Article, Picture and Link of $100 dinar

[crystal1]

Iraq: Towards the abolition of 3 zeros from banknotes

Posted: July 31, 2011 by THE CURRENCY NEWSHOUND - Just Hopin in Iraqi Dinar/Politics

Tags: Central Bank of Iraq, Currency, Economy of Iraq, exchange rate, International Monetary Fund, Iraq, Iraqi dinar, List of banks in Iraq

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Sunday, July 31, 2011

BAGHDAD – Naseer Goldfinch

Iraqi Central Bank (CBI) announced the completion of the preparation of a plan to replace the current banknotes after the abolition of 3 zeros of them, including 30 trillion dinars (26 billion dollars) is the value of expected cash bloc, stressing that the timing will be determined by the government and parliament, Iraqi.

The expert explained the first in the Central Bank of Iraq in favor of the appearance of Mohammed in an interview to «life» The replacement of the currency, as a response to fears of a major corruption of the process. He said: «Our problem lies in the current issue of the timing of replacement of the currency must be chosen as a date suitable to implement the project without obstacles».

Before, and the Central Bank announced its intention to raise three zeroes from the Iraqi dinar, after suffering from inflation and the decline during the nineties the past by economic sanctions, its value has tumbled to become the world today, about 1120 dinars per dollar.

The central bank adopted after 2003 a new mechanism to maintain the exchange rate of the dinar, is to create an auction foreign exchange to sell quantities of the dollar, resulting from the sale of oil in world markets, and transferred to the Development Fund for Iraq, which transforms in turn to the bank to sell in local currency, which helped to raise value of the dinar over the past years more than 2000 points.

And as for the size of the money supply or the size of cash flow by more than 30 trillion Iraqi dinars, equivalent to U.S. $26 billion?

He said: Cash transactions regime in Iraq, after 2003, it became Mdolra, any market deal dinar and the dollar both, and this means a mass of cash in circulation in the market but in foreign currency».

Saleh continued: «we have in the accounts and that the Iraqi currency or monetary bloc total traded home and that would be replaced after the cancellation of zeros will be in the range of 30 trillion dinars, but its value against foreign currencies will remain constant. This means that the Iraqi dinar exchange rate now would amount to 1,200 dinars per dollar, and one ».

In regard to the most important variables that will come after the lifting of zeros, between the appearance of the «Central Bank of solid plan to rearrange the currency to reduce the number of banknotes in circulation, and this is positive. Here, the payments system would be easier to Iraq ».

Economists warned that the process of replacing the Iraqi currency after the lifting of zeros Schoppea operations by a major corruption due to structural inaccuracies of Iraqi banks. They emphasized that the processes of replacement of the former currency operations were accompanied by a major corruption cost the Iraqi economy a lot. But the appearance of favor answer by saying that «the process of replacing the currency in 2004, took place in exceptional circumstances, and the country under occupation and is administered by the Governor of an American civilian, but was a successful operation».

And sells the central bank through its daily auction, between 150 million and $ 190 million per day to clients of private banks and financial companies, a large proportion of them go Khawwalat external payment transactions of foreign trade.

And confirms the expert’s central bank (economist) that «the application of the new project to raise three zeroes from the Iraqi dinar and the currency exchange, will be according to mechanisms scalable in the form is not felt by the citizens, are put quantities in the market and the withdrawal of which is maintained by the government banks of the block and replace it, and it remains only in the possession of the citizens of the trading day , and can make any transactions in both currencies for existing and new, what’s goods on the current price of 1000 dinars for example, a customer can give the seller the present paper the category of 1,000 dinars, as well as currency can give him a new category of one dinar ».

He noted that the «Central» sought the expertise of countries have taken the same action, such as Turkey and Romania, as well as experts from the IMF.

http: http://another site.wordpress.com/ then click on article on left "Iraq: Towards the abolition of 3 zeros from banknotes "

[littlefeet]

Link does not work....hmmmm

[Mack0121]

This is the same currency newshound article that has been posted several times. The picture is of a Saddam era 100 dinar note. Still, no reason to negative you so I evened you out. In the future take everything from currency newshound with a grain of salt. A big grain.

[goldengoose]

Good evening,

This particular subject matter has been discussed all day today...........please see the thread below posted by another member this morning!!!!

Thank you,

GG

[littlefeet]

THX MACK !!!

[FrankenSLI]

Tis a Saddam note. Thanks for the post!