Guest views are now limited to 12 pages. If you get an "Error" message, just sign in! If you need to create an account, click here.

Jump to content
  • CRYPTO REWARDS!

    Full endorsement on this opportunity - but it's limited, so get in while you can!

CBI decides to restructure the Iraqi currency


Recommended Posts

Is it possible based on the facts given through different articles that the redinomination will happen in country, so to not disrupt the economy in terms of market changes and such. Then foreign investors will be able to exchange for what the money is worth, for example 1:1 with a 25k dinar note would be workth 25k USD? Keep what are your thoughts brother?

Link to comment
Share on other sites

There has to be some sort of profit that needs to be involved in this investment.. or else the motive of US attracting this investment legal in US makes no sense at all. The profit should atleast be double/triple if not an RV or a considerable profit space. Or else, this makes perfect non-sense of an investment.

My 2 words,

Michel! :)

Hi michel :)

Very true, and it is what we all at the very least,

hope for, which is some kind of ROI and 2 to 3 times is

the likely scenario at this point. Maybe we will be surprised,

but it is clear what the plan of the CBI is and I am hoping with you

that this turns out to offer some decent return.

I also feel most were sold a bill of goods by the gurus, and that

is self evident, so let us hope we can actually walk away with

something to show, but I am not so sure.

Thanks for your comments :)

All my best!

Jim

---

Link to comment
Share on other sites

Why cant people understand that the IMF, and many others are not going to allow Iraq to just simply say..."sorry folks...but that money you have purchased that was worth 25 k dinars....well now its not! Sorry about your luck" This is absolutely NOT the case here! It would be like the US saying....oh, sorry but that hundred dollar bill you have is now only worth ten cents....just because we say it is!

Actually no, it's not like that at all. Purchasing power does not change after a redenomination. Five dinars after redenomination will buy the same thing as 5,000 dinars before redenomination. A Coke that cost 1,000 dinar before redenomination will cost 1 dinar after redenomination. Wealth and purchasing power has not changed. If 1,000,000 dinar is worth 800 US dollars before redenomination, then 1,000 dinar is worth 800 US dollars after redenomination.

It shouldn't be a surprise to anyone. The CBI has repeatedly said for years they intend to redenominate. It was only the supposed gurus that were telling people it would never lop. They figured if they said it forcefully and with conviction that it must be true. Well, it's not true. The dinar is going to redenominate. There will be a corresponding revaluation that maintains the purchasing power of the new currency and the current value of your dinar is not likely going to go down. Your best opportunity to make money on the dinar is by Iraq doing the right things to increase the GDP of their economy. It still has potential, like any other foreign currency, to make you money. But it's going to be a long term prospect that may return 10-15% over several years. Anybody that bought the hype of a 3,000% return was just a fool. That was NEVER going to happen, despite the insistence of all hypsters.

  • Upvote 2
  • Downvote 2
Link to comment
Share on other sites

Actually no, it's not like that at all. Purchasing power does not change after a redenomination. Five dinars after redenomination will buy the same thing as 5,000 dinars before redenomination. A Coke that cost 1,000 dinar before redenomination will cost 1 dinar after redenomination. Wealth and purchasing power has not changed. If 1,000,000 dinar is worth 800 US dollars before redenomination, then 1,000 dinar is worth 800 US dollars after redenomination.

It shouldn't be a surprise to anyone. The CBI has repeatedly said for years they intend to redenominate. It was only the supposed gurus that were telling people it would never lop. They figured if they said it forcefully and with conviction that it must be true. Well, it's not true. The dinar is going to redenominate. There will be a corresponding revaluation that maintains the purchasing power of the new currency and the current value of your dinar is not likely going to go down. Your best opportunity to make money on the dinar is by Iraq doing the right things to increase the GDP of their economy. It still has potential, like any other foreign currency, to make you money. But it's going to be a long term prospect that may return 10-15% over several years. Anybody that bought the hype of a 3,000% return was just a fool. That was NEVER going to happen, despite the insistence of all hypsters.

Forget abt iraq for a moment please. Now answer me. Was US govt a fool to legalize Iraqi Dinar Investment? Was all the US banks(or say banks around the world) who sold the dinars were making it's customers fool saying it's a useless investment? Was Legal Exchangers like dinarbanker, dinartrade, tampadinar everyone making a mockery of US citizens and it's govt in front of the US govt??

