11-2-12 Butifldrm: Jubouri says lift the zeros is a go. Saleh says delete the zeros is a no. I say increase the rate is our fate. I mean really what's a 1/4 or a 1/5 a dinar going to be worth without in an increase in the rate.
According to deputy director of the Central Bank - "Timing is very important in this case is also implemented, they must coincide with the beginning of the fiscal year, so you will not find space for implementation inevitably through this year and regrets for the postponement of the project because it is economic benefit to the country as long as improve the efficiency of the currency and reduce the impact of large numbers."
"Then dealing with cash needs into categories cash large and small, as will be dealt again categories such as (50 dinars) and (100 dinars) and (200 dinars) in addition to the categories of less than dinar (such as half a dinar) and (quarter of a dinar) and (50 fils) and (25 fils).
Which is confirmed by financial and economic expert at the Central Bank Majid picture that sees no difficulty in implementing the decision because it will help in process to reduce trading volume of currency in transactions large."
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11-2-12 Gypsy Vardo: If you didn't get a chance to hear Dinar Alert's call last night (Kaperoni), it is worthwhile to listen to. An Iraqi political expert came on and talked in some degree of detail about the CBI and Dr. Shabibi.
His key opinions were that Dr. Shabibi is not likely to come back to his old position. He also explained why Maliki is not likely to go anytime soon himself; the opposition is too fractious and lazy to replace him or check his power.
So, any thought that this event is likely to resume the path to an RV that we had previously assumed, whereby Shabbibi would allow it after the seating of a shared government, etc, would probably be flawed assumptions if the caller's opinions are correct.
Remember this guy is a bigtime consultant on Iraqi political affairs and not solely focused on dinarian-related issues. In such a scenario, we of Dinarland are likely stuck with what Maliki will allow.
Remember, Dr. Shabibi was the one who said nothing would be allowed until a shared government was seated, HCL was enacted and other prerequisites in place.
If Dr. Shabibi ain't coming back, those markers are likely meaningless too, as he wouldn't be the trigger man anymore. Some have been saying that Maliki will be soon stripped of power or even replaced.
Again, if the MPs are too dysfunctional to do anything, Maliki will stay in power. Our roadmap to an RV would need to be re-engineered for such.
11-2-12 LoriC: The CBI had a great statement that tells us without a doubt there will be no lop. "Near the implementation of the decision to delete the three zeros from the Iraqi currency, and that the project will be launched early next year and will continue for two to three years.
The CBI's policy is aimed according to the benefit to the stability of the exchange rate of the dinar against the U.S. dollar. Likely equal to the price of the Iraqi dinar against the U.S. dollar during the next two years after the implementation of the project to delete three zeros from the Iraqi currency."
They would never need 2 years to draw in the large notes if it was a straight RD. This also says that this is a 2-step process. Not only will they remove the zeros from the nominal value, they are also going to raise the value to be equal to the USD.
The value will float up but it will still have to RV at some level to reach on par with the USD that quickly. This is a major project and will continue for years after we're cashed out and long gone.