Here's what i have seen and heard

[Don & Rocio]

What you have just explained is exactly what a "lop" is....

Example your 25,000 Note is worth $25 Dollars today........they take your 25,000 Note and give you a new 25 Dinar Note that is still worth $25 Dollars.... they HAVE LOPPED THE 3 ZEROS OFF........ They have also, at this point, pulled a "slight of hand trick" whereby they can "claim" that their "new dinar" is "worth a dollar".......pretty smart on their part....

It is not going to matter if a person has a 25,000 note or a 25 note...the CBI / Govt is going to "declare" that they are of the same value. Of which they have every right to do...and is what they have been telling us for years that they were GOING TO DO......it is what it is...

That is why they are saying they can be in circulation at the same time...they are WORTH the same...this is NOT the RV we had hoped for regardless of how the gurus try to spin it....sadly enough.....

Slade...they keep stating local in all thier news articles. I believe you are correct...for inside Iraq. Those of us outside Iraq are in a different category because we hold legal tender from Iraq.

[joedee2004]

yes its been done before here in the good ol USA also we have had tons of currency all over the place again this is just my opinion but makes sense to me.

so mr rider say i have 25k note and it rvs at 3.62 american dollars whats my value.?

[BlueJeanBaby]

What you have just explained is exactly what a "lop" is....

Example your 25,000 Note is worth $25 Dollars today........they take your 25,000 Note and give you a new 25 Dinar Note that is still worth $25 Dollars.... they HAVE LOPPED THE 3 ZEROS OFF........ They have also, at this point, pulled a "slight of hand trick" whereby they can "claim" that their "new dinar" is "worth a dollar".......pretty smart on their part....

It is not going to matter if a person has a 25,000 note or a 25 note...the CBI / Govt is going to "declare" that they are of the same value. Of which they have every right to do...and is what they have been telling us for years that they were GOING TO DO......it is what it is...

That is why they are saying they can be in circulation at the same time...they are WORTH the same...this is NOT the RV we had hoped for regardless of how the gurus try to spin it....sadly enough.....

Slade ... why can't they do both?

Why is that not an option?

If they only redenominate without changing the value of the new bills, what does that get the Iraqi people? NOTHING. Their day to day lives change not one bit, their economy doesn't move in a more positive direction, they're still in the same hole, and no investor worth their millions will go there because why should they, when their currency is worthless on the open market?

I think that both will happen because it's the only scenario that makes sense, when you consider the big picture.

Shabs has been talking for months now about a dramatic restructuring of their currency. Isn't there the possibility that this is what they're doing, and that it's taking so flipping long to accomplish because it's a pretty convoluted and complicated process that they've never done before, and they want to make sure they get it right (FOR ONCE?)

whoa you actually spun it differently i nevr stated the value would change. Also i have read many articles and ive always seen LOCAL as an indicator. That doesnt mean we get screwed this will be in country. Take a 1k bill to the bank what do you get 10 100.00 bills.

... and I wonder where you got that analogy. That's ok ... as long as the idea gets out, I don't care who gets the credit.

GO RV !!!!

[Don & Rocio]

so mr rider say i have 25k note and it rvs at 3.62 american dollars whats my value.?

It wont RV at that but 25000 x 3.62 minus bank spread and fees.

[War Eagle]

Here are some things to ponder!!!!! If the zeros are "dropped" from the currency,with NO change in value---then a 50 dinar is worth $.04,a 25 dinar-$.02,a 10 note-.09,a 5 note-.045,a 1 dinar-.0225-----------------------------------------------------do you "Get my DRIFT????????????A'INT GONNA HAPPEN---BOGUS-----BS----------------------------FORGET ABOUT IT11111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111

wHY WOULD YOU EVEN NEED SMALL DENOMS????????????????????????????????????????YOU WOULDN'T -----PROBLEM SOLVED !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!NO LOP,NO LOP,NO LOP GET IT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

[Don & Rocio]

Here are some things to ponder!!!!! If the zeros are "RAISED" from the currency,with NO change in value---then a 50 dinar is worth $.04,a 25 dinar-$.02,a 10 note-.09,a 5 note-.045,a 1 dinar-.0225-----------------------------------------------------do you "Get my DRIFT????????????A'INT GONNA HAPPEN---BOGUS-----BS----------------------------FORGET ABOUT IT11111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111

I corrected that for you...

