Can anyone explain how Iraq is going to pay for the dinar we purchased?

[melron77 0]

Below is some information I copied from another site. If Iraq has to sell oil at a higher price and sell domestic bonds to help cover their projected budget deficit ,how are they going to be able to pay us after the dinar RVs or RIs? Can someone explain how Iraq is going to pay for the dinar we purchased?

June 10, 2010, 10:22 AM EDT

By Alaa Shahine

June 10 (Bloomberg) -- Iraq expects to cover a projected budget deficit of about $18 billion this year by selling oil at higher-than-expected prices, Finance Minister Baqir Jabr al- Zubaidi said.

“We will cover the budget with the difference in oil prices,” Zubaidi said in an interview today in Istanbul, where he’s attending an Arab-Turkish forum. The Iraqi budget is based on oil prices at $62.5 per barrel, and in agreements already made “we sold at $74,” he said.

The government also plans to sell domestic bonds valued at about $4 billion this year, al-Zubaidi said. About $2.4 billion of those bonds have already been sold. The minister said Iraq doesn’t plan to sell on international markets.

Iraq holds the world’s third-largest oil reserves, with 115 billion barrels, behind Saudi Arabia and Iran. The International Monetary Fund forecasts that its economy will expand 7.3 percent this year and 7.9 percent in 2011.

IMF and Iraqi authorities are projecting average production of 2.6 million barrels of oil a day and exports of 2.1 million barrels a day this year. Next year, those projections rise to 2.9 million and 2.3 million.

Al-Zubaidi said the government expects the economy to expand about 10 percent next year and is targeting a growth rate of 12 percent in 2012 and 14 percent the following year.

He said the budget may expand from about $70 billion this year to $100 billion by 2013 and $150 billion within seven years, driven by revenue from oil bids.

The Iraqi central bank cut its key interest rate by 1 percentage point to 6 percent in April to fuel growth.

-With assistance from Caroline Alexander in London. Editors: Ben Holland, Peter Hirschberg.

To contact the reporter on this story: Alaa Shahine in Cairo at asalha@bloomberg.net

To contact the editor responsible for this story: Peter Hirschberg at phirschberg@bloomberg.net

http://www.businessw...s-update1-.html

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[BIGCG 11]

Below is some information I copied from another site. If Iraq has to sell oil at a higher price and sell domestic bonds to help cover their projected budget deficit ,how are they going to be able to pay us after the dinar RVs or RIs? Can someone explain how Iraq is going to pay for the dinar we purchased?

June 10, 2010, 10:22 AM EDT

By Alaa Shahine

June 10 (Bloomberg) -- Iraq expects to cover a projected budget deficit of about $18 billion this year by selling oil at higher-than-expected prices, Finance Minister Baqir Jabr al- Zubaidi said.

“We will cover the budget with the difference in oil prices,” Zubaidi said in an interview today in Istanbul, where he’s attending an Arab-Turkish forum. The Iraqi budget is based on oil prices at $62.5 per barrel, and in agreements already made “we sold at $74,” he said.

The government also plans to sell domestic bonds valued at about $4 billion this year, al-Zubaidi said. About $2.4 billion of those bonds have already been sold. The minister said Iraq doesn’t plan to sell on international markets.

Iraq holds the world’s third-largest oil reserves, with 115 billion barrels, behind Saudi Arabia and Iran. The International Monetary Fund forecasts that its economy will expand 7.3 percent this year and 7.9 percent in 2011.

IMF and Iraqi authorities are projecting average production of 2.6 million barrels of oil a day and exports of 2.1 million barrels a day this year. Next year, those projections rise to 2.9 million and 2.3 million.

Al-Zubaidi said the government expects the economy to expand about 10 percent next year and is targeting a growth rate of 12 percent in 2012 and 14 percent the following year.

He said the budget may expand from about $70 billion this year to $100 billion by 2013 and $150 billion within seven years, driven by revenue from oil bids.

The Iraqi central bank cut its key interest rate by 1 percentage point to 6 percent in April to fuel growth.

-With assistance from Caroline Alexander in London. Editors: Ben Holland, Peter Hirschberg.

To contact the reporter on this story: Alaa Shahine in Cairo at asalha@bloomberg.net

To contact the editor responsible for this story: Peter Hirschberg at phirschberg@bloomberg.net

http://www.businessw...s-update1-.html

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That my friend might be the best question yet. It will be interesting to hear what people come up with.

