Heats up debate on the process of deletion of zeros from the currency

[yota691]

Heats up debate on the process of deletion of zeros from the currency

02/09/2012 2:02 am

During a seminar held by ((morning))

BAGHDAD - Haider Flaih Rubaie - Hussein Tgb Tamimi

discussed Economists process of deletion of zeros from the Iraqi currency, and the order of the positives that can be reflected on the overall economic activity in Iraq or cons able to affect the business process The overall financial, and as Deputy Governor of the Central Bank that the disintegration of the monetary system in the country is a clear lack of overall political process, wave specialists others participated in the seminar that the process requires timelines testify during the economic reality of Iraq more stability, which otherwise is witnessing now According to specialists. said deputy central bank governor Dr appearance of Mohammed Saleh during the seminar a debate organized by the morning yesterday on the process of deletion of zeros from the currency and with it, it's positives or negatives regarding the economic process as a whole: that Iraq suffers from the influence of the mass cash enormous estimated at 35 0.3 trillion dinars caused an increase inflation to dangerous levels, which called for initiating change currency and deleting three zeros them in order to shrink as it believes the use of categories of small cash. pointing out that the deletion will be produced by issuing classes cash small up to 25 fils order filling a need transactions small future, stressing that the Iraqi dinar currently covered well and cash value estimated at more than $ 60 billion, a cap could keep the value of the dinar from all economic variables that could face the country. was Saleh, who gave Mahazerh first Symposium has answered a number of questions that guide the participants in the same order, as explained during his answers to the financial value of the dinar after the change will maintain its position fully, denying that you get some imbalances in the process transactional to banks and banks with customers who deposited their money before the deletion of zeros. Despite what was said in favor of the positives can be realized after the deletion, but the president of the Association of private banks Abdul Aziz Hassoun wondered about the feasibility of the change in value of financial standing after the deletion, saying at the same time: what will result from the deletion of zeros, from the comfort of the use of the currency, Will will that rest economically successful. turn expressed an economic expert Dr Akram Abdel Aziz during Mhazertha on the sidelines of the seminar for lack its own absolute in times of time to process the deletion of zeros from the currency, wondering about the impact of the operation in enhancing the value of the currency and whether it will contribute to the positive impact on indicators cash as well as the guarantee that can protect against process of corruption. believes Abdul Aziz said the adoption of a strategy for managing and structuring currency require surround all economic indicators, particularly the effectiveness of real sectors and services in the economy and what is the percentage of its contribution to the gross domestic product. drew Abdul Aziz that enhance the value of the currency does not can be achieved implicitly, pointing out that the reasons for this comes because the value of the dinar and the strength derived from the diversification of income sources and increase built sectoral and making them able to produce goods and services, criticizing a growing reliance on the oil sector in supplying the budgets of the country of Finance, which has affected the stability of cash income from foreign currency and balances enhanced the value of the currency, as well as that this matter can keep on unilateral content export and increasing content import expands external borrowing. participated in the seminar a number of experts and specialists in economic affairs representing many government and private agencies, and will be posted the morning an extensive report on the symposium in numbers next to them. http://www.alsabaah.com/ArticleShow.aspx?ID=34139

[dontlop]

is that 350.3 trillion ?

[keepmwlknfny]

is that 350.3 trillion ?

Lol not quite but it does equal way too much hahaha

[uncirculd]

Here we go again.

[jupitergirl]

"as explained during his answers to the financial value of the dinar after the change will maintain its position fully".......lets hope so.

[drc85260]

"as explained during his answers to the financial value of the dinar after the change will maintain its position fully".......lets hope so.

I do not see anything to be "hopeful" for?

as explained during his answers to the financial value of the dinar after the change will maintain its position fully, denying that you get some imbalances in the process transactional to banks and banks with customers who deposited their money before the deletion of zeros. Despite what was said in favor of the positives can be realized after the deletion, but the president of the Association of private banks Abdul Aziz Hassoun wondered about the feasibility of the change in value of financial standing after the deletion, saying at the same time: what will result from the deletion of zeros, from the comfort of the use of the currency,

IF they revalue after the deletion of the zeros we will have a revenue neutral event

Read more: http://dinarvets.com/forums/index.php?/topic/127497-heats-up-debate-on-the-process-of-deletion-of-zeros-from-the-currency/#ixzz25JmH6nqB

[unirod]

The small Bankers Assoc. is raising a fuss because they see their will be Huge imbalances in the Dinar and value of the currency! It's the State Banks who get 80% of all the GOI deposits! This will not be a revenue nuetral event, are we all that stupid? the Big Banks will never lose my freinds. It's all about timing with any investment. If the Banks are hoarding the Dinar before the Deletion of the Zeros event as well as any depositors,

There will be an imbalance my freinds, and it is already being "DENIED" isn't it evident by now that huge profits are going to be realized by some even inside Iraq?

