BlueDinar
12-04-2006, 09:01 AM
Long time viewer first thread posted! My believe is that we need to see the amount in circulation declining while they are increasing the rate of exchange. If they don't remove money in circulation then this is a tell tale sign that they will be applying a lop in the future. If the IQD rate of exchange was revalued to 1 cent that would make all the Dinar worth about 80 Billion. This would be the same amount as S. Arabia which has 7 times the GDP of Iraq......and would also be 8 times what is backed by reserves. By my calculations the CBI could have and should have removed about 10% of the amount in circulation. 3 years of auctions has sold approx. 27 trillion Dinar. If they reoved 10% then that would be of course 2.7 trillion. If the CBI has not been removing money from circulation they either haven't been able to are lieing or are seriously mis managing. A high revalue is possible if they pull from circulation...if they don't then who is going to save them from the masses of pissed off Iraqis who feel the Gov't robbed them of their wealth!!?