Here we go up until Gulf War
The dinar was introduced into circulation in 1931, replacing the Indian rupee, which had been the official currency since the British occupation of the country in World War I, at a rate of 1 dinar = 13⅓ rupees. The dinar was pegged at par with the British pound until 1959 when, without changing its value, the peg was switched to the U.S. dollar at the rate of 1 dinar = 2.8 dollars. By not following the devaluations of the U.S. currency in 1971 and 1973, the dinar rose to a value of US$3.3778, before a 5% devaluation reduced the value of the dinar to US$3.2169, a rate which remained until the Gulf War, although in late 1989, the black market rate was reported as being five to six times (1.86 dinars for US$1) higher than the official rate.[1]
Iraqi dinar - Wikipedia, the free encyclopedia
economic blockade, I presume the US sanctions
After the Gulf War in 1991, and due to the economic blockade, the previously used Swiss printing technology was no longer available. A new, inferior quality notes issue was produced. The previous issue became known as the Swiss dinar and continued to circulate in the Kurdish region of Iraq. Due to excessive government printing of the new notes issue, the dinar devalued fast, and in late 1995, US$1 equalled 3000 dinars.
and finally up to April 2006
Between October 15, 2003 and January 15, 2004, the Coalition Provisional Authority issued new Iraqi dinar coins and notes, with the notes printed by De La Rue using modern anti-forgery techniques, to "create a single unified currency that is used throughout all of Iraq and will also make money more convenient to use in people’s everyday lives."[2] Old banknotes were exchanged for new at a one-to-one rate, except for the Swiss dinars, which were exchanged at a rate of 150 new dinars for one Swiss dinar.
Although the value of the dinar appreciated following the introduction of the new banknotes from 4000 dinars per U.S. dollar, at the time of their introduction, to a high of 980 dinars per dollar, it is now held at a "program" exchange rate, as specified by the International Monetary Fund[citation needed], of 1263 dinars per US dollar at the Central Bank of Iraq. However, there is not yet a set international exchange rate and so international banks do not yet exchange Iraqi dinar. The exchange rate available on the streets of Iraq is currently around 1500 dinars per US dollar (April 2006).
And Now the "SPECULATION" from the site.
On May 3, 2007, the IMF released a statement in relation to the international compact with Iraq, which has turned the tide in regards to speculation on the Iraq dinar. The contents of the article discuss changes made in Iraq on the economic front of how the Iraq government had eliminated fuel subsidies. The article also stated that the Central Bank of Iraq had raised interest rates in an attempt to allow a gradual appreciation of the dinar in an attempt to fight dollarization of the Iraq economy. Although there are claims of wide-spread optimism of some language used later in the press release among some dinar speculators, there have been no publicly released statements or analysis by any news sources or governments. [3]
I guess I am a sucker, cause that info is "HogWasH" in Blue and underlined!!!! Will dig up some more tomorrow.
Neno, I understand the concept.
Quote:
Originally Posted by
neno
You Planed well. OSW was my mentor as for the strategy he put forth. But, after the first million cashed in, he has always mentored the group to not cash all in. I agree with him totally for the future of the dinar, or unless it does come in high or rises high quickly. Then I am out just as quick as well. It is good to have a strategy in anything. Good for you and your bud's.
I agree with your thoughts on the dinar. If it comes in high I'm out. But if not, I'll cash in enough to be comfortable and wait for the rise in value that is sure to come. I have this as my post rv strategy. In my opinion it could go either way. There are compelling arguments for all three outcomes. High rv, lower rv and slow growth. The one thing I really don't see is a retreat in value.
Kuwaits next Adjustment coming....
Standard Chartered : Kuwaiti dinar will rise 0.35
(Voice of Iraq) - 28-06-2007
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Dubai (Reuters) - Standard Chartered Bank said on Thursday that Kuwait may allow its currency dinar continue to rise by 0.35% against the dollar in 2007 after emerging consensus on the Gulf states and other Arab oil-producing and ended the policy of linking the American dollar currency.
It remains the Central Bank of Kuwait dinar stable at 0.28806 against the dollar since May 20 May when adopting a basket of currencies and allowed owners about 37 t 0%.
He said that the Central Bank wants to contain the impact of higher import costs on inflation in light of a record decline of the dollar against the euro in April.
"Said Steve Price Director of Research region with Standard Chartered in the memorandum "It is obvious that the Central Bank is convinced that his solo and the rise of the dollar against other major currencies since then enough to control inflationary pressures now."
"He added "we expect the euro to resume its upward trend in the third quarter, which may tilt the balance in favor of lifting another single currency devaluation by about 0.35% to 0.2870 (dinars to the dollar)."
Standard Chartered expected rise of the dollar in the past including a one% in 2007.
Price said that the Central Bank will keep the dinar stable in the period from the last quarter of this year to the second quarter of 2008.
The Central Bank of Kuwait refused to reveal the details of the basket of currencies, saying only that it reflects the currency priced imports by the State and investments.
Price said that the basket used by Kuwait prior to adopt the currency's peg to the dollar in 2003 in preparation for monetary unit Gulf in 2010 were planned by 85% of the dollar and ten% of the euro and five% of the pound sterling.
Uncertainty surrounds the timetable for monetary unity since the Sultanate of Oman said last year it will not adhere to the 2010 final date for joining the single currency with Kuwait and the United Arab Emirates, Saudi Arabia, Qatar and Bahrain.
"The Gerard Lyons chief economist at Standard Chartered in London held today, Thursday, the bank estimated that the dinar now "linked by 98.5% in dollar terms."
But realise that they are not straying tofar from the dollar amount liked. I hear others saying that they will go back to the 100% dollar peg.
How The ?????????????????????????????
Quote:
Originally Posted by
shotgunsusie
thats odd. i understood it completely.
:blueh::nocomment:help::wink::yak::wink: