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Banker: delete zeros not raise inflation ...And increase the dinar


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wrong... WILL is a future tense word...it implies all this will happen AFTER the deletion of the zeros....the only thing I am getting out of this(or any iraqi article) is a RD....possibly followed by a RV...possibly not...now whether thats what they do or not is up for debate...but that is what they tell us they are going to do, clear as day...heres hoping I am wrong

You are absolutely correct.

That was the point I was trying to make but the caffeine to blood ratio was too low for me to get the tense right.

Again, correct, all references point to the deletion of the zeros prior to the official changing of the rate.

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Banker: delete zeros not raise inflation ...And increase the dinar Banker: delete zeros not raise inflation ...And increase the dinar Date: Wednesday, 07-09-11 12: 23 pm Baghdad (newsletter).Inv

Invited the Chairman of the Board of Directors of the Bank Hussam economy need slave project******* delete three zeros from the Iraqi currency,******************* which will increase Iraqi dinar excha

but this project *********become a reality******* and****** is binding****** on the State******** to accomplish****** wow so many i guess just cant see how good this is for us, it has every thing in

That would be wonderful, however, I question that information because how can they allow us to have 25000 dollars for a 25000 dinar, and only allow the Iraqi people to have a 25 for their 25000 note that they had to exchange for a new 25 note? Wouldn't that cause utter chaos and an uproar from the people?

Nothing changes for them unless they exchange for another countries currency. My US Dollar is worth about 12 Pecos in Mexico but it is only worth a dollar to me. 1 KWD is worth about 3.65 USD but only in the USA. In Kuwaiti it is worth 1 Dinar. Our dollar is worth hundreds of different exchange amounts, but only in another country. They will de-dollar the country. It will soon be like us going to McDonalds and trying to pay our bill with the Euro. So all the people thinking the Iraqi People will suddenly be rich are very misinformed. The buying power of the "Country" will be greatly increased which will lead to future growth, but that is it. Of course this is my opinion. So Says..............DayTrader

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They will not..and I repeat...will not...telegraph an RV. Be patient and wait to see what happens.

Be extremely patient. I bought a few dinars in september a year ago and when I bought the dinars, the same debates were going on then. To me, the most misinformed people are the ones saying we are so close and its almost here. Same articles, same arguing.

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Nothing changes for them unless they exchange for another countries currency. My US Dollar is worth about 12 Pecos in Mexico but it is only worth a dollar to me. 1 KWD is worth about 3.65 USD but only in the USA. In Kuwaiti it is worth 1 Dinar. Our dollar is worth hundreds of different exchange amounts, but only in another country. They will de-dollar the country. It will soon be like us going to McDonalds and trying to pay our bill with the Euro. So all the people thinking the Iraqi People will suddenly be rich are very misinformed. The buying power of the "Country" will be greatly increased which will lead to future growth, but that is it. Of course this is my opinion. So Says..............DayTrader

That is a great explanation, thank you. So are you also agreeing that the deletion of zeros is within the country of Iraq only....or do you think we will have to exchange our 25000 dinar for the new 25 dinar also?

You have very good explanations in laymans terms - thank you for that.

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Be extremely patient. I bought a few dinars in september a year ago and when I bought the dinars, the same debates were going on then. To me, the most misinformed people are the ones saying we are so close and its almost here. Same articles, same arguing.

Agree. Im an optimist so I like to think that after so many years of oppression, the people of Iraq will finally get tossed a bone. CBI and GOI can go both ways, small RV to excite the masses and then an RD. Or they can do a straight up RD while RVing at the same time. The big question.....What happens outside of Iraq. Just have to be ready and wait and see.

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Nothing changes for them unless they exchange for another countries currency. My US Dollar is worth about 12 Pecos in Mexico but it is only worth a dollar to me. 1 KWD is worth about 3.65 USD but only in the USA. In Kuwaiti it is worth 1 Dinar. Our dollar is worth hundreds of different exchange amounts, but only in another country. They will de-dollar the country. It will soon be like us going to McDonalds and trying to pay our bill with the Euro. So all the people thinking the Iraqi People will suddenly be rich are very misinformed. The buying power of the "Country" will be greatly increased which will lead to future growth, but that is it. Of course this is my opinion. So Says..............DayTrader

The thought is correct, but they are pegged to the dollar, and Iraq is currently a dual currency country.

If the exchange rate changed overnight from 1170 dinar per dollar to 1 dinar per dollar, Iraqis who have been relying mainly on the dollar for transactions would climb over each other's backs to exchange their dinars to dollars.

