Amount of Dinar

[dreardon]

I had a question about the amount of dinars in circulation.

Since I have been invested I had always thought there was only 27 trillion dinars in circulation and judging from an article I read I believe Shabibi stated he got rid of 70% of the dinar which would lower it to around 7 trillion, mostly outside the country.

Recently I have been pessimistic because I have been looking at thier recent curreny actions and they are selling on some days over 200 million US dollars worth, thats something like 244 billion dinars a day!

I hope this number hasn't been this high for that long, they have had 1823 currency auctions so that would mean the number of dinars is astronomical.

Even if they only auctioned 50 million USD worth each day it would still be over 100 trillion dinars!

I hope someone can shed some light because this investment makes sense at 7 trillion but not so much sense when you are looking at anywhere from 100 trillion to 200 trillion dinars in circulation.

Has anyone heard of the fact that they only printed 27 trillion dinars?

And they have been destroying them for a while no to lower supply?

Why do they keep selling dinars if they know they will have to back it someday?

Does anyone know if they electronic transfers of dinars are going to be treated differently than the Dinars themselves?

Can someone make me optimistic again?! haha

[sandyf]

Hi

I posted a couple of days ago a news item that was quite specific that the currency auctions were selling dollars and not dinars as many seem to think. This would have the effect of bringing dinars back in house. If you look at the auction report the bulk is external, which would be electronic , with a small amount of cash, physical

currency.

Another thing I saw in a post recently that it was rumored that De La Rue had only actually printed 26 billion dinars and the rest of the 27 Trillion was held electronically. When they claim to have removed 70%, it may mean they have managed to cancel a large part of the electronic holdings along with some removal of the physical currency. Who knows?

[Doctor Smith]

As I have had it explained to me I don't think it matters. The currency has whatever value they assign to it. If gold doubles in price (for example), it isn't as though someone has lost anything and has to make up the difference.

If it RV's tomorrow at a large rate and everyone runs to trade it in for the US dollar it won't matter. Whoever accepts the Iraqi currency will have the new higher valued currency backed by oil. That's more than the US dollar is backed by.

[dreardon]

Thanks alot good info, i appreciate it

[keepmwlknfny]

I had a question about the amount of dinars in circulation.

Since I have been invested I had always thought there was only 27 trillion dinars in circulation and judging from an article I read I believe Shabibi stated he got rid of 70% of the dinar which would lower it to around 7 trillion, mostly outside the country.

Recently I have been pessimistic because I have been looking at thier recent curreny actions and they are selling on some days over 200 million US dollars worth, thats something like 244 billion dinars a day!

I hope this number hasn't been this high for that long, they have had 1823 currency auctions so that would mean the number of dinars is astronomical.

Even if they only auctioned 50 million USD worth each day it would still be over 100 trillion dinars!

I hope someone can shed some light because this investment makes sense at 7 trillion but not so much sense when you are looking at anywhere from 100 trillion to 200 trillion dinars in circulation.

Has anyone heard of the fact that they only printed 27 trillion dinars?

And they have been destroying them for a while no to lower supply?

Why do they keep selling dinars if they know they will have to back it someday?

Does anyone know if they electronic transfers of dinars are going to be treated differently than the Dinars themselves?

Can someone make me optimistic again?! haha

Your correct that there is 27 trillion dinar in circulation.....and 90 percent of that is IN country......the whole 70% that was so called removed wasent necessarily currency from circulation.....it was excess liquidity.....which isent directly physical currency......not to mention it was all put right back into the banking system for loans and things of that nature.....to have more borrowing availible so to speak......so even then, it wasent destroyed or removed.....

[truthful1]

They are selling foreign currency at the daily currency auctions, not dinars.

If they would've removed 70%, they wouldve had to pay to get them back...........somewhere around 20 Billion dollars worth. After reviewed data from CBI website, There is

ZERO evidence, (in fact it almost proves they didn't), that they removed 70% from circulation.

My analysis comes from cbi website......click statistics, then monetary aggregates, and then look at Sheet 3 of excel spreadsheet. There you will find M2 data. Oh and Keepm is right on.

Edited January 29, 2011 by truthful1