This is not going to be a revenue nuetral event IMO....

[Carrello]

The small Bankers Assoc. is raising a fuss because they see their will be Huge imbalances in the Dinar and value of the currency! It's the State Banks who get 80% of all the GOI deposits! This will not be a revenue nuetral event, are we all that stupid? the Big Banks will never lose my freinds. It's all about timing with any investment. If the Banks are hoarding the Dinar before the Deletion of the Zeros event as well as any depositors,

There will be an imbalance my freinds, and it is already being "DENIED" isn't it evident by now that huge profits are going to be realized by some even inside Iraq?

This is not going to be a revenue nuetral event IMO....

Ditto on the neutral event. For an event that would have no effect other than the recycling of paper goods, I have never seen so much goverment discussion and power grabs, media publicity on the revaluing, international financial conferences (have you checked the attendees and agenda of the upcoming conference 9-18-12 in London? wow!), what it would mean nationally and internationally, talk of educating the public, and all of this from the Iraqi media, not IQD pumpers. And think of all the meetings that have taken place and continue to be scheduled: I wish I had invested in Krispy Kreme a year ago. I wouldn't need an RV.

Edited September 2, 2012 by Carrello

[yota691]

Here another version

Central lauds "the deletion of zeros," and experts consider the project need to re-consider

01/09/2012 03:46

BAGHDAD / Aswat al-Iraq: praised the Iraqi Central Bank, on Saturday, his project aimed to delete three zeros from the Iraqi currency, noting that would reduce its size and to facilitate commercial transactions, in what was considered experts that the project needs to be reviewed, and the provision of conditions of security and stability, economic and enact laws to prevent fraud and corruption that happened after 2003.

came during a seminar held by the Economic Section in the morning newspaper under the title advantages and disadvantages of deletion of zeros from the currency.

and Vice-Governor of the Central Bank of the appearance of Mohammed Saleh practical advantages deletion of zeros from the Iraqi currency, considering that the Iraqi dinar "has a lot of value due to inflation, which began with the imposition of the economic embargo on Iraq, "and since that time" people sought alternatives to currency informal such precious commodities, gold, paintings and other, which was used to save and preserve value. "

Saleh regarded during his "The money supply in Iraq Currently very large as over 35 trillion dinars ", which is" افقدها function as a measure of value, but some functions now beginning to return to its strength because it backed cash reserve exceeding $ 68 billion. "

Deputy Governor explained during the seminar that there is a process reform horizontal and the other vertical will be to improve the situation the Iraqi currency, and through "the process of lifting the zeros and structuring currency, to reduce the volume of money from 35 trillion to 35 billion dinars."

either restructuring process and implementation explained favor it "will not be until after a detailed study, not be implemented except by law", the fact that the deletion process "difficult and complex because it represents the infrastructure for the future of Iraq's economic," he said timing "has not been determined and may be next year or after or during the year," stressing the importance of the project, "the fact that Iraq is on the verge cash flow tremendously from increased production of oil . "

For its part, attacked researcher economic Dr Ikram Azzawi process of deletion of zeros, arguing that the process needs to "see how they affect real on the Iraqi economy so as not to be merely a calculation only, without any promotion of the value of the Iraqi dinar in return."

Azzawi stressed that the Central Bank take several things into consideration before starting the process, mainly "fraud currency or recycling of the market because of administrative corruption," he said, "Iraq's dependence on the economy of unilateral relies on oil, without the presence of sectors real strong is ordered is positive and leads to failure to achieve the goals of process of deletion of zeros. "

and considered Azzawi said the draft central bank "needs to pause to reconsider it, because it will not have a significant impact in reducing inflation or strengthen the value of the currency."

which Ray was supported by economic researcher Hilal Taan through a speech at the seminar, highlighted during light on inflation, which increase the size of the Iraqi currency of 25 billion in the early nineties of the last century to six trillion in 2003, up today to 35 trillion dinars.

