Deleting 3 zeros from the currency .. Parliamentary finance is suspended and determines the size of the cost and the economic effects

[DWS112]

Note: After posting this article, (which seems like a smoke screen to me), I think it is an indication that we are getting close to the deletion of the zeros. - JMO DWS112

 

Deleting 3 zeros from the currency .. Parliamentary finance is suspended and determines the size of the cost and the economic effects

 

11/21/2020

 

Baghdad Today - Baghdad

 

Recently, a proposal to delete 3 zeros from the Iraqi currency has been put forward to provide a cash value in the Iraqi market in order to face the financial crisis, which has abounded proposals aimed at reducing its effects, especially with regard to low oil prices and the lack of liquidity in the state to finance basic salaries and expenditures.

The reporter of the Parliamentary Finance Committee, Ahmed Al-Saffar, said in an interview with (Baghdad Today), that "deleting zeros from the currency does not affect financially and does not get the country out of the crisis, and it is only a psychological aspect."

He added, "Deleting zeros will affect the government because it will destroy the currency it has and issue a new currency without zeros, and this will be in printing houses outside the country and this will cost the government a lot, and 👉 the current time is not suitable for this procedure."

As for a member of the Finance Committee, Ahmed Hama, he told (Baghdad Today), "Exiting the financial crisis is not only by deleting zeros from the Iraqi currency because the crisis is mainly economic," indicating that "deleting zeros from the Iraqi dinar needs to print a new currency."

He pointed out that "the cost of printing a new currency of different denominations of currency amounts to 60 trillion dinars, and this is difficult for Iraq to bear at the present time, because each denomination or every banknote of the currency requires 6 cents to be issued again."

The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

He adds, "The idea of deleting zeros from the local currency began after the First World War. In 1923, Germany deleted 12 zeros from its currency, followed by Hungary in 1946 by deleting 29 zeros from its currency, as well as China in the same year where 8 zeros were deleted, and in the present day several countries have done such things." Step like Zimbabwe, Sudan, Venezuela, Argentina, Brazil, Netherlands,Turkey and other countries, according to the University of North Carolina, that 70 countries have done this procedure since 1960, when 19 countries got rid of zeros once and ten countries twice, and it is considered the most country that got rid of zeros is Brazil, where it took this step six times and got rid of 18 zeros, which means that some countries They succeeded in this step and other countries failed. Therefore, they took this step more than once without success. Iran may be the last country that decided to delete 4 zeros from its currency after the significant decline in the value of the toman against the dollar, although some believe that there will be no positive impact on the Iranian economy because of Economic sanctions imposed on the country. "

Al-Zubaidi asserts that "the aim of this step is to control inflation and high prices and facilitate the process of selling and buying, especially when dealing in millions, which creates many problems for citizens carrying large quantities of currencies, difficulty reading prices, and mathematical errors in reading the large number of zeros, as was the case in Turkey." In addition to the costs of printing it. "

He points out that "the Netherlands succeeded in this work in 1960 because it put in place a strict policy to control prices and liquidity. Turkey also succeeded in this measure, with the testimony of the International Monetary Fund, for taking effective measures to combat inflation and was able to raise the value of the Turkish lira through the economic reforms taken by the government in all fields." It led to economic stability in the country and got rid of printing large numbers of its currency, as well as making it easier for citizens to read numbers and commodity prices. On the other hand, there are many other countries that, when taking such a step, failed to address the economic problem, especially inflation, such as Zimbabwe, Argentina and Brazil, as inflation continued to rise and so. For not taking correct economic measures, which forced these countries to take this step more than once without any positive results, and some of them eventually resorted to abandoning the local currency and using hard currencies in local transactions.

He adds, "Therefore, in general, it can be said that deleting zeros from the local currency without meaningful and effective economic reforms in all economic sectors will be negative and have no positive impact on the national economy and does not contribute to reducing inflation, although some may delude that prices have decreased and the purchasing power of the currency Accordingly, it can be said that what was mentioned above applies to the Iraqi economy, and this step will have a negative impact if it is not carefully planned and is associated with effective economic measures, revitalizing the national industry and supporting the private sector to advance the national economy.
 