That would be a tight slap on the face of US if this does LOP.. get this right, US/UN does not allow this to happen, and that's what I'm believing as of now. if they do anything other than an RV (even a minute RV is fine), I'm thinking the US govt (Complete Obama Administration) and it's citizens are made fool of.

Michel :)

  • Upvote 1
Link to comment
Share on other sites

There has to be some sort of profit that needs to be involved in this investment.. or else the motive of US attracting this investment legal in US makes no sense at all. The profit should atleast be double/triple if not an RV or a considerable profit space. Or else, this makes perfect non-sense of an investment.

Let's not think what Iraq can do or not do. Let's think what US/UN can do to force iraq to give reasonable profits to it's investors. Afterall, it's we who've helped them get up on their feet. A few companies with billion dollar investment in iraq could not help them because they need investments in BULK, which is HUGE. And without the US or common man support of other countries, it is'nt simply possible. Think the logistics people.

My 2 words,

Michel! :)

The US and the world has made significant profit and will over a long period of time from Iraq. You see, Iraq incurred gigantic debt that they inherited from Saddam. In order to remove much of these odious debts they had to jump through hoops. This was established through the Paris Club where the Creditor nations agreed to outright and immediate elimination of 30% of the outstanding debt. Iraq had to further agree to the terms of working through the IMF. These creditors agreed to reduce another 30% of the debt if Iraq agreed to the Stand by arrangements which it imposed economic restructuring plans. These plans benefited the financially elite and large nations across the globe. This has limited Iraq's fiscal policy and made it peg its currency. The last 20% of debt would be released upon fulfilling those Stand by arrangements. So 80% of the debt would be lifted. Is this the last of the obligations to remove that 20%?? Not sure... it may have been already removed. Hard to say who is pulling the strings anymore.

You see the world had Iraq over a barrel (pun intended)! They created "production sharing agreements" for Iraq's oil that basically means they have control over much of Iraq's oil production. They "share" it. These agreements can last 30 or 40 years. Iraq loses 10's of Billions of Dollars each year because of these agreements. The IMF caters to the elite in society across the globe. Trust me that they are making plenty of money. Those are the investors that matter the most apparently. Not so much us.

  • Upvote 1
Link to comment
Share on other sites

Sheepdog... I am sure Bondlady is a really nice person. I have personally found her analysis in most circumstances to completely miss the mark. She told everyone that their was $750 Billion to $1 Trillion in the DFI account as well. The cash, cash equivalent, and Tbill audit that ended in Dec of 2010 stated that there was $7.5 Billion. She has been wrong in a number of things. But hey... we all have been. I am not putting her down so much as telling you to follow your own research and not what others emphasize as the truth whether stated or implied. That goes for anything I say too! ;)

wow your not putting me down huh lol thats cool man why dont u JUST NOT read my posts i think i had said i had thot it was close to a trillon in the dfi funds but i had NO proof to that i didnt state it as fact as your acting like i did and thats cool and scooter came in an showed me some documents stating a closly amount to the dfi funds as much as were privy too and i did apoligise also if i was misleading...in the future why dont ya just save urself some hate and stress and dont read me, be sure and only see the 1 wrong thing instead of the 1000 right things as u percieve them..... thx...BondLady

Edited by BondLady
  • Upvote 5
  • Downvote 3
Link to comment
Share on other sites

The US and the world has made significant profit and will over a long period of time from Iraq. You see, Iraq incurred gigantic debt that they inherited from Saddam. In order to remove much of these odious debts they had to jump through hoops. This was established through the Paris Club where the Creditor nations agreed to outright and immediate elimination of 30% of the outstanding debt. Iraq had to further agree to the terms of working through the IMF. These creditors agreed to reduce another 30% of the debt if Iraq agreed to the Stand by arrangements which it imposed economic restructuring plans. These plans benefited the financially elite and large nations across the globe. This has limited Iraq's fiscal policy and made it peg its currency. The last 20% of debt would be released upon fulfilling those Stand by arrangements. So 80% of the debt would be lifted. Is this the last of the obligations to remove that 20%?? Not sure... it may have been already removed. Hard to say who is pulling the strings anymore.