either the process of changing the currency and delete the zeros need separate according Taan to "factors material and moral influence physical and foreign reserves high and wealth natural, "in addition to" Working psychological individual's Iraqi favoring local currency to any other currency, a factor that is not available in Iraq. "

According Taan the responsible parties "need to pause for thought before embarking on the process of changing the currency and delete the zeros," that step " large and not easy though Iraq's need for it. "

Executive Director of the Association of private banks Abdul Aziz Hassoun, said the news agency Voices of Iraq () on the sidelines of the seminar that the deletion of zeros from the currency "will occur to reduce the amount of cash, but the economic feasibility of it will be to find a comfortable financial transactions large Only, "and wondered" Is this convenience will we survive than we are? "

and suffering the Iraqi dinar of decline its value against the U.S. dollar since late last year and early this year, if the exchange rate of 118 thousand dinars per hundred dollars, to 125 thousand dinars per hundred dollars, following the sanctions imposed on Iran, and security tension in Syria.

turn warned representative Rafidain Bank Abdul Hussein Mundhiri re-experience the process of switching the Iraqi currency under the previous laws, "adding that the experience after the 2003 change currency" gave us lessons large and some are expensive because cases of financial corruption that accompanied this process. "

was a result of corruption, according to Mundhiri "Back recycling money delivered to the banks to the domestic market", or the existence of cases of "fraud currency incurred Iraqi banks impact losses great."

Mundhiri stressed during the seminar on "The time is not right security and economically to the process of replacing the currency, "noting that there preparations must be completed most important," new laws for the deletion of zeros and change the currency, take into account the experience of the year 2003, "What happened where the fraud and corruption to close the doors to anyone who tries to perform this operation."

d (Tq) - http://ar.aswataliraq.info/(S(tfssruezbwgrxd45rzlon5mt))/Default1.aspx?page=article_page&id=303844&l=1

[Butifldrm]

Delete the zeros and the fate of the currency .. In the hands of the experts at the table (morning)

03/09/2012 12:00 am

BAGHDAD - Yasser incumbent - Haider al-Rubaie Flaih - Hussein Tgb Tamimi

opened the round table organized by the Center for Strategic Studies in the morning newspaper in collaboration with the Economic Section Multi file deletion of zeros, which is the richest insights and analyzes the value and put points on the letters in decoding choking on a lack of understanding subject .

and reach a group of experts who participated in this table to the fact that such an important decision and dangerous at the core of the economic problem needs to law and legislation to ensure not falling mistakes incurred country moral and material losses large in Iraq indispensable.

For the first time in the most if not all seminars previous economic converge policies have monetary and fiscal table (morning) this sporting spirit of understanding in order to solve the problem and thus contributing to the distance from the potential risks that may accompany the process of change or raise zeros.

was submitted magnificent deputy central bank governor the appearance of Dr. Mohammed Saleh historical overview of money and commitments as a prelude to clarify participants had enriched everyone of the importance of lifting of the zeroes and convincingly and striking contrast representative of the Ministry of Finance d.

Hilal Taan vision on the action and despite the emergence of intersection in the two views in the apparent but in sub converge policies have cash financial and in one pot, but a careful to keep the national economy from additional shocks. Taan focused on the obstruction, the only way to delete the zeros is the psychological aspect of a group of Iraqi businessmen who have devoted culture of the state and rely on the dollar, while noting the experiences of other countries reservations تجارهم to rely on is their currency and a way to force their economic activity.

This analysis led to the development of ideas converged on the timing of the deletion of zeros and receded in the availability of envelopes firstly cover legislative saves currency from acting qualitative and secondly create a culture of attention in the national currency and this is governed by a matter of time blaming devices media responsibility to adopt this role.

