RV NEWS

[aaanth]

Labels: Poof - May 8

Revaluation of the Iraqi Dinar to the former rate of $3.33 .. Sounds Great ...

Links - Iraq's Currency and Monetary Policy - "Remove Zeros" ...

08/05/2011

Delete the three zeroes from the Iraqi currency

From time to time ask the CBI idea of ​​raising three zeros from the Iraqi currency, and announced that he is nearing completion on finalizing the drafting of the law to regulate the process of lifting to be sent to the Council of the Prime Minister and then to the House of Representatives to decide whether there is a need to raise three zeroes from the Iraqi currency or not, as was confirmed a senior official at the Monetary Authority that the Council of Representatives is the author of the recent decision in this regard.

Adviser says the Iraqi Central Bank: The project will organize a mechanism for lifting the three zeroes for the advancement of the value of local currency in circulation economic, external and internal , and the project was considered a strategic project aimed at reducing inflation suffered by the Iraqi market, The Ministry of Finance announced last February that the deletion of zeros from the local currency will liberate the Iraqi economy from the constraints and enhance the value of the Iraqi dinar in the World Bank Fund.

We believe that the project raise three zeroes from the Iraqi currency is the glory and not raise the value of the Iraqi dinar and will add when applied to the problem of several other dimensions to the many problems that afflict the Iraqi economy deteriorating, and this problem is the confusion and disorganization of the market in buying and selling and debt among the citizens, as well as confusion mental state that will plague the Iraqi people as a result of the emergence of a new phenomenon requires the intellectual and psychological stress of the back and accepted.

On the other hand requires the project and before applying Stamping small denominations of the currency represents parts of the dinar, which will be worth a penny, note that the SEC this small change would cost the state large sums of money, then the project does not enhance the value of the Iraqi dinar ((says the Ministry of Finance)) where it will remain worth as it is ((if offered equal amounts of other equal results are equal)).

In a statement different from the Iraqi Central Bank that the process of removing three zeroes from the local currency is a complex process and need to study the economic extensive, also pointed adviser to the CBI we have to deal with this issue cautiously and carefully as it may cause economic problems in the event of rush or do any Another thing confusing economic situation in Iraq.

And we say to guard and to pay the occurrence of such problems, see better and more useful to put the project on Iraqi public opinion with an invitation for specialists in economics to indicate their opinion and familiarity with it before sending it to the prime minister and parliament.

And promises to start see the futility of the project - as we believe - it does not lead to raise the value of the Iraqi dinar, we aspire to adopt the CBI and economists project that aims to raise the value of the Iraqi dinar to its previous value to return is equal to (3.33) U.S. $ through a package of measures and bold decisions, the first review of the operation import wrong and reduced to the extent necessities, as the import open wide to drain the excess foreign currency and deposited with the Central Bank of Iraq in support of the Iraqi currency, and not put up for sale through auction for those wishing to by the Iraqi traders to cover Astiradathm of goods, as well as the review in order to reduce public expenditure to the State and its departments in regards to import furniture is expensive, they can be obtained from the local market, which encourages and supports the sector of local industry and create jobs for the unemployed, also support the development of the agriculture sector by helping farmers with seeds and agricultural machinery in order to increase production of agricultural crops.

There are also other things to support the Iraqi currency, including: reducing operations Aliivadat staff and make it only for the purpose of training and development.

http://www.babnews.com/inp/view.asp?ID=38753

Posted by Kel at 5/08/2011 02:28:00 PM Labels

this link is in arabic. do you have an english translation???

[zul]

I like your thoughts on this zul. And I hope you're right. For now, I'm not sure of anything right now because there is still indecision and secrecy still. If I could give you a positive vote on your post, I would, but I've run out of my allowance for today. Take care and thanks for the post.

TQ Aferriss. Right now, no one knows for sure...it is all guesses at best. but I agree with you..too much secrecy. Not that I’m closing my eyes on the possibility of LOP but I couldn’t help looking at a bigger picture where I put UST and US Gov. as 2 of the biggest players..and I don’t think LOP is in their book.