You see the world had Iraq over a barrel (pun intended)! They created "production sharing agreements" for Iraq's oil that basically means they have control over much of Iraq's oil production. They "share" it. These agreements can last 30 or 40 years. Iraq loses 10's of Billions of Dollars each year because of these agreements. The IMF caters to the elite in society across the globe. Trust me that they are making plenty of money. Those are the investors that matter the most apparently. Not so much us.

Drox, I appreciate your conservative stance on this. You are a clear thinker and a man who looks at the facts. I do also, however, diaagree with your assessment of the current situation. If you read some of the news coming out of Iraq, I clearly believe the CBI is about to introduce a 100.000 dinar note (a note equal to US $100) which is what the articles are stating. Everyone is assuming lower denoms but I am not so sure. Re-read the article and assume the introduction of a 100,000 dinar note, and it all make sense. We will see a huge windfall from this investment. Perhaps just not as soon as some think.

Peace to you my friend.

  • Upvote 2
Link to comment
Share on other sites

Drox, I appreciate your conservative stance on this. You are a clear thinker and a man who looks at the facts. I do also, however, diaagree with your assessment of the current situation. If you read some of the news coming out of Iraq, I clearly believe the CBI is about to introduce a 100.000 dinar note (a note equal to US $100) which is what the articles are stating. Everyone is assuming lower denoms but I am not so sure. Re-read the article and assume the introduction of a 100,000 dinar note, and it all make sense. We will see a huge windfall from this investment. Perhaps just not as soon as some think.

Peace to you my friend.

FYI....The 100k dinar note was put to rest over 6 months ago

Central Bank: No intention to issue currency of the category of one hundred thousand dinars.

Denied the Iraqi Central Bank Consultant stated the appearance of Mohammed in the Iraqi press to issue a new class of Iraqi currency worth one hundred thousand dinars, indicating that this is not the Central Bank programs.

He said that the central bank is considering the restructuring of the currency in terms of specifications and forms, not including the issuance of such a category, where it is currently thought to reduce the zeros in the Iraqi currency, and not increase.

The expert considers economic, financial and managing director of the Iraqi Islamic Bank as Kamal so that the issuance of a class of currency will increase the size of currency inflation, leading to a decline in price.

Thursday,January 06,2011

  • Upvote 1
Link to comment
Share on other sites

Drox, I appreciate your conservative stance on this. You are a clear thinker and a man who looks at the facts. I do also, however, diaagree with your assessment of the current situation. If you read some of the news coming out of Iraq, I clearly believe the CBI is about to introduce a 100.000 dinar note (a note equal to US $100) which is what the articles are stating. Everyone is assuming lower denoms but I am not so sure. Re-read the article and assume the introduction of a 100,000 dinar note, and it all make sense. We will see a huge windfall from this investment. Perhaps just not as soon as some think.

Peace to you my friend.

Thanks TJ... I always appreciate your posts. I have been advocating the 100,000 dinar for about a year now! I call it the Plan B and it has been at the root of my alternative to an RV. The problem is that Maliki and the CBI now appear to be interested jointly in this wholesale new currency talk and that throws me off. They talk about lower and larger cluster of new denominations. That could potentially be justified by the Kurdish language needing to be on there but these articles are pointing to a Lop. I wrote a huge piece about this last night I was going to post a thread on this morning when all of this hit the fan. Now what do I do with it? haha.

Link to comment
Share on other sites

Thanks TJ... I always appreciate your posts. I have been advocating the 100,000 dinar for about a year now! I call it the Plan B and it has been at the root of my alternative to an RV. The problem is that Maliki and the CBI now appear to be interested jointly in this wholesale new currency talk and that throws me off. They talk about lower and larger cluster of new denominations. That could potentially be justified by the Kurdish language needing to be on there but these articles are pointing to a Lop. I wrote a huge piece about this last night I was going to post a thread on this morning when all of this hit the fan. Now what do I do with it? haha.

I guess we all sit tight and pray. The serenity prayer seems appropriate. This is out of our hands.

Take care bro!

  • Upvote 1
Link to comment
Share on other sites

Great discussion...seems like things are moving much quicker now...it will be interesting to see how it shakes out.....If it is coming there are a couple of issues we need to think about and I would appreciate any thoughts on...

1. What is the best way for us to exchange for the new currency? (questioning why I didn't move forward with the Warka account)

2. What possibility is a RD and increase in value?....ie...what does that do to their M2 and what is it in relationship to GDP to M2?...if they move from 58 Trillion dinar to 58 billion in M2...and they currently have 65 billion (U.S.) in GDP...what affect will that have...

the US has a M2 of roughly $8 Trillion and a GDP of roughly $14 Trillion.