 

[rvmydinar]

6 hours ago, DWS112 said:

Note: After posting this article, (which seems like a smoke screen to me), I think it is an indication that we are getting close to the deletion of the zeros. - JMO DWS112

 

Deleting 3 zeros from the currency .. Parliamentary finance is suspended and determines the size of the cost and the economic effects

 

11/21/2020

 

Baghdad Today - Baghdad

 

Recently, a proposal to delete 3 zeros from the Iraqi currency has been put forward to provide a cash value in the Iraqi market in order to face the financial crisis, which has abounded proposals aimed at reducing its effects, especially with regard to low oil prices and the lack of liquidity in the state to finance basic salaries and expenditures.

The reporter of the Parliamentary Finance Committee, Ahmed Al-Saffar, said in an interview with (Baghdad Today), that "deleting zeros from the currency does not affect financially and does not get the country out of the crisis, and it is only a psychological aspect."

He added, "Deleting zeros will affect the government because it will destroy the currency it has and issue a new currency without zeros, and this will be in printing houses outside the country and this will cost the government a lot, and 👉 the current time is not suitable for this procedure."

As for a member of the Finance Committee, Ahmed Hama, he told (Baghdad Today), "Exiting the financial crisis is not only by deleting zeros from the Iraqi currency because the crisis is mainly economic," indicating that "deleting zeros from the Iraqi dinar needs to print a new currency."

He pointed out that "the cost of printing a new currency of different denominations of currency amounts to 60 trillion dinars, and this is difficult for Iraq to bear at the present time, because each denomination or every banknote of the currency requires 6 cents to be issued again."

The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

He adds, "The idea of deleting zeros from the local currency began after the First World War. In 1923, Germany deleted 12 zeros from its currency, followed by Hungary in 1946 by deleting 29 zeros from its currency, as well as China in the same year where 8 zeros were deleted, and in the present day several countries have done such things." Step like Zimbabwe, Sudan, Venezuela, Argentina, Brazil, Netherlands,Turkey and other countries, according to the University of North Carolina, that 70 countries have done this procedure since 1960, when 19 countries got rid of zeros once and ten countries twice, and it is considered the most country that got rid of zeros is Brazil, where it took this step six times and got rid of 18 zeros, which means that some countries They succeeded in this step and other countries failed. Therefore, they took this step more than once without success. Iran may be the last country that decided to delete 4 zeros from its currency after the significant decline in the value of the toman against the dollar, although some believe that there will be no positive impact on the Iranian economy because of Economic sanctions imposed on the country. "

Al-Zubaidi asserts that "the aim of this step is to control inflation and high prices and facilitate the process of selling and buying, especially when dealing in millions, which creates many problems for citizens carrying large quantities of currencies, difficulty reading prices, and mathematical errors in reading the large number of zeros, as was the case in Turkey." In addition to the costs of printing it. "

He points out that "the Netherlands succeeded in this work in 1960 because it put in place a strict policy to control prices and liquidity. Turkey also succeeded in this measure, with the testimony of the International Monetary Fund, for taking effective measures to combat inflation and was able to raise the value of the Turkish lira through the economic reforms taken by the government in all fields." It led to economic stability in the country and got rid of printing large numbers of its currency, as well as making it easier for citizens to read numbers and commodity prices. On the other hand, there are many other countries that, when taking such a step, failed to address the economic problem, especially inflation, such as Zimbabwe, Argentina and Brazil, as inflation continued to rise and so. For not taking correct economic measures, which forced these countries to take this step more than once without any positive results, and some of them eventually resorted to abandoning the local currency and using hard currencies in local transactions.

He adds, "Therefore, in general, it can be said that deleting zeros from the local currency without meaningful and effective economic reforms in all economic sectors will be negative and have no positive impact on the national economy and does not contribute to reducing inflation, although some may delude that prices have decreased and the purchasing power of the currency Accordingly, it can be said that what was mentioned above applies to the Iraqi economy, and this step will have a negative impact if it is not carefully planned and is associated with effective economic measures, revitalizing the national industry and supporting the private sector to advance the national economy.
 

 

Here we go again. The same articles again and again. Talk only , no action. It costs 6 cents to print a new currency. I thought cbi was already printing lower denoms a long time ago. Why has the cbi brought it up again? Is there a secret thing ( cbi and goi have already done it behind closed door ) we don't know?