I like your thoughts on this zul. And I hope you're right. For now, I'm not sure of anything right now because there is still indecision and secrecy still. If I could give you a positive vote on your post, I would, but I've run out of my allowance for today. Take care and thanks for the post.

TQ Aferriss. Right now, no one knows for sure...it is all guesses at best. but I agree with you..too much secrecy. Not that I’m closing my eyes on the possibility of LOP but I couldn’t help looking at a bigger picture where I put UST and US Gov. as 2 of the biggest players..and I don’t think LOP is in their book.

sorry for double posting...the line today is so bad.

[zul]

Haha, yeah ok. Guess you missed my last post but here it is again in a nut shell. They are not removing the majority of the money supply from Iraq. It is not possible. The Iraqis need to use something to do buisiness. I know, they use the dollar. Dont you think we would have heard by now from someone in Iraq that the IQD was no longer being used and only the dollar was in circulation? Its not happening. Gurus and pumpers made this up to make everyone feel better about the remove three zeros articles.

Dinarck, USD and IQD are being used side by side in Iraq, that is why they can afford to remove larger dominated currencies (three zeroes - especially 25k and 10k notes) from circulation. Again, this is just my opinion. I never said the IQD ino longer being used.

As for what removing three zeroes means, since there is no official definition being made by CBI or the govt of Iraq on what they really are~ my definition is as good as yours. Peace.

[kevnutz]

That was awesome. Thanks to all who posted for a great read. For such a heated debate, I think all of the players here did pretty well to keep it civilized.

As Judge Wapner would say, "All parties have been sworn in and I have read your complaints." IMO, keep and dinarck have made a compelling case for a LOP then RV. I started reading this thread as a believer that Shabibi intends to remove three zeros from .00086 making 1IQD worth 1.16USD. I think it clicked tonight that we really MIGHT walk away with much less than I had hoped for all of this time.

Keep, sorry you got all the negs. I'm glad you don't let them throw you off your train of thought. I evened you out as much as I could (not that I think you really care).

I really doubt Iraq wants to make all their citizens rich while putting themselves trillions in debt with a straight up RV of 3.00.

True.

[Scortch]

I TAKE IT THAT YOU ARE SAYING ,,,NO,,,LOP,,,,$3.33 ,,,,I CAN LIVE WITH THAT ,,,,,HEY KEEP ,,,DON`Y SHOOT THIS GUY DOWN.................................................

Are you like 9 years old? message after message of this junk.

[Spoolin]

Could it be possible that if this redenomination stuff is what Iraq is going to do, it may just be what they do in country and nowhere else? That way, they dont make every citizen in Iraq a millionaire, but a good return of 300% or so and the rest of the world keeps what the dinar is worth and they RV at a lower rate of say ~$1.27 to draw all the 000 notes in. If the UST has ~$4 trillion and Obama mentioned our debt being cut in half by the end of 2011 and Iraq RV's out of country at ~$1.27, that will give the UST ~$5.1 trillion, which is near one half our national debt.

Edited May 9, 2011 by Spoolin

[RescueBreaths]

Hey KEEP are you the new LOP Guru? Please for my sake say LOP. I love it when people say it because when they do I quickly realize they dont know what they are talking about. Redenomination is the word! But ignorance is something seen here often.

If any of you follow the clips from economic experts off this site you will learn a lot more than on this site. I highly suggest it. But follow some who take one or two economic courses and claim to know so much and you find yourselves believing in just about anything.

First a speculation means you wont know the rate or date. We can assume a lot. Yet, people who feel they knwo what is actually like knowing a hidden secret are like those who would sell you on inside illegal information on a stock. This scenereo is much greater.

LOP word isnt a bad word as much as an ignorant expression for something not used in this situation and clearly those using it are not reading or are misinformed.

So those of you who follow KEEP might be considered by me as those who follow inlinbe with the most conservative in their thinking. Maybe he is right...; I PERSONALLY DOUBT IT and we shall see who is right in the end... (wink)

Nay sayers are fine by me but I like to think of the cup as half full rather than half empty. In my view some people here need to humble themselves with the true lack of knowledge they express. It just sends out some of the wrong messages to those who know even less then they do. So for those of you smart enough to listen READ from experts not any of us here. Take all here with GRAIN OF SALT AND USE YOUR LOGIC. If IRAQ comes out too low it will kill them economically and every which way.;

Again read... Learn. I feel fairly certain the end of this long awaited rainbow is close to the end.

