Adam you treated this well. We are all in this together! A great move forward for all of us.

Thank you and Blessings to all!

Can you post the actual links? The shortcuts don't work for me. Thanks! GOOOO RRRRRRRRRVVVVVVVVVVVVVVVVVVVV!

[MDrake]

My apologies, how do I get the links to work? Do I just copy and paste them into the thread?

[moneyforlife]

The link doesn't seem to be working!

[pamela]

Hopefully this will quiet the lopsters! Great articles.

Thank you!

[MDrake]

I tried to just copy and past and it keeps giving me the dont promote other sites with the link.

Edited November 14, 2010 by MDrake

[brighterdays]

Yes.

[sarasota]

heres the article, it was posted months ago

AlJazeera: Strategy to raise the value of the Iraqi dinar (08/04/2010)Posted: November 13, 2010 by Justhopin in Iraqi Dinar/Politics

Tags: Iraq, Currency, middle east, exchange rate, Iraqi dinar, Central Bank of Iraq, Iraqi Central Bank, Economy of Iraq 0An Iraqi official announced the adoption of a new strategy intended to raise the value of the Iraqi dinar against foreign currencies.

The chancellor said the Central Bank of the appearance of Dr. Mohammed Saleh in a statement of the island, “I have been working for years to improve the value of the Iraqi dinar exchange, and was taking several measures until we came to the stability of its value at 1170 dinars to the dollar.”

He explained that he had talked with some fluctuations up and down according to the impact of the overall situation in Iraq in the absence of stability.

Reform Progress

He disclosed that the new strategy has begun the reform of management system of the national currency and payment system of Iraq, said that this will be the basis in the application of Istratejp to reform the currency. The Iraqi official was likely that these steps will take a year or more.

On the zeros added in the Iraqi currency, which made the value of the disbursement of land, Saleh said that the zeros added that high inflation rates since the Iran-Iraq war and the subsequent siege and invasion, and thus doubled the cash block several times.

In 1990, the cash block of 28 billion dinars, and became a six trillion dinars in 2003, and now stands at 25 trillion dinars. He said that this has become necessary to change the payment system because of the Iraqi economy on the verge of developing and producing oil major which leads to a large expenditure.

According to the adviser at the CBI, the new strategy will transform the current monetary mass (25 trillion dinars) to $ 15 billion through the adoption of coins and the few Iraqi currency.

And the ability to withstand the Iraqi dinar against foreign currencies, Saleh said that “the Iraqi economy is strong and has great resources to qualify to stand in front of foreign exchange if there are economic and monetary policy is correct, and political and economic stability and security.”

He expressed optimism that the Iraqi economy will recover, which is reflected in the rise of the dinar against foreign currencies.

Relative stability

For his part, said a banking expert, Mohammed al-Samarrai said the Iraqi dinar is witnessing a relatively stable for the time being, and security conditions influenced the rise and a slight decrease is not as great as in the past.

He assured the island revealed that the dinar is witnessing now balanced and influenced by a simple economic decisions and the political right in the exchange rate, no prejudice was balanced.

He hoped that the high value if foreign investors have entered the Iraqi market, or if there is openness towards the private sector. He called Samurai to the reconstruction of the many industrial projects that have been stalled as a result of the blockade and invasion which led to the destruction of industrial facilities equipment.

He pointed to the neglect of a giant 36 factories in the past seven years. And the actions necessary to raise the value of the dinar against foreign currencies, “said Samarrai, including the stability of security and political situation, and make decisions and laws that encourage the private sector and supported by, and encourage the entry of foreign and domestic investment, and encourage the return of talent to rebuild it.

Surplus oil

The Iraqi banking expert Mohamed Kamel Hussein said that there was a perception among the Iraqi Central Bank to raise three zeroes from the value of the dinar, by issuing a new currency to improve its value.

However, he believed that the lifting of the three zeros will not change anything because the factors affecting the exchange of the dinar against foreign currency depends on the surplus that is supplied by oil revenues.

And provides lift the productive capacity of large oil revenues diminish the value of inflation, and thus raise the value of the dinar by providing a surplus of foreign currency.

