Question re: Removing 3 zeros

[shekinah33]

I'm confused.

What exactly does "removing the three zeros" mean? If one has a $25,000 dinar note, will it then be worth $25? And if one has a $1,000 dinar note, will it then be worth $1?

Thanks so much for your help!! Maybe with your help, my confusion will be cleared up!!

Lana

[jeepguy]

wow! get ready for some input here ,, ------ raise the zero`s , also called by westerners, l.o.p.--- also called lift zero`s , also known as a good deal ! the raise the currency zero`s if i remeber right , meaning from a few news pieces taken the 000`s out of circulation { has been a few articles about 25,ooo =`s 43.oo u.s.dollars ---- 25,ooo =`s 25 u.s.dollars 25,ooo =`s 43.oo is fine by me just do something } western l.o.p. is also 25,ooo too 25,oo then the exchange rates cost and the spread kicks in then the 25,ooo is most likely around 22.oo u.s. dollar not liken this one at all i bet the average iraqi isn`t real pleased with this deal either------ now this one is the interesting one the lift zero`s this one has a few locked in at the meaning -- taken, or pulling the dinar large notes off the markets through other means ----> auctions might be one of the avenues this is being done, and if this one is the true meaning of zero`s then it is golden----> lift the zero`s off streets then we hope the value will kick in too the apponited rate at or around 1 to 1 <--------- golden ! ---------- but they could just lift zero`s off street and be done with this dinar , re-denominate at a great cost to do so, <------ not a good way to bank this idea { i m o } hope this gets your answer started ,,, a lot of coulds and will it`s about to hit ---- come on with a 2 to 1 value and lets us off

[boomer113189]

I'm confused.

What exactly does "removing the three zeros" mean? If one has a $25,000 dinar note, will it then be worth $25? And if one has a $1,000 dinar note, will it then be worth $1?

Thanks so much for your help!! Maybe with your help, my confusion will be cleared up!!

Lana

Redenomination is another word for cutting zeroes.

its means when they realse the the new bank notes a 25000 k not will be the worth the same as a 25 new dinar same purchasing power and the 1000 dinar will be worth 1 new dinar

[sandyf]

I'm confused.

What exactly does "removing the three zeros" mean? If one has a $25,000 dinar note, will it then be worth $25? And if one has a $1,000 dinar note, will it then be worth $1?

Thanks so much for your help!! Maybe with your help, my confusion will be cleared up!!

Lana

This is the normal term for a redenomination. If that were to happen the IQD would be replaced as the national currency by a brand new currency, IQI. The IQD would no longer have international recognition and would have to be exchanged for IQI on the basis of one IQI dinar for 1000 IQD dinar. There is some possibility that exchange may only be possible inside Iraq, this would appear to be the case under the Zambian technical guidelines.

There is no indication that a redenomination could happen any time soon. Iraq appears to be behind Indonesia who are planning for Jan 2014.

[keepmwlknfny]

I'm confused.

What exactly does "removing the three zeros" mean? If one has a $25,000 dinar note, will it then be worth $25? And if one has a $1,000 dinar note, will it then be worth $1?

Thanks so much for your help!! Maybe with your help, my confusion will be cleared up!!

Lana

In a nut shell, yes....what your saying is kind of correct....

Your 25k note would still be a 25k note, but it would be equal to (1) NEW 25 dinar note.....your 25k note would hold the value it does now and would NEVER change....the NEW 25 dinar note would carry a higher value.

They both would be equal in value in USD.....thats where you get the 25k note equals (1) new 25 dinar....

The gurus and the people who have not done their homework will tell you that its the big RV we all want.......the people who truly know what its about will assure you its the last thing we want to happen.

I would suggest researching redenominations and look at other countries who lopped zeros/deleted zeros such as Turkey....it will give you a better idea of what its about

[JuryPicker]

Well spoken mr LOP mechanic

[sandyf]

The most recent RD took place in Zambia on 1st Jan this year. Anyone interested in facts rather than hearsay should read the Technical Guidelines issued by the Bank of Zambia.

http://www.boz.zm/Publishing/35/35_TechnicalGuidelines%204-9-2012.pdf

[boomer113189]

yeppers

[4aprofit]

All theories are ZILCH'...until proven...and only then will be when the finality of this thing is shown for what it is..or is going to be...then is when all will see what they are going to ACTUALLY DO!...Period!...