I am looking forward to a very nice return. I will also be glad to see some of those claiming LOP will very wrong. So my smile will be two fold....

Go RV

[keepmwlknfny]

Their is NO DEBATING the FACT Iraq CAN NOT and WILL NOT Lop the Currency, Are you really that confused to Understand.... that a Lop does NOTHING, Destroys the economy in 24hr or less. Sends the country into Massive Debt Immediatly

Redenominating does not destroy anything......its a neutral change......nothing is gained, nothing is lost......your 10k note is now equal to the value of a new 10 dinar note, and your new 10 dinar note, will now purchase what used to take a 10k note to purchase......where is the loss again?? What is so hard to understand about a neutral change?? It does not destroy the economy...hahaha thats almost as dumb as saying Obama is in control of the RV......You need to put down your glass of koolaid and do some real research on redenominations and what happens and its affects......because we cant continue to talk about things that you dont have a grasp on.....its like me trying to explain how a car works to a 5 year old.....we wont be able to get anywhere.......

If IRAQ comes out too low it will kill them economically and every which way.;

Go RV

Please please please explain that one to me!!! Hahahaha you really have been listening to BS, feel good stories way too long!!!

[skepticaldinar]

Pretty much!! Im not saying this is what exactly is going to happen....cause no one will know if they approve this project of removing the zeros.....but to look at the removing the zero articles, and twist it into meaning a straight up RV is kinda silly.....thats all Im tryin to say here lol and Im gettin bashed because its not what they wanna see and because Im sure they have seen other Gurus versions of what they mean, telling them the CBI is saying straight up RV with these articles....its pretty funny to watch....I hope this plan flops like a fish out of water when it gets to parliment and the house.....but because I see the article for what it is, it makes me a lopster right Dinarck?? CRAP!!! How can I change?? I dont wanna be a lopster!! I wanna see rainbows and lollipops when I read these delete the zeros articles too!!!

Keep,I had the article from quite awhile back that is pretty much exactly what these newer raise the trips articles are.The only difference is that the one that I had saved also mentions that they were considering using what Turkey did as a template to follow.I can't find the folder that I had it saved in.Do you still have it? It should put the accused "missinterpretation" of what they are actually saying to bed.

[In Iraq]

Keeps' just planning for the worst while hoping for the best....

Makes sense, that way you don't find yourself hanging from the Chandelier . And if it is a straight RV you can act all surprised and joyous. Always plan for the worse and hope for the best. There will be less dissapointment involved and it makes you a stronger person!

Edited May 9, 2011 by In Iraq

[hoosier1470]

Could it be possible that if this redenomination stuff is what Iraq is going to do, it may just be what they do in country and nowhere else? That way, they dont make every citizen in Iraq a millionaire, but a good return of 300% or so and the rest of the world keeps what the dinar is worth and they RV at a lower rate of say ~$1.27 to draw all the 000 notes in. If the UST has ~$4 trillion and Obama mentioned our debt being cut in half by the end of 2011 and Iraq RV's out of country at ~$1.27, that will give the UST ~$5.1 trillion, which is near one half our national debt.

This is what I have been getting out of this whole thing..the removal of the zeros is not a lop, but the slow removal of the larger notes....which has already begun in. country. I dont believe for a minute that the 25 k notes are going to be dropped to 25....that would hurt them....not help them. When we cash in, the UST will then use our large notes to purchased oil..and they then will be returned to the CBI and taken out of circ...

[Midx1]

I remember an Effes beer in Turkey costing 1,000,000. TL.

After they dropped the zeros a beer cost 1 New Turkish Lira.

So no change in value.

Never seen all this confusion there.

I think if I remember correctly the old notes were good for a year and worth only 1 Turkish Lira.

