Parliamentary Finance intends to reintroduce the coin ... Another proposal to delete the zeros

[screwball]

On 8/19/2019 at 6:33 PM, DWS112 said:

"there is a step to delete the zeros before the coinage process to be a value for small groups to large." 

 

On 8/26/2019 at 12:39 AM, 6ly410 said:

"the government's approach to reprinting the coin will reduce the burden of damage to banknotes in the market and reprinting again."

what were there values? %0 and $100.00 coin....

 

On 8/25/2019 at 9:35 PM, yota691 said:

there is a step to delete zeros preceding the coinage process to be a value for small groups to large."

all this talk back in 2019 when they were suppose to implement system now coming into play??? 3 years behind schedule but just as current today considering whats going on now

[Theseus]

After 2016 SBA the IMF was all set to let Iraq RV. However, Iraq got caught fudging the numbers and prevented Iraq from going into Art 8. Also the White Papers were originally discussed back in 2015/16 but never implemented them. This included deleting the zeros from the currency. Swift was part of their SBA 2016 with the IMF, as well as dedollarization (MCP). Due to the corruption in Iraq, this was suspended.

 

The White Papers was implemented sometime between Oct and Dec 2020, going into 2021. When people talk about the 3 to 5-year plan, they are talking about the White Papers that was finally implemented near the end of 2020. The pseudo Global Pandemic happened and might have screwed with the schedule but Iraq is still on track. Iraq has stated, recently, Iraq stated they will be sticking to the USD. While that is said, it is noticeable that Iran has stated Iraq will be going with BRICS to get around sanctions on Iran. Which, while some people are ignoring the Iranian aspect, makes Iraq the patsy of Iran.

 

The focus of Iraq is to get their currency out of program-rate and tradeable on the world stage - globally. Until the foreseeable future, Iraq will not want to switch to BRICS as its only means of trade vehicle. The dilemma posed is paying and getting paid by China in their currency so Iraq will need to become a member of BRICS for the sole reason of paying China, and any other BRiCS country, and at the same time do most of their export and import trade in the SWIFT system. In other words it is okay for someone to have a mastercard and visa with being solely loyal to visa.  IFF Iraq wants to trade with China or any other country it will be a necessity to do so in that country's  own currency and to have a way to facilitate those trades. The way some people on here talk it will be only one or the other.

 

Iraq joining BRICS to facilitate trade to those countries belong to BRICS is a reasonable and rational decision. However, for Iraq to only be a member of either or is totally irrational and will not happen due to the makeup of global trade. In all being a part of both systems makes Iraq adaptable to the global trade scene but does not preclude them from one or the other. 

 

IIn 2019, IMF caught Iraq corrupting their reporting to the IMF. After SBA 2016, the three year plan along with the help of the IMF, Iraq was supposed to enter into Article 8 which would then allow Iraq to RV. Iraq cannot RV currently until they are in Article 8 of the iMF. Whether, and when, Iraq does enter Article 8 of the IMF they RV simultaneously, or near simultaneously, is a later discussion. The IMF has stated that Iraq needs to work on its monetary policies which includes currency. This includes coinage and paper notes, although they are not really paper. Minting coins and printing 20K notes is a part of this process, liked or not. Which is why the 20K note will released at the end of this year and coinage will be released toward 2026/7.

 

By releasing the 20K notes before coinage will give time for the distribution of the 20K notes and circulated. This will allow Iraqis, in their everyday affairs, to get used to the transactional process of using the 20K notes and allow for consumer confidence, the psychological aspect, to rise in their use.   Then when the zeroes are finally removed at a later date, the Iraqis will already be mentally prepared to use the 20 note once it is distributed. Someone on DV said that the denizens of Iraq will need to be educated on the new notes. If those notes are already in circulation, no education will be needed and the RV process will go smoothly inside of Iraq for everyday transactions. Iraqis do not think like Westerners and that has always been the West's mistake.   

Edited February 24, 2023 by Theseus

[Theseus]

People also tend to forget the USD has denominations of 1, 5, 10, 20, 50 and 100 notes.Iraqis use these denominations daily.  The US also uses other denominations solely for trade. SInce the Iraqi currently uses the 20 USD note and not a 25 USD note, because such a note does not exist in the US, by Iraq facilitating a 20K IQD not to be later a 20 IQD note when zeroes are removed, this also bolster's consumer confidence and the mentality of the Iraqi conducting transactions with the final currency upon RV.

