Question?

[buildingafortune]

I understand that Kurdistan's 2011 budget is nearly 14 TRILLION dinar. There are supposedly 28.5 trillion dinar that were printed of the new currency.

My question is this...

If Kurdistan only represents the northern territory of Iraq and they have nearly a 14 trillion dinar budget for 2011, my math says there is only another 14.5 trillion dinar printed. What does that mean for for the rest of the country and all of its citizens? Sure 28.5 trillion dinar is A LOT of printed money BUT half is going to be used in one year alone. Am I the only one that believes that 28.5 trillion total dinar may not be enough currency for them to exist without an RV?

IMO...as I see it an RV/RD is imminent. NO ONE know when, where or how it will take place though. However I could definitely see a $0.10 RV as being low perhaps too low but definitely a starting point.

So please tell me what have I missed? ((Please be gentle))

[FXStockpiling]

well the US has about 15 trillion a year in GDP and since politicians aren't financial advisers but get to budget the country anyway the US in debt, and still the dollar is not worthless and the US only has about 9 trillion in cash...

[jeepguy]

possibly let us ,at least start in the .86 department---equal too the dollar as a traded currency ---then add that muitiplyer of 1 i think it hits around the 1.17 mark u s d too one dinar a very good start not too low just about right to bring out the ecnomy of iraq and get there busness starting to roll, now start pumping that oil already have signed deals with us oil contracts that are if i remember right 85.oo dollars a barrel for the usa oil deal not bad for iraq but still could be better the china deal i think is better -but the minister of industry for iraq has said 125.0 too150.00 is going to be about right for the oil in iraq deal all in all----> with this let us re look at the rate ----> i`ll say around 2.oo and just nudge it alittle above will be a very very nice start--for an r v !!!!!!!!!! piece of pie and r v bayyyyyyybeeeeeee

[HopefulTxn]

I understand that Kurdistan's 2011 budget is nearly 14 TRILLION dinar. There are supposedly 28.5 trillion dinar that were printed of the new currency.

My question is this...

If Kurdistan only represents the northern territory of Iraq and they have nearly a 14 trillion dinar budget for 2011, my math says there is only another 14.5 trillion dinar printed. What does that mean for for the rest of the country and all of its citizens? Sure 28.5 trillion dinar is A LOT of printed money BUT half is going to be used in one year alone. Am I the only one that believes that 28.5 trillion total dinar may not be enough currency for them to exist without an RV?

IMO...as I see it an RV/RD is imminent. NO ONE know when, where or how it will take place though. However I could definitely see a $0.10 RV as being low perhaps too low but definitely a starting point.

So please tell me what have I missed? ((Please be gentle))

The level of dinar in their system and the amount of their budget have nothing to do with one another. One reason is that currency is not a one use item, second is that much of the budget amounts are for the purchase of items from other countries that would be paid for in foreign currency (USD, Euro, GBP, etc) not dinar.

It is a completely erroneous statement that because the Iraqi budget is for $X.XX amount they have to cover the budget. The budget, and whether there is a deficit or not, is compared to the annual revenue of the nation, not its currency value nor its monetary system level.