Thread: Iraq/Dinar News. 09/05 to 01/14/07

Originally Posted by jedi17

Good question...I would like to add to it...does the prices of everyday items change in Iraq...for instance bread (simple) with the value of the dinar going up, and price of inflation on the rise...do the everday Iraqi people see price fluctuations? I still think that for the average Iraqi store keeper, it would make sense to r/v close to a amount in which they are accustomed to working with, so that when they change the value of everday items (bread) it will not take a lot of intervention from the Government to help implement value change. So, the question then would be how much? Pre-war level of around .31, pre-gulf war level of over 3.00? Damn questions and speculation...need some Tylenol.

It would seem that when they reval the Dinar, they would have to come out with an instruction to all sellers of goods and services that they increase their selling prices by a systematic amount. It may be a percentage, it may be adding so many zero's on to the cost of an item, etc etc. There has to be uniformity here. So they are grappling with the idea of the Reval of the Dinar, but also how to adjust all goods and services to be in line with that new value.
Am I correct here?

Originally Posted by DinarDarling

It would seem that when they reval the Dinar, they would have to come out with an instruction to all sellers of goods and services that they increase their selling prices by a systematic amount. It may be a percentage, it may be adding so many zero's on to the cost of an item, etc etc. There has to be uniformity here. So they are grappling with the idea of the Reval of the Dinar, but also how to adjust all goods and services to be in line with that new value.
Am I correct here?

I think they have to remove some zeros....instead of payin 8,000 dinar for shoes....they pay 80.00 dinar for shoes ....I think

Originally Posted by worf

A problem with that is the part of the puzzle that states the Iraqi's need to become par with their neighbors' exchange rate/currency. 1000 dinars = 1 usd is still way too low in comparison with their neighbors. It might be a stopping off point briefly but I doubt if they would leave it there long.

worf

I agree with you Worf. If they start it out at 1000 id to 1 us, it is still way to low. It might be a very lame way to get speculators to cash in, but would be a huge waste of time (Imagine that, Iraqi officials wasting time ) If Iraq wants to be part of the worlds business economy, they have got to get real with their currency. Show the world that it's worth something. They need to stop taking pride in being Kurds, Shiites, and Sunnies and take pride in being Iraqis.

Originally Posted by jedi17

I think they have to remove some zeros....instead of payin 8,000 dinar for shoes....they pay 80.00 dinar for shoes ....I think

That's what the lower denominations are for, there will be no need to drop zeros.

Originally Posted by DinarDarling

It would seem that when they reval the Dinar, they would have to come out with an instruction to all sellers of goods and services that they increase their selling prices by a systematic amount. It may be a percentage, it may be adding so many zero's on to the cost of an item, etc etc. There has to be uniformity here. So they are grappling with the idea of the Reval of the Dinar, but also how to adjust all goods and services to be in line with that new value.
Am I correct here?

Think you are correct but they can make this easy.

If they remove 3 zeroes from the exchange rate (not the notes) then:

$ 1 = 0.68 IQD then
1 IQD = $ 1.47

Then for shoes that are now 8,000 dinars then can easily make it 8 dinars and they can pay with the small denominations.

That's how I see it will be done.

Originally Posted by hightide3016

I agree with you Worf. If they start it out at 1000 id to 1 us, it is still way to low. It might be a very lame way to get speculators to cash in, but would be a huge waste of time (Imagine that, Iraqi officials wasting time ) If Iraq wants to be part of the worlds business economy, they have got to get real with their currency. Show the world that it's worth something. They need to stop taking pride in being Kurds, Shiites, and Sunnies and take pride in being Iraqis.

Therein lies the crux of the biggest obstacle thw rest of the world faces in making progress faster, and more efficiently. A very daunting piece to the puzzle.

Randy

Originally Posted by hightide3016

That's what the lower denominations are for, there will be no need to drop zeros.

Actually...they will need lower denoms if they remove zeros from the prices of goods...maybe I did not make myself clear. Cost of Shoes now..8,000 dinar, pay with 10,000 dinar note, get (2) 1,000 dinar notes in change. Now after r/v shoes cost say 80.00 dinar, pay with 100.00 dinar note, get a twenty, or (4) 5 dinar notes in change...hope this clears up my post

Originally Posted by jedi17

Actually...they will need lower denoms if they remove zeros from the prices of goods...maybe I did not make myself clear. Cost of Shoes now..8,000 dinar, pay with 10,000 dinar note, get (2) 1,000 dinar notes in change. Now after r/v shoes cost say 80.00 dinar, pay with 100.00 dinar note, get a twenty, or (4) 5 dinar notes in change...hope this clears up my post

I understand what you were saying now. You are very correct.

Just a follow-up from my post from yesterday (http://www.rolclub.com/iraqi-dinar-d...ml#post138638), I just received a call from Chase Bank, and said my order was there, and able to be picked up. This is nothing more than to assure that there wasn't a glitch in their system or anything yesterday - They truly are selling Dinar again - At least in the Dayton, Ohio area.

I won't be able to pick up my order until Friday, but I have no concerns about what's waiting for me at the bank.

Originally Posted by Gloribee

I hope you get it!!! By the way, whats a Dormer ???

A dormer is an addition to a house where you raise the roofline on one side of the house to accomodate increased living space inside. Usually meant to add a couple bedrooms upstairs.

Hope this helps (Ozizoz iz a carpenter so he could answer too...)