The Iraqi Dinar Exchange Rate

| 1701 Comments

THIS POST IS CLOSED TO NEW COMMENTS. A new post has been created: Here's a link to the current active post.

Here are all the posts in sequence:

1) June 16, 2004 - June 27, 2004
2) June 27, 2004 - November 6, 2004
3) November 6, 2004 - April 11, 2005
4) April 11, 2005 - June 22, 2005
5) June 22, 2005 - July 22, 2005
6) July 22, 2005 - April 30, 2006
7) April 30, 2006 - July 13, 2006

8) July 13, 2006 - ...


If you guys & gals encounter any problems, email me at kevin-at-truckandbarter.com. Your previous email has been very helpful in the administration of this site.

Thanks for your patronage.



NOTE: For those who want to continue the conversation about the Iraqi Dinar, I can also recommend a new board, the Investor's Iraq Forum or the new Iraqi Dinar Blog.

You all have made about 1700 comments to this post, which I've archived in order to keep bandwidth down. To keep history preserved, all previous comments are downloadable in this HTML file.

You can also find useful comments on the other thread More on the Iraqi Dinar Exchange Rate, but that thread is now closed, also.


The CPA insists that the Iraqi dinar is very stable. However, I'm uncertain how to interpret the short-term volatility. (Check out the pictures in the link).

UPDATE: The best collection of images and links on the New Dinar can be found at globalsecurity.org. A whole bunch of people are speculating on the New Dinar:

Steve Foran headed to Iraq in January for risky but lucrative work as a truck driver, running a fuel tanker on dangerous highways with a soldier riding shotgun and hopes of banking $60,000 or more for the year.

But now he thinks he has found an Iraqi payday that could dwarf his Halliburton contract.

Like thousands of other U.S. contractors and troops -- and stateside Americans drawn by Web pitches from newborn businesses with names like BetOnIraq.com -- Foran is taking a chance on the new Iraqi dinar.

Today, the colorful currency that replaced banknotes bearing the portrait of Saddam Hussein isn't worth much. A dollar will buy about 1,000 dinars -- more if you're in Iraq, fewer if you're sitting safely in the United States.

But next month? Next year? Once Iraq is a stable democracy pumping oil like nobody's business? Who can say what the payoff might be?

If you want to buy Dinar, many companies are selling internationally; see for example buydinar.com, and their FAQ on how to avoid scams.

Yahoo has an up-to-date history of the US Dollar - Iraqi Dinar exchange rate on the international markets.

For some recent history, here is the CPA's explanation of the currency exchange. At the runup to the end of the conversion in January, exchange merchants were discounting old dinars.

1701 Comments

Jason,

Nothing in the Iraqi central bank law stops a new exchange. However, it's a huge risk for the Iraqi central bank to have another "exchange" of notes (an exchange that would be impossible for Western speculators no longer in the region, who'd have to deal with middlemen).

The Iraqi CB has developed a decent (though not exceptional) level of confidence that their currency won't be subject to abuse--like a hyperinflation.

Vinnie's comment about Iraqis trusting the dollar is important; most developing nations use the dollar of euro as a hedge against the stupidity or venality of those who run their domestic currencies.

Personally, I don't think another exchange or even mismanagement is likely, given what I know about the head of the Iraqi central bank Sinan Shabibi. He's Western educated and has sound ideas on how to develop trust in a currency.

http://www.fatwallet.com/forums/messageview.php?catid=52&threadid=270766&lastpage=1

If you folks haven't found this chat (thread) room about the dinar, it is worth checking out. If you can weed through the personal attacks to extract the morsels of intelligent knowledge bites, you might be able to further explore your own questions. Honestly, these people are taking things too seriously. It's a gamble. That's it. Either something good will happen, or we end up with some really fun stocking stuffers. Continued good luck. I have my eye on a new Corvette when I get back to the states. LOL --Chris

In case anyone asks, if you want to take currency back to the states, and it is equal to or less than $10,000.00 US dollars, you don't have to declare it through customs. Any currency valuing 10K or more will have to be declared. I don't advocate hiding it to avoid customs.

If it costs an Iraqi 45,000 dinar to buy a pair of shoes, all he has is a pair of shoes. Just because you have millions and millions of dinar does not make you rich when it isn't worth the paper it is printed on

Why I think the Dinar must return to prewar value of $.33.

This is an example of a man in Iraq that had one million Dinar before the second war.

Compared to the American dollar he would have $330,000.00 which would make him a very wealthy man in Iraq. When the war started the currency was rendered worthless because the country was under control by an outside power. ( The hand over of power back to Iraq is due to happen June 30th ) This man exchanged his one million old dinar for one million new dinar with the assumption that this currency would be at the value it was when the war started. This man still has one million Dinar but now it is worth $830.00 American Dollars right now. You have now taken every wealthy, successful business man, and destroyed everything he has worked for his whole life. How can the world expect this country to make it at all if the Iraqi Dinar does not open at prewar values? It will defiantly fluctuate up and down depending on the countries progress. And finally if you take all of the wealthy people in the country and tell them there money is worthless, and take the poor people with very little if anything at all and tell them they have nothing. What is going on in Iraq now, will look like a walk in the park. This people will really hate Americans.

Is there any ideas out there as to how to get large amounts of Dinar into the U.S. to avoid paying large amounts of tax. If and when there is a large return?

Dan, if you're in the mideast with lots of dinar, and it becomes worth more than what you can take back without declaring it, you might have to open an international account here. Some of our KBR friends have already taken that step, optimistically assuming their dinar will be worth a lot. Here, the money won't be taxed. It has been explained to me that you don't have to pay taxes on currency when you exchange it, but it will be taxed if you put it into an American account, because you have to claim it as income when you file your taxes. There are experts out there on this...but I am not one of them. I know that if my dinar makes me rich, I will be opening an account here. I hope it's a problem I have to deal with! I would like to hear from an expert on this, too. Good luck!

OK..its almost crunch time for this dinar thing. I am currently deployed with the USAF in Iraq, and alot of people are talking (particulary KBR) how well this dinar is going to do. "Doing well" to me is just hitting .50 cents. However, while I am hear in Iraq, I have been speaking to the Iraqis and they tell me that they dont think it will even open at .30 cents. They actually believe that the dinar won't move at all. As, I dont want to believe these people, their credentials speak for themselves...Bankers from the Iraqi Bank!!! I know that I am going to hold out at a million of this dinar, but I am just interested as to what people int he states have to say about this whole thing.

i have bought 13 million dinar at $850 per million $11,050 u.s dollars worth, they way i see it i will sit on it for a min of 2 years, and hope hope hope. either i will regret buying them, or i will regret not buying more...i sure hope it's the latter

hi,
would you tell me that in how many days the iraqi dinar rate will up. if you don't mind please infrom me by mail. thanx

A few things. On taxes, to the best of my understanding, If you are a US citizen you must report all income from overseas weather its a business, capital gain, ect. or risk losing your citizenship. Ill look for an IRS link on this.
Me, Ill pay taxes.
Second, the latest rumor is that the Dinar must open at prewar levels. This is reported to come from a World Bank webpage but I cant confirm.

Some people are saying that it will open at that level for 48 hours each side of the turnover date. Again, I cant confirm.

Cris, I hope that you just have to deal with it. I hope the same for myself. Not really sure just where to cash in over here if it does come out running. I'm setting about 2 days from anywhere. Which makes me frown when I read Davids post on 48 hours + -. Guess I would point towards Europe. Any thoughts

I was told by a very reliable source in Kuwait, that a KBR employee, went through the airport at kuwait and had 10 mil iraqi dinar that he did not claim. Kuwaiti customs took his dinar, and gave him $38,000 worth of kuwaiti money in exchange. Why would they do that if the dinar was not going to be worth anything in the near future? He made out for now, but long term he got screwed.

Hey, I bought 250,000 iraqi dinar while overseas in kuwait for $200 dollars. If and when this hit the "world market" where can I cash this into US dollars?

Even if the ID goes up to .10c p/d (hell even .01), it will still make me happy. Thats still a pretty good return on your initial investment.

I have couple question i need some help with them. 1) Is iraqi dinar already Opened in Marke yet. 2) on July 1 how can i see the change in the Rate . can you guied me in a good site .

another Qustion how come Iraqi dinar was fixed at this rate 1 (US) = 1455 (IQD). I hope not move up and down you son of bitch.

Iraq took over it's government today! Two days early. Let's see what happens soon.

i need to know a site that tells me the exchange rate for iraqi dinar in real time if possible this is very very very important

It's super important to me too!! I'm trying to get my husband home from Iraq. I've got my fingers crossed that this pans out. We plan on exhanging half and sitting on the rest.

type "iraqi dinar exchange rate" into a search engine like google or yahoo.

it will take time for things to get set up ... that's just reality.

My husband is in Iraq and has sent me some dinar. I live in Canada and I have no idea what to do with it when it is possible to exchange it. Do you have any ideas where I can find out?

I also purchased dinar in Iraq while working for KBR. A little over 7 million. I found a Coalition Provisional Authority site that was linked to a Central Bank of Iraq site that had an exchange table on it that showed every days rate since the 1st of the year. The address was www.iraqcoalition.org-fx_tables.xls I hope this is a useful site for everyone. It may not be the best site, but it's somewhere to start. And since it's from Iraq's bank, it should be the proverbial horses mouth...I hope.

Is there anyway to get Dinar to the u.s for around the exchange rate? 1,300 per million is rape.

i am a marine in iraq and i was wondering if you have any up to date sites that have the currency of the dinar and if you could send them to me thanks

In my opinion New Iraqi Dinar will be fixed not more than US$1000 = 1 Million Dinar.

The main reason is that, many people invested in NID which goes in trillions. So, if 1 NID = US$0.5 then this will quite a huge amount which cannot be accumulated.

In fact, there is a huge chance that New Iraqi Government will again change new dinar and re-fix its rate at 1 NID = 1 US$. And a big chance that currently new iraqi dinar will again replace with 1000 dinar to 100 or 50 New Iraqi Dinar.

ASIAN RESEARCH DEPARTMENT.

Irum, how can this be? Do you say everyone in Iraq who had to equalivant of 10,000 dollars will now only has the equalivant of 500 dollars since the coalition forces liberated them? This does not sound like a good plan to me.

Where oh where can I cash in my dinars? Where oh where can I get my money after it opens on the market of course? Also, how are we going to know when it opens on the market anyway?

I have purchased almost 3 million NID, some from Iraqis and some from online. I was very worried that I would not be able to exchange them back to dollars. This morning I visited HSBC and they will exchange them however you need an account with them. I sill have not figured out about taxes and other things like that. Anyone have some info about that?

The best Place to keep track in Iraqi Dinare Rate either In life channels , example arabian CNBC financial news (MiddelEast) , 24 hr or Yahoo financhial try this URl http://finance.yahoo.com/currency?u (website)

Greetings. I have been tracking the dinar on oanda.com and this company reports an average of 100k dinar is equal to 335k USD. I contacted their customer service department and it they report that it is a correct quote, but it seems unlikely to me. Does anyone know whether they are perhaps assuming this on the Kuwait currency. It has actually fluctuated down 5K and back over the last 2 weeks. Give me some insight to this, does anyone know if this is a credible comp? Thanx.

this is an investment ... it will take time ... this is an investment ... much better than wasting money on a michael moore crocumentary ... this is an investment ... this is an investment ... infrastructure takes time to build ... infrastracture takes time to build ... will you be a us$ multi-millionaire overnight ... maybe not, but you have to look at this as an investment compared to other investments like a large cap mutual fund or bonds or real estate. maybe we don't become multi millionaires because of our purchases in dinars ... but maybe it will be better than if we took that same money and bought a vanguard or fidelity mutual fund. well, at the very least, my landlord is painting my apartment next week and at worst i'll have some interesting wall paper :-)

I have also been looking at the oanda.com web site and can't fiqure it out. I would love to know what's up with that. Also, when I go to the yahoo site. The most current date it gives me is June 14th. Anybody else?

i wish we could have that web site that was designed only for latest news of IQD , cause most of those sites that say alot of good stuff about IQD make you buy more and more at the end those people trying to sell IQD inorder to make alote of dollars for small investors like us in addition to that what we have seen the IQD is tabbel for the last 3 monthes. bdb i think you are right its long term investment it won't produce a good results in the short run. some people where talking about Kwiti dinar but what about the lebanies liyra after the war stopped over there we haven't seen any improvment in the currency and know people there are using dollar instade .. umm i hope it won't be the same cause the Oil that Iraq has and that is the different.