Many of the participants all agreed on the need to provide a suitable environment for such a move is important, acknowledging its importance due to the fact that the currency represents infrastructure sober for the country's economy, and on the grounds that the country's economic strength stems from the power of her money. need to reform the system of payments deputy central bank governor the appearance of Dr. Mohammed Saleh pointed out that under the price stability and optimism in Iraq Development, it became necessary radical reform on the system management of currency as well as the re-structure commensurate with the price structure new and different, stable and levels of wages and salaries, which differed significantly from the last thirty years, as well as handle the mass of large cash weak components so that it has become the largest category currency Atsawi only $ 21 U.S. at the present time. noting that the increase in gross domestic product of Iraq from $ 140 billion at year-end 2010 to more than $ 300 billion at the end of 2015, will raise the money supply exporting of 30 trillion dinars to about 70 trillion dinars. And weak structure in the currency structure as mentioned above may take adds cost called the cost of cash transactions in terms of trading, whether between individuals themselves, individuals and banks within the banking system itself. Saleh said that in Sweden, for example, having now one of the best systems of cash payments in the world and despite that, the cost of trading cash counting, transmission and storage of the coin costing the national economy accounted for 4 percent of the gross domestic product of Sweden. Wondering how to compare that in a country like Iraq shall be managed so huge amounts of cash weak structure, adds the cost of cash transactions may reach 8 percent or more of GDP, a burden borne by the individual in his dealings which took reduces the efficiency of cash as an institution social support to institutions economy different, including the market as evidenced by the decline in cash transactions because of falling efficiency and installation of the money supply current. and pointed out that the multiplicity of zeros raises the denominations with declining purchasing power has enormous difficulties, including the difficulty of expression for the cash value as well as the same difficulties of monetary operations and technical problems in the recording of statistical data in the accounting books and changing accounting systems and settlement systems, as well as prices figures show long difficult counters or digital devices read Asfarha in gas stations or other digital devices. and continued on this basis has become a need to reform the system of cash payments through several advantages, the first on the horizontal plane and is deleting three zeros any transfer 30 trillion dinars to 30 billion Dolaran by deleting three zeros from the current currency and replace it with a new currency making it easier to handle arithmetic with numbers are less numerous in terms of accounts the federal budget, the budgets of banks and companies as well as balancing family cash (individuals) without incurring any change or switch on the wealth of cash for natural persons and moral as well as non-depressing contracts and obligations between natural persons and all concerned. , which called generating function sports political debate or political debate of the world (1752) Effect of nominal price levels with a high amount of money, such as the transition from Roman numerals to Arabic numbers (the numbers in English now), that the transition to ايغير of the basic principles of science and math. High amounts of money leads to higher prices for the same without the impact's real economy results. The level vertical any restructuring of the currency and fitted it to the category large amount of 25,000 dinars are alone (two thirds of the amount of securities traded), the issuance of larger groups mean reductase four billion banknotes in circulation now and converted to a number equal to (1.180) billion paper cash. As Stakhtzel large groups of currency nearly 80 percent -90 percent of the total new categories exported to trading (such as 50, 100, 200 new dinars). Said based on the foregoing, the cost of cash transactions between individuals and banks and between individuals themselves or natural moral fall inevitably in terms of the costs of counting and checking. If Maalmana, that banknotes traded eroded the average over a period of five years, which means replacing enormous mass weak structure and consequent costs typographical specifications high security is another burden borne by the issuing authority cash is a relic Management System cash generated economic downturn former became not fit, stability and economic progress desired. said that money is anything agreed upon the community to become a medium of exchange and a store of value and unit account, the money (legal) issued by the monetary authority under the law and with the power of discharge of accounts receivable, seen as a social institution, where increasing the efficiency of the economy and its operations in moving efficiently exchange those social institution money, and vice versa. explaining that continuous inflation led to rising currency of 23 billion dinars in 1991 to about (30) trillion dinars over time. In this drawing new inflation figures for the currency traded add three zeros which increased the nominal amount of cash operations and consequent costs of producing large amounts of Maraafqatha, storage, and distribution operations, sorting and checking accompany her and doubling levels, the growing operational risks associated. And concluded by saying that the reasons for changing the currency current reflects the fruit of economic stability and the success of policies CBI in maintaining stability and of the stability of the dinar and falling inflation to the rank of one decimal and build foreign reserves support of the Iraqi dinar levels never achieved during the thirty years, which is the cover of the Iraqi currency. In addition to improving the system of cash payments and make it leave actual adhesion combination for the past economic اختلالاته and rebuilt on the future of economic development and real and nominal givens. Action needs to review minutes either an economic expert Dr Akram Abdel Aziz began her several questions came in the forefront of any mechanisms that depend upon the implementation of this approach and implement the replacement process and ensures that there is no manipulation during the switching process in the sense of protecting this step of fraud ? And added that the economic situation need to follow all his joints which are needed to promote it, as the money spent on switching process must achieve the goal. Continued its questions you were to stop at concerns and that this process may increase smuggling money abroad, especially that the process of deletion of zeros procedural difficult and complex and require statistics and accurate figures and must stand at the effects on the stock market. They pointed out that this issue if has not been studied extensively and the quality of community, the process of subtraction will of the Iraqi market to imbalance and jerks just because the citizen can imagine that the deletion of zeros will affect the real value of the currency, stressing that the strategy proposed must correlate between the money market and the labor market, as she wondered whether that outlook be comprehensive nature of inflation in terms of it's not the high cost of production and a series elevations price of interest joints much-needed citizen. said that direct this trend needs to be a thorough review of the reality of the Iraqi economy and its institutions of public and private and the extent and effectiveness trends credit support for the work of the private sector . It showed that the basis of the success of any reform process and administrative needs radical treatment and serious fiscal imbalances, monetary and administrative constitute an obstacle to development cash development in Iraq. deficit financing most prominent reasons for the low value of the currency and despite the fact that the process of deletion of zeros from the currency traces can be negative on counterfeiting operations that will accompany it, but the economic expert, Dr. Hilal Taan said during his speech at the symposium opposite when he pointed to the possibility of several gains from behind changing the currency, is to provide a strong cash flow and global Iraq, which is needed to large groups of cash in value and small in size perform functions of money, as well as the deletion of zeros will play a positive role in business dealings, according to Taan who said that other positive which will be produced by changing the currency is escorted to the stage of economic growth and prosperity growing for Iraq, therefore, change the currency is essential This is in line with this optimism in the national economy. reviewed Taan some detail the chronology of the Iraqi dinar and witnessed volatility of price, explaining that in 1980 amounted to release cash in Iraq four billion dinars, and was then the highest denomination is 25 dinars, equivalent to then $ 75, and reached the bloc in 1992 about 25 billion dinars, and increased in 2003 to reach six trillion dinars, and rose this block to reach now 35 trillion dinars. Despite increasing the money supply in this way large compared with the year 1980, which was equal to the highest category of cash which is 25 dinars about $ 75, the Taan For comparison pointed out that the highest category of cash now stands at 25 thousand dinars is it not worth only $ 22. explaining that this shows the size of the collapse happening in the Iraqi currency The wrought by a series of factors do not stand Pferdha deficit financing process in the forefront of those factors but also contributed to other causes in a collapse of the structural changes that have occurred on the size of the budget after 2003, which led to the increase of cash, and this increase resulted in the higher costs Additional transactions, so in the case of deletion of zeros, these costs will decrease inevitably. Taan hinted that Iraq since the eighties resorted to the use of deficit