War Damn Eagle!

[BlueJeanBaby]

Slade...they keep stating local in all thier news articles. I believe you are correct...for inside Iraq. Those of us outside Iraq are in a different category because we hold legal tender from Iraq.

You are misinformed about the value being one amount in Iraq, and another value for everyplace outside of Iraq.

If this currency changes in value and makes it to the FOREX, the FOREX amount is the value worldwide. FOREX doesn't stipulate one value for one country and a different value everywhere else - THAT FIGURE IS what it's worth, no matter where you live.

GO RV !!!

[BlueJeanBaby]

Here are some things to ponder!!!!! If the zeros are "dropped" from the currency,with NO change in value---then a 50 dinar is worth $.04,a 25 dinar-$.02,a 10 note-.09,a 5 note-.045,a 1 dinar-.0225-----------------------------------------------------do you "Get my DRIFT????????????A'INT GONNA HAPPEN---BOGUS-----BS----------------------------FORGET ABOUT IT11111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111

wHY WOULD YOU EVEN NEED SMALL DENOMS????????????????????????????????????????YOU WOULDN'T -----PROBLEM SOLVED !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!NO LOP,NO LOP,NO LOP GET IT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

But Eagle ... why should an Iraqi citizen be forced to carry around 50 pieces of paper in order to have 5.00 worth of currency? THAT is why they are redenominating, and why they need small denoms.

That reason, and because they're getting ready to revalue. What other scenario makes any sense? Granted, this IS the middle east we're dealing with, but this country is taking H U G E strides towards becoming a major player on the world market for trade, investments and other infrastructure development, and that will not happen unless they RV. Forcing a person to carry around that many bills is ridiculous, and I think they're finally coming around to that fact.

So, I think it'll be yes redenomination, and yes revaluation. If they want to be taken seriously by the rest of the world and to get in the game to their fullest potential, they have to do both.

GO RV !!!!

[Luigi1]

I believe it will be a LOP for everyone in Iraq. Outside Iraq, it will be a LOP & RV of 3.3 to the Dollar. Your ID investment will not go down in value at exchange even after LOP.

[BlueJeanBaby]

so mr rider say i have 25k note and it rvs at 3.62 american dollars whats my value.?

Getting out my calculator ... 2 5 0 0 0 times 3 . 6 2 ... equals $90,500.

That's what the 25k note will be worth at $3.62 USD.

Of course, depending on how long you've had the note, you'll have to pay capital gains taxes on it, plus whatever the spread charged by your currency exchange place/bank or wherever you go to cash it in and exchange it for USD.

Not a bad trade, eh? (and I'm not even Canadian. )

GO RV!!!

[Don & Rocio]

You are misinformed about the value being one amount in Iraq, and another value for everyplace outside of Iraq.

If this currency changes in value and makes it to the FOREX, the FOREX amount is the value worldwide. FOREX doesn't stipulate one value for one country and a different value everywhere else - THAT FIGURE IS what it's worth, no matter where you live.

GO RV !!!

That's correct...but I see them RD'ing the 000 notes in country.

[joedee2004]

It wont RV at that but 25000 x 3.62 minus bank spread and fees.

sorry if i sound stupid but all this is a brain twister... sounds like no lop but not sure yet until all is done...

[Don & Rocio]

sorry if i sound stupid but all this is a brain twister... sounds like no lop but not sure yet until all is done...

No worries....just have to wait and see.

[Seabee]

So Easyrider,

I have a harder time understanding complex issues such as this because of a health issue. So let me get this, I turn in my 25K note to you and in turn you give me back small denomminated notes to equal 25K or will I just get one 25 banknote ? I don't see much said about the 1K, 5K, & 10K , so will be handled the same way as the 25K notes?

Sorry about any repitition that this may cause , I need a clearer explination about this issue in advance. Thanks

[easyrider]

So Easyrider,

I have a harder time understanding complex issues such as this because of a health issue. So let me get this, I turn in my 25K note to you and in turn you give me back small denomminated notes to equal 25K or will I just get one 25 banknote ? I don't see much said about the 1K, 5K, & 10K , so will be handled the same way as the 25K notes?