 

Ever been to McDOnalds or some other QSR or retail store and had to pay a weird total transaction value, e.g. 37.53, and the cashier take a moment on 1) how to give you back your change and 2) figure out the math from handing them, the cashier, two 20 dollar bills? Now you understand why Iraq is introducing the 20K note and a variety of denominations of coins. 

Edited February 24, 2023 by Theseus

[screwball]

On 2/25/2023 at 5:21 AM, Theseus said:

by Iraq facilitating a 20K IQD not to be later a 20 IQD note when zeroes are removed, this also bolster's consumer confidence and the mentality of the Iraqi conducting transactions with the final currency upon RV.

as i said they coins in these lower denominations....they have indicated release of the coins in old posts doesnt make sense and costs $$$$$ to print

[screwball]

In 2004, a new series of coins were issued in denominations of ID 25, ID 50 and ID 100 and were struck in bronze, brass, and nickel-plated steel respectively. They are sparse in design and depict an abstract map of Iraq and the main rivers.

[screwball]

1 minute ago, screwball said:

20K IQD not to be later a 20 IQD note when zeroes are removed,

 

Just now, screwball said:

ID 25,

 

[RJG]

Why does not Iraq re-adopt the coin?

Economy

Rami Al-Salihi

 

17-March-2023

SIMILAR TO DEVELOPED COUNTRIES (GETTY)

 

With the increase in inflation in the local markets, the discussion returned in economic circles about the reasons why Iraq did not resort to issuing coins with the aim of restoring the value of the small currency, which has become worthless in daily transactions.

 

Economists believe that coins facilitate many of the daily banking transactions

The Central Bank is the only one responsible for supplying the country with its banknotes and coins, while Iraq stopped its dealings with "coin" years ago, despite the continuation of its work after 2003.

 

Not long ago, the Finance Committee in the Iraqi Parliament  called on the central bank to reintroduce the "metal currency", justifying that "this gave strength to the economy of countries in the Middle East."

 

Gold coins found in an archaeological site in Wasit Governorate, dating back 1,500 years

 

Reasons not to deal with it

 

Jalil al-Lami, an expert in economic and financial affairs, says that the metallic currency is considered one of the most important features of the economic and financial system in the world, but that Iraq "is missing it today, although its circulation was great in the last century."

 

According to Al-Lami, small coins facilitate many daily banking transactions, as "the use of metal denominations and their circulation will give the currency a legal value."

According to Al-Lami's interview with Ultra Iraq, most of the neighboring countries find that "the exchange rates of their local currency are very high against the dollar, and they basically own a coin through which they work to preserve the currency and not need to request more banknotes, especially in small denominations." . 

 

 

Also read:

/sites/default/files/styles/readmore/public/GettyImages-159064923.jpg?itok=L7o418F8

Photo | From the Ottoman era to now.. The chronology of the Iraqi currency

 

The reason for the neglect of the coin in Iraq is due to "the high cost of minting the coin, which costs more than the paper currency, in addition to the difficulty of carrying it for citizens," Al-Lami points out.

And after the inflation occurring in the economy - and speaking to the illiterate - it became difficult to mint coins and make them circulated among citizens, so "the step of deleting zeros is supposed to precede the coin minting process so that there is value for small denominations against large ones, and then resort to minting coins."

Iraq witnessed the issuance of the first new currency during the year 1931 , and it consisted of bronze coins. 

 

 

No coins effect

 

 

However, there are those who believe that the non-use of this currency is due to a technical or procedural reason and is not related in any way to inflation, according to the economist, Hussein Jaber, who justifies this by saying that "if the thousand dinars paper or metal denomination is used, if any, then this does not cause any change in the level." price, as it is a means of exchange and transfer of value between the seller and the consumer.

 

And the inflation in prices that most people feel is in the inflation of the number and not the value, because the Iraqi dinar - according to Jaber - is still legally "equal to 1,000 fils, and because of the excessive cash issuance, it has become equal to 1,000 dinars, which in reality is one dinar," confirming "then There is no effect of using the coin."

 

Jaber told Ultra Iraq, "The coins are used for small denominations of the currency as small parts that give greater flexibility in dealing and achieve a measure of justice for the benefit of consumers. As for large coins, they are not replaced with coins for technical considerations."

