Dinar News today



Not a lot in the news today, but we did hear that the “Greenback remains King… even in Baghdad.”

usd reigns kingAli 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.”

Link: http://online.wsj.com/article/SB125667861511511383.html

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?)

13 Responses to “Dinar News today”

  1. jake says:

    I know first-hand that the LNs or Local Nationals that we use on base were just paid in USD. They live in Habbaniya.. so I guess around here the USD is still the Number One currency. Again this is Habbaniya, not Baghdad.

  2. Adam Montana says:

    thanks for the comment, Jake.

  3. scottiraq04 says:

    Adam – Jake, it is the same in Baghdad. I confirmed this with 2 of my interpreters and 3 Iraqi friends yesterday. Here are my thoughts on this…The Iraqi’s have no motivation to cash in their USD. Every shop/business in Baghdad accepts IQD as fast as they accept USD; and the Iraqi’s have little, to no, confidence in their banks (especially the CBI) so why would they give up the right to us a currency that they know has had value for the last 6 years. I don’t really know what the GOI could do to curb the use of USD, but I would say something needs to happen. Any thoughts?

  4. Monte says:

    I’ve been reading a lot about small denominations versus large denomination bills. In your opinion or insite, is there going to be a difference in the value of the IQD

  5. Thankfulness !! Very caring placement!

  6. Brenda says:

    Is there any info that says when the RI/RV is to happen?

  7. Ken Gould says:

    above you say the us dollar will the unofficial currency of Iraq for quite some time. I don’t like the sound or the timing on that one.

  8. Dany says:

    I know first-hand that the US is making payments to Iraqi contractors who are working to rebuild Schools and critical infrastructure in Southern Iraq in IQD and trust me, it is a lot of money. As of October 1st 2009 the use of the USD for payments outside of USG internal operations has to be made in IQD (as per the security agreement that went into affect Oct. 2009) for all the reasons stated above (increase the stability of the IQD and reduce the circulation of the USD). That being said, I do not see how the IQD could RV very quickly because it seems to me that the economy of Iraq would be tossed into extreme chaos. Not to mention that the Iraq contractors, and there are a lot, that are being paid to do the construction who are now multi billionaires in IQD would or could be multi billionaires in USD over night.

  9. Robert says:

    Iraq Dinar will RV whenever the US Government wants it to RV.

  10. imam wahyudi says:

    How is price one dinar

  11. imam wahyudi says:

    how is price one dinar in one dolar

  12. Dany says:

    1USD = 1170IQD

  13. Stephen says:

    If this isnt the best news this side of 2010 then i will donate my dinars to charity

    Iraqi-US cmte resumes talks on chapter VII

    Politics 1/25/2010 12:06:00 AM

    BAGHDAD, Jan 24 (KUNA) — The Iraqi-US coordination committee held a meeting on Sunday to follow up on discussions on the issue of relieving Iraq of the UN-imposed Chapter Seven.
    The Iraqi Foreign Ministry said in a statement that minister Hoshyar Zebari headed the Iraqi side at the meeting, while the US party was led by the Deputy Secretary of State Jeffrey Feltman.
    Discussions at the meeting dealt with various issues of common concern, current regional affairs and means and plans for boosting security and stability in Iraq in particular and the region in general, the official statement said.
    They also dealt in particular with the means to relieve Iraq of the chapter seven, efforts to enable Iraq restore its international status that it had enjoyed before issuance of the UN resolution 661 in 1990, in addition to the US honoring of its pledges with regard of the withdrawal of the American forces from the country.
    In October 2009, the US declared that it agreed with Iraq on establishing the joint commission to resolve issues related to the chapter Seven. (end) ahh.rk KUNA 250006 Jan 10NNNN

    http://www.kuna.net.kw/NewsAgenciesPublicSite/ArticleDetails.aspx?id=2056678&Language=en&searchtext=iraq

    I can post the link but for some reason i cant, maybe adam has something to do with this

    Regards

    Stephen

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