[harry2299 8]

That my friend might be the best question yet. It will be interesting to hear what people come up with.

I agree that is a good question, anyone have any idea.......I dont?

[LOCOMOJO 0]

.......Great detail Melron77.......good answer to that question, thank you............now I just wish I knew what the amount will be that they have to apply this to

[carlablum 954]

.......Great detail Melron77.......good answer to that question, thank you............now I just wish I knew what the amount will be that they have to apply this to

This thread helped me out a bit.

http://dinarvets.com/forums/index.php?/topic/14058-economist-rv-explanation-part-i-and-ii/

[mrref 1,255]

Below is some information I copied from another site. If Iraq has to sell oil at a higher price and sell domestic bonds to help cover their projected budget deficit ,how are they going to be able to pay us after the dinar RVs or RIs? Can someone explain how Iraq is going to pay for the dinar we purchased?

June 10, 2010, 10:22 AM EDT

By Alaa Shahine

June 10 (Bloomberg) -- Iraq expects to cover a projected budget deficit of about $18 billion this year by selling oil at higher-than-expected prices, Finance Minister Baqir Jabr al- Zubaidi said.

“We will cover the budget with the difference in oil prices,” Zubaidi said in an interview today in Istanbul, where he’s attending an Arab-Turkish forum. The Iraqi budget is based on oil prices at $62.5 per barrel, and in agreements already made “we sold at $74,” he said.

The government also plans to sell domestic bonds valued at about $4 billion this year, al-Zubaidi said. About $2.4 billion of those bonds have already been sold. The minister said Iraq doesn’t plan to sell on international markets.

Iraq holds the world’s third-largest oil reserves, with 115 billion barrels, behind Saudi Arabia and Iran. The International Monetary Fund forecasts that its economy will expand 7.3 percent this year and 7.9 percent in 2011.

IMF and Iraqi authorities are projecting average production of 2.6 million barrels of oil a day and exports of 2.1 million barrels a day this year. Next year, those projections rise to 2.9 million and 2.3 million.

Al-Zubaidi said the government expects the economy to expand about 10 percent next year and is targeting a growth rate of 12 percent in 2012 and 14 percent the following year.

He said the budget may expand from about $70 billion this year to $100 billion by 2013 and $150 billion within seven years, driven by revenue from oil bids.

The Iraqi central bank cut its key interest rate by 1 percentage point to 6 percent in April to fuel growth.

-With assistance from Caroline Alexander in London. Editors: Ben Holland, Peter Hirschberg.

To contact the reporter on this story: Alaa Shahine in Cairo at asalha@bloomberg.net

To contact the editor responsible for this story: Peter Hirschberg at phirschberg@bloomberg.net

http://www.businessw...s-update1-.html

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This my friend has been discussed a thousands times. Look under previous forums and you will find your answer

[keepmwlknfny 657]

Iraq doesnt pay for the dinar that we have during an RV or RI or whatever the case maybe........its a simple currency exchange...they dont pay us for exchanging dinar to us dollars....our govt takes the dinar, gives us the equivelant in US funds and then in this case since its the bigger bills we mostly have they will probly be destroyed....but they could be held in the US reserves to back up the dollar...its hard to know what iraq wants done with the bills after the exchange but anyway you slice it Iraq doesnt pay for the dinar we purchased or pay for an RV.....the rate will be somewhat based on production in the country and goods and services offered and what rate they can justify it being at with out drowning themselves with inflation.....

[Mongo 636]

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

[Traconesu02 12]

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

Agreed Mongo. Don't forget lots of land. There is a limited supply of that too.

[Mongo 636]

Agreed Mongo. Don't forget lots of land. There is a limited supply of that too.

Yep land too Trac........other countries are snapping up our land at an alarming rate

[fsavahge 1]

BRAVO!!! I FINALLY FOUND SOMEONE THAT AGREES WITH ME. THANK YOU FOR KNOWING WHAT IS GOING AROUND, VERY, VERY FEW PEOPLE DO.

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

[DK007 2]

The Dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world? Your kidding right?

I would like to know how the Dinar is going to be worth more than the US Dollar? How is this going to happen? Iraq is a third world country with daily bombings. What I am missing?

