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

Can someone PLEASE give an educated guess as to how long it will take for the value to rise? For instance, if before the end of this year, it's at .05...what's a realistic time frame for it to get to .50 or even 1:1?

Are we talking about weeks...months...years??


Caroline

Originally Posted by laurenr

I don´t know if this has already been posted but I just
received this about 5 mins ago, any comments? To all our FreeDinar Customers,

There once again will not be a conference call this evening. We apologize for any inconvenience.

However, we will be sending out an email in a few hours with some of the latest news. Just a preview, the Central Bank of Iraq has issued a statement regarding increasing the value of the Dinar.

Depending on the circumstances we should have a conference call next week.

Thank you,

FreeDinar/Ompus Corporate Team

__________________

I just went to the CBI website and couldn't find anything regarding this. I guess that if it's true we'll see just how much of an increase they're talking about...

Originally Posted by Caroline

Can someone PLEASE give an educated guess as to how long it will take for the value to rise? For instance, if before the end of this year, it's at .05...what's a realistic time frame for it to get to .50 or even 1:1?

Are we talking about weeks...months...years??


Caroline

Market forces can drive a floating exchange rate in a matter of hours.

Originally Posted by Wm.Knowles

I would like to respond to a question I received as a PM. What is your idea about the RV rate and do they (CBI) know about all of us that have invested in dinar?
In thinking about these questions I remembered that while in the securities business I witnessed many bankers selling their bonds with only slight increases in appreciation. I learned that economic behavior changes at different price levels. What this means to us is the fact that the CBI is caught between two forces. Pressure to increase the purchasing power of the dinar for the Iraqi people and still be able to purchase dinar from the economy (especially outside of Iraq) and retire as much of the outsanding dinar as possible as cheaply as possible. I think we might want to adjust our thinking about what a reevaluation truly is. Up until now many of us have been considering a reevaluation as singular event. Lets start the discussion that an RV is a process. A process where the CBI (who knows their is an abundance of currency outside of Iraq) will attempt an initial RV that will satisfy both the increase in purchasing power, but low enough to retreive/remove as much currency from the outside investors as possible. If I was the President of the CBI, Why would I instantly RV at double digits when I can pobably remove a "big bunch" of dinar and only pay a single digit figure? As the President, I can always raise the exchange rate figure. So, how many of you would sell a million dinar if the initial RV was only .05 cents? Why should I pay more? While I think the future for this investment is exceptional, I think we are obligated to explore the possibilities so as to be prepared. Once there is an RV, expect them to turn their attention to the investors on the outside and remove as much of that pool of currency as cheaply as possible. Hate to sound cynical, but bankers are not social workers and their perception is strickly on the money.

I agree that Iraq realizes that there is an abundance of currency outside the country but how much would be pure speculation. Dealers, military and civilian workers alone have been smuggling billions since the beginning as well as after the restrictions were placed on it leaving the country in August 2004.

there seems to be a lot of talk about a .05 r/v....think about it...if they r/v at .05...how could this possibly help Iraq buy goods from other countries...now they may not be selling dinar, but believe me that would not stop a person from walking into a bank in iraq and making a withdrawl...and that would be where our friends who have sold dinar for so long come in (the ones who smuggle the dinar out of the country). The r/v will not be low, it will devestate any confidence people have in Iraq, and Iraq itself would not be able to buy goods...just like now...remember they daid they have to r/v the dinar to amounts closer to neighbouring countires.

Just a thought ( again a dangerous thing for me)

At a rate of say .05 would not they still be selling the country for pennies on the dollar to the big companies?

Originally Posted by billknows

The theory is... in fact the common practice of bankers is to buy currency dirt cheap! That means that our days of considering high amounts for a reval are over! We've come of age - we've suddenly grown up! Banks are not nice! The knowledge we now possess which we didn't have before, has certainly taken the wind out of some of us. Mr. Knowles certainly knows his stuff. His comments are irrefutable!

Personally, I still remain highly optimistic!

This must be a joke.

Originally Posted by jedi17

there seems to be a lot of talk about a .05 r/v....think about it...if they r/v at .05...how could this possibly help Iraq buy goods from other countries...now they may not be selling dinar, but believe me that would not stop a person from walking into a bank in iraq and making a withdrawl...and that would be where our friends who have sold dinar for so long come in (the ones who smuggle the dinar out of the country). The r/v will not be low, it will devestate any confidence people have in Iraq, and Iraq itself would not be able to buy goods...just like now...remember they daid they have to r/v the dinar to amounts closer to neighbouring countires.

It will be high ( $1.20+), most of the dinar is in Iraq and big government vaults, we are small fish. The MOF or whoever has already said that the dinars value must increase for imports as exports don't matter. Whoever Iraq does the most importing from will be what Iraq sets their rate closest too ( most likely Jordan at $1.40+ ). Just try and remember what the reval is intended for ( inflation of goods ). Like Jedi said, .05 helps nothing. OK, I'm getting off my soap box now.

Originally Posted by Caroline

Can someone PLEASE give an educated guess as to how long it will take for the value to rise? For instance, if before the end of this year, it's at .05...what's a realistic time frame for it to get to .50 or even 1:1?

Are we talking about weeks...months...years??


Caroline

We just don't know!

Originally Posted by laurenr

I don´t know if this has already been posted but I just
received this about 5 mins ago, any comments ?

Hasn't something like this been already posted on this forum that dinar will eventally go up - it is just of matter of when in reference to above freedinar statement.