Central Bank of Iraq stresses that the new currency will not affect the financial value of money

[rv_hunting]

Central Bank of Iraq stresses that the new currency will not affect the financial value of money

August 15th, 2011 07:41 am · Posted in NEWS (Iraq & World Currency)

Central Bank of Iraq stresses that the new currency will not affect the financial value of money

08/14/2011 neighbors – Baghdad – East

The Central Bank of Iraq to the new currency that will be to trade after deleting three zeros

Which will not affect the financial value of money. The deputy governor of the Bank the appearance of Mohammed Saleh, said that the process of dispensing with the old currency would be gradual in order to prevent fluctuations in price can affect the exchange rate or the fact SPV, as will be trading the currency pair at the same time until the absorption of the old currency expected to perform this step to solve the problems in the trading bloc committed a result of the magnitude of bulging cash in the Iraqi market. He added that the new currency will be in three languages: Arabic, Kurdish and English.

http://translate.google.com/translate?hl=en&sl=ar&u=http://www.aljeeran.net/&ei=wm5wTbT6M5C3tgelhZz1Dw&sa=X&oi=translate&ct=result&resnum=1&ved=0CCYQ7gEwAA&prev=/search%3Fq%3Daljeeran%26hl%3Den%26client%3Dfirefox-a%26hs%3Df52%26sa%3DG%26rls%3Dorg.mozilla:en-US:official%26channel%3Ds%26biw%3D981%26bih%3D638%26prmd%3Divns

[tommyboy]

Might be true at first, but when Iraq joins the WTO and IMF their dinar will become tradable world wide. With all their assets, it's gotta SOAR in value IMO.

[The Machine]

Might be true at first, but when Iraq joins the WTO and IMF their dinar will become tradable world wide. With all their assets, it's gotta SOAR in value IMO.

your right but I'd prefer to see it soar with three 000's on the currency

[FRUSTRATED]

It may not affect the value of the new currency but let's hope it's a different story for the currency in circulation now!!!!!!!!!!!!!!!!

[behaviorkat]

This is not what Shabs said..............

Smoke?

[Nani?]

Well if they want it on par with the dollar then they are trying to tell us that they aren't going to lop... Or thus is the exact kind of statement you put out before you rv

[rv_hunting]

sounds like smoke to me too!!!

[Barriegirl]

It's really almost laughable, the contradictions that they put out "there". Do they really think we are that stupid?

[Alex38]

It may not affect the value of the new currency but let's hope it's a different story for the currency in circulation now!!!!!!!!!!!!!!!!

It's funny to me how some people keep saying that Iraq can't "afford" an RV above a dollar. Well that isn't true! They don't have to "afford" anything. They are just exchanging money for money. That's all. If their money is worth 1 to 1... then cashing out a 25k note doesn't take money away from them... they are just swapping our money for their NEW VALUE. It's all good!

[DaveH]

This is not what Shabs said..............

Smoke?

Saleh needs to quit smoking

[jg167]

It's funny to me how some people keep saying that Iraq can't "afford" an RV above a dollar. Well that isn't true! They don't have to "afford" anything. They are just exchanging money for money. That's all. If their money is worth 1 to 1... then cashing out a 25k note doesn't take money away from them... they are just swapping our money for their NEW VALUE. It's all good!

If Iraq RVs the current dinar to be 1:1 with the dollar, at least 1T dinars are going to come into Iraq for exchnage for dollars and euros. Where do they get that foreign currency to exchange? Their dollars reserves are $50B. The GDP of the whole country is only about $65B. So where do they the the trillion dollars?

[kosman]

My question is, what about Dinar in the bank. If I have X,000 dinar in the bank after the change do I still have X,000 dinar in the bank? Probably quite clear to some of you but my old brain is confused. Thanks for an answer.

[jg167]

When they say new currency they mean the small denominations. Rest assured our currency with the 3 zeros will increase in value the moment the new stuff comes out. It is no secret now it is definite!!!! The 3zeros are coming off the nominal rate! Anyone that sees it different simple is misunderstanding

No, when they RD the new yet to be releaed (smaller demon) will not have the 000s, there will be two currencies that both exist in the market at the same time with a 1000:1 exchange rate. If the exchange rate to the dollar goes up, BOTH currencies will go up in exact proportion. So for example if the new dinar goes from $0.86 per new dinar to an even $1 per new dinar, then the old 000s dinars will go from $.00086 to $.001 but they will remain distinct currencies until the old ones eventually are gone and are officially withdrawn.

My question is, what about Dinar in the bank. If I have X,000 dinar in the bank after the change do I still have X,000 dinar in the bank? Probably quite clear to some of you but my old brain is confused. Thanks for an answer.