[screwball]

7 hours ago, DWS112 said:

Note: After posting this article, (which seems like a smoke screen to me), I think it is an indication that we are getting close to the deletion of the zeros. - JMO DWS112

 

Deleting 3 zeros from the currency .. Parliamentary finance is suspended and determines the size of the cost and the economic effects

 

11/21/2020

 

Baghdad Today - Baghdad

 

Recently, a proposal to delete 3 zeros from the Iraqi currency has been put forward to provide a cash value in the Iraqi market in order to face the financial crisis, which has abounded proposals aimed at reducing its effects, especially with regard to low oil prices and the lack of liquidity in the state to finance basic salaries and expenditures.

The reporter of the Parliamentary Finance Committee, Ahmed Al-Saffar, said in an interview with (Baghdad Today), that "deleting zeros from the currency does not affect financially and does not get the country out of the crisis, and it is only a psychological aspect."

He added, "Deleting zeros will affect the government because it will destroy the currency it has and issue a new currency without zeros, and this will be in printing houses outside the country and this will cost the government a lot, and 👉 the current time is not suitable for this procedure."

As for a member of the Finance Committee, Ahmed Hama, he told (Baghdad Today), "Exiting the financial crisis is not only by deleting zeros from the Iraqi currency because the crisis is mainly economic," indicating that "deleting zeros from the Iraqi dinar needs to print a new currency."

He pointed out that "the cost of printing a new currency of different denominations of currency amounts to 60 trillion dinars, and this is difficult for Iraq to bear at the present time, because each denomination or every banknote of the currency requires 6 cents to be issued again."

The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

He adds, "The idea of deleting zeros from the local currency began after the First World War. In 1923, Germany deleted 12 zeros from its currency, followed by Hungary in 1946 by deleting 29 zeros from its currency, as well as China in the same year where 8 zeros were deleted, and in the present day several countries have done such things." Step like Zimbabwe, Sudan, Venezuela, Argentina, Brazil, Netherlands,Turkey and other countries, according to the University of North Carolina, that 70 countries have done this procedure since 1960, when 19 countries got rid of zeros once and ten countries twice, and it is considered the most country that got rid of zeros is Brazil, where it took this step six times and got rid of 18 zeros, which means that some countries They succeeded in this step and other countries failed. Therefore, they took this step more than once without success. Iran may be the last country that decided to delete 4 zeros from its currency after the significant decline in the value of the toman against the dollar, although some believe that there will be no positive impact on the Iranian economy because of Economic sanctions imposed on the country. "

Al-Zubaidi asserts that "the aim of this step is to control inflation and high prices and facilitate the process of selling and buying, especially when dealing in millions, which creates many problems for citizens carrying large quantities of currencies, difficulty reading prices, and mathematical errors in reading the large number of zeros, as was the case in Turkey." In addition to the costs of printing it. "

He points out that "the Netherlands succeeded in this work in 1960 because it put in place a strict policy to control prices and liquidity. Turkey also succeeded in this measure, with the testimony of the International Monetary Fund, for taking effective measures to combat inflation and was able to raise the value of the Turkish lira through the economic reforms taken by the government in all fields." It led to economic stability in the country and got rid of printing large numbers of its currency, as well as making it easier for citizens to read numbers and commodity prices. On the other hand, there are many other countries that, when taking such a step, failed to address the economic problem, especially inflation, such as Zimbabwe, Argentina and Brazil, as inflation continued to rise and so. For not taking correct economic measures, which forced these countries to take this step more than once without any positive results, and some of them eventually resorted to abandoning the local currency and using hard currencies in local transactions.

He adds, "Therefore, in general, it can be said that deleting zeros from the local currency without meaningful and effective economic reforms in all economic sectors will be negative and have no positive impact on the national economy and does not contribute to reducing inflation, although some may delude that prices have decreased and the purchasing power of the currency Accordingly, it can be said that what was mentioned above applies to the Iraqi economy, and this step will have a negative impact if it is not carefully planned and is associated with effective economic measures, revitalizing the national industry and supporting the private sector to advance the national economy.
 

 

I think you are correct 

[rvmydinar]

Again iraq is always something to surprise us but my heart is still strong. Unless iraq rv the iqd above $3,then you are almost  giving me a heart attack. Come rv iraq. Git er done asap and we are all happy.

[screwball]

4 minutes ago, rvmydinar said:

Again iraq is always something to surprise us but my heart is still strong. Unless iraq rv the iqd above $3,then you are almost  giving me a heart attack. Come rv iraq. Git er done asap and we are all happy.

