American Contractor

Again another stupid idea, I have talked recently with the IMF and was told there would not be any new currency printed in Iraq !and as far as SA printing new currency has nothing to do with revaluing it and is most likly being done for preperation for the new GCC currency ..whats the big deal ?????

The IMF is currently located down the street and they hardly give out any information when asked, if they spoke to you about Iraq then you sir, are surely well connected or thought highly of in the IMF and I commend you. Please tell me you’re secret, if you can so I can reproach the IMF here at ground zero.

Another thing, do you really think the IMF is going to announce either way the intentions of the Central Bank of Iraq to anyone, and compromise the position of the CBI and the Iraqi government. And assuming that in fact the IMF has information about the CBI, however, certain circles in Baghdad are saying no information is shared with the IMF unless it is already part of the agreements that both the IMF and the CBI have signed on too. Such as the SBA agreement and other signed agreements. Only needed information concerning these agreements will be revealed to the IMF by the CBI and any releasing of information publicly by the IMF would only occur after the CBI has also agreed in releasing the information to the public.

So Steve, if you made a phone call and received information from the IMF concerning the CBI please enlightened me, I would love to hear about it. You can post it here or you can email me.

americancontractor@gmail.com

Stop spinning everything so negative. Saudi Arabia is NOT coming out with a new currency as you try to exagerate in your blog. There is a difference with coming out with a completely new currency such as Iraq did a few years back, to simply issuing out new bank notes with new security features. The US does it every couple years to the $20, $50 etc.. but that doesn't mean we are coming out with a completely new currency. Take another look at the glass....it is half full not half empty.

There is nothing wrong with the way my post was titled, what I don’t understand is how it is not new currency when in fact it is, just with the new security features. I bet you’re one of those Dinar Forum members that believe in no new currency and that a reprint is not going to happen in Iraq. Just keep thinking that and select a spot at your residence to hang wall paper because that is all you will ever do with the Dinars that you have bought illegally from a Dinar Dealer who had to smuggle the Dinar out of Iraq to sell to you.

How about this let’s hope not that the Dinar Dealer that sold you the Dinar is not connected to the insurgency or terrorist groups and using the Dinar sales as funding for there terrorist ways. I know what you’re going to say Pres. Bush said we can invest in Dinar, and that’s one of those Dinar Forum myths that all the forums keep repeating, and it is just not accurate.

HI, this is steve who called the IMF, when talking to a gentalman named Edward I was told that Iraq would not ! be changing thier currency...as they were not in that type of position to do so ...and he expected it to gain value...although we didnt & I didnt ask him for detials as to how or how much or when ....but went away with the feeling there would be no changing thier currecny .....

They are some that believe when you change a countries currency that this causes the loss of confidence in their currency. I believe just the opposite and soon as expected you will see Iraq doing the same thing. Saudi Arabia has no problem with changing their currency with just a little over three years before joining the premier GCC and starting a single currency monopoly.

Thats changing the look of thier currency not the value .......and why would Iraq do that to thier currecny it's new !!! all they need is lower denom...

LOL I was expecting a reply like that. How is this for your reprint theory...

This is from Al-Sabah newspaper on Sept 10th 2006

"A reporter of one of the Arabic newspapers asked me about the impact of this decision, if applied in Iraq? My answer was that it would not exceed the ( monetary illusion ) and there would not be any real changed in the true value of the currency nor any re-evaluation to it, because such actions would require a re-construction of the whole Iraqi economy and the re-arrangement of the Iraqi economic papers affecting its bound with the Paris Club and its obligation to the conditions of the World Bank and the International Monetary Fund. This will not happen ; what will happen is an attempt to absorb the anxiety and frustration on the Iraqi currency dealer. We can not change the value of the Iraqi currency into a better state of value and pricing as long as there are still unpaid external debts and until we find the best way to deal with these debts."

It says it right there buddy, a reprint would require an entire rearragement with the paris club AND would require new negotiations with the World Bank and the IMF. And, with all of the debt being negotiated off including Kuwait, Russia, and Saudi Arabia, they are on the homestretch of some kind of dinar appreciation, just like what the IMF said in this years review as the IMF has stated, dinar appreciation, not zero lopping and reprint will help lower their inflation...

"Finally, the CBI will consider the
possibility of a gradual appreciation of the Iraqi dinar if needed, which could have a positive effect on both inflation and the process of dedollarization. "

So I think I will believe them and the FACTS and not some ego of a contractor.