I called an International bank in Oklahoma and was told that they will not exchange Iraqi dinars and wasn't sure when or if they would. I have not been able to find a bank in the US that would but that also could be because I don't really know where to look. I also am confused about taxes. Do you only have to pay taxes on it once it has been exchanged to US dollars? I AM SO CONFUSED!!!!!! Anyone with answers (FACTS) please, please,please respond!!

You Guys gonna cry after your �"investments" in NIQD. IMF will never accept to clean the debts of Iraq, the religeous tribes gonna make civil war and only the iraqi market will work in Dollars, so.... sleep good tender babies...

Alan IMF you might be right but today the second day and we haven't seen any thing happened yet its smooth down there , Ir01 am supprised in Oklahoma they don't exchange Iraqi dinar !! I am from Qatar and i can buy Iraqi dinar and sell them acording to the world markit Rate at any exchange store and listen to this free of taxes . But i think what you have to do if you got a big profit come to Iraq and cash them.

you are having trouble finding banks to exchange the NID because it isnt on the open exchange market yet. it will be in a few months, i would surmise

Alan, the debts to the IMF are being analized and will be lowered after a meeting of the G-8. 67% to 95% of the debt could be wiped out.

The IMF is not the "say all" of the financial world. It's a political structure that uses creditors world wide to fund it's projects. If the G-8 picks a number, IMF will apply it, and then the IMF will work with Iraq on a micoeconomic plan. Stability will come in time and then it will be you crying for not having invested in the future of Iraq.

I've seen oanda.com also...I only wish that it was true. Anybody know why it's like that?

I had just purchased a very small amount of dinar almost 100,000, which ran me about $80. The reason I didn't spend $500 or any more is becuase im worried about the current dinar just being script money. Just like previous comments people are saying that this is an investment, and it takes time. But if the dinar changes and the current dinar is just as worthless as saddams dinar the investment is shot. What guarantee do I have that the dinar will not change. The reason I am asking is becuase the dinar CASH is made in the UK and the States, 3-5-10 years from now if Iraq is stable they might be actuually making their own money. If thats the case who is to say they wont change the dinar cash to something completely different. Rendering ours worthless

For those of you who are asking about the OANDA Dinar pricing...It's showing pre-Desert Storm values which is why it's so high. Now, read carefully. If you want to know the "current" exchange rate on the Dinar, here's what to do. First, go to the "horses mouth" so to speak. That would be the Central Bank of Iraq. How do you get there you ask? www.iraqcoalition.org then scroll down the links on the RIGHT side to dinar exchange rate. Click on it. then the banks site comes up and click on exchange rate again. this will take you to a table showing you every days exchange rate this year to date. So far, the only place/person I have found stateside that will be a contact for the exchange back to dollars is one of the brokers that's selling them. I'm going to be contacting banks down in the Cayman Islands and Bahamas since they routinely deal in International currencies and see what I can find out. I wuold suggest that any of you who are truly serious about thier Dinar do the same. Don't wait for answers to come to you. Get out there on the web and research,research,research!!

currently has of today the iraq dinar is worth 1460 to 1 u.s dollar so if you have a 25,000 dinar note just divide 25,000 dinars by 1460 you get $17.12 i know this cause i have tons of family in iraq and i currently own 10 million dinars i bought them very cheap back when for 1 u.s dollar you would get 4000 dinars..now for 1 u.s dollar you get 1460 dinars.if anything big happens in the price i will post.

John- I followed your instructions about going to the iraq coalition web site but could only find up to date exchange rates as of the 27th of June and not for the last 2 days- am I missing something! Thanks

i would just like to say that this site has been a big help to, i most of us for learning about where we spent our money at. I only spent $250 but my whole family spent bout $4,000. my belief is when we return hussein the nid will go up in conversion price, just my gut feeling, i guess will find out soon if it'll spike or be long term, lets all hope for the best.

from what i've been able to research, the alan greenspan like guy in iraq (don't recall his name) is in europe meeting with other central bankers ... bringing a currency, or to be more clear, an entire economy, back into the world economy is not something you do with the flick of a switch. it's international agreements (e.g. legal contracts), it's infrastructure (e.g., people and information systems).

it's like if you find oil in the ground you can't use it in a car right away ... it has to be refined / processed ... that's something that takes a while, especially if you don't have the pumps or the infrastructure to handle it.

microsoft didn't make it's early investors multi-millionaires (or billionaires in some cases) in a day. neither did ibm or wal-mart.

HSBC, Standard Chartered, and another bank have permission to set up operations to trade the dinar. Having permission and being able to implement the trade are separate things. Getting a piece of paper signed that says "You can do X, Y, and Z" doesn't take very long. Being able to do X, Y, and Z on the other hand, take some time.

well, now i'm off to bed (in eastern part of u.s.).

oh yeah, and about taxes ... i don't know as i'm not an accountant but my guess is that it's like any other investment (long or short) and that it will be taxed. and then of course if shillary has her way "We're going to take things away from you on behalf of the common good."

http://www.sfgate.com/cgi-bin/article.cgi?file=/news/archive/2004/06/28/politics2039EDT0165.DTL&type=printable

i have been reading the postings on this site and alot of ppl want to know what the deal about taking IQD back to the states in large amounts. well the thing is u can only take back $10,000 USD or an equavalent of that in IQD.

whom to trust The coalition site or The world Market I know Its littel difference but contradetion in coalition web site it says NID = 1460 to 1 UD while in mostPlaces it says NID = 1455 to 1 UD !! that is weard .

How much IQD can you take from the US to Iraq to cash in? I should be over there in a few months and hopefully that will be the best place to make a return. The only problem will be walking around with a lot of USD. Is there a way to send cash back to the US to deposit?

I called the phone# for listed at oanda.com this morning 6/29/04 and asked if the FXconverter on their site was correct for Iraqi donar to US$. He said it was not. I then asked him if he knew what the exchange rate was...he said it was 1600 to 1 US$. I'm not sure if that's true but he said that came from the Bank of Iraq. I hope that's not true because that means I paid twice as much for my Dinar then it worth today.
Anyone know what the rate really is? Every converter I check on the web gives different rates.

SJW 1600 is too much for iraqi the exchange down here where do i live its 1455. They are to make mony out of it

abdullah I'm new at all of this. If I have 1,000,000 IQD how much is that worth in USD? Do I divide 1,000,000 by 1455 to get the exchange rate?

SJW no problem bro
to begin with , the Official exchange rate is 1 USD = 1455 Iraqi dinar . so if we divided 1000,000/1455 = 687.29 after rounding that means each $687.29 = 1000,000 Iraqi dinar and that should be the Official figure . beside that it's rep off.

I agree that they would have to release lower denominations as the price of the Dinar rises. I just hope that they don't eleminate the 25,000 Dinar note. But I think they will have to. What good is a bill that is valued between $7,500 (at $.30 per dinar) and $75,000 (at $3.00 per Dinar)?

I hope if they eleminate the 25,000 ID note they will do it by gradual replacement much like the US replaces worn out bills.

Where can i obtain todays exchange rate?

you guys are making me start to sweat having the 25,000 dinar notes. i should have purchased some 5,000 dinar notes (i had a chance to), but didnt.

i guess we just have to keep up on the currency situation and get rid of them if need be when the time comes.

Jose, this is one of the better exchange rate sites I have found on the web. Yahoo also has one. There has been no movement on the dinar. In fact, it doesn't appear that any calculations have been made since around 14 June. You can also go to the U.S. Treasury web site and access current exchange rates there. Today, they still listed the dinar at 1421...lower than most of the other sites. If you follow the link I attached, you will be able to stay up on the rates. Good luck my friend.

http://fxtop.com/en/cnvhisto.php3?A=1%2C124%2C500&C1=IQD&C2=USD&DD=18&MM=06&YYYY=2004&B=1&P=&I=1&btnOK=Go%21

OANADA FINALLY UPDATED THERE EXCHANGE RATES HAS OF THIS MORNING SO NO MORE CRY'S HAS TO WHAT ITS WORTH AND WHERE TO LOOK GO TO THERE WEBSITE!!

If the 25K note is to be removed, they will probably start by not minting any more of them and let them gradually disappear. They are the most expensive of the notes to make, but are very secure.

As far as minting bills, they are currently made outside of Iraq at 6 different locations. Once the Central Bank has a handle on things, the plates will all be sent to Iraq and they will be the only minters of their dinar, unless of course they want to out-source the minting for a few years.

I don't see the dinar as being a "script", even though they call them Bremmer Dinars, it was the council that picked the designs (which are pretty much the same as the old ones). Iraq needs to build credibility and replacing the dinars again woudl be a big mistake. The logistics are enormous and costly. I think they will stay with these as they are a much better quality and have security. I just don't think that they will keep the 25K notes. I think they will stop minting them and then banks will keep them as they pass through to take them out of circulation.

shelley...yes I too noticed that the Central Bank of Iraq site hasn't updated since the 27th. Might have something to do with the gov. handover. I' just keep an eye on it a couple times a day and see what happens. But at least it's still probably the most comprehensive site for tracking what it does so far. Like most, I expect this to be a slow process but in the long run, worth the wait.

MAX what they have said about The dinar , i tried oanda.com but nothing regarding iraqi dinar, can mention the link to that artical i will be thank full.

Question for All -

So, has anyone read anything official or found any reliable information on when the ban on exchanging Iraqi dinar for US dollars at commercial banks within the US and Canada (and many other countries in Europe) will be lifted? I believe this is the same milestone mentioned above when the "dinar will be released to local banks worldwide". I'd imagine the interim Iraqi government and official government, which will be established following the elections scheduled for Jan. 05, will certainly want to work to remove these bans, etc. as quickly as possible to encourage integration of the Iraqi economy with the larger international economy.

Thanks, and please keep the insightful info. flowing!

Andrew

Does anybody know roughly how much Dinar was in the Iriq economy before the new dinar was printed? because if they print the same amount and redistribute it on a one to one basis I don't see any reason why it shouldn't reach at least pre war value eventually.

I wonder how much Counterfit dinar was printed. And how picky the banks are about accepting it and exchanging it for the new dinar? This certainly could affect the future value.

The Iraqi dinar yesterday(29/06/2004) was 1 USD = 1455 tody(30/06/2004) 1 USD = 1460 that i hope it won't stay like that for long period like it did with 1455 but. so it's going down agnist the dollar.

I don't know what exchange rate you are looking at or through what company, but yesterday I found the exchange to be 32 US cents to 1 Iraqi dinar. Give it more time. Once the US has established domestic relations with Iraq then you will be able to change your dianrs in the us. it may take a few months though. Or just fly to france.

Jamie the site that i pick up that latest exchange rate is http://www.portaliraq.com/iraq-dinar-report.php?PHPSESSID=be4d02ceba40003c92cdc4fedd80d653
1 USD = 1460 IQD, i know i am too hyper for iraqi dinar because this my first investment in my life beside that i bought $25,000,000 can you imagin all cash scatered in my bed room too much mony. and thats why i am too hyper so any slite change in the exchange rate will put me in bank rupcy and that's is alone not extra mony..

i ment 25,000,00 ID sorry . correctio to my prev comments

When Iraq gets stable and the world begins to except the new dinar then the exchange rate can only go up...it can't go down (i guess it could, but i don't think it will)...so the way i look at it is be patient and we will get some kind of pay off, big or small, we'll get something. just be patient my friends!!!