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

[EBJNYC 0]

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

BINGO -- You get the prize -- DYNAMITE ANSWER !!!!!

[CDEW 3]

The Dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world? Your kidding right?

I would like to know how the Dinar is going to be worth more than the US Dollar? How is this going to happen? Iraq is a third world country with daily bombings. What I am missing?

I'm not going to pretend to be any sort of Global Economist but they have ALOT less debt than us and ALOT more natural resources.

Once released from chapter 7 I can't think of any reason how the Dinar could possibly remain valued so low.

[DK007 2]

Valued so low I can agree with, however I believe in the LOP and the currency going up slowly when it goes on to the world market, but held as a reserve to shore up all the rest of the currency's of the world not a chance. Iraq cannot get there own country in order much less be a leader in anything. They have oil but no security, no electicity most of the time, no jobs, not much of a military, no leadership the list could go on forever.

Read more: http://dinarvets.com/forums/index.php?app=forums&module=post§ion=post&do=reply_post&f=6&t=21218&qpid=131839#ixzz0qlIODTzK

I'm not going to pretend to be any sort of Global Economist but they have ALOT less debt than us and ALOT more natural resources.

Once released from chapter 7 I can't think of any reason how the Dinar could possibly remain valued so low.

[bubs 9]

Three years on and this question has not been reliably answered. This is something to seriously consider when evaluating Iraqi Dinar as an investment.

[sxsess 2,300]

There will come a point in time when the dinar is more valuable than the dollar,(soon)our Gov. will use the dinar to shore up the dollar,( if that will be possible) just like other countries use the dollar to make their currency's worth something. The dinar will be put in a basket of currency's and held as a reserve to shore up all the rest of the currency's of the world. Iraq will never see most of the dinars that we hold, they will go to the Fed. reserve after RV and never see the light of day again. When it does Rv I wouldn't hold large amounts of the US dollar because when they switch to the Amero you will only get pennies on the dollar. that's how the Fed. will steal your wealth. Silver and Gold BABY!!!!! buy it before the transition from dollar to amero happens to keep your wealth intact.......GO RV

There are other currencies besides gold & silver to hold after this event.

[capt.cliff 302]

Iraq is loaded with every commodity you can think of --best promoted is oil--for such a small country with such a small population it is the most wealthiest in the world--that is why every country, international company and the peripheral businesses want a foot in the door now while the dinar is almost worthless internationally traded--just like you buying the physical dinars at very low artificially kept rates---everything they have is barely explored much less brought to market but proven as being there--that is the value of the country--oil is what everyone focuses on --Iraq has now ben moved to either the third largest proven oil reserve or the second in rank--my own opinion is it is the number 1 in the middle east and Opec knows it---addressing the 62.5 dollar a barrel  for their budget I have never heard or read of that figure--I read for the present unreleased budget--it is ninety[90] dollars a barrel--the low 62 gives them too much fudge room to misapproiate the proceeds--if you look to their operating costs the even at 90 dollars there is a shortfall to their budget--there is no where left to go to get the money to get even --only recourse is change the currency rate--what the newer ones don't understand [and a person explained it very well up above] the dinars we hold will never go back to Iraq it will be turned in and destroyed and held as a very valued reserve currency to prop up all countries currency----again the value of Iraq is not just oil and nat gas there are many other factors---when looked at in the whole picture most ME countries are going to lose their status and take a back seat to Iraq---this is what the real problem is!

Jmo of course but if you really read the map has already been drawn!

good night!

[Texas1 6,414]

Iraq is loaded with every commodity you can think of --best promoted is oil--for such a small country with such a small population it is the most wealthiest in the world--that is why every country, international company and the peripheral businesses want a foot in the door now while the dinar is almost worthless internationally traded--just like you buying the physical dinars at very low artificially kept rates---everything they have is barely explored much less brought to market but proven as being there--that is the value of the country--oil is what everyone focuses on --Iraq has now ben moved to either the third largest proven oil reserve or the second in rank--my own opinion is it is the number 1 in the middle east and Opec knows it---addressing the 62.5 dollar a barrel  for their budget I have never heard or read of that figure--I read for the present unreleased budget--it is ninety[90] dollars a barrel--the low 62 gives them too much fudge room to misapproiate the proceeds--if you look to their operating costs the even at 90 dollars there is a shortfall to their budget--there is no where left to go to get the money to get even --only recourse is change the currency rate--what the newer ones don't understand [and a person explained it very well up above] the dinars we hold will never go back to Iraq it will be turned in and destroyed and held as a very valued reserve currency to prop up all countries currency----again the value of Iraq is not just oil and nat gas there are many other factors---when looked at in the whole picture most ME countries are going to lose their status and take a back seat to Iraq---this is what the real problem is!