Important pluses

 

However, Jaber acknowledges that the coin has advantages that are reflected in the income of consumers and those with limited incomes, such as employees, retirees, and others.

 

He explains that “coins, being small denominations and forming parts of the large currency, can cover price differences in a flexible manner without loss to the consumer or the seller, and limit the exceptional profits that sellers achieve by selling their cheap goods at higher prices that are compatible with the available currency denominations, for example: The price of a small bottle of water is 135 dinars in wholesale, its price with profit is 175 dinars, but the sale price to the consumer will be 250 dinars, as there is no category smaller than 250 dinars to return to the consumer, so he has to accept this price with one bottle or buy three bottles for 500 dinars even if he is not need it.”

 

 

 

 

 

And about the high prices of its production, Jaber adds that "the cost of making it is less than the cost of paper, and also the banknotes that are perishable, burning, tearing, and so on, are not quickly damaged."

 

 

Economists saw that the elimination of inflation in Iraq is in the digital automation of currencies

As for the negative aspects of the coin, it is almost non-existent, as it cannot be used for commercial transactions and is limited to individual transactions, according to the vision of the economic expert, Hussein Jaber.

 

Expensive coins

 

Shortly after the US invasion of Iraq , the Central Bank of Iraq announced that it offered coins in denominations of 25, 50 and 100 dinars for circulation for the first time after they were canceled by Saddam Hussein's regime after the Gulf War in 1991.

 

 

 

 

 

However, the continuous inflation in the local markets, with its internal and external causes, devoured the small Iraqi currencies, and they have no material value, according to the economist, Nabil Al-Tamimi. 

 

Al-Tamimi told Ultra Iraq, "The issuance of cash costs the central bank's treasury a lot of money," considering that "the best solution to eliminate economic inflation in Iraq is to automate currencies digitally."

 

He explains that "transferring currency trading digitally will restore the value of small currencies, especially since most of the world's economically

developed countries no longer depend on cash transactions."

https://ultrairaq.ultrasawt.com/لماذا-لا-يعاود-العراق-اعتماد-العملة-المعدنية؟/رامي-الصالحي/اقتصاد

[screwball]

On 8/20/2019 at 1:58 PM, zul said:

 

So.......they have had meetings and discussions with CBI.

 

 

This must be their aspirations ~ to have exchange rate higher than USD.

 

We know this.....

 

Yep.....but not anymore. Inflations is at all time low now....

 

There were ready then, they sure are ready now...

 

Why tell us this if that's not the direction.

 

This announcement comes from Finance Committee......~ i think this is part of the process to give notice to the public of what's coming ('suddenly').

 

Thru previous & various articles, the public have been educated and have been made aware of the project to delete the zeros.

Now is the time (justifications) to reintroduce the coins.

 

Great timing. FML gazetted, draft budget discussions (in parliament) in Sept, reconstructions agreements signed......new CBI governor. Alaq going to AMF in Sept......and so many other positivities.

 

Footnotes: The dinar we hold was introduced (officially) on Oct.15, 2003, fully implemented Jan 2004.

 

All jmo......

 

 

Bump….let’s not forget this…

[screwball]

On 3/19/2023 at 12:13 AM, RJG said:

Why does not Iraq re-adopt the coin?

Economy

Rami Al-Salihi

 

17-March-2023

SIMILAR TO DEVELOPED COUNTRIES (GETTY)

 

With the increase in inflation in the local markets, the discussion returned in economic circles about the reasons why Iraq did not resort to issuing coins with the aim of restoring the value of the small currency, which has become worthless in daily transactions.

 

Economists believe that coins facilitate many of the daily banking transactions

The Central Bank is the only one responsible for supplying the country with its banknotes and coins, while Iraq stopped its dealings with "coin" years ago, despite the continuation of its work after 2003.

 

Not long ago, the Finance Committee in the Iraqi Parliament  called on the central bank to reintroduce the "metal currency", justifying that "this gave strength to the economy of countries in the Middle East."

 

Gold coins found in an archaeological site in Wasit Governorate, dating back 1,500 years

 

Reasons not to deal with it

 

Jalil al-Lami, an expert in economic and financial affairs, says that the metallic currency is considered one of the most important features of the economic and financial system in the world, but that Iraq "is missing it today, although its circulation was great in the last century."

