Forcing the hand that holds the RV.

[chazr]

Just wanted to gage opinion on this thought. This RV is fast becoming the worst kept secret ever, so lets say more and more buy into the Dinar, if its going to take a few years or more (according to some) to be revalued at whatever price, how much Dinar will be in circulation by the time it revalues? Would this factor help iniatiate an RV quicker than just letting it grow naturally so to speak? I'd appreaciate educated and informed thoughts guys, thanks.

[wess144]

We will RV once the FOREX market starts trading the Iraqi Dinar.

No need for Intel/Rumors wait for the FOREX Market to give you the value.

[krucialmix]

We will RV once the FOREX market starts trading the Iraqi Dinar.

No need for Intel/Rumors wait for the FOREX Market to give you the value.

But what fun is that! lol. No rumour forums??

[bobstick]

This is all moot. If it doesn't happen by tomorrow night (Tuesday night) it will go to dooms day and be more trouble for Iraq than it wants. Maliki should have triggered it three weeks ago. He would have been re-elected and madt thousands of us happy, too.

But NO. They aren't that bright. Now I wonder where they will come up with a trillion or so to pay off an RV.. Ever think about that?

[ronberta]

i thought the cbi was holdin the handle on the slot machine,ha ha but really don't they set the rv?

[Ziggy]

I thought Maliki put in the hands of the Central Bank to determine the RV.

[GJG]

RV wil happen only after PM is determined and it has nothing to do with how mch is in circulation

[jmw]

It depends...if they are printing more Dinar then that is an issue as it does raise the amount in circulation...howver, if they aren't printing more but are just redistributing it then the amount in circulation doesn't change and therefore would not have a negative impact. My concern is they they already have way too much in circulation it have any significant RV....it would just cost way too much to do it and they don't have the GDP to support it.

Just wanted to gage opinion on this thought. This RV is fast becoming the worst kept secret ever, so lets say more and more buy into the Dinar, if its going to take a few years or more (according to some) to be revalued at whatever price, how much Dinar will be in circulation by the time it revalues? Would this factor help iniatiate an RV quicker than just letting it grow naturally so to speak? I'd appreaciate educated and informed thoughts guys, thanks.

[Jigga]

they cant print money and put out money that they dont have anything to back it up.....all the money in circulation is backed up....we have nothing to worry about people....like ive said many times its not like they let a couple of middle schoolers loose on a printer hahaha everything printed has to be backed up!! believe me the CBI knows exactly what its doing!! these auctions they are having is them basically buying their own currency back.....everyone just sit tight and things will work out fo sho!!!

[wilecoyote]

i thought the cbi was holdin the handle on the slot machine,ha ha but really don't they set the rv?

The IMF does right now.

[Kent]

It depends...if they are printing more Dinar then that is an issue as it does raise the amount in circulation...howver, if they aren't printing more but are just redistributing it then the amount in circulation doesn't change and therefore would not have a negative impact. My concern is they they already have way too much in circulation it have any significant RV....it would just cost way too much to do it and they don't have the GDP to support it.

If you want to track the CBI figures in circulation go here and click a bunch of "yes" buttons to get thru:

http://www.cbi.iq/xl&wr/key%20financial.xls

[jmw]

Thanks Kent....I am aware of the amount in circulation...what i don't know is what they will do in the future and if they will continue to increase the amount in circulation, maintain it, or reduce it.

[Kent]

Thanks Kent....I am aware of the amount in circulation...what i don't know is what they will do in the future and if they will continue to increase the amount in circulation, maintain it, or reduce it.

jmw, I agree with your concern (earlier post) completely, just offered the link so you could see the change in currency in curculation over the years. M2 2004 @ IQD 12.2 Trillion to IQD 46.1 Trillion in Dec 2009. They are increasing every year, but since interest is under control now, I assume they are not increasing money supply greater than growth in economy can sustain. Our fear is how much growth in currency can they sustain via an RV. Looking at reserves they can afford to increase further, but not more than double or tripple in my opinion. CBI has often stated the priority of controling future inflation (read control money supply). They also want to improve bank lending to the general public (has affect of increase in money supply). What they say indicates controlled growth while monitoring inflation. Our friends on this site will tell us "Iraq is different" and can afford a big RV. We all live to hope...