Here is a link to CBI money aggregates http://www.cbi.iq/index.php?pid=Statistics

Edited by jmw
Link to comment
Share on other sites

wow your not putting me down huh lol thats cool man why dont u JUST NOT read my posts i think i had said i had thot it was close to a trillon in the dfi funds but i had NO proof to that i didnt state it as fact as your acting like i did and thats cool and scooter came in an showed me some documents stating a closly amount to the dfi funds as much as were privy too and i did apoligise also if i was misleading...in the future why dont ya just save urself some hate and stress and dont read me, be sure and only see the 1 wrong thing instead of the 1000 right things as u percieve them..... thx...BondLady

Ok... my point Bondlady is that you have no proof of this other stuff either... i.e. the lower "pre-printed denominations". People look up to you and when anyone speaks matter-of-factly about issues as sometimes you do, a lot of people consider it a truth. Have you ever done the math on this?

If an Iraqi makes $300 a month. That is 351000 dinar. If it RV's at $1 that means that same Iraqi makes $351,000 a month overnight. He makes over a million dollars in one year. Your bread at the corner store just went from $2 or 2340 iqd... to $2340. For a loaf of bread??? Not only that... you seem to suggest that they remove the higher denominations like 25000 for some reason. So they will have to carry around that much cash? What if they need more then bread? Now before you say prices and income won't go up... How will Iraq benefit from a $1 RV then if they can't tax on these things? Are they doing it to be kind? All numbers across the board will be relative in value. You cannot pick and choose certain things that will or won't change. Yes...imports will be much cheaper but that doesn't mean the merchant won't raise his prices to cater to the mega rich new Iraqi. How about the 30% of the population that don't have a job? How will they benefit? How about the other 30% on top of that that have no savings? Are you suggesting that 2/3rds of the country will get nothing so that the 1/3rd will live like kings? You think Iraqi has security problems now you wait for that scenario to unfold. Please... think about that.

For the contractor in iraq. He has 1/2 Americans making $100,000 a year and 1/2 Iraqis they pay $20,000 (23,400,000iqd). Upon an RV... do they keep paying the Iraqis $20,000 or do they now pay them $23.4 MILLION a year? Do they fire them all and bring in an all American workforce? How does that help unemployment in Iraq? I would love for you to address these questions because I can't seem to wrap my head around these other gurus logic. Thanks!

  • Upvote 5
  • Downvote 4
Link to comment
Share on other sites

When confusion reigns individuals are divided and we start grabbing at straws to establish our position. Nothing that has been presented in this string of posts convinces me that the bank / government is going to shaft all the investors. We can speculate all we want, but in the end we do not know what is going to happen. Frustration has a way of producing futility even in our debates. Clarity of what the meaning of a particular statement or law is saying, is as allusive as the date and rate. Interpretation of the news, posts, laws, or statements by officials is all a matter of the mindset we take as we read them. Oh, its fun to speculate/guess at what the bank and government will do when they RD/RV. We learn and are stimulate to prove our position, but no one really knows.

For all of you “newbies” who are reading this stream of postings, don’t be disheartened or confused. It is all just individual trying to find out what’s going on and will this investment payout or not. Just learn how to analyze what is being said, consider it another opinion and that no one really knows. But I’ve said that.

Hang In there and enjoy the ride, bumps and all.

  • Upvote 2
Link to comment
Share on other sites

Ok... my point Bondlady is that you have no proof of this other stuff either... i.e. the lower "pre-printed denominations". People look up to you and when anyone speaks matter-of-factly about issues as sometimes you do, a lot of people consider it a truth. Have you ever done the math on this?

If an Iraqi makes $300 a month. That is 351000 dinar. If it RV's at $1 that means that same Iraqi makes $351,000 a month overnight. He makes over a million dollars in one year. Your bread at the corner store just went from $2 or 2340 iqd... to $2340. For a loaf of bread??? Not only that... you seem to suggest that they remove the higher denominations like 25000 for some reason. So they will have to carry around that much cash? What if they need more then bread? Now before you say prices and income won't go up... How will Iraq benefit from a $1 RV then if they can't tax on these things? Are they doing it to be kind? All numbers across the board will be relative in value. You cannot pick and choose certain things that will or won't change. Yes...imports will be much cheaper but that doesn't mean the merchant won't raise his prices to cater to the mega rich new Iraqi. How about the 30% of the population that don't have a job? How will they benefit? How about the other 30% on top of that that have no savings? Are you suggesting that 2/3rds of the country will get nothing so that the 1/3rd will live like kings? You think Iraqi has security problems now you wait for that scenario to unfold. Please... think about that.