When the banks ran out of dollars, there would be civil unrest because some were fortunate enough to have thousands of dollars for a currency that was worthless twenty four hours ago, and some were stuck with a currency they feel is inferior to the dollar, and there are no dollars left to exchange for.

If Iraq was a single currency nation that refused to accept the dollar, your description would be correct in thought, and action.

An increase of a thousand times value overnight would destroy the economy, and greatly prolong dependence on the dollar, as long as the dollar is also accepted for purchases.

If the country was stable prior to this process, other countries may want to buy dinar and help iraq increase dollar reserves, but the only thing Iraq produces is oil, and OPEC only allows dollars for payment. Why would another country prop up a failing revaluation due to Iraq not being able to cover the new value of the dinar in the cash the country would rather have. What could they spend Dinar on?

The only value Dinar have is to either exchange for another currency, or make purchases within the region that accepts them as payment.

Two stepping the rate by equalizing the face value of the currency to the exchange rate by dividing both by 1000 is, unfortunately the most direct path from here to there.

Revaluing 1000 times overnight is one of those journeys where you can't get to there from here.

The Dinar has to be given strength prior to enhancing the exchange rate. That is why the CBI has chosen the path they are pursuing.

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:rolleyes: If its an RV, why would they raise it immediately to a dollar when they know they can...

A) get some of you to cash out at a much much cheaper rate

B ) allow people with real money to invest, especially since it would be on the move.

They control the currency....They know where it goes...and what they have actually done with the NID since its inception speaks louder than what they are saying now. :D

Edited by burn_the_village
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You are absolutely correct.

That was the point I was trying to make but the caffeine to blood ratio was too low for me to get the tense right.

Again, correct, all references point to the deletion of the zeros prior to the official changing of the rate.

Dalite, I have come to really liking your posts. You are very respectful, and obviously well informed. Even though you seem to lean toward the "L", you are not trying to shove it down everyones thought. A few people on this forum need to take a page out of your book. I really like the maturity of your comments, THANK YOU!

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The thought is correct, but they are pegged to the dollar, and Iraq is currently a dual currency country.

If the exchange rate changed overnight from 1170 dinar per dollar to 1 dinar per dollar, Iraqis who have been relying mainly on the dollar for transactions would climb over each other's backs to exchange their dinars to dollars.

When the banks ran out of dollars, there would be civil unrest because some were fortunate enough to have thousands of dollars for a currency that was worthless twenty four hours ago, and some were stuck with a currency they feel is inferior to the dollar, and there are no dollars left to exchange for.

If Iraq was a single currency nation that refused to accept the dollar, your description would be correct in thought, and action.

An increase of a thousand times value overnight would destroy the economy, and greatly prolong dependence on the dollar, as long as the dollar is also accepted for purchases.

If the country was stable prior to this process, other countries may want to buy dinar and help iraq increase dollar reserves, but the only thing Iraq produces is oil, and OPEC only allows dollars for payment. Why would another country prop up a failing revaluation due to Iraq not being able to cover the new value of the dinar in the cash the country would rather have. What could they spend Dinar on?

The only value Dinar have is to either exchange for another currency, or make purchases within the region that accepts them as payment.

Two stepping the rate by equalizing the face value of the currency to the exchange rate by dividing both by 1000 is, unfortunately the most direct path from here to there.

Revaluing 1000 times overnight is one of those journeys where you can't get to there from here.

The Dinar has to be given strength prior to enhancing the exchange rate. That is why the CBI has chosen the path they are pursuing.

Looking at your scenario, The GOI needs to work on making Iraq a one currency nation. Are Iraqis allowed to use dollars in the shops and malls? Americans wouldnt be climbing over each other to get to the bank to exchange our dollar for the euro or pound if were equal. But we spend dollars at Macys, not euros.

Edited by Realdinar
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Dalite's comment is absolutely correct! "But, if they can't seat the government, provide security, provide electricity, proper water treatment and delivery, pass a Gas and Oil Law, admit where the Kuwaiti border is, agree to sharing power between Shia, Sunni and Kurds, or even agree to honor promises that were made to get the election validated...... All of this makes it extremely hard to say exactly what they will do, or when."

However, I do not think the international community will stand for the GoI's inability to act much longer....

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Dalite, I have come to really liking your posts. You are very respectful, and obviously well informed. Even though you seem to lean toward the "L", you are not trying to shove it down everyones thought. A few people on this forum need to take a page out of your book. I really like the maturity of your comments, THANK YOU!

Agree 100%. Dalite and Drox are my favs. They set a perfect example of how people should interact on here. I may not agree with them or like what they say sometimes but none the less, they are extremely well educated and grounded.