Sorry about any repitition that this may cause , I need a clearer explination about this issue in advance. Thanks

yes you would get one 25 dinar note same with a 1k note for example you will get a 1 dinar note.

[BlueJeanBaby]

sorry if i sound stupid but all this is a brain twister... sounds like no lop but not sure yet until all is done...

You're not stupid, hon. This is unchartered territory for a lot of us, and everyone has to start at the beginning when they learn something new.

The issue at hand for a lot of us is whether the VALUE of the dinar will change, or not.

If all they do is remove the big bills from circulation, and replace them with smaller denominations (also called lop, when the correct term is re-denominate. I like using the correct terminology so that there's less confusion and more clarity. I'm real big on clarity) ... if they just take away the big bills, the VALUE of the money is the same. A 25,000 dinar note is still only worth a nickel (or whatever it's worth right now. Let's use a nickel for argument's sake.) However, if they take the big bills from circulation and replace them with smaller bills, it makes life for your average Iraqi citizen much easier because they don't have to carry around this ridiculous pile of cash in order to buy some milk ... you know what I mean? So, that's what happens when they do a redomination.

APPEARANCE of the bill changes - VALUE of said bill does not change.

If they change the VALUE of the bill and make it worth more, that's a revaluation and it's what we all want.

If all Iraq does is redenominate, the value of their money is still worth very little. It will be more convenient, yes, but it doesn't improve things in a concrete, major way that changes things for the better. IMHO, I can't see a redenomination without a revaluation, because right now what Iraq needs most is investors, who will come to Iraq and help them rebuild their country - housing, schools, buildings, roads, water and gas pipelines, power plants ... all of these things cost money, and if they revalue their currency to the potential that the country has, they would be taken seriously as a major player for trade and other economic gains.

Again, this is just my opinion. My best advice is to read and take in as much information as you can before you have a major brain cramp - and then see what makes the most sense to you, and base your opinion on that. Based on what I've read, this is what I think will happen. As it happens, it's also what I HOPE happens.

GO RV !!!

[ronny46]

Folks, I don't care if it lops, flops, droops, drops, hops, raise zeros or drops zeros-- as long as my investment doesn't lose money it is ok with me--then when the value of my money as invested in dinars rises because of the change in rate to the US dollar, I will be one very happy fat boy.

[BlueJeanBaby]

So Easyrider,

I have a harder time understanding complex issues such as this because of a health issue. So let me get this, I turn in my 25K note to you and in turn you give me back small denomminated notes to equal 25K or will I just get one 25 banknote ? I don't see much said about the 1K, 5K, & 10K , so will be handled the same way as the 25K notes?

Sorry about any repitition that this may cause , I need a clearer explination about this issue in advance. Thanks

If I may offer this ...

Seabee, if you were a citizen of Iraq, then yes, you would turn in your large denomination and they would replace it with smaller bills OF THE SAME VALUE. The 25000 note would STILL be worth 25 dinar (or whatever it's worth right now.) What you would end up with is either 5 dinar to equal the 25, or a two 10's and a 5, or a 20 and a 5 ... what a redomination does is make it easier to carry your cash around. The appearance of the bill changes, but not what you can buy with the bill.

HOWEVER, as with all other foreign currency, it is not meant to be spent as legal money outside of the country of origin. If you have Swiss francs and you want to buy some milk in the US, you have to change your francs in for dollars. If you have a British pound and you're at the gas station in Bali, Indonesia, you need some Rupias in order to get gas there. So it is with the Iraqi dinar - you can't spend it outside of Iraq, which is why foreign exchange places exist. They take one currency and exchange it for another, based on the current rate of exchange (minus a small fee, or spread, paid to the exchange place.)

When the RV takes place, you'll end up with US dollars - not just more smaller dinar. You have no need of smaller dinar notes because you don't live in Iraq, so just hold onto what you have for now, and when they revalue it, turn them in for USD.

GO RV !!!!!

Edited June 28, 2011 by BlueJeanBaby

[easyrider]

If I may offer this ...

Seabee, if you were a citizen of Iraq, then yes, you would turn in your large denomination and they would replace it with smaller bills OF THE SAME VALUE. The 25000 note would STILL be worth 25 dinar (or whatever it's worth right now.) What you would end up with is either 5 dinar to equal the 25, or a two 10's and a 5, or a 20 and a 5 ... what a redomination does is make it easier to carry your cash around. The appearance of the bill changes, but not what you can buy with the bill.

