single currency.

[Fishindinar]

I was thinking about the single currency planned for the gulf countries. Wouldn't Iraq have to bring it's currency on par with the other gulf countries before it adopted the new single currancy? Otherwise the Iraqi people will get the least return compared to the other countries.
When the euro was adopted what happened to the different countries exchanged currencies? Italy's currency was weak compared to Germany, also Greece lied about their finacial ability to adopt the euro.

[mailman17]

I was thinking about the single currency planned for the gulf countries. Wouldn't Iraq have to bring it's currency on par with the other gulf countries before it adopted the new single currancy? Otherwise the Iraqi people will get the least return compared to the other countries.
When the euro was adopted what happened to the different countries exchanged currencies? Italy's currency was weak compared to Germany, also Greece lied about their finacial ability to adopt the euro.

I would of thought so also, and I did bring it up before and was told they didnt.

[carlos]

I was thinking about the single currency planned for the gulf countries. Wouldn't Iraq have to bring it's currency on par with the other gulf countries before it adopted the new single currancy? Otherwise the Iraqi people will get the least return compared to the other countries.
When the euro was adopted what happened to the different countries exchanged currencies? Italy's currency was weak compared to Germany, also Greece lied about their finacial ability to adopt the euro.

Interesting question Fishindinar. I recall the question being asked before but can't recall the awnser, or if there was an awnser...not a reasonable one anyway.
The stated objective is to unify all the currencies of the GCC under a single currency. The gold dinar.
It is stated in their Kuran that they must use this coin to trade among themselves.
Since their is a wide difference in the values of the different currencies, maybe the plan is for the wealthier countries to support the currencies of their less fortunate brothers? Just a guess...
It's obvious that the real winners will be the populations in the less weathier countries because they will likely see an overnight R/V of their currency.
Their plan to use the coin gold dinar certainly presents some problems that I'm sure they thought of along time ago...namely, how do you transact routine business if your currency base is a coin?
You can't! They must come up with a folding money equivalent with higher denominations.
Another issue that I can see off in the horizon is that of the impact that the gold dinar will have on the international gold market...the demand for gold will skyrocket...and likely so will go the price.
The best part of the whole issue is what impact it will have on those of us that hold Iraqi dinar when Iraq joins the GCC, and the GCC goes to the gold dinar????
Carlos

[REITman]

I would of thought so also, and I did bring it up before and was told they didnt.

Wasn't this topic discussed at length about two days ago?

[Wolverine]

I assume it would be effectually similar to the euro. Exchanging Dutch guilder for euros during the transition period was like any other exchange , value per value, even though the guilder was being abolished in favor of unified euros. There was no RV, not even a pup tent ! I was in Amsterdam during the final days of free exchange and there was money to be made as people with a mattress full of guilder would gladly overpay you for euros or dollars so as not to have to explain origin of funds and/or be taxed .

[geowhiz]

I assume it would be effectually similar to the euro. Exchanging Dutch guilder for euros during the transition period was like any other exchange , value per value, even though the guilder was being abolished in favor of unified euros. There was no RV, not even a pup tent ! I was in Amsterdam during the final days of free exchange and there was money to be made as people with a mattress full of guilder would gladly overpay you for euros or dollars so as not to have to explain origin of funds and/or be taxed .

None of that good Lebanese blonde or bubble gum under those mattresses as a bonus?

[irons]

Wasn't this topic discussed at length about two days ago?

that is what is done here

[Fishindinar]

that is what is done here

Sorry I've been busy lately. What thread was that?