BTW, if you think I got this info from some magical source, try this...

http://www.iraqdirectory.com/DisplayNews.aspx?id=2045

and this

http://www.imf.org/external/pubs/ft/scr/2006/cr06301.pdf

Hello GB welcome back! Nice article from the Al-Sabah newspaper on 10 Sept. Only one problem who exactly wrote the article? You ever wonder why Iraq directory always publishes from this publication and does often. I bet you didn’t know that the owner of Iraqdirectory and IIF are one in the same? The articles on Iraqdirectory are always slanted against a reprint and new currency so naturally all of you on IIF are going to believe anything those web sites wants you to believe. I told you before those websites are designed to do one thing and that is to keep all you in dream world that you’re going to be rich overnight. I told you before the only thing you’re going to do is perpetuate the deception and new forum members will continue to purchase dinars from those dinar dealers being promoted on IIF and Iraqdirectory.

You will never and I do mean never cash in on those illegally bought dinars that were smuggled out of iraq. Just pick a spot in your residence and start wall papering with your nice shiny Iraqi Dinars, because if you’re not Iraq they are not worth anything meaning there worthless. Did you know that Iraq Dinar in it’s history has never been a fully convertible currency? Meaning outside of Iraq?!!

As far as the IMF is concerned they have nothing to do with what the CBI and the Iraq government is about to do next month or next year in 2007. How can an rv occur when the banking infrastructure as a whole is not up to the 21st century. They are still a cash economy basis and they prefer US dollars over the Iraqi Dinar. Ask anyone that has been to Iraq the US dollar is still King!!

GB, I like ya you keep coming back and you stay awhile and please find out who exactly wrote the article. You just might be surprised.

Till next time GB and talk to you soon.

acdc

Ok now you are just getting rediculous. Don't believe that article from that site? Ok. Here is the google translation from the original arabic article...

http://www.iraqidinarinformation.com/showthread.php?t=6764&highlight=monetary+illusion

If you want to go find the article yourself, just go to the September archives on Al sabah's website. Does it matter who wrote the original article from Al Sabah? It amazes me that you have no response to the points he makes, I guess because you have none.

If Iraq never intended to follow the IMF's suggestions, then please explain why they would even do yearly reviews with them. For Iraq, a developing county, to not listen to the IMF is regards to their economy is just stupid. Well the IMF told them to phase out gas subsidies and raise fuel prices and it seems Iraq did just that. So if the IMF is saying you should slowly appreciate the dinar to combat inflation, I think they just may do that. So instead of just shooting down what the IMF recommended to do simply because the CBI can do whatever they want, please provide a logical explanation they wouldn't follow the recommendations of the IMF.

In regards to your rediculous theory that I will never be able to cash in dinars, well sorry to disappoint you again but I can already do that. In fact, A few Chase banks in the midwest are already exchanging dinar as well as various UMB banks in the county. Many people have reported this. In fact, a good friend of mine works for Bank of America and their currency books they have in their branches, recently added the iraqi dinar to their pages as a way to verify the bank notes when customers want to exchange dinar. My friend has confirmed that they would only put them in their books if they planned on being able to exchange customers dinars in the future.

So please, when you reply to this comment, please support your theory with facts as to why they will not let the dinar appreciate and they will only reprint. And just for the record, I am not some $1 RV overnight like alot of people so don't confuse me with them. I have spent a lot of time researching why they wont or why they would reprint the currency and have come to my own conclusion that they will not.

Hello GB just been really busy here in the Middle East and have a few minutes to respond to your comments.

I want to clarify some things in regards to the International Monetary Fund (IMF) and it’s relation with Iraq. First, you have commented that Iraq does yearly reviews with the IMF. Actually the IMF does quarterly reviews with the Iraqi government. The last review was July 2006 in which the IMF was not pleased with the Iraq government for not raising the fuel and the electricity prices in accordance with what the Iraq government agreed to in the SBA agreement in December 2005.