Zeros went on so they must come off exchange rate and release lower denoms

[Thief]

Isn't this an old news, words for words. I'm sure I've read this before🤭

[gregp]

Good Morning Master Yota. 
I can’t wait for Master Economist Mr. RV to speak.

  

[Longtimelurker]

1 hour ago, gregp said:

Good Morning Master Yota. 
I can’t wait for Master Economist Mr. RV to speak.

  

You and me both!

[jeepguy]

12 hours ago, DWS112 said:

"the cost of printing a new currency of different denominations of currency amounts to 60 trillion dinars, and this is difficult for Iraq to bear at the present time, because each denomination or every banknote of the currency requires 6 cents to be issued again."

🤔   mmmmmmmm  6 cents , to reprint !  wonder what it cost to push  the " delete zero`s off the rate of exchange button  , back too  .86  from .00086 ? 

[Slave2Spartacus]

It's like groundhog dinarday. But..

What would they be printing. ?

All the 1,000.5,000 10,000 and 25,000 notes are going bye bye.They more than likely have all the lower denoms printed and stored not to mention the coins. Then i see articles about them going to the Bank Intnl Settlements to help with International tade. WTO Participation, 2021 price of a barrel settled to 35-40 bpb and employees and citizens alike being subtly asked to open bank accounts etc etc.

Parliament Presidency talk of stopping hard currency leaving iraq. US Forces also leaving.Tax and customs systems coming along great. 45 Day ext with Iran for oil  imports.USA still deciding it's presidency Iraq ex pm congratulating Biden. Remember The Don saying we will take all the oil ..lol

Jeeez it's getting exciting again..My guess\wish is 1st quarter 2021 .

 

[Engine1]

Reading this sounds to me that he is stating that "if you had 1dinar from new currency will be worth what 1000 dinar bill is worth from.old currency.   To me it sounds like they will be deleting the zeros off the bill. Not off the currency rate.  But that's just me thinking that, I am not into smoke screens or into conspiracies. 

So I posted this and if it makes you feel better give me a "POW" or a thumbs up or a trophy, those things dont matter to me, never have and never will. Oh ya read below this and read to the last sentence 
The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

[Engine1]

1 hour ago, jeepguy said:

🤔   mmmmmmmm  6 cents , to reprint !  wonder what it cost to push  the " delete zero`s off the rate of exchange button  , back too  .86  from .00086 ? 

It would cost them a fortune to drop the zeros off the exchange rate. That is why they are talking about dropping the 3 zeros off the bill. Read below 

 

The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

 

 

[adhoc10]

14 hours ago, DWS112 said:

"Therefore, in general, it can be said that deleting zeros from the local currency without meaningful and effective economic reforms in all economic sectors will be negative and have no positive impact

This is the theme I have been seeing with the abundance of articles  on financial reform  It's good to see it in writing that there is an acknowledgement of only taking action on the zeros is not in the best interest of Iraq.Good for US!! 

[rvmydinar]

15 hours ago, DWS112 said:

 👉 the current time is not suitable for this procedure."

Not suitable? How come is it From The same articles again and again? They must be doing this on purpose ( secret mission ). Is this Another distraction? Another smoke screens? Are you kidding me? So When is the right time to do it? Suddenly, quietly, and surprisingly. Come rv.

[horsesoldier]

The Trump has " The Art of the Deal " . . . Again & again for the last 17 ( ugh ) Years we've seen in so many masterful ways  - - - Iraq has  " The Art of the  "

It's been exhausting, infuriating & frustrating; but we've all been wearing our Hip Waders navigating their murky septic sludge for this long, perhaps we'll be able to take'em off in short order leaving these greedy little divas to their histrionic ways. 

 

[Half Crazy Runner]

41 minutes ago, horsesoldier said:

" The Art of the  "

Soooo true!!! 😆

[Laid Back]

The plan is to give purchasing power to the people, they can’t accomplish that with RD / LOP

 

Go increase of the dinar exchange rate 

Go purchasing power 
 

 

[screwball]

6 hours ago, Engine1 said:

It would cost them a fortune to drop the zeros off the exchange rate. That is why they are talking about dropping the 3 zeros off the bill. Read below 

 

The Iraqi economist Khalifa Al-Zubaidi says in an article that deleting zeros from the local currency is the process of replacing the old currency with a new one whose price is less than the old currency by the number of zeros that will be deleted. For example, deleting three zeros from the Iraqi currency means that one dinar from the new currency is equivalent to 1000 dinars from Old currency. "

 

 

i think that is purely cosmetic....in the words "scientific" they have used these words more than once. remember they printed 7 denominations when they printed the dinar!!!!! back in 1996 they were negotiating a contract with note printing and securency to print dinar using polymer technology. now I know they print Kuwait's currency. whos not to say its not already done. worrying about nothing. its what they dont tell us you should be worried about.

