Deputy Governor Of CBI: Existing Currency Categories To Fit With The Current Economic Situation AND Future In Iraq

[Reverse-Pumper]

If I Am Translating This Correctly (And I Believe I Am)... They Are Now Saying That The Dinar Currently In Circulation (Yes The Ones We Have) Will Change In Value As Well Once The Revaluation Takes Place...

Deputy Governor of Central Bank of Iraq the appearance of Mohammed Saleh, said that the current categories of currency not fit with the current economic situation and future developments in the present and the future of the Iraqi economy.

Saleh said in a statement today it received ( and the Iraqi News Agency Information / INA ) said: In the lightof economic conditions and volatile financial pressure and monetary inflation that has befallen our country before, and led to negative effects on the regularity of the commercial market and the labor markets and production and living standards of citizens, it has generated distortions Many structures, economic relations, among which was the Activity block cash many zeros of little value and in a manner not commensurate with the future developments in the present and the future of the Iraqi economy, which requires a solution to these conditions and offal, and these solutions reform the management of currency cash through the structure and the deletion of zeros to control the flow and management of the monetary cost of the cluster optimally.

He added that the trading bloc cash exporting more than 30 trillion Iraqi dinars to the various groups and reflected by the number of securities traded $ 4 trillion paper money is the product of a long period of inflation and economic decline, rising, for example, the index of consumer prices Bassas 1993 from 100 to 200,000 in the midst of 2003, which means that the item that was sold for 100 dinars became sold for 200,000 dinars … And so on. Under such circumstances, the deterioration of the value of the coin currency rose greater than 25 dinars to 25,000 dinars, which means that inflation is added, these zeros *.

He stressed: that the denomination of the current fit with the current economic situation and the next.

For example, and before the outbreak of the Iran-Iraq war was a category of 25 dinars equivalent to $ 75 purchasing power of the time or the equivalent in the present 300 thousand dinars.

I said inflation in the country over three decades of zeros to the currency, although this did not raise those zeros of the purchasing power of the largest category of the coin is 25 thousand dinars, which is equal to today’s $ 21.

We need today to restructure the currency.

Valasfar mean large cluster of large cash in circulation today of about 30 trillion dinars, which requested the circulation of cash directly and significantly to the cost of sorting and counting and it takes time and spatial properties and security.

In the price system, is the price is expressed in exchange value and thus the structure of costs and payments of salaries and the Cubs and eventually become Akiem all transactions not commensurate with the needs of the country into a cash management system consistent with the restructuring of the real sector and price levels reached.

The country needs a monetary system is easy to handle small groups and large reflect the real cost of thatstructure.

The Deputy Governor of Central Bank: Maalmana especially as inflation means rising prices of his own money,money priceOn goods and services (ie, how much money we need in exchange for package of goods andservices .. the more increase the amount of money allocated in exchange for the package itself means that there is inflation or a rise in the price of money).

Note that the value of money is inversely proportional with the price of money, especially if Maalmana that price is the value of goods and services expressed in cash.

Since the money is anything agreed upon the community to become a medium of exchange and store of value and unit of account, the money (legal) issued by the Monetary Authority under the law and with the strength of the discharge of the receivables and is seen as a social institution Social Institution Increase the efficiency of the economy and its economic efficiency in moving the exchange of such money or social institution, and vice versa.

And ended in favor of his statement by saying: I have led inflation continued to rise in number currency from 23 billion dinars in 1991 to about 30 trillion dinars at the present time, high largest category of currency from 25 dinars to 25,000 dinars, over time, thus making inflation, new figures for the currency in circulation add three zeros, which increased the nominal amount of cash operations and arranged the production costs of large quantities of them were accompanied by operations, storage, and distribution of the promise and the counting and auditing standards and the accompanying double, helped the growing operational risk associatedOperational Risk In the light of stability.

http://************.com/2011/09/17/deputy-governor-of-cbi-existing-currency-categories-to-fit-with-the-current-economic-situation-and-future-in-iraq/

Edited September 17, 2011 by Reverse-Pumper

[zigmeister]

Thanks for the post. hmmmm I like it!

[Alex38]

It's coming.

[NickMc]

He also stated, small groups and large. If they LOP, they wouldn't have a large group would they?

[zigmeister]

It's coming.

Good to see you Alex, I have not seen you around much this week.