HOWEVER, as with all other foreign currency, it is not meant to be spent as legal money outside of the country of origin. If you have Swiss francs and you want to buy some milk in the US, you have to change your francs in for dollars. If you have a British pound and you're at the gas station in Bali, Indonesia, you need some Rupias in order to get gas there. So it is with the Iraqi dinar - you can't spend it outside of Iraq, which is why foreign exchange places exist. They take one currency and exchange it for another, based on the current rate of exchange (minus a small fee, or spread, paid to the exchange place.)

When the RV takes place, you'll end up with US dollars - not just more smaller dinar. You have no need of smaller dinar notes because you don't live in Iraq, so just hold onto what you have for now, and when they revalue it, turn them in for USD.

GO RV !!!!!

Thanks you have explained quite clear. Appreciate that.

[pureau79]

whoa you actually spun it differently i nevr stated the value would change. Also i have read many articles and ive always seen LOCAL as an indicator. That doesnt mean we get screwed this will be in country. Take a 1k bill to the bank what do you get 10 100.00 bills.

In the past couple of years I have seen this freakin' cat skinned nine ways to Sunday and the bottom line is you have just rehashed the same crap that's been hashed around here for years. You are either suggesting a LOP in the most basic form or you're talking out of both sides of your mouth. If you are suggesting that the 25k notes become 1,000 each 25 notes it would not be an old-fashioned, straight forward LOP. Which is it?

I am in concurrence with BlueJeanBaby's post from the standpoint of currency exchange but we did not get into this for an opportunity to exchange one useless piece of paper for another. We are looking to the revision of exchange values. This was much ado about nothing. The value and not the lack of is what we need to see and what we arewaiting to see and this entire post did nothing to inform the newbies. To the contrary, you've confused a huge number of newbies. You've been a member long enough to know better.

[easyrider]

In the past couple of years I have seen this freakin' cat skinned nine ways to Sunday and the bottom line is you have just rehashed the same crap that's been hashed around here for years. You are either suggesting a LOP in the most basic form or you're talking out of both sides of your mouth. If you are suggesting that the 25k notes become 1,000 each 25 notes it would not be an old-fashioned, straight forward LOP. Which is it?

I am in concurrence with BlueJeanBaby's post from the standpoint of currency exchange but we did not get into this for an opportunity to exchange one useless piece of paper for another. We are looking to the revision of exchange values. This was much ado about nothing. The value and not the lack of is what we need to see and what we arewaiting to see and this entire post did nothing to inform the newbies. To the contrary, you've confused a huge number of newbies. You've been a member long enough to know better.

haha ok well mighty one lets see your opinion i love how people like you want to piss in my cornflakes i think you need to take some nappy time, Cranky head. Bottom line when they Rd they will have to Rv to increase the value of the dinar now i was suggesting how an Rd would affect the notes in country pertaining to the iraqi citizens not US!!!!!!!!!!!!

Edited June 28, 2011 by easyrider

[dinarck]

Basically the redenomination will be you have a 25k note now when they issue lower denomsyour 25k notes becomes a 25 dinar note hint removing the three zeroes but the value of that note remains the same, everyone basically what they are gonna do is simply issue lower denoms to the people while removing the larger bills its a simple trade for the citzens but will have the same value as it did before. I think it makes sense what aboiut you?

Well I gotta say that I had to read the whole thread before I figured out what you were trying to say and I really thought at first that maybe you have come around to the possibility of a RD. I was wrong. Anyway what I think I am hearing you say is that they will RD in Iraq but not anywhere else. Now Easy,come on. We have been through this. I really would love to hear other options for the LOP not to happen but this one is simply the dumbest thing I have ever heard. Iraqis get the shaft and we make millions huh? Not trying to be mean here but really come on. Surely we can all put our heads together and start a thread where actual possibilities can be discussed. Really Easy, this senerio isn't happening.