[screwball]

4 hours ago, Half Crazy Runner said:

Soooo true!!! 😆

exactly. they articles will get worse....look for denial redirection and confusion

[justchecking123]

Even if they don't LOP, that's what these delete the zero articles mean/describes year after year.

 

Common sense. The three zero currency is ergonomically clunky for citizens and the (e-bank digital)  economy.  

 

Don't know how anyone can't see it, all translations being (un) equal. 

 

 

 

[dinarham]

C'mon ,mans and ladies, think ATM's .

[Theseus]

This article is not saying what most people think it is saying. THe article is summed up from this sentence (which was highlighted by the OP:

 

"deleting zeros from the currency does not affect financially and does not get the country out of the crisis, and it is only a psychological aspect."

 

There is that word again I have talked about - "psychological effect". Basically the article is saying that deleting the zeros from the denominations will not affect the exchange rate. Meaning deleting the zeros only from the currency and not the exchange rate.

 

The next sentence to point out is (again highlighting by OP)

 

"He pointed out that "the cost of printing a new currency of different denominations of currency amounts to 60 trillion dinars, and this is difficult for Iraq to bear at the present time, because each denomination or every banknote of the currency requires 6 cents to be issued again."

 

Why 60 trillion dinars if each bill costs 6 cents to print? Because currently there is that amount in physical currency that is outside the banks with the three zeros on it.  This article is talking about deleting the zero from the currency, keeping the exchange rate the same and then printing new currency without the zeros. 

 

The article sums up the negative effect if only the zeros from currency is removed but no other actions are taken like changing the exchange rate (highlighting is mine):

 

"Therefore, in general, it can be said that deleting zeros from the local currency without meaningful and effective economic reforms in all economic sectors will be negative and have no positive impact on the national economy and does not contribute to reducing inflation, although some may delude that prices have decreased and the purchasing power of the currency Accordingly, it can be said that what was mentioned above applies to the Iraqi economy, and this step will have a negative impact if it is not carefully planned and is associated with effective economic measures, revitalizing the national industry and supporting the private sector to advance the national economy.

Edited November 23, 2020 by Theseus

[PrehistoricMan]

So you are saying it means a neutral event for us.  Right?

[Theseus]

19 minutes ago, PrehistoricMan said:

So you are saying it means a neutral event for us.  Right?

No I never said that. 

[3n1]

nothing new to see here, here's an article from april 2011, that's basically word for word with very similar or same meaning in fact its Selah saying it back then ,

same Saleh that's been in recent articles lately it was called delete the zero's project back then so yeah those that think they have seen it before you have , and it use to be the same talking points understandably that are being raised now  some think lop some think a windfall , about ten years have passed iraq just been moving from crisis to crises  ....nothing is guaranteed all speculation ......... cheers

 

14th April 2011 in Iraq Banking & Finance News

Iraq’s Central Bank announced on Tuesday that the project to re-denominate the Iraqi Dinar, removing three zeroes, is close to completion.

According to the report from Alsumaria TV, the re-denomination project is believed to be a strategic plan that will be passed to the ministerial council and Parliament once complete.

A Central Bank’s advisor, Mothahhar Mohammed Saleh, said in a statement to the agency that the plan aims to reduce transactions costs and help people carry less money.

Iraq’s central Bank has managed during the past five years to reduce inflation rates from 34% to 3 or 4% and stabilize Iraqi Dinar exchange rate, he said.

In an earlier statement to Alsumaria News, he confirmed that the bank plans to remove three zeroes from the Iraqi Dinar, noting that the zeroes which were added to the Iraqi currency previously constituted a large money supply estimated at 27 trillion Iraqi Dinar.

Saleh revealed on the other hand that Iraq engages for the first time in banks payment system as it moved from manual to electronic clearance. The system includes six banks in addition to electronic deeds exchange, he said adding that the smart and credit cards will be bound to the central bank system.

Iraqi economists believe the re-denomination of Iraqi Dinar will not have a major influence on the purchasing power of the Iraqi Dinar "which the government has hopes high on it".