[keepmwlknfny]

All theories are ZILCH'...until proven...and only then will be when the finality of this thing is shown for what it is..or is going to be...then is when all will see what they are going to ACTUALLY DO!...Period!...

I dont think anyone here is claiming what Iraq will actually do....the poster simply asked what deleting the zeros is and what would happen IF they choose to go that route......

[umbertino]

Let's hope we won't get shafted. Basic philosophy.

[NeedRv]

The most recent RD took place in Zambia on 1st Jan this year. Anyone interested in facts rather than hearsay should read the Technical Guidelines issued by the Bank of Zambia.

http://www.boz.zm/Publishing/35/35_TechnicalGuidelines%204-9-2012.pdf

Wow eventho it is not the Iraq RD/RV... good information on how the "technical" side of things like that go.

Gooooooo RV............HurRV

[fib1618]

I dont think anyone here is claiming what Iraq will actually do....the poster simply asked what deleting the zeros is and what would happen IF they choose to go that route......

+1

[caz1104]

All theories are ZILCH'...until proven...and only then will be when the finality of this thing is shown for what it is..or is going to be...then is when all will see what they are going to ACTUALLY DO!...Period!...

You are correct!

I dont think anyone here is claiming what Iraq will actually do....the poster simply asked what deleting the zeros is and what would happen IF they choose to go that route......

I think his response was directly to those that used Iraq as examples-peace

[SPOTLIGHT]

Redenomination is another word for cutting zeroes.

its means when they realse the the new bank notes a 25000 k not will be the worth the same as a 25 new dinar same purchasing power and the 1000 dinar will be worth 1 new dinar

ARE YOUR SURE ABOUT THAT

[Bob]

I just found this on Zawya.com. It may explain some of your concerns. "Stay thirsty my friends!"

http://www.zawya.com/story/Iraq_Cancelling_zeros_from_currency_unexpected_Cabinet-ZAWYA20130207044451/

[rulesforrebels]

Removing zeros has nothing to do with the rate or the value of dinar vs the dollar. Removing zeros simply means Iraq is going to stop using the large notes and start using smaller more manageable notes. Many countires do this and have done this throughout history. Back in 1996 Mexico removed three zeroes. What was a 50,000 peso became a 50 peso. It still had the same value against the dollar, say about $4 but instead of haivng a 50,000 note worth $4 you have a 50 note worth $5.

[keepmwlknfny]

Removing zeros has nothing to do with the rate or the value of dinar vs the dollar. Removing zeros simply means Iraq is going to stop using the large notes and start using smaller more manageable notes. Many countires do this and have done this throughout history. Back in 1996 Mexico removed three zeroes. What was a 50,000 peso became a 50 peso. It still had the same value against the dollar, say about $4 but instead of haivng a 50,000 note worth $4 you have a 50 note worth $5.

It kinda does have to do with the value of the dinar.....

In your example, the old peso was worth much less....thats why it took 50,000 to equal $4......the new peso was worth more because it took a lot less to equal around the same....

[sandyf]

Removing zeros has nothing to do with the rate or the value of dinar vs the dollar. Removing zeros simply means Iraq is going to stop using the large notes and start using smaller more manageable notes. Many countires do this and have done this throughout history. Back in 1996 Mexico removed three zeroes. What was a 50,000 peso became a 50 peso. It still had the same value against the dollar, say about $4 but instead of haivng a 50,000 note worth $4 you have a 50 note worth $5.

Not true and a source of confusion. In 1993 the national currency of Mexico. the MXP peso, was replaced by a new currency the MXN peso. As the MXP was no longer the national national currency it had no international value and could only be exchanged for MXN. During the transition period the MXP could be used within Mexico.

The 3 zero bank notes remained as MXP and there were two different exchange rates during transition. I do not know if the Central Bank made any arrangement to redeem currency outside its borders. Maybe someone could clarify.

International use

Some establishments in border areas of the United States accept pesos as currency, mainly supermarkets[citation needed]. In 2007, Pizza Patrón, a chain of pizza restaurants in the southwestern part of the U.S., started to accept the currency which has been a controversial topic in the United States.] Other than U.S., Guatemalan and Belizean border towns, pesos are generally not accepted as currency outside Mexico.

http://en.wikipedia.org/wiki/Mexican_peso