Abdullah

I just checked the exchange rate by putting in my total amount of dinars i have and seeing how much it would be in USD. i think the link should say something like FXCONVERTER or something like that.

when you guys think we will be able to exchange the money for good'ol american dollars

Where can I purchase the dinar online? Are you sure the money will be authentic from these sites?

Thanks!

YOU SEEM TO BE RIGHT ON WITH THE VALUE BUT IF YOU LOOK AT OTHER WEB SITES, LIKE DAY STAR TRADING, HE HAS THE VALUE WAY LOW.
STILL PEOPLE ARE BUY DINARS IN BUNCHES.
I THINK WHAT THE REAL QUESTION WOULD BE IS WHEN WILL IT START BEING TRADED ON THE OPEN MARKET AND FOR WHAT PRICE?

purschase from ebay look for 2 main sellers on called dima89 and one called j.b trader those are the 2 biggest dinar sellers online one even has his phone number if you have any questions

ok MAX that what http://www.oanda.com/convert/classic says
1 US Dollar = 1,460.00 Iraqi Dinar
1 Iraqi Dinar (IQD) = 0.0006849 US Dollar

so lets do more calculation if we ultiply both sides with 1000,0000 we will end up with -->
1000000 * 1 Iraqi Dinar = 1000000 * 0.0006849 what we get is

1000,000 Iraqi Dinar = 684.9 USD

if i did understand you Max.

keep in mind before this war some 460 days ago that 1,000,000 dinars would have been worth $330,000 lol

by the way you guys wana know whats going on day to day in iraq wheather is reconstruction of something finanacial wise? go here

http://www.rebuild-iraq-expo.com/news.asp

To answer the question about taxes on IQDs: Your IQDs represent wealth, not income. The US has an INCOME tax--there's no such thing as a wealth tax. So, if you hold on to your IQDs and let them appreciate in value for an interim period, you won't have to pay any taxes on them until you exchange them for US dollars (just like selling shares of stock). Note: I double-checked on this with an IRS agent before I wrote this.

by the way dont forget once the dinar is welcomed on the market you can also exchange them at your local currency exchange doesnt have to be a bank

i have done homework like will and he is right. my bank also has a in house currency exchange that will exchange them (as long as they dont come back counterfeit) in house to us dollars. you are responsible for reporting the amount you make. the bank only reprts the exchange of currency. there are also many overseas accounts that will except the currency and are paying good interest (tax free) for your money. there are many on the internet but as with evertything else do your research first. there are many scammers out there. also a sidebar swiss bank accounts are not as good as they was were since 9-11. the better choices i have found are in austria or lichenstein. good luck

wow the NID has went up since i bought it. I paid $150 for a mil two days after it came out and already its worth over $600.

Getting over on taxes can be easy. Open an account at a bank inthe middle east (www.nbk.com) and when the ID hits the market and your ready to exchange let the bank exchange it and you will have a ATM card full of money.

I really dont care if its nextweek ortomorrow when the money is worth alot. it is a small investment that i have the opertunity to capitolize on if it works out in my favor it does.. if not then not... anyone play the lottery??? over a period of time have you spent at least $150. ??? get my point. if its not for my future then it wll be for my childrens!!!

have a great day boys... Go Iraq its your country!!!

Doesn't the Bank of Kuwait have a bank location in New York City?

Thanks tony for that great site. http://www.rebuild-iraq-expo.com/news.asp

no problem

Does this have anything to do with capital gains???

Here is a calculation..... once old dinar that is saddam dinar exchanged (15th Jan 04) it was 1 old dinar equals 1 new iqd and 1 swiss iqd which was quoted as 33 cents at oanda was exchanged for 1 swiss iqd equals 150 NIQD.....now replace the one swiss iqd with 33 cents..... it will be 33 cents = 150 NIQD therefore NIQD 0.22 cents.... i think this will be the opening value of NIQD.......any comments

Rizwan the problem not the calculation you might be right or wrong but the big 'O question is when is the Opening day !!!!!

Hi gals/guys,

The New Iraqi Government is in consideration to introducing again NEW DINAR.

The Dinars print by DeLaura would becomes CANCELLED.

However, there is no such information we have that the Government will exchange upcoming currency with DeLaura's money or not.

If NOT, then all people may be in trouble.


IRUM ALI KHAN
ASIAN RESEARCH DEPARTMENT

Well, someone better tell the Central Bank of Iraq because I have been in constant contact with them and several other banks in Iraq and all of them said the Bremer dinar is here to stay!

I'm not a currency expert, but what are the chance's of changing the dinar's face value. Kuwait's largest bill is like 500 dinar. Seem's insane to have a 25000 dinar note that when the exchange rate hits at let's say 1USD which would be equal to $25,000 USD. That's unheard of isn't it?
I suspect either new denominations will be printed or the .31USD exchange rate is very optimistic and realistically it may only hit at at .03USD.

Just a little nervous before I begin investing more money. The more we know about the history of currency the better we'll have an idea as to where it's headed.

Any thoughts?

I doubt the new leadership will change the dinar again. It costs a lot of money to do that. If they do in the future, they will probably do it like we did with the new $20's, gradually phase out the other ones. Iraq needs to show the world that they are stable. Changing the dinar again would hinder that.

The outside contractors printing the Dinars have to give the plates to the ICB as soon as they are ready to take over printing, this was part of their contract. The new bills are tougher than the old ones, the old dinar ripped very easy and was lucky to hold up for 1 year. The Iraqi governing body picked the designs, not Bremmer and the Central Bank is very happy with the durability of the new bills. I doubt they will move from them any time soon.

As the NID increases in value, I think you will see a phased removal of the 25K and maybe the 10K notes. I think they should have made a 500 and a 2000 instead of those two. I'm not sure what they are doing for coinage, but they will need something to cover the 5 and 1 increments.

Many have emailed me reguarding my post several days ago about Dinars for about $690.00. Heres the address of one of the exchanges I use in Kuwait:

Al-Ekasad United Echange Company
Makka Street Branch No.3
Salman Al-Dabous Bldg. Shop #5
P.O. Box: 437 Souk Dakheli
Code# 15255
Fahaheel, Kuwait

Telephone# 39281 45/3921 390
I took this information directly from the reciept. So I would call for the exact mailing address.

Let us know what prices are current.

I have a contact in Jordan who is very flexible and competitive with his rates. Go to iraqpapermoney.com and leave an email that Nick sent you. Go to the "contact us" icon at the bottom right of the screen. Thanks a million.

To those people wanting to find the current exchange rate for the Iraqi Dinar. You can go to CBI's website or go to www.xe.com, select full currency converter and plug away. I have been watching it and so far in the past three days the dollar has weakened (minutely) against the NID or IQD, that could be due to the Fed's recent decision (I don't know). Yahoo's latest market rate was dated 14 June when I checked yesterday. I care not to speculate on the in's/out's of the IQD, so I won't. Just remember, the people selling the New Dinar are doing just that, selling. Therefore they will throw there "sale's pitch" at you. You never hear a car salesman say, "Wow, this is a wonderful car, it suits you great. I just want you to know that it'll probably need major service in five years when you don't expect it. And it probably won't be covered by the warranty." Use your head when you buy the Dinar. Like many other people have said, if you have the money to invest, then do it. If you don't have the money, don't try to invest and put yourself in financial trouble. Take care all. Good luck.

Guys, a request: If anyone hears of any news about the new IQD, e.g., special announcements in the media about it coming on the market and/or sees any official significant fluctuation in the value of the new IQD, e.g., rising or falling a few points, please blast it out onto this forum for everyone's benefit (probably goes without saying-hope I'm not showing my ignorance). May want to include the website from where you got the info, to include any news websites. Thanks.

Ryan-your question about capital gains: The appreciation in value of the IQD represents the capital gains. Again, the tax, i.e., the capital gains tax, you would pay on the IQD is only after you convert them to USD. Not sure what the capital gains tax is nowadays. Does anyone know ?

Jay-the National Bank of Kuwait does have a branch in NYC. Shows it on their website: www.nbk.com

I suppose then if they change the currency, then it's dependant on if it's traded in the markets at that time if we can exchange the currency local or only in Iraq.
Seems to me the only risk we're taking is whether or not this will become internationally traded currency. That's my main worry.
I think the political and social issue's will work themselves out.

David how would you call that 39281 45/3921 390
number here in the us?

TO ASIAN RESEARCH DEPARTMENT...stop spreading lies.

With that being said, I do not believe the exchange rate will be set to pre-war levels. I think a range of .01 to .05 cents is more reasonable. And even at those levels, one would stand to gain an enormous profit. I am not greedy, so I'll take a penny.

Buyer Beware - Do NOT buy from First Dinar Financial Group. Over three weeks and still no delivery!! Had to cancel and file a DISPUTE to try to get my money back.

I BELIEVE THE CAPital gain is at 28%. not sure but i've heard most of the people mentioning that.

As far as buying on ebay, DO NOT !!! i repeat again DO NOT!!! buy from this ebay seller,
omanfrankincense,,, this is his ebay name.
his email, pearlgroup@yahoo.com. he's a rip off, a scam artist.

heres something very interesting on this site it says the dinar is at 0.311181 on june 30th. heres the website:

http://www.exchangerate.com/world_rates.html?letter=I

Buyer Beware - Do NOT buy from First Dinar Financial Group. Over three weeks and still no delivery!! Had to cancel and file a DISPUTE to try to get my money back.

Why would you pay 1250 per million of dinar.. We sale them for 1140/mil an you can even find cheaper if you look around.

The Best Ebay Dinar seller is DIMA89, fast delivery and good service all around!

as far im concerned i will not buy anymore via-internet why you ask? because if you buy currency and the money increases in value, they will definetly not send you the money. So my advice is find someone locally that sells it where you can personally pickup the money yourself.

Just my opinion.

I have checked on the exchange rate for the Dinar, and Yahoo has not updated or changed the exchange rate since June 14th. It doesn't seem very up to date to me being today is the 1st of July.

dont bother with that web site exchange rate they still have the old rate where the dinar was worth $3.12 per 1 u.s dollar go to oanada its been up dated today it is still worth 1460 dinars to 1 u.s dollar.

Hi Montana -- It was less when I ordered them three weeks ago. I found a much better price from a reputable dealer and got what I needed, but still had to fight with this guy. Just a real inconvenience... Thanks!

Last month on 14/06/2004 the Iraqi dinar make very strong improvment that the exchange rate was as follows :-
1 IQD (Iraq)=0.0012 USD (United States) 1 IQD=0.00125 USD
1 USD (United States)=800.0631 IQD (Iraq)

the prev day which was the 13/06/2004 the exchange rate was as follows : -
1 IQD (Iraq)=0.0007 USD (United States) 1 IQD=0.000673 USD
1 USD (United States)=1 485.7338 IQD (Iraq)

and the day after the 14 of june which is the 15/06/2004 "da" the exchange rate was as follows :-
1 IQD (Iraq)=0.0007 USD (United States) 1 IQD=0.000675 USD
1 USD (United States)=1 481.0726 IQD (Iraq)

the summery ..
if you exchange your mony on the 14/06/2004 you could made big cash . to prove my self url http://fxtop.com/en/cnvhisto.php3?A=1%2C124%2C500&C1=IQD&C2=USD&DD=15&MM=06&YYYY=2004&B=1&P=&I=1&btnOK=Go%21

people buy Iraqi dinar Its Excellent Investment.

does anyone have a guess at when the opening day will be for the dinar to hit the world market?? will we have to wait for the world bank to get set up in iraq first?

The "Horses Mouth" for Dinar exchange rates:

http://www.iraqcoalition.org/exchange.html

Hi Mallory -- Read this the other day on an earlier blog. Makes a lot of sense compared with everything I've read in the last 6 weeks. One of the traders sites changed their "July" speculations to "November" this morning.