Since you deposited it as X,000 current IQD, when Iraq RDs, you will be able to withdraw it as X new dinar (or for a time maybe as X,000 current IQD if you want). Just think of it as TWO currencies, since that is exactly what it will be.

[Alex38]

If Iraq RVs the current dinar to be 1:1 with the dollar, at least 1T dinars are going to come into Iraq for exchnage for dollars and euros. Where do they get that foreign currency to exchange? Their dollars reserves are $50B. The GDP of the whole country is only about $65B. So where do they the the trillion dollars?

I understand your question. But first of all, the 50B mark is dirty IMO. It's not correct... in other words, unless I see ACTUAL PROOF of a recent audit, I don't believe them or their numbers. Also, like all other countries, they invest in other countries currencies. They have more money then we know. I truly believe that.

Again - WHEN their currency revalues at or above the dollar, they won't have to come up with MORE money to pay anything to anyone. Their currency will have a NEW VALUE. They will honor that value with the remaining 000 notes in circulation. They lose nothing. I believe. Now..... LET'S DO THIS!!!!!!

[Captjohn]

One small word of caution: Historically Mohammed Saleh has proven to be a Master of Disinformation. I would take whatever he says with a grain of salt. IMO, it appears that they are on a path of reinstatement; that is, to reestablish the pre-war rate of $3.22 to bring the dinar back to its former "glory". Time will tell, however, we seem to be getting closer to this thing being over, once and for all. Let's hope.

[Alex38]

One small word of caution: Historically Mohammed Saleh has proven to be a Master of Disinformation. I would take whatever he says with a grain of salt. IMO, it appears that they are on a path of reinstatement; that is, to reestablish the pre-war rate of $3.22 to bring the dinar back to its former "glory". Time will tell, however, we seem to be getting closer to this thing being over, once and for all. Let's hope.

"Hope" is a word of desperation... let's try "visualizing"...

[tampabay6]

If Iraq RVs the current dinar to be 1:1 with the dollar, at least 1T dinars are going to come into Iraq for exchnage for dollars and euros. Where do they get that foreign currency to exchange? Their dollars reserves are $50B. The GDP of the whole country is only about $65B. So where do they get the trillion dollars?

That has been explained by many posts and articles on here, including a couple that I have written... I don't have time to look up all that and link it right now because I have to leave for an appointment, but...

The owners of the Central Bank of Iraq and the owners of the Federal Reserve System are the same people, and they can create both Dollars and Dinars, out of thin air, at any quantity less than infinity.

Look at these two very similar organization charts as an analogy...

General Motors

Chevrolet

Cadillac

Pontiac

Buick

Rothschilds

Bank of England

Federal Reserve

Central Bank of Iraq

...about 180+ other "Central Banks" whatever they are called

There is a so-called "Debt Limit" that supposedly controls how much the U.S. Government can owe at any given time, at least until they change it again...

However, the Federal Reserve is NOT part of the US Government, and there is NO LIMIT as to how much USD that the Federal Reserve can create. You may be aware that the recent "audit" of the Federal Reserve, which does not reveal Everything, but just whatever they felt like opening up, to make a show of transparency to calm the growing uproar about how they are not accountable to Congress - revealed that they created (from nothing) 16 TRILLION dollars and gave to their banker buddies, most of it to FOREIGN banks like Deutsche Bank.

The total USD money supply worldwide is about $200 Trillion, per the World Affairs Brief of February 25, 2011 (www.worldaffairsbrief.com).

Therefore they can create more USD without asking anyone's permission at all, and the amount that they can create without causing immediate hyperinflation, is much higher than many analysts probably think. Hyperinflation will come eventually; it IS inevitable, but will almost certainly take longer to arrive than is expected by the gloom and doomers predicting an instant crash. These bankers are absolute experts at "kicking the can down the road."

So the FED will suck up all of the Dinar turned in by Americans to their local banks, and give them all of the USD necessary, and then they will take the Dinar out of their right pocket and put it in their left pocket (CBI) at whatever rate they choose, and probably get oil and/or other resources in return at a good price, and sell them to us at a profit.

Nice work if you can get it.

[aliciadogz]

More smoke gouys, more smoke!!!!

