Remove zeros and raise the purchasing power of the Iraqi dinar

[ronscarpa]

Remove zeros and raise the purchasing power of the Iraqi dinar

Sotal-Iraq News - (Voice of Iraq) - 10/08/2010

By: Dr.. Abdullah Ali Awad

Became known to all and through statements by officials in the Iraqi government and people involved in economic affairs, the Central Bank of Iraq and the other seriously the issue of removing zeros Iraqi dinar, which is now equal to its value (less than fils) compared to the previous value ($ 3.1).

As mentioned by those circles, that the purpose of this procedure is to get rid of the quantities of paper currency many are trading in cash.

It was possible to work on recovery Aldenarabraghi by Bremer Bremer, after the fall of the fascist Baath on 9 - 4 - 2003 directly, which means re-nominal value former Iraqi currency by imposing an international obligation towards it, the fact that currency has a strategic reserve indirectly, which is oil , gas and other natural resources, has been the application of that principle (international obligation) against the Kuwaiti dinar after the invasion of Saddam Hussein remained in the Kuwaiti dinar wallets on its purchasing power has not been subjected to collapse, because Kuwait's oil wealth is the main guarantor, which is unable to pay the accumulated debt of Kuwait plus decisions International, which has become in the interest of revival of the Kuwaiti currency and the economy.

Hence we have a clearer picture, that the purpose of leaving the Iraqi dinar bulk recover automatically and depending on what is owned by the Iraqi Central Bank of strategic reserves of gold and a basket of foreign currencies, is to give more room and more time for the reluctance of the acquisition of the Iraqi dinar and not accepted by the institutions of banking and banks Foreign Affairs, and in this way the dinar currency remains weak and undesirable, which means the dependence of the Iraqi economy, the world's major currencies, which reflects a form of economic dependency.

One reason for the change (high and low) the purchasing power of currency is the degree of demand, the more demand has been (a rare commodity is equivalent to the rest of the goods) and thus increase their purchasing power.

Tzkirandma and put the single currency الأورپي Union - the euro - are pre-established nominal value, which is equal to ($ 1.18) and did not let loose at the mercy of other currencies.

The factors affecting the nominal value and purchasing power of the coin, some concrete material and some other significant but has a very material impact are as follows: -

1 - direct strategic reserve of gold and a basket of foreign currencies.

2 - indirect strategic reserve, which includes natural resources and the branches of the booming economy and developed infrastructure.

3 - psychological factor, and here I mean many areas, including an example of behavior and activity of some wholesalers who refuse to sell their goods in Iraqi dinars to major retailers, as well as with retailers in Karbala and Najaf, who sell their goods to foreign visitors (and conspicuously visible on the dollar).

Because of such activity, which indicates a lack of consciousness and selfishness of the Iraqi traders in how to respect the currency of his country and considered one of the symbols of national sovereignty, and here throw the blame on the Ministry of Finance, which does not make decisions and take deterrent measures that would prevent the phenomenon of trading foreign currencies at the Iraqi market and when you stop this phenomenon will increase the demand for the Iraqi dinar and the currency becomes scarce, and not only show zeros, even if the zeros were removed, it will not affect significantly as long as the process of dollarization of domestic economic activity continues.

VOI link

[zantac]

Remove zeros and raise the purchasing power of the Iraqi dinar -- (Voice of Iraq) - 10/08/2010 Today at 4:06 pm

Sotal-Iraq News - (Voice of Iraq) - 10/08/2010

By: Dr.. Abdullah Ali Awad

Identical duplicate of above post

Edited August 10, 2010 by ronscarpa
Duplicate of previous post

[Traconesu02]

Thanks for the post ronscarpa

I guess we wait and see.

[woookiee]

Thanks for the post.

[Kimjackie]

We would have time to turn our currency in at the RV value and then they would discard our larger 000 notes so this is not a problem to us.

[Dianne]

Thanks for the post!

[oildriven]

We would have time to turn our currency in at the RV value and then they would discard our larger 000 notes so this is not a problem to us.

Yes, Correct. When Iraq says something about removing zeros. They are talking about removing the larger bills (000) eventually from circulation.

[hfdmedic]

THNX for the post Ron.

[mrref]

Can someone that really understands what this post is saying please explain it to me Thank you very much...

[DinarTaino]

What does this exactly means????

[nathan1606]

great post ron ........ +1 ......... thanks

[RICK C]

Could there be a better Linc for this article , don't seem to find the 1 posted. and did ths come out TODAY or is this considerd OLD News. Thank you for bringing it over to us.

[Chief V]

Very promising article Ron!! Thanks for the post, great find! Sounds like there is some internal pressure cooker getting ready to boil over!!

[bowling4dinars]

thanks for the post.

[ROACH]

The sooner the better!

[Teresa82]

Thanks Ron! Great post!

[Richard Wood]

Thanks Ron

[mrref]

What does this exactly means????

I don't think anyone knows how to explain it..

[chevygirl83]

Can someone that really understands what this post is saying please explain it to me Thank you very much...

I agree... I have no clue what this article is trying to get across besides "removing the 000's"

someone please put into simple terms for us ...

thanks!!!!

[ROACH]

I agree... I have no clue what this article is trying to get across besides "removing the 000's"

someone please put into simple terms for us ...

thanks!!!!

Example...US Currency...we used to have 1000 and 500 bills but they were all turned in and now the largest bill you can get is a 100.

Same theory.

[DgreenFSU66]

I agree... I have no clue what this article is trying to get across besides "removing the 000's"

someone please put into simple terms for us ...

thanks!!!!

Simply put, it means NO LOP!!!!

[RICK C]

I wish they would have Included a paragraph mentioning a Revaluation coming too. Now that would have been the News Piece of the year,

Edited August 11, 2010 by RICK C

[k98nights]

Simply put, it means NO LOP!!!!

EXACTLY!

[Jac]

Thank you, Ron!

Blessings.

[sonny1]

If this article is true, and actualy means what it says, it is very good news. It appears to me that the rv will be around or over $1.00. Iraq stated about 6 months ago or so that they wanted large notes back in the cbi's hands by years end, it seems like they are sticking to their word.