From Jared:
The World Bank has not yet moved into Iraq. The currency will not be on the market until the World Bank is in place. WB is expected to be there by the end of July. At that time, the Iraqi Central Bank (ICB) will have to show the WB that they are ready to meet demand. The International Monetary Fund (IMF) is also scheduled to enter Iraq to start work on the Iraqi Stock Exchange.

This is going to be a long process people. I would think by September, the ICB and WB should have all the bugs worked out. Budgets must also be finalized before the release.

The NID will more than likely start at where it was stopped, at about $0.33/usd. There will be a large volume of selling and buying, so expect the price to rise briskly and then settle back down, about 30 days after it opens.

As sanctions are lifted and more oil is pumped, the funds will start coming in and their economy will grow. This will be a long process, 2-3 years is a good number to look at for this investment.

You cannot compare this to Kuwait, as Kuwait still had it's original structure to go back to so recovery was rather easy. Iraq however, is getting all new leaders, ministers, councils. Their whole infrastructure is being rebuilt. This will not be an overnight success.

The Iraqi people will start seeing improvements within a year and then will start having faith in the new system. The Iraqi people are solid, and they will get through this and will be delighted once they have put this behind them. They will flourish like never before.

I'm excited to see what the new Iraq is capable of!!

thanks m&m

M&M:
That sounds like a good, sound analysis. I'll keep that in mind....Thanks.

has i read that website i posted and knowing that iraq is the #2 richest country in the world with oil i cant help but imagine within 5 years time 1 iraq dinar will be worth no less then $4 u.s its not im possiable it was once $3.35 and i belive it can happen again,we just need patience,till then go out and play the mega millions lottery its up to $280 million this friday ..lol

Thanks Will, Mallory, and M&M!

Many people were first deceived (in my opinion) at first thinking the IQD would bound back like the Kuwaiti dinar. I don't think that will be the case this time. It will come back, but I think 2-3 years is a good target to shoot for.

Another thing to keep in mind is that when it does come on the market, just sell off enough to cover what you spent on them. Then it is all gravy after that!

by the way how many do dinars does everyone have and what you plan to buy with it if it ever reaches say the $3 mark..lol i myself have 10 million put away well i cant even begin to dream if it hits the $3 mark and im sitting with 30 mil in my closet..lol.

now that you mentioned you have it in your closet where do you live ? lol hahahaha j/k

good luck to all, hopefully we can win the iraqi lottery! hahaha

big up to EL PASO, TX

Calling the above posted number by dialing 011-965+ number. 965 is the country code.

Great blog! Thanks for all the info folks. We bought 2mil and loved them. It's beautiful currency. We liked them so much we bought 2 more. Then the prices fell, so we bought 2 more. I'm stopping at 6mil.:) Hope to take a little short term profit and hold the rest for long term gain. Let's be sure to keep each other posted as events unfold!

Great input cant wait till the ship comes in I wan't a new Jeep Wrangler. Another good seller on ebay is "JAKI2000" You can spend a little extra and he'll ship it to you in 2-3 days from Jordan. I think he's "dema89"'s brother,cousin, dad or something. They have the same last name.

only thing with dima now is he only takes credit card i used to buy from him with money orders,no way im giving my number over ebay theres a few other good sellers right now the cheapest i seen is j.b trader he wants $845 for 1 million dinars and hes locally to me i can drive over to him.

I am flying to Amman Jordan via Amsterdam (6 hour layover he he he he)And hope to take a cab to Iraqi Border where I hope to purchase dinars any one ever made this trip yet?Right now the USA buys gasoline @1.50 a gallon out side the country and tucks it in to iraq where it is sold for 5 cents YES thats right! 5 cents a gallon that cant go on for ever one of these days Iraq will have to purchase there own gas at market rates that should have a devastaing effect

I have purchased from two different individuals on eBay, one is from Jordan ("antiquesghaith") and the other is located in Kuwait ("sspens"). I have attempted to deal with "jb.trader" and found the communication to be a little sketchy and I have yet to pay the individual due to shipping taking too long from one U.S. address to another U.S. address; I was quoted 7-10 days. Aside from a FedEx snafu in Kuwait, which was not the seller's fault, I have encountered no problems whatsoever. So far I have purchased 9 mil IQD for for distribution amongst myself and about five other people in the States.

The latest price I paid, since I am in Iraq on lock down without a check book, was $2500 for 3 mil IQD, includes shipping. That was from the Jordanian individual and "sspens" is selling it for about $850/mil IQD. Boths merchants' preferred method of payment is wire ransfer to their account. USAA FSB records all international wire transfers which may be used if their is a dispute.

For those who have never performed an international wire transfer, beware of the fees involved and the max amount that may be wired without a written authorization from the account holder.

Here is the current mid-market rates as of 2004.07.02 03:45:39 GMT for the IQD or NID:

1,000,000.00 IQD = 685.8871 USD
1 IQD = 0.000685887 USD
1 USD = 1,457.97 IQD

Enjoy peops. Good luck with all of your investments.

i love this website...i like to hear what everyone has to say. i've only got 500,000 dinar, but i think i should get at least another 500,000...reading what everyone else has, millions after millions...i should at least get one million..hehe!!

so much good info that we pool here doncha think? I don't think the Dinar could hiccup without it making a bigger noise on this site. gotta love it. All i can say is "Patience,patience,patience and Research,research,research". And if course, share the wealth....of info that is:)

definetly share the wealth of info...i have learned so much from reading what people have to say here.

I've got a mil to sell for $60,000USD. Any takers? DREAM BIG!!!!!
When I first started researching this I remember seeing someone selling a million on ebay for $20,000. Just thought I'd share.:)

Hi everybody,

Existing New Iraqi Dinar (Bremer Dinar) will be cancelled on July 31, 2004.

New Iraqi Dinar will be launching on August 1, 2004 with the set official exchange rate.

Bremer Dinar may be exchange on that time.

IRUM

ASIAN RESEARCH DEPARTMENT

where did youy get your information?

Randy sent you an email if you didn't get it, Please do not try to go through Jordan and enter here. First Iraqi's won't let you in, FBI will get involved just like Berg! You as an american on his own is a big Payday to terrorist. Go to Kuwait, Money is same as you get here and tons safer. I am in Balad, with thousands of troops. I give you credit for big fortitude, but last thing we need here is another american losing his head. Trust me Kuwait gives dinars at just a good rate. Kuwait city is very safe and you can fly direct. DO NOT GET INTO A TAXI!!!

IRUM is a liar, he is just hatin cause he didn't get in on the Dinar. Do yall really think that they would change their currency less than 1 year later when it costs them billions of dollars to make it? Come on IRUM, quit hatin and buy you some dinar. Asian research department (yea).

There should be no tax on your exchange of currency. It is only considered changing money. I got this straight from H & R Block.

Mr. Jamel,

Please be sitted back and watch the attitude of New Iraqi Dinar, which will be seen by your own.

However, Asian Research Departmet has guaranteed news regarding Dinar, and therefore, the company will not be in favor that innocent people will bears a huge loss.

So, please do not use rubbish language in future as well.

IRUM

ASIAN RESEARCH DEPARTMENT

Irum, I would like you to back up your statement with something of fact. I do a lot of surfing on this subject, having invested in the "Bremer" dinar...which is actually the new currency for the Republic of Iraqi...and I have not seen anything to support your claim that yet another new currency will be deployed on 01 August. While I think many people are getting overly optimistic about the dinar's future, there is enough misinformation out there that we don't need to be adding to it. If you have a credible source that will validate this currency change, please share it with the rest of us. Thanks!

theres no way in hell its gona change again if it was iraq would have said something to let others know like last time that the dinar would change so all the people in iraq could go to the bank and trade in the old dinar for this so called new dinar there not just gona over night say oh ya guess what those dinars are not good anymore you need these then litereally everyone in iraq is broke there would have to be a time period like last time it was around a month to exchange everythingthe only thing i see happening is that maybe iraq will start printing its own money other then that no more new dinar,so like i said we would have heard something next time if you try to claim something here you better post a link to back up your story dont just tell us your dream you had last night..lol

plus,i dont see the dinar getting stronger then 1460 till end of july or early in august cause thats when the world bank will be in iraq and hopfully fully operating.,once the world bank is up ands running then the iraq dinar will be accepted to exchange.

I appreciate the comments of Irum from Asian Research Department.

I know through some very reliable source that the new government looks for another currency. (Irum is right)

Many people who already invested in dinar, are not yet informed that this dinar may goes to zero.

Look at "daystartrading.com" NO ANY UPDATE

Look at "firstdinarfinancialgroup.com" NO ANY UPDATE

Because they know that perhaps the new government will change the currency.

I once again thanks for Asian Research Department, specially IRUM.

ok im gona go do some more research and call my family in iraq see if they heard anything new that we havent gotten broadcasted to us yet, i'll be back,i just got my call from bently they got my new GT i got on hold ;) ..lol j/k

Central Banks Selects Three to Open Branches
July 2, 2004

The Central Bank of Iraqi selected three banks to open branches in Baghdad. The three banks; HSBC Group, the National Bank of Kuwait and Standard Chartered Bank, are the first to be granted licenses to provide financial services in the country.

“Any economy goes nowhere without a banking sector, so that's the first place to invest your money,” said Bill Barron, a managing director at Deutsche Asset Management Ltd. “HSBC and Standard Chartered have the expertise and the Middle Eastern network, so it's no surprise they got in. I'm surprised there were no US banks, but it's only a matter of time before Citibank and the others plant their flags there.”

The Iraqi people are casting their implicit vote for the success of the Central Bank’s policies by not selling Dinars for dollars. This week, the Central bank announced it would remove interest rate controls, a signaling growing confidence in the economy's ability to grow.

The Central Bank has put in place a currency exchange to replaced Iraq's old notes, a foreign investment law that allows non-Iraqis to own 100 percent of most companies and banks, tax codes for corporations and individuals, and customs duties.

Billions of Dollars Pouring Into Iraq

The World Bank is projecting a significant rebound in 2004 with growth estimates ranging anywhere from 30% to 70% and an overall economy worth $17 billion to $22 billion.

Bush administration officials are optimistic about reconstruction and project that Iraq's growth will be close to the high end of the World Bank projection.

Salaries and pensions for public employees have been increased. Repair work on the power grid, oil facilities and roads are broadening throughout the economy. Farmers who could not get seed, fertilizer and animal feed in recent years are producing again.

The billions of dollars are pouring into Iraq acts as a powerful economic stimulus. The United States is expected to award contracts for $14 billion in reconstruction work this year and $4 billion to $5 billion next year

Foreign Investment Increasing

Foreign companies are considering long-term investments in Iraq. Pepsi is refurbishing a bottling plant and Nestle has a bottled-water factory in planning stages. Fortune 500 companies researching the market for the best opportunities.

guys this is all true months and months ago actually pepsi,and coke and motorola was invited to do business in iraq and all the contracts have been singed this is the first time pepsi is allowed back in iraq since 91 i belive before the year is over i heard there will be a new mitsubishi plant or dealership in iraq wish i know wich one jordan is finally also trying to help iraq they said no what iraq asks of us it would be hard for us to say no so things are lookin up and going in our favor if you noticed you dont hear much bout bombings anymore or pointless killings things are getting under control it has gotten so good that i read a month ago that iraq was turning away people and having there pick of who to invest with and let in there country i mean come on iraq of all countries going from no one wanting to deal with and help to having companies kiss there feet to be let into iraq if you want to know the companies that have been signed contracts with iraq go to that website i posted iraq expo rebuild iraq link and go back a few pages its all there every bit of what i say.

and for those saying well its not gona happen over night its gona be a few years well let me ask you,are you gona have $300,000 u.s cash in few years without winning the lottery? so then whats a few years hell even if its 10-15 years so what at least you know your kids will never have to worry.

Asian Research Dept. Show some proof of your facts, instead of just saying it is, and then I will believe you. Until then your statements mean as much as the dinar is worth right now.

no bro i think the dinar is worth alot more then his rubish..lol

I'm so addicted to this blog....
Hey Tony -- What do the folks back in Iraq say about Irum's claims? I personally think the info coming out of "The Asian Research Dept" is baloney. He hasn't cited even one source for his blather. He has a post dated 6/29 talking about 1milIQD = 1000USD, further up the page, which also makes little sense.