http://www.alsabaah.com/ArticleShow.aspx?ID=34237

[unirod]

BTFLDRM,

Nice article,

I'd like to see Stryker breakdown on this one.

Thx Yota!

[yota691]

BTFLDRM,

Nice article,

I'd like to see Stryker breakdown on this one.

Thx Yota!

It coming he almost done with it

[4aprofit]

I've always said, why would they spend so much time and money on something that is going to be worthless...They know what they are sitting on over there, and they gotta get it right when they come outa the box on this one...IMO...

[keepmwlknfny]

"as explained during his answers to the financial value of the dinar after the change will maintain its position fully".......lets hope so.

I do not see anything to be "hopeful" for?

as explained during his answers to the financial value of the dinar after the change will maintain its position fully, denying that you get some imbalances in the process transactional to banks and banks with customers who deposited their money before the deletion of zeros. Despite what was said in favor of the positives can be realized after the deletion, but the president of the Association of private banks Abdul Aziz Hassoun wondered about the feasibility of the change in value of financial standing after the deletion, saying at the same time: what will result from the deletion of zeros, from the comfort of the use of the currency,

IF they revalue after the deletion of the zeros we will have a revenue neutral event

Read more: http://dinarvets.com.../#ixzz25JmH6nqB

Pretty much.....

Nothing to be hopeful about except the ones still holding this plan up from becoming a reality, and that keep pushing it further back.....

And Im not sure about everyone else, but the math skills I learned it school, tells me that in order for them to reduce the CASH from 35 trillion to 35 billion, you certainly cant be exchanging at a 1 to 1 ratio....

[dontlop]

Pretty much.....

Nothing to be hopeful about except the ones still holding this plan up from becoming a reality, and that keep pushing it further back.....

And Im not sure about everyone else, but the math skills I learned it school, tells me that in order for them to reduce the CASH from 35 trillion to 35 billion, you certainly cant be exchanging at a 1 to 1 ratio....

you can do it ...

ya just have to close your eyes and dont tell anyone

[keepmwlknfny]

you can do it ...

ya just have to close your eyes and dont tell anyone