Iraq government has another review this month in October 2006, and it doesn’t look like the IMF will be pleased again with the Iraqi government for not raising the fuel and electricity prices in the last six months. Remember last March 2006, the Iraqi government did raise the fuel prices and the decision caused a lot of fuel riots, protests and angry Iraqi’s, and this decision of raising the fuel prices and the electricity does not sit well with the Iraqi government. The Iraqi government does not have the political will at this time to comply with the SBA Agreement. It is not that they the Iraq government don’t want to follow the SBA Agreement it is they just don’t have the backing and again the Political will to follow and comply with the agreement.

http://www.americancontractor.com/2006/06/iraq_and_the_sba.html

On 9 June, I wrote this post about the SBA and Iraq if you have the time read it it gives you a lot of information on what I have commented on.

I am sure you don’t believe this however, Iraq has never had an internationally traded currency; it has always been an internal currency. I just don’t believe that you will be cashing in at a large profit on speculating on the Iraqi Dinar, but anything can happen.

By the way are you and GBarton the one and the same?

Till next time GB….

acdc

While you are correct that Iraq that Iraq hasn't RECENTLY raised fuel prices, they did raise them way way higher than they were in the past and the only way people will be able to start to afford them will be high salaries AND a higher exchange rate. Yes I do believe you that the dinar was not internationally traded but just because it hasnt in the past, does not mean it won't in the future. In fact, if you would do your research, that is a pointless argument. Iraq has said over and over they want to join the world, politically AND economically. They want a MARKET economy. The ISX is going to be going international soon and is trying to attract lots and lots of foriegn investment. So please, find me one country that makes statements like these where there currency isnt or will not be internationally traded in the near future. Many analysists and iraqi officials said they want Iraq to be the economic powerhouse of the middle east....so how can that be accomplished successfully if they don't make the dinar internationally tradable? LOL

Now I'm only going to ask you one last time...The IMF, Iraqi officials, iraqi people, and analysts all say the dinar should appreciate in value and for one reason to combat inflation...what is wrong with doing that? They don't need a reprint and it won't happen. Reprinting the currency isnt going to help inflation since it doesn't increase purchasing power. But one thing you are correct about, anything can happen and I think you will be surprised as to what happens down the road.

The Fuel and Electricity prices have to be raised in accordance with the IMF SBA agreement this has to be done; however I don’t believe the political will is their in the Iraqi government. The Iraqi people by and large are receiving higher salaries and are being paid more then pre-invasion and this is only the select few Iraqi’s such as the government employees and the school and university teachers who just recently received increases in their salaries.

The Iraqi Dinar again will most likely be just an internally traded currency and will not be a internationally traded currency as most people are hoping. The ISX will be going international in the summer of 2007 and if you are the lucky few who have been trading and active in the market then you will gain handsome profits even with out an RV. The ISX traders are not to concerned with an RV it is only a distraction to the overall bigger picture.

Dr. Shabibi has stated repeatedly that he wants a stable dinar and that is what is going to occur for several years. Don’t expect an RV anytime soon or even for 2006-2007 and possibly 2008 time frame. I know this is hard to comprehend and accept for all you Dinar holders.

The IMF, Iraqi Officials, Iraqi People, and analyst, and I am assuming financial analyst is what you GB are referring to have all said that the Dinar will appreciate in Value in 2006.

Let me ask you this question, could it be just a ploy, to hype up the buying of the Iraqi Dinar, to increase the USD reserves for the Central Bank of Iraq? GB, your argument is that they need an RV to increase the purchasing power for the Iraqi people and to keep the inflation down.

Well, it is possible however; not probable in the Iraqi government, CBI scenario. The current exchange rate is keeping the inflation down granted it is at an all time high at 70%. I do believe I posted back in May 2006 that the inflation was at 100% and I think it was you who replied in the comments section that I was wrong and that I needed to quote “Stick to contracting.” Well, I was correct the Inflation was high in May, and now it is down to about 70% going into August 2006.

Just keep reading and posting all those articles in the Dinar Forums and interpreting the articles to everyone that a RV is about to occur, I feel for the new people that are coming on board and reading all the hype and slanted views and interpretations and buying millions in Iraqi Dinar thinking that an RV is about to happen. Not even a slight appreciation in the currency will occur. January 2007 is around the corner and there still be no RV anytime soon.

Don’t discount the currency re-print it is still talked about in many circles in Iraq it is the timing that is the issue. Another thing when the RV occurs in 2009 – 2010 it still will not mean that you can go to your local Bank of America and cash in, it will not be in international traded currency.

Remember the top ten scams of 2005 is the buying of Iraq Dinar published by the State of Utah.