Not a lot in the news today, but we did hear that the “Greenback remains King… even in Baghdad.”
Ali Mohammed of the Al Nasir currency-exchange company said that although the world market value of the euro has risen, it is difficult to exchange in Baghdad. And the dollar likely will be Iraq’s unofficial second currency for some time to come. The dollar fetched about 1,190 dinars in September, according to central bank figures, little changed from 1,220 dinars at the beginning of 2008.
“It’s the only thing used, besides the Iraqi dinar, for commercial business and trade,” he said. “As long as it stays pretty stable, we don’t mind this.”
I find this interesting for a couple of reasons. One reason being that the US is reportedly trying to kill the use of the USD in Iraq. By making payments in IQD, the US Military is able to save a ton of money. It also effectively promotes the use of the Iraqi Dinar, which is important to establish stability for Iraq… but according to the above quote, those efforts are not making a lot of headway.
Stay tuned, friends. More is coming soon on the Iraqi Dinar.
(For those of you unfamiliar with Dinar Currency, I just put a new page up. Are there other FAQ type subjects that you would like to see on DinarSpeculation.com?)