Thread: % increases in the value of IQD.

Originally Posted by Cdn Scrooge

Seems to me the confusion surrounding this issue is what exactly is "the true value of the dinar".

The 1 NID= $3.22 USD rate is the "official rate" but as has been pointed out by the time Saddam was ousted the black market rate (which has been referred to as the real rate) was about 1/2 of that or $!.60 USD.

The 1500 NID = $1.00 USD rate that has been in effect for the past 3 years was clearly stated at the beginning as being a "program rate" and was to be used during the transitional stage of getting Iraq back on its feet. It has always been clearly stated that this was a program rate and was NOT the real value of the dinar.

It would be interesting if the "real rate" they are referring to when talking about the 75% increase was in fact the black market or "yazzman" rate of 1.60. 75 % of $1.60 is $1.20. So, the rate then would be 1 NID = $1.20 USD.

Interesting, where and how often have we seen that rate projected.

At any rate, we will just have to be patient and see what the amount is and when it becomes effective when they tell us.

The true "real" rate of IQD is what you can get in exchange for your stash of IQD. I got most of my millions at an average price of $700 per million. I see sales of IQD on Ebay for $800, $900, and even $1,000 right now. And no way on Earth am I going to pull the trigger and sell it. The real official rate right now is the one listed by the CBI of 1323 IQD per 1 USD. That will continue to increase in value per the method the CBI has stated they will use. The real rate of the Saddam Dinar is what you could actually receive for it in exchange during his reign of terror. If you go to any World Factbook from the 1990's you'll see the $3.22 rate which was a false rate from 1982 until pre-war. There was no way anyone on Earth during those years would give you $3.22 for 1 SD (Saddam Dinar). The real rate was trading at anywhere from 1000, 2000, 3000, or 4000 SD to 1 USD. This is proven by any World Factbook you check from the 1990's as the "black market" trading rate of SD.

Originally Posted by jsfletcher

Thank you. Some people insist that Saddam just pulled the # out of a had and went with it. that's just not true

thats right and an articled within the last three months or so indicated that the gold he had stashed in switzerland alone was enough to back the value of the dinar. although apparently since that time some of it has come up missing so not all that was there originally has been accounted for yet.

just like bank of baghdad STILL says is the official rate. .31IQD:1USD

Originally Posted by Cdn Scrooge

Seems to me the confusion surrounding this issue is what exactly is "the true value of the dinar".

The 1 NID= $3.22 USD rate is the "official rate" but as has been pointed out by the time Saddam was ousted the black market rate (which has been referred to as the real rate) was about 1/2 of that or $!.60 USD.

The 1500 NID = $1.00 USD rate that has been in effect for the past 3 years was clearly stated at the beginning as being a "program rate" and was to be used during the transitional stage of getting Iraq back on its feet. It has always been clearly stated that this was a program rate and was NOT the real value of the dinar.

It would be interesting if the "real rate" they are referring to when talking about the 75% increase was in fact the black market or "yazzman" rate of 1.60. 75 % of $1.60 is $1.20. So, the rate then would be 1 NID = $1.20 USD.

Interesting, where and how often have we seen that rate projected.

At any rate, we will just have to be patient and see what the amount is and when it becomes effective when they tell us.

hmmmmmmmmmmm

and i believe that equates to .93 euro which is what the rumor mill has been promoting for some time now.

Originally Posted by MunnyBaggs

The true "real" rate of IQD is what you can get in exchange for your stash of IQD. I got most of my millions at an average price of $700 per million. I see sales of IQD on Ebay for $800, $900, and even $1,000 right now. And no way on Earth am I going to pull the trigger and sell it. The real official rate right now is the one listed by the CBI of 1323 IQD per 1 USD.

No, the true, real rate of the dinar is something other than the admitted "program rate", not "what you can get in exchange for your stash of IQD"

Originally Posted by MunnyBaggs

That will continue to increase in value per the method the CBI has stated they will use. The real rate of the Saddam Dinar is what you could actually receive for it in exchange during his reign of terror. If you go to any World Factbook from the 1990's you'll see the $3.22 rate which was a false rate from 1982 until pre-war. There was no way anyone on Earth during those years would give you $3.22 for 1 SD (Saddam Dinar). The real rate was trading at anywhere from 1000, 2000, 3000, or 4000 SD to 1 USD. This is proven by any World Factbook you check from the 1990's as the "black market" trading rate of SD.

I don't know what factbook you're looking at but the CIA Factbook has this:

Iraq New Iraqi dinars per US dollar - 1,475 (2005), 1,890 (second half, 2003), 0.3109 (2001).

And bartleby.com's fact book has this:

Exchange rates: Iraqi dinars per US dollar - 0.3109 (2002), 0.3109 (2001), 0.3109 (2000), 0.3109 (1999), 0.3109 (1998), note: fixed official rate since 1982; market rate subject to wide fluctuations

Finally a factbook that some what agrees with your statement though the Idea of 3.22 being a "false rate" since '82 is pushing it, as is saying it traded "anywhere from 1000, 2000, 3000, or 4000 SD to 1 USD":

Exchange Rates
Iraqi dinars per US dollar - 0.3109 (fixed official rate since 1982); black market rate - Iraqi dinars per US dollar - 2,000 (December 2001), 1,910 (December 1999), 1,815 (December 1998), 1,530 (December 1997), 910 (December 1996); note - subject to wide fluctuations

on cnn anderson cooper last night show they had a repoter state that one of the pres bush plan was to flood iraq with money.

