Central Bank reveals details of Iraq's new currency .

[hunz2]

Thank you for that explanation. It is clear, concise, and I believe, correct.

I would add, before somebody sets their hair on fire, it also has been stated by CBI that for a period of three years, the new and the old currency will co-exist. This means the 25,000 notes, and others with 3 zeros, will be in circulation and exchangeable, along with the new bills. Don't worry about cashing your dinars in asap. You have three years.

We don't know for sure, but it is believed the lower demons were printed when the new currency was. 14 denominations were printed and only 9 were released. So the lowers denoms should be ready to go when this is released. I am not sure if anybody has solid info on the coins, but I am sure somebody will let me know.

Thanks.

You bring up a good point about the new an old dinars being in circulation together for a period of 3 years. A lot of people on this site say that the deletion 3 zeros is only affecting the exchange rate. So it would be .86=$1. So a 25000 dinar note will be worth $21,500 and be in circulation for 3 years. I just don't understand why people can't see a lop as a more logical answer.

[Carrello]

Indeed it seems like many very similar articles have been put out with reshuffled words. Either this is from lack of news, imagination, or part of a smoke screen. Let us hope for the latter.

They are definitely on a media blitz, but what I found interesting about this article is the title, "Central Bank reveals details....". The content is the same, nothing new, but the title seems to be moving forward. The article did not reveal any details, but they added a new attention grabber.

Whatever the reason, they want the information out there over, and over, and over.....

Edited August 30, 2011 by Carrello

[Dalite]

Of course it means a redenomination of the currency. Just like Venezuala. Come on guys. Use your heads.

Ron,

It does no good whatsoever to answer a question about ReDenomination.

I can't ask others to stop trying to provide information necessary for future planning, other than to say I have decided that unless I am personally asked for my opinion on ReDenomination, it won't be given.

Let them have their RV.

The basic concepts of economics have been so obscured by greed and programming, that there is no useful purpose in trying to force someone to understand what they aren't ready to accept.

Be content that you have ample time to determine the best way to avoid spreads in the next 2 to 3 years and be able to minimize further loss during the exchange period. Saving another 20% on either side of the exchange process will give a tremendous head start, if the ReDenomination plan presented to parliament is approved and implemented.

Best wishes, and please don't take my request as criticism.

There are a great bunch of folks here, and each one is entitled to interpret information coming out of Iraq to their best advantage.

Who knows? Maliki may continue to block the CBI from ever being able to strengthen the currency and the RV may continue on the path it has taken for the last 8 years; strengthening in value 10 or 15 dinars to the dollar at a time.

There are no absolutes at this point in time.

[splicer09]

so does this mean an LOP?

I think the last statement in the article says a lot. It said the deletion of the zeros will not affect the Iraqi Stock Exchange or the value of the shares. If you were to LOP I would think the value of shares in stocks would be substatially affected. The cost of shares would have to be adjusted or nobody would want to invest. It would seem reasonable that 1 dinar would equal 1 usd or the the value of those shares would be affected. Jmo.

[nemesis760]

Very true frank. Its odd they keep repeating the same type of information over and over. Is this their version of educating the people on the project of the lifting of the three zeros? I wonder if it is a stall tactic, to sort of appear to the citizens that they are hard at work.

This might be their way of "educating" their citizens. propaganda.

[Yankees27]

Deleting the zero's... do you really think that is what they are going to do to the value? How about learning a little "Aribish" here! They say they will remove the zero's and people start getting scared... but in the same article they say they will increase the purchasing power of the citizens. A lop won't accomplish squat for the citizens... who gives a rip what happened in other countries... this is Iraq, they make the rules! They dearly want to crawl out of the hell hole they have been in for the last 20+ yrs.... and they are not going to accomplish this with a lop.

Just sit back and relax folks... we are looking at some very good things in progress, be patient, and as the pink piggy says... stay grounded! (one of these days I should get a kick back for all those times I have quoted that pig!)

Thanks for the post VizioIraqi!

GO RV Already Baby!!!

Thanx for the update from Music City. This is an insightful, logical AND metaphysical analysis. Makes good sense. Fond memories of grad school at MTSU. Was in Jackson recently.

[dogtrainer55]

Not that I remember. So what would purchasing power mean?

More purchasing power means the dinar is worth more. i.e. go to the store and buy a loaf of bread with your 1 dinar instead of 1000 dinars for example.

[Darin]

I think the last statement in the article says a lot. It said the deletion of the zeros will not affect the Iraqi Stock Exchange or the value of the shares. If you were to LOP I would think the value of shares in stocks would be substatially affected. The cost of shares would have to be adjusted or nobody would want to invest. It would seem reasonable that 1 dinar would equal 1 usd or the the value of those shares would be affected. Jmo.