Hey Lasthehun -- Thanks for the Bloomberg article!
I love reading current material. (July 1)

I think we all know the risk we're taking and have only spent what we are willing to lose. The rewards still outweight the risks no matter what.

Irum you are going to ruin this forum by spreading pointless, unbackable lies. Unless you are going to back it up and reveal your sources....keep your comments to your self!!! This is a good forum so don't ruin it unless you have facts. Not opinions!

Keep in mind a few facts about the Iraqi people and the country itself:

Iraqs population is a very educaed population for the most part.

Iraq is the cradel of civizilation: they have been building, trading, producing for a very long time. Most other peoples were running around in loin clothes while the people of the area around the 2 great rivers had built a great civilization. They WILL rebuild a great nation. There is no question.

It may take time but I think that a person who didnt invest in the Dinar has more to lose than those who give it a shot.

I for one would kick myself if I didnt give it a go and it took off...
Just my thoughts

That's exactly it David!!

I was in the Gulf War and at the time I didn't even think of buying Kuwaiti Dinars. They went down to about $.065/USD and only 13 months later they were over $2/USD. I wanted to scream!

I'm not missing the boat this time. The Iraqi people are now going to be allowed to flourish they way they should have been. The Iraqi's are a proud people and they are going to step up and show the world their true colors.

RANDY PLEASE LISTEN TO ME AND SEAN DO NOT TRY AND TAKE A TAXI FROM JORDAN TO IRAQ. you stand a good chance of not living to see the dinar go up if you do. fly into kuwait city (luftansa has many flights from europe). also be learly of who you do business there. they will try and rip you off if you are not careful. good hunting

http://www.eia.doe.gov/emeu/cabs/iraq.pdf
Energy Information Administration-Official Energy Info on Iraq from the gov. Bottom of pg 14 shows what they are saying the dinars worth. The rest of the info is great to know. Iraq is actually richer in oil than Kuwait.
Kuwaiti sources even claim it. You can Research it on the internet.
Can't imagine that they'd change the dinar. I've even read of all the people from different countries of how they are investing. Even the Kuwaiti's are investing. Still looking for source that confirms Irum's claims.
Also, I did hear from sources in Iraq that one dinar will be worth around .32 by Nov. From reading earlier in this forum someone had mentioned that also (or close to it). Does anyone know of any other source to confirm this?

Irum,

How about some links to this info of yours? I'm rather suprised that no major news agency is reporting this as it would be a rather tough thing to do again without the help they had this last time.

Ahmed Salman Jaburi has said that he likes the new dinars and that they are becoming more and more accepted by the people and that confidence is rising. Changing the money again would undermine that confidence. The Iraqi people are ready to move forward, not back again.

By the way, Ahmed is the Deputy Governor of the Central Bank of Iraq, so I think I'll take his view of it over yours.

Hey Lasthehun - I couldn't get to the Bloomberg article using the link you sent. Any way to resend the link or copy paste the article (or interesting parts, at least) into the forum?

Thanks,
Andrew

Found some interesting news on the Reuters news website. This may have been what Irum was mistaking as new currency.

The Central bank is going to be issuing Iraqi Dinar Treasury Bills. This is not new currency, this is what they call a debt issue, or in the US a bond issue. They will sell the T-Bills to generate money for operations. This is a very common practice and should not get anyone rattled.

This is great news in my opion as I had September picked as their first debt issue. This is going to show the World Bank that they are serious about moving forward. The financial backbone needs to be the first thing up, and they are going all out to do just that.

If you want to check this out for yourself, go to www.reuters.com and search for article 5449195 or put Iraqi Dinars in the search.

Hey, first posting here. I read the whole thing from start to finish and I am very pleased with the information that I had received. I am an Army Active Duty Airborne Combat Medic that every day interacts and speaks with the locals. I have been purchasing my dinars from my friend whom is an Iraqi Doctor. One he would not steer me wrong as he is one of my best friends. I was skeptical when I first found out and I asked him what he thought and he said, no this is a VERY good investment. As for the dinar being replaced, They WILL let their people know about it because if the govt DOESNT! The entire country of Iraq will be worth $0.00, every dinar/cash a local civilian has will be worthless. They arent going to do this and they wont do this. The govt will also slowly replace the larger bills to smaller ones as the economy grows. Just think logically abou this one...DIR, And as for my final thought can someone please give me an honest no BS answer on the exchange back into US$, will I be taxed? And what in thee heck is the current Dinar rate, everything is pre-turnover. I also went to the website a previous person said was .32 to 1 US or something like that and the IRAQI dinar was not even there. Thanks- Will keep you posted from the front lines if anything detramental to our investments is in the near future. Yes that means that one guy IS full of crap! Straight from the local Iraqi people and my friend the Iraqi DOCTOR....

Dinar Vegas Style,
Well, we have heard and read a lot about the possible Iraq dinars. So much positive and neg. and thoughts about the Iraq people. Rest easy people who bought the dinar. Nobody, really knows what's going to happen? They don't have the crystal ball. Note during the last 12 to 6 MOS in Iraq, nobody would have guessed or predicted we were going to see all those killings and such organized killing at that. So, we experience the same thing everybody, even the High educated and the low don't know. One thing just seat back and enjoy all those days dreaming of positive thoughts which plays good on the life. Enjoy those nightly dreams with your family and just play the waiting game. Its a trip in Vegas extend stay just waiting for those numbers to come up whether its . 32 or 1 for 1 or the long shot of 4 to 1. Make your play and take the pay, when you feel you need too. Your stomach told you to buy, so just following the stomach and enjoy the ride of positives. It's a gamble anyway you look at it. But its a great gamble we as people only see in our life time. Nobody had the Internet during the Kuwait dinar therefor, nobody really got the message to buy or the great deal. There are many nations to have this but people didn't have the ability or tools at their side to take actions. Myself and family have bought and at about 8 mil would have liked to buy more but that the budget for gambling this year, for those dreams!! Take care Breck

Hi Jared -- Thanks for the update. I heard about the T-Bills the other day. Is anyone here investing in them? Any speculations?

i forgot to mention around 6 months ago i was speakin to my uncle whom lives in iraq and his friend works at a bank there,and said 3 people from kuwait had flown in there on a private plane walked in the bank's presidents office and dumped get this..$10 million u.s currency on the table and walked out with $146 million dinars,also at a airport in egypt of all place the authorities there had areated 2 men flying a private plane for illegaling landing or something and inside they found $650 million dinars,another place i forget where over seas in a airport the authorities searched a group of 12 people men and women and found $50 million dinars taped to there bodies and hidden in suit cases i will due my best to find the links to these for you to all read but from what my uncle says people are still buying now but not for investment see this is how it works the better it gets for us the worse it is for iraqi people cause they get less back think bout it before the war around 480 days ago 1 u.s dollar would have gotten them 4000 dinars!!! now only 1,460 dinars thats a huge difference for such a short period of time so he says all the iraqi people are trying to buy all they can now before it goes even lower wich would be better for us,but hard on them.

Tony, think about that 10 million USD only bought 146 million dinars. That doesnt add up at all. At this point 1,000 USD buys about 1 million dinar. So, they got f-d if this did happened.

i agree it didnt add right,but i also dont know what the going rate was in janurary wich is when this happened i would guess around 1700-1800 per 1 u.s dollar

THIS IS A GOOD PLACE TO CHECK OUT THE RATES!

on that website it says
IRAQI DINAR 0.0000000 0.0002370 4,219.4093 1,239.0295 meaning 1 u.s dollar gets you 1239 dinars i wish it was true it wouldnt help me retire but it shows improvement i been going with oanada they say 1460 per 1 u.s dollar

plus if thats the case i have allready made $5,571 profit if not im at $4,349 not bad i guess

Bloomberg has exchange calculater for all money.
Including the dinar to us dollar.

Al

Thanks Tony for the link to bankofdinar. I'd been looking for that and some how couldn't reach it.

no problem

The website that states the new iraqi dinar currency value is www.iccfx.com. They are stating that the exchage rate for july 2 2004 is .30=NID If you do not beleive me than go to the website yourself.

The web site is www.bloomberg.com/analysis/
calculators/currency.html

Al

Hi Lasthehun -- I've been tracking the exchange rate on the NBK site since 6/25. It's been 1239 IQD to the dollar, everyday since.

OANDA was recently updated to match the CBI auction rates of 1460. They previously carried the pre-Gulf War rate of $3.

CBI hasn't updated since 6/20. They still show 1460.

This site has been showing 1150 IQD to the Dollar since mid-June.
http://www.rate.co.uk/exrates.html

article on why it's so hard to track the rate...
http://www.xe.net/iqd.htm

Hi Derrick -- That's the pre-Gulf War rate of $3 = 1 IQD. We all wish it were true! But it's only there because they don't know what else to use. See if you can call them on the phone and have them update it like OANDA did.

lol if that was the currenct price i would buy all of you a brand never corvette right now lol

I'll take a 05 C6 Z06 please! oh and red too

seriously, when/where can we find out when the DINAR will be available for exchange in the U.S.?????? can anyone guestimate for me? i've been checking bank one, bank of america, frost, chase...blah blah....and nothing.

i posted a link i belive it said end of july or begining of august the world bank will enter iraq then the process starts.

The local banks aren't talking, I've called them too. The word on the wire spans from Aug to November 2004.

Good News
http://money.cnn.com/2004/07/01/news/international/imf_iraq.reut/index.htm

I've read all postings of this site and it briefly mentioned some information concerning a question that I have.

OffShore/OverSeas Accounts. Where and Why?!?!?!??

I've just started looking but don't really know what to look for and if the bank is really private. I've started in Switzerland.
I want to completely remain private and anounymous from everyone once this thing matures... from the government that is. I refuse to give them 15-30% of my money.
I would like some sound advice on this from some people who really do know about these types of banks and what I want to do.
Thanks... and it's all about Patience!!

Has anyone wondering how much the U.S. might have bought Iraq dinars for, and maybe how much that They (WE) might have bought? There goes are Money problems...Just a thought.....

Hi Breck,

Actually it might not solve our money problems cause you never now if Shillary "I'll take your money" Clintonista will rise to power.

Bit of info. Rumor has it from sources in Iraq that the money goes to International exchange Aug. 31st.
Also, National Bank of Kuwait (nbk.com) recognizes the NID....They have a branch in New York. Go to their website and find out more.

latest exchange rate (live)
1.00 USD
United States Dollars = 1,461.55 IQD
Iraq Dinars
1 USD = 1,461.55 IQD 1 IQD = 0.000684206 USD

HEY I HAVE BOUGHT 6 MILLION DINARS IN KUWAIT AT MONEY EXCHANGES..AT A RATE OF 1450 TO A DOLLER..
LOOK AT THE KUWAITI NATIONAL BANK SITE, WWW.NBK.COM THEY LIST THE IRAQI DINAR AT 1239.02
THEY ARE ONE OF THE BANKS IN IRAQ DOING BUISNESS..
ANYBODY HAVE A CLUE WHEN IT MIGHT DROP AND BE TRADED INTERNATIONALY

Where is the reference? I looked at the NBK website and could not find anything about IQD

Never mind RED RIDER, I found it

Hello fellow dinar buyers.....I have been paying 800.00 US per 1,000,000 dinars from a seller in Amman Jordan. Does any one here have a better source?

Sounds about right. Plus or minus 50.00 depending on the money changer.

Red Rider,Look at the date on top the page. It is
01/04. The info is 6 months old on the NBK site.

Shereef, you got a pretty good deal. The only way to get better is to be in Iraq buying it yourself.

Actually Al, the month is the middle number: 01/07/04= July 1st, 2004

Red Rider, Thanks for the info. Sorry.