[ashtray]

it seems to me the old currency will remain the same value ...00086

but the new currency will be .86

the exchange rate will be 1000 to 1 ... therefore maintaining the same value to the dollars .. about 23 dollars .. for each 25k note .. they are saying .. no rv ... only rd..

if they are saying the value doesnt change .. they are saying no rv .. they are not revaluing their currency .. and you will have time limit to exchange your old currency for new currency ..

i myself do not see how they expect to get by on 25 to 30 billion dinars .. at a value of .86 cents ... sounds like bull to me... they have 250 billion dollars from dfi fund .. but they only want 25 billion dinars circulating worth .86 cents .. it makes no sense ,,, since shabbi said he does not want a multiple currency society.. he wants single currency nation

i think he will make it so they come running to sell their dollars for this new currency.. it should rv above the value of the dollars .. or why would anyone want to use it.. they will just continue to use the dollar

it sounds like a shake down ... trying to get people to sell off their dinars , who were anticipating a huge rv .. they must only want to absorb a small percentage .. from investors ... im still looking for check day ..in iraq ..

like welfare day ..ss day in the us .. i think thats the timing they are looking for .. the day before check day everyone is broke .. they will be happy to recieve their new currency payment of 400 new dinars .. instead of 400,000 old dinars .. im pretty sure this is the amount they recieve each month .. and theres millions that recieve this check each month .. it goes on their smart card

maybe it will be worth 3 bucks to .. so their 400 dollars will be equal to 1200 dollars instead of 400 .. that way no one would need to work in iraq.. they can walk around in their night gowns all day eating dribble

[jg167]

I understand your question. But first of all, the 50B mark is dirty IMO. It's not correct... in other words, unless I see ACTUAL PROOF of a recent audit, I don't believe them or their numbers. Also, like all other countries, they invest in other countries currencies. They have more money then we know. I truly believe that.

Again - WHEN their currency revalues at or above the dollar, they won't have to come up with MORE money to pay anything to anyone. Their currency will have a NEW VALUE. They will honor that value with the remaining 000 notes in circulation. They lose nothing. I believe. Now..... LET'S DO THIS!!!!!!

ok, so maybe they have more foreign assets than $50B, I'm not sure where they would have gotten them but maybe. Yes their currency will have a new value, lets say 1 IQD = 1 $USD. So with 20T or 30T or 60T (pick your number) dinars out in the world, it seems reasonable that at least 1T of them will be exchanged and those will eventually find their way back to Iraq to be exchanged. If you peg your currency, than you must support that rate by exchanging it. So that 1T that comes in means Iraq has to have 1T in foreign currencies to exchange. They don't have that much by a long shot even if their dollar reserves are much greater then $50B. Plus this isn't just an exchange at RV time thing. Every time they import something they will have to provide foreign exchange. With a GDP of around $65B dollars (or say double that looking forward), they can not possible support 1T dinars (i.e. 1T dollars) in even the initial exchange let alone ongoing exchange. It would be sweet, but I just can't see how it is fiscally possible.

[Alex38]

ok, so maybe they have more foreign assets than $50B, I'm not sure where they would have gotten them but maybe. Yes their currency will have a new value, lets say 1 IQD = 1 $USD. So with 20T or 30T or 60T (pick your number) dinars out in the world, it seems reasonable that at least 1T of them will be exchanged and those will eventually find their way back to Iraq to be exchanged. If you peg your currency, than you must support that rate by exchanging it. So that 1T that comes in means Iraq has to have 1T in foreign currencies to exchange. They don't have that much by a long shot even if their dollar reserves are much greater then $50B. Plus this isn't just an exchange at RV time thing. Every time they import something they will have to provide foreign exchange. With a GDP of around $65B dollars (or say double that looking forward), they can not possible support 1T dinars (i.e. 1T dollars) in even the initial exchange let alone ongoing exchange. It would be sweet, but I just can't see how it is fiscally possible.

We wait... we'll know soon enough either way.

[jg167]

it seems to me the old currency will remain the same value ...00086

but the new currency will be .86

the exchange rate will be 1000 to 1 ... therefore maintaining the same value to the dollars .. about 23 dollars .. for each 25k note .. they are saying .. no rv ... only rd..

if they are saying the value doesnt change .. they are saying no rv .. they are not revaluing their currency .. and you will have time limit to exchange your old currency for new currency ..

i myself do not see how they expect to get by on 25 to 30 billion dinars .. at a value of .86 cents ... sounds like bull to me... they have 250 billion dollars from dfi fund .. but they only want 25 billion dinars circulating worth .86 cents .. it makes no sense ,,, since shabbi said he does not want a multiple currency society.. he wants single currency nation

And once the old currency is invalid (after a year or so perhaps) that is what he will have. And right NOW Iraq only has about 25-50B dollars worth of currency circulating, its just in notes that are individually worth less so that there are a lot more of them. Maybe that value is too low, so it might go up by 2x or 3x, but not 1000x.

[ashtray]

seleh always tells the truth .. why a couple weeks ago he said they would have new coins this week .. meaning that week .. that time period is gone with the wind .. he is screaming ... "IM A LIAR "

[jg167]

We wait... we'll know soon enough either way.

So we hope! will "soon enough" be 3 or 4 years? I hope not.

[Alex38]

So we hope! will "soon enough" be 3 or 4 years? I hope not.

Ugh.... that's TOO LONG!! Hahahaha