I read on another forum, that thru a R/V or a R/D, stocks would not be effected. Stocks, act just like prices of goods. You buy them for their market value.

It is based upon a consumer-price index...

So, for example, if they did a 1000:1 RV or a 1000:1 RD

The price of the stock would drop 1,000 times.

Just like anyone would imagine of the price of goods...

If the ISX was affected accordingly in the event of the R/V, that would mean all goods and or service would be affected accordingly. Sort of goes against the idea of a R/V if your still using the same amount of your holdings/savings/pay check to buy food or necessities.

To better clarify, if the ISX prices, values, etc. changed in the event of a R/V 1,000 times... That would be similar to saying the goods bought in markets also went up 1,000 times.

Ironically, if a r/v did occur, it would maybe "appear" that way at first... As business owners adjust their prices down due to the new rates.

[dogtrainer55]

No bashing intended here but...

I think I have read some version or another of this same article at least seven times. Did one news agency pick up the story and it has now been recycled six more times?

Trying to assemble a timeline in my mind for just this article. I think it's been at least 40 days since the first iteration.

Any clarification?

I think the redunance of articles just goes along with what they've said about how they are trying to get the word out to the Iraqis about what's ahead for their currency so that the transition is smoother.

[2fast4u2c]

Splicer....that jumped out at me and in the last 6 months that is the most interesting comment. For once I can't see how an RD then RV would fit with that statement.

I am still hopeful.

[Priscilla]

This is good news. It's just time for Iraq to stop talking about it and do it. This is not a lop. A lop is a devaluing of a currency. Iraq is needing to increase the value of their currency to get their citizens off using the Dollar. This term of "deleting the zeros off of the CURRENCY" would be better stated by saying "they are going removing the larger notes with the 000 out of circulation" WHY? Because it will be no longer needed to have a 25k note when your currency is now worth $3 to one US dollar. If they lop (devalue) their currency, what would be the point. It has no benefit. This verbiage is intentional. It is stated this way in order to confuse the masses. Once the lower notes are release in Iraq, there will be an RV. Because a 25, 50, 100 note in Iraq's current exchange rate is a waste of paper. By the way, there will be a time period to exchange the larger notes for the new exchange rate. Everything is going as plan. We who hold dinar are in a very good position. May God Bless you all.

Thanks for explaining this..It can get confusing as everyone has their own opinion and interpretation...

[burn_the_village]

.. It is said that the President of the Iraqi Securities Commission, had confirmed, earlier, that the deletion of zeros from the Iraqi currency will not affect trading in the Iraqi Stock Exchange and its shares

[/size]

Any country that has "lop'd" redenominated ahem remove zeros had to update their stock shares just like everything else in the economy.....

In Iraq's case when i realized potentially how much of their currency is in our hands, I realized that they would never do that based on the amount of money they would lose when we cash in and because well they are arab...

Anyway this is a good article and a nice nugget of info at the end.

[hoopdog]

so what do you think the profit of 25k will be in u.s. dollars after the removal of three zeros?

Well if we knew the answer to this question, we would no what the RV rate was. Which we don't, so good luck with the question.

[Special K]

so what do you think the profit of 25k will be in u.s. dollars after the removal of three zeros?

This is the million dollar question, literally. LOL. I will answer it this way first by asking a question. What does the CBI want to accomplish? They want the citizens of Iraq to stop using the US dollar and start using the new Iraqi currency ,that they spent so much money and time to have produced with the high tech security, I might add. If this is what they seek, I can only guess that the only thing that will cause the citizens of Iraq to stop using the dollar is for their currency to be as much or more than the Dollar. So to answer you question, I think it will be at least around 1 US dollar. It could be more, but at least 1 US dollar. It is just human nature. You have to give people a beneficial reason to stop doing what they're doing. The people are not using the US dollar in Iraq because they're so proud of the USA. It is because their currency is WORTHLESS. This has been mention many time by Iraq citizens. Raise the value of there currency and the problem is solved. This is what is going to happen. Keep your heads up. IT IS WRITTEN. This is happening as we speak. God Bless you all.

[wpsmit]

LOP,LOP,LOP,LOP,LOP,LOP,

it means this, no it means that, no,no, it means the other........

I am very tired!

[Darren77th]

Wow so my respeectfull response here deserves negatives on the rating. Even though I said we goning make a good return on the investiment.

Whatever. Its sad that anyone on this site that doesn't side with the " we are gonna be millionaires" crowd gets dinged. Negatives should be used for disrespectful posts not difference of opinions. Last time I checks this site said. "Dinar Vets informed, engaged, and prepared". So how does not considering all possibilities being informed or prepare. Just saying.