Edited September 17, 2011 by zigmeister

[Alex38]

Good to see you Alex, I have not seen you around much this week.

Took a much needed break from the craziness... Good to hear from ya! I believe we are getting extremely close on this thing. I am getting really excited

[zigmeister]

Took a much needed break from the craziness... Good to hear from ya! I believe we are getting extremely close on this thing. I am getting really excited

I can understand the need to take a break. I hope we are. Glad you are back.

[vvalley]

I'll take a Revalue with old and new notes "co-exhisting" for awhile! Veronica

Goooooooooooo Rvvvvvvvvvvvvv!!!!!!!!!!!!!!!!!!!

[TFK]

They aren't going to tell us what they are really doing! Either way, RD + RV or what we all would like to see, RV + RD, they aren't going to let it slip. They know thousands of major investors, and I don't mean currency speculators (us included), are waiting for the CBI, IMF and the World Bank to get all Iraq's ducks in a row.

These investors will secure GOI, provincial and municipal government contracts to build billions and billions of dollars worth of much needed infrastructure. That's just the tip of the iceberg! Billion's and billions more will pour in to construct private sector oil, mining, agricultural, manufacturing, commercial and retail projects to name a few.

Nobody, and I mean nobody is going to get a heads up prior to whatever shape their monetary reform will take. To do so would spook these investors chomping at the bit to turn ground in lucrative Iraq! Stability is key. They want world investors to believe in Iraq, not think that major speculators (not most of us), are going to eat Iraq alive before any real progress is made. That is why no one can make heads or tails out of all the conflicting reports coming out of Iraq's media. This is just the way they want it!

To tell us directly their monetary plans, would in my opinion, set them up for complete failure at bringing a strong and wealthy Iraq back on the world stage as a major player! It can't be long now!

[JWJW11]

Took a much needed break from the craziness... Good to hear from ya! I believe we are getting extremely close on this thing. I am getting really excited

Hey bro! Its definitely getting closer! Check out sonny1 posts from last nite! He was on a roll!!!

[Bambino3]

I read voraciously and I am trying to become a novelist, but I am amazed at you people who can read this and make some sense of it. Maybe I just can not concentrate and wish some one could in 50 words or less explain why this is a positive article. I see the Cubs were mentioned. Is Iraq going to buy the Cubs. No, seriously, all these articles are just mind blowing, but I commend those of you who understand it. I'm a dummy. Probably will get a lot of agreements on this.

[xyzzy]

They aren't going to tell us what they are really doing! Either way, RD + RV or what we all would like to see, RV + RD, they aren't going to let it slip.

If by "RD + RV" you mean that they would wait till the RD is over (e.g. 2 years) yea that would suck for us.

But, once the RD becomes official that also will tell everyone how big of an RV is possible. If the RD is 1000::1, then an RV any time soon can't be more than 2x if they want the new dinar to end up in the $1-$2 range. For an RD at 1000:1 the RV could be from 0 to 2x, so announcing that RD doesn't really tip their hand

But suppose they announce that the RD is only 100:1, then the associated RV to get into the $1-$2 range would have to be 10x-20x. So in that case they would have to do any associated RV immediately since delay would invite massive speculation. Alas I think the 1000:1 RD is what is in store.

He stressed: that the denomination of the current fit with the current economic situation and the next.

I don't think the translation was correct both due to the result not being at all clear, and due to the fact that an RV is never announced. So really no statement coming out of the CBI can be telling people an RV is coming. If only an RV is the plan with no RD, then they just wouldn't say anything. But for YEARS they have been talking about deleting the zeros. People say its all smoke and mirrors but remember these articles are not for our consumption but for an Arabic speaking population who do not have all these translation issues (actually I've always been a little surprised that they don't issue them in Kurdish as well, or maybe we just don't see that?).

[Carrello]

They aren't going to tell us what they are really doing! Either way, RD + RV or what we all would like to see, RV + RD, they aren't going to let it slip. They know thousands of major investors, and I don't mean currency speculators (us included), are waiting for the CBI, IMF and the World Bank to get all Iraq's ducks in a row.

These investors will secure GOI, provincial and municipal government contracts to build billions and billions of dollars worth of much needed infrastructure. That's just the tip of the iceberg! Billion's and billions more will pour in to construct private sector oil, mining, agricultural, manufacturing, commercial and retail projects to name a few.