Edited May 9, 2011 by Midx1

[Hell froze over]

Let me ask this, only because I am not smart enough to answer it. If they do lop and RV at $3 plus, and in fact if the UST has 4.3 trillion in dinar, i am thinking that would only be around 12 billion dollars in the treasuries coffers. Thats 1/100th of what the US has spent on the war?? My numbers wrong?? And would they except that as some would say that this was the US plan along. Excuse my ignorance here, a little help please!!

these people here are so lame. do they ever think the GOI throws something out for us to read and gets a measurement of the investors like or dislike.I am clearly on the wrong site.You poeple will smile and walk away with your 3 grand a million ? f@ck that does a 20 year battle ,2 trillion of OUR money spent. while china continues the interest rateson us that are out of control . Now china needs oil ? hey what the F BOMB AGAIN .I see they let us carry the finacial burden to secure there future oil.Why remove a dictator if not to profit fromit. Its very bad for our economy to fight to put oil in china secure pockets and new money in 30 million people we dont know .Tell the 200,000 police in Baghdad you just did a lop hahaha you think its bad now. How many new investors will a lop bring in hahahaha This is a model country for which others may see in the region . Wake up is our Goverment going to let this happen ? most of you think so and dont seem to mind . spineless cowards

[Mongo]

I just love a good cock fight ............such a waste of energy though

[jooced]

.......The currency was devalued in the early 90s because of sanctions AND EXCESSIVE PRINTING of the dinar.....Inflated currency....which is where they are at right now....needing to reduce the money supply.....

I am going to add a little snipet to the above posting; when Iraq takes one (1) 25K note out of circulation and replaces it with 25K one dollar notes what has happened here???? Now instead of just one pice of paper you now have 25K pieces of paper.......

I'll let Keep chime in - seems like only him and a few others really understand what this means...........I know I do, but it is better hearing it from several others as well.........

[mckay*pro]

Personally and IMO, I don't think that a LOP could even be considered. Iraq and its people have suffered more then enough and if a LOP was to occure the loss would not be to the government itself as keep was stating, but rather the loss would come directly from (Any countries that have invested in iraq, any people that have invested in iraq, and the biggest and most grevous problem would be the people of iraq would be hit the hardest.) Too many bad things would happen if iraq was to LOP, people would be dieing off much faster then they already have been, Crime would skyrocket to all time new high, Mass histairia because people there could not afford to keep their small businesses up and running.

Lets keep this stright and forword for a moment.

Iraq would be destroyed if not by itself then by Iran. Thus reinforceing the idea that a LOP would be the least logical thing to do - How will Iraq be able to pay for all this security, new projects, and investments. How would iraq pay back all this debt they owe the US and countless other people/governments that have lent iraq money for these projects to fix their economy. Matter a fact how does iraq plan to pay anything if they are not recieving taxes anymore from its people, Hence no money no taxes.

Why would Iraq take its sweet ass time on fixing their economy if they only wanted to smash it to pieces again?

IMO in no way does a LOP help anyone, if someone can think of one please share.

In conclusion to this messy and mad post of mine that i'm rushing through . Id just like to leave you all with this; The only logical course of action that iraq has left after being backed into a cornor and forced to move forword by the world, is to simply please the world and RV. (Any objections?)

[dinarck]

To

Personally and IMO, I don't think that a LOP could even be considered. Iraq and its people have suffered more then enough and if a LOP was to occure the loss would not be to the government itself as keep was stating, but rather the loss would come directly from (Any countries that have invested in iraq, any people that have invested in iraq, and the biggest and most grevous problem would be the people of iraq would be hit the hardest.) Too many bad things would happen if iraq was to LOP, people would be dieing off much faster then they already have been, Crime would skyrocket to all time new high, Mass histairia because people there could not afford to keep their small businesses up and running.

Lets keep this stright and forword for a moment.

Iraq would be destroyed if not by itself then by Iran. Thus reinforceing the idea that a LOP would be the least logical thing to do - How will Iraq be able to pay for all this security, new projects, and investments. How would iraq pay back all this debt they owe the US and countless other people/governments that have lent iraq money for these projects to fix their economy. Matter a fact how does iraq plan to pay anything if they are not recieving taxes anymore from its people, Hence no money no taxes.