Im sure this is going to get a few negatives too.

[Mazzz27]

I guess mine does too since I only asked a question....hmm

I'm new to this site...sorry for trying to get a feel for things

Edited August 30, 2011 by Mazzz27

[estewart]

There is no way purchasing power will increase after a reduction of three zeros. For a time, "two to three years," it has been said, the old and new currencies will both be being used, together. The old 1000 Dinar will still buy a can of cola and a new 1 Dinar will newly buy a can of cola, too. So also will 1 USD. So. . . where would there be any increase in purchasing power? The idea is BS.

Wow so my respeectfull response here deserves negatives on the rating. Even though I said we goning make a good return on the investiment.

Whatever. Its sad that anyone on this site that doesn't side with the " we are gonna be millionaires" crowd gets dinged. Negatives should be used for disrespectful posts not difference of opinions. Last time I checks this site said. "Dinar Vets informed, engaged, and prepared". So how does not considering all possibilities being informed or prepare. Just saying.

Im sure this is going to get a few negatives too.

Don't let it get to you. There are all types of peeps on this forum. Some are very intelligent. Knowledgeable. Wise. While others are totally loony. Don't let the lunatics drive your life.

[Darin]

I guess this isn't a popularity contest... Whether you hold -1 or +1 is besides the point.

I normally give a "negative" when someone is rather rude in how they deliver the message or if they quote a very long post and offer no content.... (No one wants to scroll thru all that to find out you had nothing to say..) But, I wouldn't take it personally. Reading text online can be interpreted it many ways.

I think hearing KeepM on Skype once made me learn I was viewing his opinions out of context.

[Aqua Dude]

it will be 1.17 dinar per 1 us dollar AT LEAST

1170. <~~~~remove three zeros(move decimal over three spaces to the left) ~~~~~~>1.17

Do you remember 4th grade math?

removing the zeros a.k.a moving the decimal over to the left?

rounded up is 1.20 to 1 usd

1200 dinar divided by 1.20 = 1000 USD

the article below is why i say this

-------------------------------------------------------

Babylon University Study: Proposal to Raise Zeros From Iraqi Dinar

Posted: May 31, 2011 Iraqi Dinar/Politics

May 27, 2011

Proposal to raise zeros from Iraqi dinar

A. M. D. Jawad Kadhim al-Bakri

Usually Matqom financial authorities of b (Ministry of Finance) by using the (fiscal policy) in order to maintain the general level of prices, in addition to the use of all productive resources available in the local economy to reach a state of full employment, as well as supporting the march of economic development, and this is done through the use of power financial instruments of fiscal policy b (government spending, and taxes).

The Authority uses financial instruments to address these problems (inflation, recession, unemployment), which is usually self-styled (the gap inflationary and deflationary gap), which might be exposed to the local economy, in addition to their use is targeted to raise the level of growth in the country.

Thus, the fiscal authority has no right to influence money supply and demand as they are the powers of the monetary authority of the Central Bank.

History tells us modern economy that many of the countries of the world (which went through wars large Kaharpin Wars I and II or the collapse of their totalitarian as States of the former socialist camp) has proceeded to one of two things, either you change the national currency or remove a group zeroes them to return to the square of economic stability.

In the U.S. experience in Iraq after the fall of the previous dictatorial regime has the Coalition Provisional Authority to change the currency of the new Iraqi currency, but equal in value, which would not intentionally CPA to raise the purchasing power of the Iraqi currency against the U.S. dollar or other currencies.

This situation led to keep the Iraqi dinar is equivalent to (0.067) U.S. cents, which indicates a significant decrease in the purchasing power of the Iraqi dinar.

If what has lift (three zeros) from the Iraqi dinar, it will lead to increase its value to the (1000) once calculated value Almertbip to the number of zeros that have been filed, any box of cigarettes that were sold (1000) dinars possible purchase after the lifting of the zeroes dinar and one, a thousand dinars and modern can be obtained by the A pack of cigarettes.

In theory and when lifting (three zeros from Iraqi dinar), the purchasing power will rise to the U.S. dollar significantly to become one U.S. dollar equals (JD and a half) just so that the goods imported from abroad, worth before the lifting of the zeroes (1.2 million) Iraqi dinars, equivalent to ( 1000) U.S. dollars, will be worth after the lifting of the three zeroes (1200) Iraqi dinars, equivalent to (1000) dollars as well, and this will Igelb to remember any negative effects on the Iraqi citizen of the theory.

Positives raise zeros from the Iraqi dinar: The process of removing three zeros from Iraqi dinar deliberate, according to a tight monetary policy will lead to the following pros:

1. raise the purchasing power of the Iraqi dinar.

2. revalue the Iraqi dinar against other currencies.