Maybe that senerio isn't what you are trying to say. So the only thing else I could think that you are trying to say is that they will exchange lower denoms for 000 notes to equal the face value of the 000 notes. Now in this senerio prices would have to be adjusted for it to work or else Iraqis will be using 200 new 10 dinar notes to buy a pack of cigs. I think that we can agree that isn't happening. There would be no change in the exchange rate so why would prices be adjusted? Just because you bring in lower denoms doesn't mean that they are worth more. Also we have heard that both currencies will coexsist. So then you could buy that pack of cigs with a 5000 note or 1000 new 5 notes?

So now there are two senerios that make absoulutely no sense. Lets go for three. Straight up RV and at the same time adding lower denoms to get the newly RVed 000 notes off the streets. We know that less than 1/5th of Iraqis have bank accounts so they would go to the bank and get, lets say 250 of the 100 notes for their 25,000 note. Wow, hope they have a body guard. Especially in Iraq. Not to mention that this is for the Iraqis who are fortunate enough to have a 25,000 note. What about the ones that don't? Are they s**t outta luck? I guess it could be. Anyway I know what many are thinking. After RV Iraqis will simply open an account. Really? Do you think they will suddenly start to trust banks? Especially with that type of money? Doubt it but maybe. Of course there are the questions of prices at the time of RV not to mention salaries and loans. What about their money supply? How is it possible for it to become worth more than almost all the money on earth? They have alot of oil I know. It has been discovered that North America has more oil than anywhere on earth. Are we going to RV our currency overnight? Doubt it.

Seems like the only senerio that does make sense is the one that they are actually telling us that is going on. I don't like it anymore than the next investor and I hope that somebody has a 5th senerio that would logically put this RD threat to bed for good

[umbertino]

What you have just explained is exactly what a "lop" is....

Example your 25,000 Note is worth $25 Dollars today........they take your 25,000 Note and give you a new 25 Dinar Note that is still worth $25 Dollars.... they HAVE LOPPED THE 3 ZEROS OFF........ They have also, at this point, pulled a "slight of hand trick" whereby they can "claim" that their "new dinar" is "worth a dollar".......pretty smart on their part....

It is not going to matter if a person has a 25,000 note or a 25 note...the CBI / Govt is going to "declare" that they are of the same value. Of which they have every right to do...and is what they have been telling us for years that they were GOING TO DO......it is what it is...

That is why they are saying they can be in circulation at the same time...they are WORTH the same...this is NOT the RV we had hoped for regardless of how the gurus try to spin it....sadly enough.....

Yep.... It would seem to be that way unfortunately. ....A RV on steroids the way we Investors want it would be only if/when they don't cut off the 3 zeros but instead raise the value of 1 IQD Unit let's say to the level of $ 1 or EUR 1 or more or less than 1...But anyway,.. without ever touching the 3 zeros... That's the direction we'd like them to take.....We can only hope....

[4given2]

In the past couple of years I have seen this freakin' cat skinned nine ways to Sunday and the bottom line is you have just rehashed the same crap that's been hashed around here for years. You are either suggesting a LOP in the most basic form or you're talking out of both sides of your mouth. If you are suggesting that the 25k notes become 1,000 each 25 notes it would not be an old-fashioned, straight forward LOP. Which is it?

I am in concurrence with BlueJeanBaby's post from the standpoint of currency exchange but we did not get into this for an opportunity to exchange one useless piece of paper for another. We are looking to the revision of exchange values. This was much ado about nothing. The value and not the lack of is what we need to see and what we arewaiting to see and this entire post did nothing to inform the newbies. To the contrary, you've confused a huge number of newbies. You've been a member long enough to know better.

Uhmmmm, what he/she said.

[ScottF]

Basically the redenomination will be you have a 25k note now when they issue lower denomsyour 25k notes becomes a 25 dinar note hint removing the three zeroes but the value of that note remains the same, everyone basically what they are gonna do is simply issue lower denoms to the people while removing the larger bills its a simple trade for the citzens but will have the same value as it did before. I think it makes sense what aboiut you?

As stated, and if they are not lopping the currency, then at an exchange rate of say, $3.22, you are proposing that their new 25 Dinar note would be worth $80,500.00 US. It would make a lot more sense if you had stated that when the CBI pulls the 3 zero bills of the street and renominates, that the citizens would be given 1,000 25 Dinar notes per 25K note. Just exchanging a 25K note for a single, new 25 DInar note would be nothing less than a LOP. You can't spin it any other way. IMHO.

Scott