Why would Iraq take its sweet ass time on fixing their economy if they only wanted to smash it to pieces again?

IMO in no way does a LOP help anyone, if someone can think of one please share.

In conclusion to this messy and mad post of mine that i'm rushing through . Id just like to leave you all with this; The only logical course of action that iraq has left after being backed into a cornor and forced to move forword by the world, is to simply please the world and RV. (Any objections?)

Yes I have objections. First of all get the notion that a RD would hurt Iraq out of your head. It would be like nothing changed. A 25,000 IQD becomes a 25IQD with the same buying power of the 25,000 IQD note. Why is this so hard to comprehend? There is no loss of value in the currency. At this point their currency is inline or roughly the same value as the USD unless they bring the exchange rate above the USD right off the bat. Again, why so hard to understand?

Ok, now you ask how they could pay for infrastructure. Simple. Oil. Now that they dont owe trillions of dollars because they RDed instead of RVed all they have to do is pump. Instead of paying each of us millions the money will go to rebuilding the country. Its that simple.

[keepmwlknfny]

This question is for Keepmwlknfny: First I will say that you always have good points. I read what you post because I value your comments and perspective, even though sometimes they are not for the faint of heart. My question is, if they did lop the 000's and made the value of $3.33, how would they bring in investers. It would cost three times more to start a business in Iraq then it would, say China, Canada, Vietnam, USA etc. It would be a new market but your start up costs would be trippled. The expensive start up costs would go into the goods being sold. The Iraqi's would have currency worth $3.33, but have very little of it to buy goods. Your thoughts will be valued.

I see what your saying.....but I think there plan would be to gradually get back to that rate and it could possibly be a quicker return to that value with a reduced money supply, and much more managable cash block.....They could also do that without lopping the zeros off but it seems it would be such a slower rise coming from 1170....just slowly letting the dinar appreciate from 1170 could take years to even get it to 1 dollar especially because it seems they will be going with a managed rate like Kuwait instead of letting the market determine the value.....if they redenominated, the value of the new dinar could easily be place at or around a dollar and then rise from there and would take less time to reach previous rates they had in the 80's......it would ease cash transactions, reduce money supply, and they could take that time for the banks to build the confidence back in the citizens so that they would be more likely to deposit their physical cash.....the large cash block is one of the main reasons why I think there is a possibility of a redenomination....if it wasent for that, I would say there is no way they could or would....and the citizens arent going to just overnight start trusting the banks....it either has to be forced, or gradually earned....and I doubt at this point they would want to try to force them to do anything With a slow gradual appreciation of the dinar, prices in the markets adjust accordingly, and actually they dont really lose anything if they were to lop....they would have the same amount or purchasing power that they had before.....of course until the economy improves, jobs get better and more are created along with services for the people, and the money starts flowing down into the hands of the citizens, they wont have much to buy anyway.....

[nepperson]

Thanks for the Post Speculator, that i could understand what they ment. IM so confused thease days lol Thanks agin Bud.

Sorry for the neg I hit the wrong button!

[keepmwlknfny]

Keep,I had the article from quite awhile back that is pretty much exactly what these newer raise the trips articles are.The only difference is that the one that I had saved also mentions that they were considering using what Turkey did as a template to follow.I can't find the folder that I had it saved in.Do you still have it? It should put the accused "missinterpretation" of what they are actually saying to bed.

Yea I dont think I have one saved but I will look when I get home.....but your completely right....which is why I dont see how these zeros articles can be missinterpreted into something thats good and that we want......

Keep,I had the article from quite awhile back that is pretty much exactly what these newer raise the trips articles are.The only difference is that the one that I had saved also mentions that they were considering using what Turkey did as a template to follow.I can't find the folder that I had it saved in.Do you still have it? It should put the accused "missinterpretation" of what they are actually saying to bed.

Yea I dont think I have one saved but I will look when I get home.....but your completely right....which is why I dont see how these zeros articles can be missinterpreted into something thats good and that we want......