For the contractor in iraq. He has 1/2 Americans making $100,000 a year and 1/2 Iraqis they pay $20,000 (23,400,000iqd). Upon an RV... do they keep paying the Iraqis $20,000 or do they now pay them $23.4 MILLION a year? Do they fire them all and bring in an all American workforce? How does that help unemployment in Iraq? I would love for you to address these questions because I can't seem to wrap my head around these other gurus logic. Thanks!

sir if i dont have a link youll not find 1 time where i state any thing as fact i say IMO IMO IMO on every thing always if i dont have a link or if im giving my opinon so save it ok at least i do try an your little ego silliness to try an demean me or cast a shadow on my credibility is so unbecomming of you.....this will be my last commen t to u sir....have fun being miserable...BondLady

  • Upvote 9
  • Downvote 1
Link to comment
Share on other sites

sir if i dont have a link youll not find 1 time where i state any thing as fact i say IMO IMO IMO on every thing always if i dont have a link or if im giving my opinon so save it ok at least i do try an your little ego silliness to try an demean me or cast a shadow on my credibility is so unbecomming of you.....this will be my last commen t to u sir....have fun being miserable...BondLady

Why dont you read drox post and respond with a statement that would prove him wrong.He has a very valid point, yet you say he is miserable...Tell us your senerio that would debunk what he just posted.I am sure alot of us would love to hear it.

  • Upvote 3
  • Downvote 3
Link to comment
Share on other sites

WOW. this thread has people going crazy! I'm right there as well but it sure does have everyone speculating what's going to happen. I see both sides of the argument that we aren't going to get anything vs we are going to get a huge return...I hope God shows me how to be patient over the next week to wait and see what happens.

Link to comment
Share on other sites

Why dont you read drox post and respond with a statement that would prove him wrong.He has a very valid point, yet you say he is miserable...Tell us your senerio that would debunk what he just posted.I am sure alot of us would love to hear it.

You may wish to re-read what she quoted. She clearly states that when she does NOT have a link or source to back up what she says, she claims it to be her own opinion. (IMO = In my opinion)

Drox is taking what she says at face value and believes it to be truth without claims, apparently he needs to go back and re-read as well.

No reason to nit-pick people, there is no hidden message here...

We have more important things to complain about.

And please respect BL, she has a broad sense of knowledge..

  • Upvote 5
Link to comment
Share on other sites

sir if i dont have a link youll not find 1 time where i state any thing as fact i say IMO IMO IMO on every thing always if i dont have a link or if im giving my opinon so save it ok at least i do try an your little ego silliness to try an demean me or cast a shadow on my credibility is so unbecomming of you.....this will be my last commen t to u sir....have fun being miserable...BondLady

Hi Bondlady :)

Thank you for the work that you do. I personally believe that

the person who needs to work on their attitude might be you?

Drox was not at all demeaning to you, nor did he attack you. What he

stated was true, and his response to you does in no way make him

'miserable'. What is troubling is the manner in which you completely

avoided every detail that he asked your opinion about.

I know that drox is not a 'miserable' person, and you have revealed much

by the manner in which you responded, and the attitude in which you revealed

by your childish accusation.

It would be nice if you took the time to address his questions, without the added

slap in the face at the end, which is truly both unprofessional and wrong. I think people

expect a little more from you than what you just revealed and responded with.

All my best! :)

Jim

---

  • Upvote 9
  • Downvote 7
Link to comment
Share on other sites

WOW. Just got a break and logged on. Interesting perspectives. I have always believed, and still do, that there will be an RV AND L. Dinar RVs low, say .80, Window to cash in or trade in 1 for 1 large denoms or they become worthless, then RV again to its true value... whatever that may be. Probably oversimplifying, but I think it will resemble this. PS BondLady Rocks!!!

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

  • Recently Browsing   0 members

    • No registered users viewing this page.



  • Testing the Rocker Badge!

  • Live Exchange Rate

×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.