3. increase the confidence of the Iraqi economy to foreign investors.

4. increase the confidence of the Iraqi citizen Bammelth National, which has become comparable to other currencies such as the U.S. dollar and the Jordanian dinar and the Kuwaiti dinar … etc..

http://translate.google.com/translate?js=n&prev=_t&hl=en&ie=UTF-8&layout=2&eotf=1&sl=ar&tl=en&u=http%3A%2F%2Fwww.uobabylon.edu.iq%2FuobColeges%2Fservice_showarticle.aspx%3Ffid%3D9%26pubid%3D1122

By the way, that artcile comes directly from the Babylon University website....so don't try to say its a fake article made by some looser with an agenda!

[andy3978]

Sounds fairly straight forward. Raise 3 zeroes = RD Increase purchase power = RV. Sounds like they plan on a LOP/RV simultaneously. I mean how else can a clear thinking person interpret this?

1,000,000 IQD becomes 1,000 IQD. RV @ 3:1 and you now have $3,000 USD before taxes and spread.

Seems pretty clear

[RPMAC]

It's funny how just a few days ago there was an article stating how it would take 2-3, maybe 5 years for the redesign, and reinstitution of the new IQD (dropping of 3 O's) into the Iraqi economy.

Family how many times have we seen/read articles regarding the LOP, and after reading each article you are more confusing and more frustrated than the last article you read! I really do not believe anyone really knows how or if a LOP will occur, definitely how it is going to affect the Iraqi economy and definitely how it will affect our investment.

The best advise is (and I know this is difficult for some) but you have your investment in hand, in a drawer, in a box, under the mattress, or some where it is with you, so just set back, wait to see what happens and then be concerned as to how it will affect you after it occurs. Really with all the speculation in the world, no one can do anything or know any more until it actually happens.

So for the time being set back plan our your fortunes, don't stress and for the most part just keep saying ....

Go RV

RPMAC

[jbt3]

Central Bank reveals details of Iraq's new currency .

الثلاثاء, 30 آب/أغسطس 2011 09:15 Tuesday, August 30 / August 2011 09:15 .Views: 122 . .تقييم المستخدم: User Rating: / 0 / 0

ضعيف Weak جيد Good

.. News twilight / the central bank of Iraq, Tuesday, that the new Iraqi currency will increase by three zeros, indicating that he had conducted an extensive study concluded that the lifting of the zeroes will strengthen the value of the Iraqi currency. .". The deputy governor of Central Bank of Iraq in favor of the appearance of Mohammed in an interview with "Twilight News" that "the central bank is determined to raise three zeroes from the currency of the new Iraqi and presented its project to the government and the House of Representatives, is awaiting the government's decision and the Council of Representatives."

.. Shows the economists, that the process of deleting three zeros from the Iraqi currency will raise its value, and to increase the purchasing power of citizens, pointing to the need to follow the policies of peaceful citizens and to persuade them to get used for a period not exceeding two years. .اقية". And the benefit of that "project raise three zeroes from the currency made by the government five years ago to the Central Bank, and has undergone during this period to an extensive study over the need to raise the value of the zeros to strengthen the Iraqi currency."

..". He added that "the deletion of zeros to enhance the value of the Iraqi currency and reduce the cost of handling cash, currency, and its current estimated size of today Petrlionat dinars, which makes the process of dealing with critical high cost."

.ي. The Central Bank of Iraq began to discuss amending the dinar categories last year. .. And is still a large part of the payments are in cash because of the evolution of the banking system.

.. It is said that the President of the Iraqi Securities Commission, had confirmed, earlier, that the deletion of zeros from the Iraqi currency will not affect trading in the Iraqi Stock Exchange and its shares

http://translate.googleusercontent.com/translate_c?hl=en&ie=UTF8&prev=_t&rurl=translate.google.com&sl=ar&tl=en&u=http://www.shafaaq.com/sh2/news/economy-news/33218-2011-08-30-06-17-37.html&usg=ALkJrhiQtYUM-9gCyy0qREgHyb_PG_CxHw

What is this the photo of? I looked up Saddams 5 Dinar and that was not this photo

http://www.dreamstime.com/royalty-free-stock-photos-5-dinar-bill-of-iraq-image4087348

[^theStig]

rv,rd.....this argumant will be a mute point if they dont get this done before our troops leave. i say 70% chance we dont see any money as we watch as sadr and a dozen other power hungry religious nuts circle this bunch of incompatent morons like buzzards , waiting for the us troops to leave, so they can burn iraq in fire, and febuild it in their image.

[Priscilla]

LOP,LOP,LOP,LOP,LOP,LOP,

it means this, no it means that, no,no, it means the other........

I am very tired!

I am very tired too and now don't know what to believe..