[nepperson]

You know, Obama plans, (and seems very confident) that he will raise 1 billion for his re-election campaign,,,, if the white house knows anything, don't you think an RV could be his ticket to raising that amount,,,,,,,, I hope that if he gets it, he still LOOSES!

[keepmwlknfny]

I remember an Effes beer in Turkey costing 1,000,000. TL.

After they dropped the zeros a beer cost 1 New Turkish Lira.

So no change in value.

Never seen all this confusion there.

I think if I remember correctly the old notes were good for a year and worth only 1 Turkish Lira.

Classic example of a redenomination/dropping/lifting/raising/lopping/chopping/buring (lol) the zeros......which is what Iraq is talking about in these articles....and they are using Turkey as a template for planning theirs out....I dont understand why its so hard to realize that these zeros articles are NOT what the gurus say they are....its NOT a straight RV.....nothing was lost, nothing was gained.....which is why its not such a terrible thing that everyone thinks it will destroy Iraqs economy and thats just not the case.....

(disclaimer: Im not saying that Iraqs only choice is to redenominate or that this is what I want....just pointing out what they are talking about with these articles)

[Spoolin]

To

Yes I have objections. First of all get the notion that a RD would hurt Iraq out of your head. It would be like nothing changed. A 25,000 IQD becomes a 25IQD with the same buying power of the 25,000 IQD note. Why is this so hard to comprehend? There is no loss of value in the currency. At this point their currency is inline or roughly the same value as the USD unless they bring the exchange rate above the USD right off the bat. Again, why so hard to understand?

Ok, now you ask how they could pay for infrastructure. Simple. Oil. Now that they dont owe trillions of dollars because they RDed instead of RVed all they have to do is pump. Instead of paying each of us millions the money will go to rebuilding the country. Its that simple.

Since the 25k note just became a 25 note, this clearly means that a 25 note is now their largest bill.......How would they get by with this? Because if they RD the 000 notes, they must RD all the currency IMO. If they didnt, can you imagine the outrage of the people that hold the 000 notes that just became a none 000 note compared to the people that may have more of the lower denom notes? The people that posess more of the lower denom notes, 50, 250, 500, will be better off than the people with more of the 000 notes......There is no way this would fly with the Iraqi people........

[seus]

keepm I'm with you on this all the way...

I'm absolutely amazed how people here NOW think that it's Obama's plan to make the RV happen at a good rate so that he can raise funds for re-election...ARE YOU PEOPLE HIGH!???

Seriously, Iraq may be a war zone, but we made it one. Even if Bush allowed us to own IQD and said that the war will pay for itself, doesn't mean an RV where we make a crazy sum of money. He probably has to talk about our country supplying them with materials and goods, etc. Which guess what! Require manufacturing here, creating jobs here, creating revenue for the government here.

Do you actually think a LOP isn't going to happen? please, get real. Like Iraq is going to spend the next 10 years literally giving away their oil.

And do you think that it'll be too cost prohibitive for people to do work there because of a higher priced currency? Guess what, the cost of those goods will be relative to the dollar. Not the dinar. So if a can of coke costs 1 USD, it'd cost like .35 IQD or close to that.

The fact that people actually think the big players care about a lop or not are just ignorant. They want the oil fields in iraq. They want the untapped market of iraq, ripe for the taking.

enough said.

[mckay*pro]

Since the 25k note just became a 25 note, this clearly means that a 25 note is now their largest bill.......How would they get by with this? Because if they RD the 000 notes, they must RD all the currency IMO. If they didnt, can you imagine the outrage of the people that hold the 000 notes that just became a none 000 note compared to the people that may have more of the lower denom notes? The people that posess more of the lower denom notes, 50, 250, 500, will be better off than the people with more of the 000 notes......There is no way this would fly with the Iraqi people........

Yes spoolin thats what I was trying to say in terms "EVERYONE" could understand. I agree with you since you are adding to my post lol.

as far as what the guy said to me, why is it so hard for YOU to comprehend that 25,000 X3 = 75,000 compared to 3X25 = 75 so id say NO the buying power is not the same as the orginial 25,000 note if they loped. CLEARLY a BIG LOSS.