We've gotten our best deals in Kuwait. Iraqi money changers are charging more. I've no idea why. Maybe they know something we don't.

Thank you for your responces. If anyone comes up with a solid source for under 800.00 US per million please post it here for all of us to share. I think this is a great gamble, and I'm gonna buy 100,000,000 dinar and sit on it for a few years before I even think of selling the first dinar. For those who want to make a quick buck the 25,000 dinar notes are bringing around 30.00 on ebay, and the profit on the lower denominations is even greater.

I will be leaving Iraq in a few weeks with 2.5 million dinar. What can I expect from customs in Kuwait and Germany?

Casey,
you have to declare to custums any amount over
$10,000 US.

Does anyone know if NBK will hold an account in IQD as opposed to personnally holding it in cash. Or will any other bank allow an account to be opened in IQD?

For those who posted about the NBK exchange rate, that has been the rate since at least May as I have checked often.

Casey, 2.5 million shouldnt be A problem as its worth about $2000 U.S.

I have reciepts for all my exchanges. Not a bad Idea for those who are buying.

just a helpful hint you are not required to declare any money, or items that are less than $800 in value USD. Other than that you must declare currencies that value $10,000 or more in USD. if you have $1,000,000 in IQD the value is far less than the declaration requirement.

People if you try to hide your money from the IRS it will only come back to haunt you. Admit and declare everthing. Pay the taxes and enjoy life. Yes it sucks that they will get 30%+, but it really makes you rethink that whole " Tax cut for the rich" ploy the left wingers are always throwing in the presidents face. They work for there money too!!!

Can anyone give me any info pertaining to OffShore/OverSeas/Private banking?? Not to include Kuwait or Dubai. I'm in Iraq and talk to a Kuwait Bank Rep and he said you have to be a Kuwaiti citizen to open an account. Sounds like a load of crap to me.
Anyways, the rate we get here in Iraq can range from 1450 to 1400. I've gotten my last 4 mil at the 1450 rate. Yes, I know, Very sweet.
Back to my issue about the banks. Can anyone offer any info on these types of accounts. I want that covert operations type of account where I have one... but "It really doesn't exist", know what I'm saying. I just don't want to give the government my hard earned gambeling money. Info on these types of bank is greatly appreciated. Setting up for the future!

Can anyone give me any info pertaining to OffShore/OverSeas/Private banking?? Not to include Kuwait or Dubai. I'm in Iraq and talk to a Kuwait Bank Rep and he said you have to be a Kuwaiti citizen to open an account. Sounds like a load of crap to me.
Anyways, the rate we get here in Iraq can range from 1450 to 1400. I've gotten my last 4 mil at the 1450 rate. Yes, I know, Very sweet.
Back to my issue about the banks. Can anyone offer any info on these types of accounts. I want that covert operations type of account where I have one... but "It really doesn't exist", know what I'm saying. I just don't want to give the government my hard earned gambeling money. Info on these types of bank is greatly appreciated. Setting up for the future!

Someone give me a quick rundown on how this will play out.

The NID hits the market at...say 0.33. Naturally there will be a mad rush and millions will be exchanged. How will that effect the price of the NID throughout the day? Do you wait for several months or years after it hits the market?

My father in-law just got back from Kuwait with over a million, and he gave me 50,000. Trying to figure out all the good and the bad with this investment.

And this seems like the best place to ask :)

Hey all, I work with some intereters here in Iraq. I mentioned one is a doctor before and the next time they go to the bank they are going to either confirm or deny the .30 cents to the dollar that www.iccfx.com is claiming.

Oh yeah and I had a question as to off shore accounts and tax evasion. I know that a swiss bank accounts cheapest opening deposit is 250000 dollars. Blah blah blah, and they charge a hefty 35 percent tax but because I am american they will rfund some 30 percent of that. As far as the US gov. is concerned on the interest I make on an off shore account. How does that go? I have to claim it right? And if I dont then its tax evasion? Someone please help me on this?

when it actually hits over a penny like you say $0.33 its hard to tell its all up to you,,what are your goals with this money retirement,paying off house kids college fund personally since we dont know what will happen meaning today it could hit 33 cents then tommorow go back down to 2 cents if you guys are strapped or really wana pay off or buy something i would sell half like the guy with 50,000 sell 25,000 at that price of 33 cents and keep the other 25,000 cause you never know,,but if you want the real gold and im talkin bout it hit 75 cents and higher its gona take at least a year but it all depends on you i would not suggest selling it all just a bit.

I believe some of you had better wait until you can get a few dollars and consult an accountant and a tax attorney. Don't take the advice of strangers on this site. And don't throw up red flags to various government agencies.

For Shereef or those serious hunters. I can do $765 per mil. minimum 20 million. cash and carry. but you have to come to Egypt. I'm committed to this offer as long as the current exchange rate does not have significant change. You never know !!!!!

i am just suprise where did you get people that NID is going up to .33$ !!!! any reference

I am researching offshore accounts that reduce or negate tax burdens just like the rest of you. Researching...

What the US is doing in Iraq is trying to build a democracy and a market economy. Our government gets its money from its investments and tax revenues.

It makes sense to find the best way to maximize your return on investment. Tax evasion does not make sense. It's amazing what greed makes us think about doing.

Offshore accounts (like in the Caymans) let you invest your money and not pay capital gains on earnings. At some point, you are going to use the money you've been building. And if you use it in large amounts (like buying a house, car, etc) don't be suprised if the IRS starts asking questions.

In a perfect world, we wouldn't pay taxes. In the most near perfect country to live in on the face of the planet (USA) we have to pay taxes. If the IQD reaches its potential (even if it takes 10 years) we are going to make a LOT of money. I'll gladly pay my taxes.

Any....
I wrote earlier in regards to opening an account in iraqi dinar. I need to expand on that a little.... I'm not so much concerned on the banks exchange rate(I can get it at 1470) and I am not concerned about trying to avoid paying taxes. But, what I am looking at is keeping it in an account(in IQD), whereas I don't have to worry if the currency itself changes again. Also, at the time of exchange in the future, will it take is a wire transfer(i have a limited knowledge to overseas accouning)? Could anyone enlighten me on their thoughts or what they know?
I have already take 2.2million dinars back to the states in cash, my plan is to have an equal amount in an overseas account, I'm just trying to figure out the best approach.

Pay your taxes. It's really not that bad... certainly better than going to jail.

IRS Capital Gains tax info:

http://www.irs.gov/newsroom/article/0,,id=106799,00.html

My interpretation of the IRS rule:
George Bush is trying to cut capital gains tax. I believe he may have already lowered them. Currently, you would have to take a quarter of your profits and pay whatever the capital gains rate is on that quarter only.

ie. You paid $1,000 for 1 mil dinar. Now it's worth 10,000 so you cash in. Subtract the original investment amount 10,000 - 1,000=9,000
Take 1/4th of that; 9,000/4= 2,250.
You would pay the tax on 2,250 only, at whatever the rate is that year. (Vote BUSH for better rates. The DEMs want to take it away.)

Please visit the IRS site...

HEY, I AM HERE @ BIAP IN IRAQ TODAY... I HAVE BEEN ASKING AROUND WITH MY BROTHER AND HIS FRIENDS FROM 5th SFG AND EVERYONE IS SAYING THE MONEY ISNT GOING TO CHANGE......SO ASIAN RESEARCH, STOP HATING!!
ALSO YOU CAN GET A MILLION DINAR FOR $700.00 AT ANY MONEY EXCHANGER IN KUWAIT CITY... SO PLEASE DONT FLY TO JORDAN AND TRY TO BY IT ON THE BORDER. KUWAIT IS SAFE...

there are people on ebay selling 1 million dinars for only $840-$865 and these are power sellers with over 3000 feed backs can be trusted why fly to kuwait and spend god knows how much on the plane ticket,food,loookin around and all that headache your gona end up paying almost $1500 per milliononce you add all that in but most people dont they just think oh wow $700 or $750 for 1 million not worth it bros just go to ebay and find you a power seller or j.b trader,dima89 are 2 of the best ones with the best prices i would not suggest any american going to the middle east at this time.

Allright! bloomberg just came out with a prediction about the NID and according to him its not worth getting into and has given a couple of reasons why it would not make it.

I have made some investment in the NID and my suggestion to all the other investors is to hold on to it. Why ? Becasue look what happend with the Afghani Currency after the interim government took over after the war. Don't take my word for it go and see the history of the Afghani which is the new currency in Afghanistan.

peace to all.

fais i agree with you
http://www.oanda.com/convert/fxhistory
check this out friends see what happened to afgani currency in 1/2/2003 woow from 4726.30 to
42.7850 agnist the dollor . sounde great, and if that happened to kwiti and afgani currency iraqi would be more profitable eixact like kwiti.

Afghani
The Afghani is the system of currency used in Afghanistan. Prior to 2003, one Afghani was worth about US$0.0000232558. Prior to the U.S. invasion of Afghanistan, warlords, political parties, foreign powers and forgers each made their own afghanis, with no regard to standardization or honoring serial numbers. For example, after the Northern Alliance lost power in 1996, it had banknotes produced in Russia which were sold on the markets of Kabul at half their value.
However, on January 2, 2003, a three-month transition period ended swapping old Afghani banknotes for new currency. The new afghani retained the name but had three zeros knocked off, making one Afghani worth $0.0232558 in US dollars (or one US dollar with 43 Afghanis).

On October 1, Afghan Central Bank governor Anwar Ul-Haq Ahadi announced that Afghans should use their own Afghani currency in daily transactions rather than U.S dollars or Pakistani rupees. This was in preparation for October 8. when all prices in the Afghan marketplace were to be specified in Afghanis.

In April, 2000, the Afghani was worth about US$0.000015625.

--------------------------------------------------------------------------------

Afghani is sometimes mistakenly used to describe people from Afghanistan (the correct term is Afghan).

Jamal al-Din al-Afghani was an Iranian-born Muslim nationalist and modernist in the early 20th century.

All text is available under the terms of the GNU Free Documentation License.

This article courtesy of Wikipedia.org
You may link to this article from your website:
American Encyclopedia Article

I would like to make a few points about taxes, and why it is taking so long to be traded on the world market.

I talked to my tax accountant, and as long as you exchange the currencies in cash, there are no taxes. All you are simply doing is exchanging currency like you would if you were going on vacation in another country.

On why it is taking so long for it to come on the world market, it is because of the French. Iraq and the world bank is waiting to see how much of the Iraqi debt owed to France that France is willing to forgive. Once again the French are getting in the way.

always knew there was a reason al bundy hated the french..lol

RED RIDER, How are things at BIAP these days? When I was there three months ago it was raining rockets and mortars. Be careful.

Fais, I read the Bloomberg article too. The ideas he was putting forward were based on unknowns. The "insurgency" is one. He assumed that it was going to last forever and cause the new government to crumble. That is just not going to happen. I think he watches a lot of CNN and just assumes the worst possible scenario. I did a military tour in Iraq and all I can say is that things are just not that bad. Even if dinar investing is "risky", it's a risk worth taking. I bought $1,000 worth of dinar. The worst possible outcome for me is that I could lose less than 2% of my yearly income. I've lost more than that in one night in Las Vegas.

M&M, check out this IRS form, let us know what you think. It seems there is no tax on exchange of currency. It's just letting the government know of suspisious transactions.

http://www.fdic.gov/news/news/financial/1995/fil9538.pdf

The 0.33 is a guess and I used it as an example, a very wishful example :D

You guys keep saying one day it will be this, the next that. But isn't currencly traded in real time? Meaning it could fluctuate hourly or by the minute?

Say it hits at 0.10, you have all these KBR employees cashing in hundreds of millions. Couldn't it drop to 0.05 or less within an hour?

That is what I am trying to figure out.

Hi Henry -- Looks like the form you'd use when you hit it big in a casino and they hand you a large amount of cash.


I Found this interesting Q&A:

IF I SELL DINARS FOR A PROFIT,

WHAT'S THE INCOME TAX HIT?