 

According to Al-Lami, small coins facilitate many daily banking transactions, as "the use of metal denominations and their circulation will give the currency a legal value."

According to Al-Lami's interview with Ultra Iraq, most of the neighboring countries find that "the exchange rates of their local currency are very high against the dollar, and they basically own a coin through which they work to preserve the currency and not need to request more banknotes, especially in small denominations." . 

 

 

Also read:

/sites/default/files/styles/readmore/public/GettyImages-159064923.jpg?itok=L7o418F8

Photo | From the Ottoman era to now.. The chronology of the Iraqi currency

 

The reason for the neglect of the coin in Iraq is due to "the high cost of minting the coin, which costs more than the paper currency, in addition to the difficulty of carrying it for citizens," Al-Lami points out.

And after the inflation occurring in the economy - and speaking to the illiterate - it became difficult to mint coins and make them circulated among citizens, so "the step of deleting zeros is supposed to precede the coin minting process so that there is value for small denominations against large ones, and then resort to minting coins."

Iraq witnessed the issuance of the first new currency during the year 1931 , and it consisted of bronze coins. 

 

 

No coins effect

 

 

However, there are those who believe that the non-use of this currency is due to a technical or procedural reason and is not related in any way to inflation, according to the economist, Hussein Jaber, who justifies this by saying that "if the thousand dinars paper or metal denomination is used, if any, then this does not cause any change in the level." price, as it is a means of exchange and transfer of value between the seller and the consumer.

 

And the inflation in prices that most people feel is in the inflation of the number and not the value, because the Iraqi dinar - according to Jaber - is still legally "equal to 1,000 fils, and because of the excessive cash issuance, it has become equal to 1,000 dinars, which in reality is one dinar," confirming "then There is no effect of using the coin."

 

Jaber told Ultra Iraq, "The coins are used for small denominations of the currency as small parts that give greater flexibility in dealing and achieve a measure of justice for the benefit of consumers. As for large coins, they are not replaced with coins for technical considerations."

Important pluses

 

However, Jaber acknowledges that the coin has advantages that are reflected in the income of consumers and those with limited incomes, such as employees, retirees, and others.

 

He explains that “coins, being small denominations and forming parts of the large currency, can cover price differences in a flexible manner without loss to the consumer or the seller, and limit the exceptional profits that sellers achieve by selling their cheap goods at higher prices that are compatible with the available currency denominations, for example: The price of a small bottle of water is 135 dinars in wholesale, its price with profit is 175 dinars, but the sale price to the consumer will be 250 dinars, as there is no category smaller than 250 dinars to return to the consumer, so he has to accept this price with one bottle or buy three bottles for 500 dinars even if he is not need it.”

 

 

 

 

 

And about the high prices of its production, Jaber adds that "the cost of making it is less than the cost of paper, and also the banknotes that are perishable, burning, tearing, and so on, are not quickly damaged."

 

 

Economists saw that the elimination of inflation in Iraq is in the digital automation of currencies

As for the negative aspects of the coin, it is almost non-existent, as it cannot be used for commercial transactions and is limited to individual transactions, according to the vision of the economic expert, Hussein Jaber.

 

Expensive coins

 

Shortly after the US invasion of Iraq , the Central Bank of Iraq announced that it offered coins in denominations of 25, 50 and 100 dinars for circulation for the first time after they were canceled by Saddam Hussein's regime after the Gulf War in 1991.

 

 

 

 

 

However, the continuous inflation in the local markets, with its internal and external causes, devoured the small Iraqi currencies, and they have no material value, according to the economist, Nabil Al-Tamimi. 

 

Al-Tamimi told Ultra Iraq, "The issuance of cash costs the central bank's treasury a lot of money," considering that "the best solution to eliminate economic inflation in Iraq is to automate currencies digitally."

 

He explains that "transferring currency trading digitally will restore the value of small currencies, especially since most of the world's economically

developed countries no longer depend on cash transactions."

https://ultrairaq.ultrasawt.com/لماذا-لا-يعاود-العراق-اعتماد-العملة-المعدنية؟/رامي-الصالحي/اقتصاد

Picture here is the new Iraqi coins released then taken out or circulation…25,50 and 100