Originally Posted by shotgunsusie

thats right and an articled within the last three months or so indicated that the gold he had stashed in switzerland alone was enough to back the value of the dinar. although apparently since that time some of it has come up missing so not all that was there originally has been accounted for yet.

just like bank of baghdad STILL says is the official rate. .31IQD:1USD

freezing of gold the Iraqi topic the secretariat in Switzerland, whose value amounts to hundreds of billions of dollars, and here like to note the fact that that gold is to cover the the value of the Iraqi currency the circulated, and for the also serves as a reminder that the most if not all States in the world have the gold reserve insured person in Switzerland to cover the their currencies

Translated version of http://al-moharer.net/moh198/fouad198a.htm

Originally Posted by duck2000

on cnn anderson cooper last night show they had a repoter state that one of the pres bush plan was to flood iraq with money.

Here's the transcript, don't see that comment.

CNN.com - Transcripts

Originally Posted by Inscrutable

Here's the transcript, don't see that comment.

CNN.com - Transcripts

In the news thread there have been other articles that have made the comment.

Originally Posted by Alphamystic

In the news thread there have been other articles that have made the comment.

It has been commented on but it was rumored that it was stated on AC 360 last evening and it is not in the transcript so unfortunately not true, hence the rumor section.

Originally Posted by MunnyBaggs
The true "real" rate of IQD is what you can get in exchange for your stash of IQD. I got most of my millions at an average price of $700 per million. I see sales of IQD on Ebay for $800, $900, and even $1,000 right now. And no way on Earth am I going to pull the trigger and sell it. The real official rate right now is the one listed by the CBI of 1323 IQD per 1 USD.

lndmn_01
No, the true, real rate of the dinar is something other than the admitted "program rate", not "what you can get in exchange for your stash of IQD"

I admit I wasn't very clear in that response. The real ROI (Return on Investment) rate on the IQD you or I own is that what someone is willing to pay us. There are a multitude of ways to "cash out". Banks, street sales, exchange services, Ebay, etc. Whatever you can get for your cash is your investment rate of exchange. The real official IQD exchange rate is set by the CBI and currently resides at 1323 IQD to 1 USD.

Quote:
Originally Posted by MunnyBaggs
That will continue to increase in value per the method the CBI has stated they will use. The real rate of the Saddam Dinar is what you could actually receive for it in exchange during his reign of terror. If you go to any World Factbook from the 1990's you'll see the $3.22 rate which was a false rate from 1982 until pre-war. There was no way anyone on Earth during those years would give you $3.22 for 1 SD (Saddam Dinar). The real rate was trading at anywhere from 1000, 2000, 3000, or 4000 SD to 1 USD. This is proven by any World Factbook you check from the 1990's as the "black market" trading rate of SD.

lndmn_01
I don't know what factbook you're looking at but the CIA Factbook has this:
Iraq New Iraqi dinars per US dollar - 1,475 (2005), 1,890 (second half, 2003), 0.3109 (2001).

And bartleby.com's fact book has this:
Exchange rates: Iraqi dinars per US dollar - 0.3109 (2002), 0.3109 (2001), 0.3109 (2000), 0.3109 (1999), 0.3109 (1998), note: fixed official rate since 1982; market rate subject to wide fluctuations
Finally a factbook that some what agrees with your statement though the Idea of 3.22 being a "false rate" since '82 is pushing it, as is saying it traded "anywhere from 1000, 2000, 3000, or 4000 SD to 1 USD":
Exchange Rates
Iraqi dinars per US dollar - 0.3109 (fixed official rate since 1982); black market rate - Iraqi dinars per US dollar - 2,000 (December 2001), 1,910 (December 1999), 1,815 (December 1998), 1,530 (December 1997), 910 (December 1996); note - subject to wide fluctuations

I give you major kudos for actually setting out and doing some research on this. You verify what I've been saying for a few months now. Thus to continue the thought you merely need a bare amount of logic. Currently any nation with a Central Bank established will not allow the Government of that bank to control it's basic activities. That is how the Iraqi Central Bank has been set up. While there is some interaction between any Government and it's Central Bank the bank is deliberately given a large amount of autonomy in order to establish transparency and credibility. During the terror reign of Saddam, this was NOT the case. Saddam WAS the Government and he WAS the Central Bank. Thus HE set the exchange rate. But as you proved here the street rate was not even close to trading 1 SD (Saddam Dinar) to $3.22 USD. It wildly fluctuated at 1000s of SD to 1 USD. Thus if the "real" exchange rate was $3.22 there would have been HUGE smuggling rings of the SD out of Iraq with people "cashing in" millions and billions of USD in exchange for the SD. Fact is there are ZERO reports of that happening because the SD was never worth much more than it is right now. Of course before 1982 we had higher rates for the Iraqi Dinar, but that is decades ago and have very little similarity to today's complex World economy (keep in mind the World went through a major World currency re-alignment in the mid 70s). Here is a link where you can have access to the Factbooks from the 1990's: http://en.wikipedia.org/wiki/World_Factbook Scroll all the way to the bottom of the page and you have free access to any of those Factbooks online. And while I'm not a big fan of Wikipedia the articles about the CIA Factbooks are interesting reading.