The exchange value of the Iraqi dinar was the strongest region in the late seventies of the last century, but began to decline during the Iran-Iraq war before it could hit the siege.

Have fallen to their lowest levels during the U.S. invasion in 2003, amounting to U.S. dollar exchange rate four thousand Iraqi dinars

http://bit.ly/9ARsbK

[MDrake]

This is the one I was actually trying to put on, not the last one just posted.

Aljazeera: Call to delete the zeros of the Iraqi dinarPosted: November 13, 2010 by Justhopin in Iraqi Dinar/Politics

Tags: Iraq, Dinar, middle east, Gross domestic product, Business and Economy, Iraqi dinar, Central Bank of Iraq, United States dollar 0Called for an Iraqi bank to delete the zeros of the current Iraqi currency, having seen the great inflation since the beginning of the embargo on Iraq in 1990. Experts felt that the time is still too early to take such a step.

The price of the Iraqi dinar exchange during the siege to three thousand dinars to the dollar before it becomes 1116 dinars to the dollar to settle at this level during the past two years.

He says the appearance of Mohammed Saleh adviser at the CBI of the island revealed that the financing of the budget for public release by the cash over the past decade and until the end of 2003 led to a growing cluster of cash with low purchasing power. Thus, what is said in the economy that a large block of money chasing a small quantity of goods has come to apply the economic situation in Iraq.

He adds that the benefit of structural alteration in the levels of wages and prices was accompanied by a rise in liquidity, more suited to the stage of deterioration of the growth in real GDP and rates of negative compared with the rate of population growth. Growth did not exceed 1% at best to meet the average annual inflation increased to 50%.

The money supply which did not exceed forty billion dinars in the early nineties ended in 2004, about six trillion dinars.

Throughout the duration of the economic blockade and the deterioration of the value of the cash with a high general level of prices increased the nominal value of the currency of the largest category of cash is 25 thousand dinars to 25 dinars. But the 25 dinars in 1979 was worth $ 75, while the category of 25 thousand dinars – the largest category – is worth only $ 23 U.S..

On this basis and in line with price stability after the changed wage and price structures in favor of the view that the economy needs to be equivalent to categories of what it was the economy in 1979.

He says he can not be in favor of the issuance of the new money generated by real income today to serve the specifications when the economy was in a runaway inflation and the budget financed by borrowing cheap version of cash or funding to inflation.

And stresses that the program of raising the zeros is a reform program to facilitate the work of the payments system and facilitate the work of the Iraqi trade through the issuance of new categories fit the value of the gross domestic product and large cash transactions in the economy. It was noted that the use of United States dollars in payments and use the internal currency parallel assistance comes primarily because of weakness in the purchasing power of the categories of the Iraqi currency to cover the transactions, especially the big ones.

And adds the benefit that there are major disruptions in the movement of funds between citizens and between citizens and the banks by the circulation of more than four trillion paper reviews more than $ 27 trillion dinars, which requires re-installed, to reach a few billion, equivalent to 27 trillion dinars, without causing an imbalance in the rights, obligations and contracts

Dissenting opinions

The Director of the Iraqi Islamic bank on behalf of the entire island in an interview revealed that the time is appropriate now because the economy is thriving well, as well as the actual output of oil export revenues that were not used correctly for the reconstruction and development and the rebuilding of infrastructure, which makes the value of the item, the largest much of the value of the currency.

Thus, the lifting of zeros is not appropriate now because the more assets the companies and the Iraqi banks still shares valued at the Iraqi dinar.

He adds that in the case of lifting of zeros, this means refer to the value of the penny, this is not an appropriate time being. Physical therapy is the one who brings us the purpose to raise zeros.

Indicates the happiest bugsbunny economic expert to the Iraqi Central Bank of Iraq proposed the idea of deleting zeros several times, but ran into opposition for a lack of understanding and study of the topic thoroughly. For his part, encourages economic researcher Iraqi sea star in a press statement the idea of lifting the zeros from the currency

http://bit.ly/9ARsbK

[sarasota]

Yea these articles are from the same newspaper. printed the same time.