Nobody, and I mean nobody is going to get a heads up prior to whatever shape their monetary reform will take. To do so would spook these investors chomping at the bit to turn ground in lucrative Iraq! Stability is key. They want world investors to believe in Iraq, not think that major speculators (not most of us), are going to eat Iraq alive before any real progress is made. That is why no one can make heads or tails out of all the conflicting reports coming out of Iraq's media. This is just the way they want it!

To tell us directly their monetary plans, would in my opinion, set them up for complete failure at bringing a strong and wealthy Iraq back on the world stage as a major player! It can't be long now!

And that is why Maliki is toast! He is a gnat buzzing around an industrialist's head.

[RealisticInvestor]

And if they RV and RD the currency will be back to 25 dinar equals 75 dollars! We will have doubled or tripled our money. Read my post if you don't understand the process of restructuring currency after periods of inflation where 0's get added.

[Carrello]

If by "RD + RV" you mean that they would wait till the RD is over (e.g. 2 years) yea that would suck for us.

But, once the RD becomes official that also will tell everyone how big of an RV is possible. If the RD is 1000::1, then an RV any time soon can't be more than 2x if they want the new dinar to end up in the $1-$2 range. For an RD at 1000:1 the RV could be from 0 to 2x, so announcing that RD doesn't really tip their hand

But suppose they announce that the RD is only 100:1, then the associated RV to get into the $1-$2 range would have to be 10x-20x. So in that case they would have to do any associated RV immediately since delay would invite massive speculation. Alas I think the 1000:1 RD is what is in store.

I don't think the translation was correct both due to the result not being at all clear, and due to the fact that an RV is never announced. So really no statement coming out of the CBI can be telling people an RV is coming. If only an RV is the plan with no RD, then they just wouldn't say anything. But for YEARS they have been talking about deleting the zeros. People say its all smoke and mirrors but remember these articles are not for our consumption but for an Arabic speaking population who do not have all these translation issues (actually I've always been a little surprised that they don't issue them in Kurdish as well, or maybe we just don't see that?).

I bet you are a lot of fun at a party. Do you hang around the dip? Or the punch bowl?

[RealisticInvestor]

Even if the notes coexist they will have different values. 25,000 old dinar will equal 25 new dinar. Notes coexist with different values all the time.

[Mazzz27]

Even if the notes coexist they will have different values. 25,000 old dinar will equal 25 new dinar. Notes coexist with different values all the time.

no change in value....

[aliciadogz]

Thanks for post,I believe,I believe it closes!!!!!

[DayTrader]

And if they RV and RD the currency will be back to 25 dinar equals 75 dollars! We will have doubled or tripled our money. Read my post if you don't understand the process of restructuring currency after periods of inflation where 0's get added.

Son, you're hitting it hard ain't you? What is your motive? There is a LOP section on this forum . Pot is boiling. So Says..................DayTrader

[zigmeister]

Son, you're hitting it hard ain't you? What is your motive? There is a LOP section on this forum . Pot is boiling. So Says..................DayTrader

I don't know but this guy sounds like ridewithme38, ridewithu from just a few days ago. I think he is back in town.

[Mazzz27]

i am getting sick of these lopsters

[JWJW11]

I don't know but this guy sounds like ridewithme38, ridewithu from just a few days ago. I think he is back in town.

Nice catch zig................definitely looks like the ridewithme38 writing.............hmmmmmm

[JWJW11]

i am getting sick of these lopsters

you can always tell when they think we might be getting close.......they come out in full force..............s

[xyzzy]

And if they RV and RD the currency will be back to 25 dinar equals 75 dollars! We will have doubled or tripled our money. Read my post if you don't understand the process of restructuring currency after periods of inflation where 0's get added.

i'm not even expecting this much. If they do a 2x RV that would have a post RD'd new dianr come out at $1.72 and that is likely a bit higher than they want to start, but possible. But we make 40% in that case (which I still would be very happy with compared to losing 30%). For those that bought around $1200 per million, Iraq would have to do a 3x RV, putting the new dinar at $2.58 for us to get 2x, but that seems starting pretty high for a country that wants exchange parity (not exchange excess) and plans on very high growth for the next 20 years.

[Francie26]

I bet you are a lot of fun at a party. Do you hang around the dip? Or the punch bowl?

hahaha You are soooo funny!! So many times you say what I wish I could think to say!! lol