� Q: I hear stories of people buying dinars from Iraq and holding them until they increase in value and reselling them at a large profit. Is this true and is it legal? Would you have to pay taxes on the profit?

M.W.,

Miami

� A. Buying Iraqi dinars as an investment would be risky -- if you could even find anyone selling them.

The IRS told Action Line that any profit made from selling currency is taxable. For those who make their living as currency traders or brokers, such profits are taxable as ordinary income, which can be as high as 35 percent. For the casual investor, such profits are subject to a capital gains tax of 15 percent."

http://www.dfw.com/mld/miamiherald/news/columnists/action_line/7885786.htm?1c

Hey M&M Do you have sign up to that website to view the article? And why doot I get taxed on my canadian money when I trade it back for US. Is there a limit on which before you are taxed just as there is a limit of 10000 $US dollars that you have to claim through customs?

And another question I am hoping you may answer is, how long has that tax on currency conversion been in place?

NBK just updated. 1USD= 1,241 NID

jeff does nbk trade on sunday

or are they just now posting fridays trading

Not really sure, steve. I just went to the website and saw it updated. The date at the top said 04 July 04.

steve they do trade in sunday in Kwite the holiday days are Friday and sutarday in Kwite , its work day.

I'm in Iraq now and like everyone, I check the exchange rate everyday a couple of times a day for the rate to jump. Talking with many Iraqis and people from the Central bank of Iraq and they are all positive about the currency being worth something soon, but no one knows WHEN! Sit and wait I guess!

Taxes: Talk to an accountant. But why should you be suprised if it's taxed? You are making an investment.

Some of you need to come back to reality. It's a F*in investment. Infrastructures aren't built overnite. They TAKE TIME!!!!

Just take your dinars and put them someplace safe and in a few years.

And yes, of course the cost of a dinar is a lot higher if you buy it over here in the US than over there. You think the traders are DEMOCRATS with no understanding of economics and business?

But, I guess some people never learn.

And some advice ... take a class in accounting and finance or something. A lot of you people sound like a bunch of moronic nimwits with your questions. Get an edjukashun or something.

Think about it. With all these people taking millions and millions of Dinar out of the country, the value will go up due to less of it being in circulation. Once people decide to sell it back, it will go right back into circulation, flooding the market with it and forcing the value right back down. You have to know when to sell.

Hi Kyle--You need to register to read their articles. I copied the entire article for you so you don't have to. You won't be taxed when you do the exchange, like sale tax. You have to report it on your income tax as a capital gain. If you don't have a personal accountant you can call H&R block. They may be able to help you over the phone.



CURRENCY EXCHANGE


IF I SELL DINARS FOR A PROFIT,

WHAT'S THE INCOME TAX HIT?

� Q: I hear stories of people buying dinars from Iraq and holding them until they increase in value and reselling them at a large profit. Is this true and is it legal? Would you have to pay taxes on the profit?

M.W.,

Miami

� A. Buying Iraqi dinars as an investment would be risky -- if you could even find anyone selling them.

A Jan. 28 Associated Press article tells of how Egyptians are buying Iraqi dinars in large amounts, speculating that the currency will increase in value.

You should ask yourself if emulating Egyptian tourists with suitcases full of currency is a good way to plan your financial future.

There may be others around the world making the same bet (as well as many scamsters looking to make an easy buck off of the gullible).

Currency speculation is tricky even when you are buying solid currencies such as the euro, Japanese yen or Canadian or Australian dollars.

Less stable currencies (to say nothing of the Iraqi dinars printed by an occupying power) are a huge risk.

To trade in less-stable currencies requires a sophisticated knowledge of global financial markets and the country's economy, said Manuel Lasaga, an economist and cofounder of StratInfo, an economics and finance consulting company in Miami.

Most currency trading in stable currencies is usually through the purchase of options or futures.

''The main trend is the euro going up against the dollar,'' Lasaga said. ``Since last year, the euro has strengthened significantly.''

This has triggered interest in currencies as investments. Note that this interest is, again, in the safer sort of currencies.

Your best bet is to talk to a reputable financial advisor or broker.

The IRS told Action Line that any profit made from selling currency is taxable. For those who make their living as currency traders or brokers, such profits are taxable as ordinary income, which can be as high as 35 percent. For the casual investor, such profits are subject to a capital gains tax of 15 percent.

email this print this

To your second question, in my 15 years of accounting there have always been capital gains taxes. The Bush administration recently lowered the tax from 20% to 15% to encourage investment.

This is the IRS position on the subject:
http://www.irs.gov/newsroom/article/0,,id=106799,00.html

To your second question, in my 15 years of accounting there have always been capital gains taxes. The Bush administration recently lowered the tax from 20% to 15% to encourage investment.

This is the IRS position on the subject:
http://www.irs.gov/newsroom/article/0,,id=106799,00.html

Cool, Thanks Pete and M&M. As for the guy commenting about people needing to take basic accounting classes etc and being morons. I have an IQ of 156 I am not a moron I just put it to use in healing people rather than making money. The dimwitted questions people ask? They arent dimwitted they are uneducated. On a subject such as this it is hard to find the teaching. Which is why this posting room was put up.

Nice catch Jeff !

The rate finally moved on the NBK. Unfortunately it moved down againt the dollar from 1239 IQD to the dollar to 1241. This is only good if you're still buying, like me :)

Someone on this blog said a while ago that it would drop before it went on the market. People who bought when it first came out at $150 per mil are cashing in on their 70% return, afraid of the instability in the country. I personally think things are much better since Allawi took over. He's a strong leader. But then, I've never been to Iraq. God Speed the Coalition Forces!

All the other quote sites stayed the same:

NBK 1241 (Down today from 1239)
RateUK 1150
UNIDO 1460
Bloomberg 1460
OANDA 1460
PortAl Iraq 1460 (moved down from 1455 last week)
ICCFX .3190 (They still have old pre-Gulf War
rate of $3 per dinar)

Cool, Thanks Pete and M&M. As for the guy commenting about people needing to take basic accounting classes etc and being morons. I have an IQ of 156 I am not a moron I just put it to use in healing people rather than making money. The dimwitted questions people ask? They arent dimwitted they are uneducated. On a subject such as this it is hard to find the teaching. Which is why this posting room was put up.

Hey Kyle -- My pleasure ! That's what these blogs are for. A sharing of ideas... We all bring something to the forum. Even the nay-sayers. I listen especially hard to them and research their claims. You never know...
This is my first experience with international currency. My husband is a Paramedic who was injured at the WTC on 9/11. I was an accounting manager. I left my finance position to stay home and take care of him. I started looking for investments and found the dinar by accident while researching the war in Iraq.
I'm no expert but it looks like a pretty good bet...

Anybody hear anything about the new Iraqi Treasury Bills? Any speculation?

"Our policy will remain a stable dinar, not a fixed exchange rate. We will not stand against gradual movements of the currency," Shabibi said at the central bank headquarters on Rashid Street in Baghdad's old district.

hmmm... trying to read between the lines...what does he mean?? ...Shabibi is the man to watch.

Some dinar history, this article is from Feb 2000.
http://www.expressindia.com/fe/daily/20000929/fec29056.html

Just before the current war:
http://www.webprowire.com/summaries/433395.html

Current US articles:
http://www.adn.com/24hour/iraq/story/886822p-6177433c.html

http://reuters.com/newsArticle.jhtml?type=topNews&storyID=5449195

Reuters on the new Treasury Bills:
An Iraqi dinar treasury bill issue is imminent. The proceeds will be used to finance state obligations. We will only buy the government bills if this meets our monetary goals," said Sinan al-Shabibi, declining to give details.
"Asked if foreigners will be allowed to buy the
new paper, the governor said: "Eventually this will happen. We are studying the experience of other countries."

I keep hearing folks worrying about bringing in excess of 10,000 USD into the states. No one said taht was illegal, just that you had to fill out the paperwork.

Also the NBK was at 1241 last week as well. I have been following their rates since Jul 8 and their rates have been at 1241 for three different periods during that time.

Thanks Dave... good to know it's still within it's average range.

http://en.wikipedia.org/wiki/Iraqi_dinar

Headed out to enjoy the beautiful weather in NY...
Have a very Happy 4th of July everyone!

John,
Obviously you don't need this forum so why don't you keep your comments to yourself and stay off of it. We are on this forum to gain knowledge on the dinar and the majority of us have absolutely no background or knowledge in accounting, investing, or currency. However you seem to know all that already. We might need an education in accounting and investing but you definitely need an education in spelling, because frankly, it stinks! If you had any class at all buddy you would offer your expertise on this subject and help us out. However you wasted your time and ours by trying to degrade us. Now we see who is the moronic dimwit!

well the bottom line is this,there wont be a big change in the dinar untill end of july or begining of august cause that is when the world bank enters iraq,once that happens then the dinar will be accepted i read somewhere its supposed to be july 31st exzactly when the world bank enters iraq.

As the day nears for which we all are hedged, please remember that there are 2 significant issues at play: The undervaluation of the New (occupation) dinars, in a uncertain market that is tense, but seems poised to grow and kick some middle eastern financial butt, once they pacify the wackos. The other is the declining value of OUR US Dollar, being sold down the river by these Fed Bastards printing all this new US dough, rebuilding Iraq at US Taxpayer expense, with no reasonable expectation of being repaid. The more we spend rebuilding them, the lower our dollar falls; IT'S ALL DEBT! How on earth could the New Dinar fail to appreciate in the bread basket of the middle east, with the US Taxpayer footing the bill.

And besides all that, WHO'S GONNA SCREW YOU WORSE? The new Iraqi government? We hope they won't screw it all up, despite our best intentions and the systems WE put in place.You gotta believe they're trying to hit the ground running. Who needs the ditraction of replacing a just-replaced currency? I don't buy it!
Or will our soak-the-rich badguys catch up w/ our foreign accounts, making a media spectacle out of the lucky bastards that saw this for the opportunity it is and held on through 'til payday!! They'll have to invent new laws to address the newfound wealth of a great group of forward thinkers who hit it big, while the small minds of the shreiking masses are mired in 'quagmire' and election year vitriol.
Well, my wife and I are invested in this wild speculation, this leap of faith in history and the resilience of this Iraqi nation who've lived a hard lot for a long time; well, boys n' girls: it's shit-or-get-off-the-pot time!!! I look forward to posting back here sometime after payday...

thanks tony for that peace of information, and if you got the link to it, Please attach it to us .

ok, i was lookin at the website i posted the link to bank of dinar and on it i saw this

Potential Investment Return �
New Iraqi Dinar

Days before the invasion of Iraq, the Iraqi Dinar was valued at about 3 cents.

The New Iraqi Dinar is currently valued .169 cents or 6 Dinar to the penny.

so if 6 dinars right now equal 1 penny then the 25,000 dinar note currenctly selling on ebay for $25-$35 is worth $41.66?
there is a phone number i dont know maybe if somoene wants to call and ask them?