Jmo of course but if you really read the map has already been drawn!

good night!

good night johnboy

[dodah 170]

Three years on and this question has not been reliably answered. This is something to seriously consider when evaluating Iraqi Dinar as an investment.

I did, thats why I invested..and the U.S. dollar will tank and there you have the reason the Dinar will be more valuable. Look at Kuwait's Dinar to Dollar valuation and Iraq is in a better position asset wise than they are. Go RV!!!!!

[Francie26 3,763]

I wish I could remember where I read this, but I recently read that Iraq's dinar will be backed by their gold, silver, diamonds, rare minerals, and oil. At the same time President Bush made a law that we could buy dinar, our government also bought a lot of dinar, which is now stored at Ft. Knox. And when we cash our dinar in, it will not go, at least immediately, back to Iraq, but will go into Fort Knox, too. The value of the dinar in Iraq will be backed by the enormous value of the wealth of Iraq, their gold, silver, diamonds, rare minerals, and oil.  The dinar our government holds will then back up our dollar, which will, on a secondary level, have the same backing of the Iraqi dinar, via their gold, silver, diamonds, rare minerals, and oil.

[Texas1 6,414]

My guess is that Ft Knox, with all of our crooked politicians, has as much gold and diamonds as MC Hammers safety deposit box......

[capt.cliff 302]

I guess this is johnboy responding the only drain on Iraq is the citizens themselves turning in their worthless dinars for dollars and reselling them at an inflated rate, pocketing the difference done enough times, a profit is made raising their earnings--In a perfect situation Iraq only has to cover what is turned in within country by the citizens--not from outside the country[kept as a reserve currency], So the real problem internally is to stop the flow of dinars from  IRAN and SYRIA into Iraq  [most counterfeit} and smuggled out the dollars to support both countries under sanctions---The average everyday little old Iraqi is just making a small profit but they are not running over the border to exchange them--they need the difference of the rate they are getting just to survive and improve their life 

Raising the value using the De larues will stop this---only 1 man wants this to continue with the henchmen within the GOI--THE BIG MILAKI--

but johnboy has his OWN opinion and reading all posts ----LOL!

I just don't have that mole on my face\

Have a great night!

[Texas1 6,414]

I guess this is johnboy responding the only drain on Iraq is the citizens themselves turning in their worthless dinars for dollars and reselling them at an inflated rate, pocketing the difference done enough times, a profit is made raising their earnings--In a perfect situation Iraq only has to cover what is turned in within country by the citizens--not from outside the country[kept as a reserve currency], So the real problem internally is to stop the flow of dinars from  IRAN and SYRIA into Iraq  [most counterfeit} and smuggled out the dollars to support both countries under sanctions---The average everyday little old Iraqi is just making a small profit but they are not running over the border to exchange them--they need the difference of the rate they are getting just to survive and improve their life 

Raising the value using the De larues will stop this---only 1 man wants this to continue with the henchmen within the GOI--THE BIG MILAKI--

but johnboy has his OWN opinion and reading all posts ----LOL!

I just don't have that mole on my face\

Have a great night!

good night Mary Ellen......

[waterman13 2,937]

Do you all not understand the "fiat money system"? The entire world is under this fiat money system, they print money out of thin air, it is not backed by anything. IT IS NOTHINGNESS. Actually it is debt. The Federal reserve Chairman has stated this several times. The governments (or people) of countries own nothing! Actually they are all indebted to the Banksters. All the Central Banks, or Federal Reserves, are neither the governments, or the peoples. They are owned by a bunch of wealthy Bankers (banksters). The governments don't own anything, you don't own anything, The "banks" do. (or they think they do) Because "all the world and the fullness thereof is the Lord's".

 

How are they going to pay for all the Dinar? How is the US going to pay for all the Dollars out there? The US government is 17 trillion Dollars in debit. Who will have to pay for that? The US citizen, you are now held as collateral to the Banksters if the government doesn't pay up.

 

just sayin'

WM13