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The RV will not affect the people of Iraq directly....the rv is for outside sources only....theur gdc could support a 1-1....oil is their only main export, but its at $78/barrel....the rv gives iraq purchasing power with the dinar...Iraq has stated before that the want to use the dinar, not the dollar....as soon as the dinar is internationalized, opec WILL accept it....Iraq needs the rv to HELP its people...they will do this buy increasing the value of the dinar to purchase contracts for oil, electricity, food, supplies..etc....

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Looking at your scenario, The GOI needs to work on making Iraq a one currency nation. Are Iraqis allowed to use dollars in the shops and malls? Americans wouldnt be climbing over each other to get to the bank to exchange our dollar for the euro or pound if were equal. But we spend dollars at Macys, not euros.

Most have both currencies in their pockets for use.And until we wean them off the US currency they will keep utilizing it.

Edited by In Iraq
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Explain in english/layman terms what this article means???

No one knows! That's why there are so many questions without answers. Only time will tell. Every answer to a question or anything else is just opinion. Of course, that's just my opinion. :P

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Thank you BondLady, I don't think that we are questioning how good the news is about it coming along fairly quickly now, this all just has people anxious about the way it will come out as in an RD vs an RV or both combined. I as many here have an opinion as to what I think will happen, but that won't change anything. I for one am just happy to have it come to an end. I remain hopeful for the RV, but not on the unrealistic side either.

Thank you again BondLady, I think we are all getting a bit punchy on this.

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wrong... WILL is a future tense word...it implies all this will happen AFTER the deletion of the zeros....the only thing I am getting out of this(or any iraqi article) is a RD....possibly followed by a RV...possibly not...now whether thats what they do or not is up for debate...but that is what they tell us they are going to do, clear as day...heres hoping I am wrong

There is no way they can tell us they want to RV. They cannot even mention RV, though they talk all around it. Talk of a redenomination will not cause the massive dinar buys and speculation that the little letters RV would lead to.

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Looking at your scenario, The GOI needs to work on making Iraq a one currency nation. Are Iraqis allowed to use dollars in the shops and malls? Americans wouldnt be climbing over each other to get to the bank to exchange our dollar for the euro or pound if were equal. But we spend dollars at Macys, not euros.

There has been some talk about moving more toward a basket of currencies to base the Dinar against. I don't know how serios they were, or if the idea got any traction. Right after Moody's downgraded the US, there was an article about this.

Yes, they need to stop relying on the dollar, which seems to be as universally accepted as the Dinar in Iraq; if not preferred over the dinar.

If you want to have some fun, go to the Cabellas website, browse items, then select the currency used to pay. The Kuwaiti Dinar is accepted. When the new iraqi dinar is accepted, I'm going shopping. :P

It is anticipated that the restructuring will lead the way toward more confidence in the Dinar, and place it closer to parity with the dollar. The stronger the dinar gets, the less the reliance on the dollar.

As long as the dollar is the petropayment medium, there is certainly no shortage...

Dalite, I have come to really liking your posts. You are very respectful, and obviously well informed. Even though you seem to lean toward the "L", you are not trying to shove it down everyones thought. A few people on this forum need to take a page out of your book. I really like the maturity of your comments, THANK YOU!

Thank you very much for the kind words.

Sometimes I get a bit testy and aggressive when something really hits me the wrong way, but I do usually try to soften the blow and try to create understanding in the other side of the coin.

You just have to condition yourself to see what the possibilities are, and who benefits the most..

This isn't over yet, we are still all riding together.

Thanks again; it means a lot to me...

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Once again.... thanks Bondlady. I especially like this part : "He noted that the project was not confusion in the banking business****** but would facilitate a lot of things******** through a process of ********storage and transport"

Read more: http://dinarvets.com/forums/index.php?/topic/82776-banker-delete-zeros-not-raise-inflation-and-increase-the-dinar/#ixzz1XJBFPJi1

How do you reduce confusion? By keeping it very simple... not by making a 25,000 note only worth 25... you make a 25 worth a 25... that way even an uneducated person gets it right... with no confusion! Of course.. time will tell, but they seem to be telegraphing their moves. wink.gif

GO RV Already Baby!!!cool.gif

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Bondlady,

I have been in this investment for a while and just started posting. Trying to figure out who to trust and who not to trust. I just wanted to say thank you for your time and effort you spend helping others in this wild ride. I have full faith that we will see great gains, when- who knows, how much-who knows. However the country has everything needed to make this ride worth the wait. Again thank you for helping in this process and for your obvious wisdom about investing.

Nottoolate is just the name used because I believe I got in at a good time. But for your time and effort you should know my name . Thanks Thomas.

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