Bank of Dinar
Customer Service:
818-212-9421
903-466-2108
Customer Service Hours:
Monday�Friday: 7am�10pm PST
Saturday and Sunday: 9am�6pm PST

Customer Service After Hours:
877-208-4321
24 hours � 7 Days a Week
support@bankofdinar.com

if thats the case that means 1 million dinars is worth $1,666.40 hopfully we can get someone to follow up on this if this is the case i know i would defintly buy more from ebay before the price goes up being that 1 million still selling for $840-$875

People take a look at this site you will be amaized ..umm umm ummm

the iraqi dinar in National Bank of Ukraine
01/07/2004 as followes : - Iraqi Dinar 0.3654
and the us dollar to Ukraine currency is
US Dollar in settlm. with Indi 25.6560

i wounder if some one can get conntact with them and clear this out .. that is weard


check this by your self -->
http://www.bank.gov.ua/Kurs/ENGL/last_kurs2.htm

HEY THIS IS MY LAST TRIP HERE INTO IRAQ..I DRIVE UP AND DOWN THE HIGHWAYS FROM KUWAIT WEEKLY..THE IRAQIS THAT I COME INTO CONTACT WITH DAY TO DAY HERE LIKE THE NEW DINARS AND ALSO SAY THEY ARE HERE TO STAY...THEY ALSO KEEP SAYING SOON, SOON
WHEN I ASK WHEN IS IT GOING TO GO UP..AS FOR MYSELF I AM HOPING IT DOES SOMETHING AS WE ALL ARE. THIER ARE MANY SOLDIERS AND KBR EMPLOYEES WHO HAVE BOUGHT MILLIONS....DO YOU THINK WE ALL COULD BE WRONG? AFTER ALL WE ARE HERE IN IRAQ...

tony, that is the price that the website is charging. The actual bank exchange rate is found on yahoo!finance currency converter

check the website out,the price there charging is completely different from what they say its worth

there deals are on the left but if you look on the right under the credit card logos you'll see what i mean

http://www.investindinar.com/sale/

check this site out on the left it has a thing where you put in your email addy and you get updates on the dinar in your email has things happen to it obvously you dont have to put in your real number unless you want too,theres also a number to talk to the guy i found this on ebay some guy is selling lots of 5 million dinars and at the bottom he has some calculations and according to his calculation i came out with it being 600 dinars to 1 u.s dollar,dont i wish

Fredo,
I laughed reading your comments. RIGHT ON! 100%!

No seriously, tony. Check this site to find the real exchange rate. This a local IRAQI currency converter, not some guy trying to make a sale.


http://wwp.greenwichmeantime.com/time-zone/asia/iraq/currency.htm

thats basically like onadas wich is what im going with.

Yeah, I'm not even going to get my hopes up until the IMF gives recognition. Supposedly it's imminent. I guess we shall see

Iraqi stok market started working Yesterday source arabic financial CNBC news. no too many media coverage was presented at that time.

http://www.cpa-iraq.org/budget/NIDmergedfinal-11Oct.pdf

something i found while searching the net for more info.

This link below is definintly an awesome tribute to all you soldiers in Iraq and verterans. M&M you'll like this too. I feel proud to be a part of this forum of free thinkers.
Make sure you are able to hear the music "Freedom Fighters"

http://www.ticz.com/homes/users/bob/On-A-Rock/On-A-Rock.htm

Have you guys seen the guy on ebay that is selling 1 millin IQD for $400,0000.00. LOL!!! Maybe one day, but it sure as hell isn't now!

lol ya i been thinking bout emailing him and offering him only 350,000 lol,also a nice one just got on there from a decent seller selling 7.5 million for $6100 i think,it be sweet if everyone here knew each other well and trust was there we could all pool our money together and buy a big lot from ebay..lol i may order another 500k dinars they only want $450 for it i dont know.

Ha "freedom fighters" see we all in this forum we share some thing in common that we are all after Iraqi dinar . But we are not talking politics because when it comes to that we dont call them "freedom fighters" we call them Invidors "ocupation Authority" and no dought about that. Just take look at this if Maxico Invided usa what you will call the Maxican freedom fighters. review what you said carfully before you say any thing.

Are these guys on ebay and websites licensed to sell/buy/trade currency? I have yet to come accross a web site where the person has posted their license info. If found a couple of interesting items in the Patriot Act that might apply.

`Sec. 1960. Prohibition of unlicensed money transmitting businesses
`(a) Whoever knowingly conducts, controls, manages, supervises, directs, or owns all or part of an unlicensed money transmitting business, shall be fined in accordance with this title or imprisoned not more than 5 years, or both.
`(b) As used in this section--
`(1) the term `unlicensed money transmitting business' means a money transmitting business which affects interstate or foreign commerce in any manner or degree and--
`(A) is operated without an appropriate money transmitting license in a State where such operation is punishable as a misdemeanor or a felony under State law, whether or not the defendant knew that the operation was required to be licensed or that the operation was so punishable;
(2) the term `money transmitting' includes transferring funds on behalf of the public by any and all means including but not limited to transfers within this country or to locations abroad by wire, check, draft, facsimile, or courier; and
`(3) the term `State' means any State of the United States, the District of Columbia, the Northern Mariana Islands, and any commonwealth, territory, or possession of the United States.


Here is the link to the above post.

http://www.epic.org/privacy/terrorism/hr3162.html

well! the real price is 1400 dinar for 1 dollar. that is in kuwait. if there is any way, where i can help to send some money for you guys -with a little profit for me- i can get you a million for $800. the only thing we need to figure out, how to trust eachother. i don't want to get f..ed over, you probably thinking the same! any ideal?

lasthehun

the Price in kuwite is I NID = 1240 you can check it out by Bank of Kuwite you trying to make big profite here !!

i ment 1 USD = 1240 .

good news

IRAQ has launched a new stock exchange, without fanfare. Staffed almost entirely by women, it aims to become the leading bourse in the Middle East

reference --> http://business-times.asia1.com.sg/sub/news/story/0,4574,121565,00.html?

good news

IRAQ has launched a new stock exchange, without fanfare. Staffed almost entirely by women, it aims to become the leading bourse in the Middle East

reference --> http://business-times.asia1.com.sg/sub/news/story/0,4574,121565,00.html?

Abdullah!
If the rate was 1240 in Kuwait then 1 million dinar = $806. But the rate is 1400 so 1 million = $714. I would sell it for $800. $1=1250IQD.
if anybody interested!

Where is FirstDinarFinancialGroup's Skyrocket on July 1st.

We once again warns to keep distance from Bremer's Dinar.

IRUM
ASIAN RESEARCH DEPARTMENT

Irum --> why is that ? they could made alot of mony and run away .. or it coulde be for some reson we don't know tell us Irum

Can eny body answer my question please. Why the smallest unit of the NIQD is 50 Dinars It could be 1 Dinar or even 5 Dinar !!!!!!!!

Yes Irum, please tell us why! You seem to know so much more than us. Please tell us why!

HA- I for one really appreciated the e-mail you sent about the rock. I have seen it before and I am planning to see it in real life in a couple of weeks. It makes me proud of the USA and my husband who fights for the freedom of all of us!

Hi M&M,

I was hoping to pick your brain since you are an accounting manager and know much more than most of us.
When the dinar opens of course I want to put it in a bank. I'm really not happy about getting wacked with a 15-30% tax and am thinking about some above mentioned private or offshore accounts. However, I want to be legal about all this and don't want to get myself into trouble. Obviouslty I'm not too familiar with all of that. Is there maybe something in between where I can put it into an account with a good intrest rate and not get taxed except for what I spend or any other variation of that scenario. Like I said, I want to be leagal but damn it's upsetting to have to pay anywhere from $150,000 to $300,000 on every 1,000,000, especially when I dream of cashing in for Millions. ;) That could be the money I use to build my new house in Puerto Rico or on one of the coast of Mexico.
I'm very Patriotic and served 8years in the Army, the Infantry no doubt, but this makes me want to move far away from home.

shelley your hasbend has killed alot of people don't be proud of hime too much . He suppose to be in international court not freedom fighter dear. Saddam maight be a bad guy but Iraqi people has to deal with hime . First solve your proplems back home - i don't want get in that, but don't call any body freedom fighter unless he deserve it . Your country has blood in its hands ok do you wana remind you of hiroshima Japan, vitnam,Iraq,Afganistan,somalia. 2000,000 babies has been killed during the sanctions and now you are after 2000,000 NID you people are weard. My comments doesn't apply to all american only some people Like shelley and ha who tring to bring personal issues to this forum.

this isnt the place for this abdullah if those are your belifes then take that yup with her in email this is a forum for peaceful conversation among people with the same interest the dinar,i think so far the information i have seen here is priceless and its nice to finally see someone who knows what the dinar is people would look at me crazy when i would talk about it,so please lets all stay friends there is enough fighting and hating allready if theres something you need to say to another person here if it doesnt have to do with dinars please do it in email shelley did nothing wrong,she is proud of her husband and wishs him to to return safely has we all do abdullah after all remember this, if not for people like shelleys husband saddamn would still be there and even more kids would suffer so lets all relax and help each other out.

oanada update were still at 1,460 i know some are talkin bout bank of kuwait or something i checked that its still at 1,239

sorry tony i appologize.

Abdullah, you need to keep your negative coments to yourself. I ain't the most patriotic person, but i am serving in Operation Enduring Freedom. And it is for a reason. Shelleys husband is doing his job. Study your history before you go talking about war. Japan was japans fault, vietnam was their fault, afghanistan (where I am) was their own fault (9/11), and we helped somolia. So you need to kick back and chill. If it weren't for America, you wouldn't be fortunate to even invest in the Iraqi Dinar. It would still be ran by saddam, killing his people and raping the women.

no problem bro lets just get back to providing more info bout why we are here,i tryed to email the bank of kuwait wich is telling us on there board its worth 1239 but the email got sent back said failure to something i dont know maybe if someone else wants to try or even call its a odd number

lasthehun sounds good buddy,but like you said it be hard setting up a way to trust both parties,unless you wana pay a escrow service and that will cost more,for for only $50 more someone can buy from ebay one if wich is there higest dinar seller certified he sells 1 mil for $850,reason he can sell so cheap is cause he stocked up like i did when it was 4000 dinar to 1 u.s dollar but if a few people are willing to get together on your deal and find a good escrow service to do it for everyone involved im sure you'll have some takers goodluck.

Abdullah,

You are right, this is a forum about the NID.
But, why do you insist on entering your own views
in your answers? Practice what you preach.

My, my, my.... this forum is heating up.
There are plenty of other blogs available to talk politics. This is a pretty good one: http://instapundit.com/

This thread is about investing in Dinar so let's stay on topic, shall we?

As an accountant I would never condone cheating on your taxes. The penalties are serious. With that said, we live in a free country and reporting your earngings are voluntary. If you put your dinar in a safe deposit box for security, the gov't has no way to know about it. Once you cash in, you need to decide where to put your dollars. If you open an account with a large sum of cash they can, and most likely will, ask where you got it. They can, and may, report it as suspicous to the Fed. Anything over 10,000 in cash is scrutinized. However, should you decide to put that cash back into a safe deposit, no one would know, but you'd lose a fortune in interest. I don't know anything about offshore accounts, sorry.

My professional advice: Pay the tax. You'll make it up in interest in no time. You'll sleep better at night and your cash will be easily accessable when you see the perfect car/boat/house that you just gotta have!

jame i am gana keep my comment's to myself this time. i guess tony was right

Here are today's quotes:

NBK 1239 ( UP today from 1241)
RateUK 1150
UNIDO 1460
Bloomberg 1460
OANDA 1460
PortAl Iraq 1460 (down from 1455 last week)
ICCFX .3190 (They still have old pre-Gulf War
rate of $3 per dinar)

I've added another quote site to my daily run that's had some recent movement.

XE.com 1456 (UP from 1461.55 yesterday and 1468 on 6/30/04)

With the new Iraqi government in place the Dinar should gain faster than before. The prediction is that the Dinar will start trading with the world banks in November, at that time the cost of buying Dinar's may become to expensive to invest in.

reference --->http://www.scgs.us/

Any info on why the Central Bank of Iraq stopped updating their currency auction prices? The last update is June 20th...

http://www.uruklink.net/cbi/index.htm

http://www.iraqcoalition.org/exchange.html

M&M this site may help you regarding the exchange rate updating --> auctions.


i think its updated in here.

Thanks Abdullah --- The CPA was pretty much disolved on June 30th. They have not updated the exchange rates on this site since June 27th. The site now re-directs you to the American Embassy in Iraq:
http://iraq.usembassy.gov/
Lots of interesting stuff, but no exchange rates.

abdullah,do you mean the world bank will enter iraq in november and then start trading,or it wont start trading untill november meaning the world bank will enter iraq sooner but will still take time?

Hello i hope you will fine my host Give us the latest rates of iraqi Dinar In rupes and also in USD we will be thank full to you for that

You cool with me abdullah; good web site. I hope that it goes to what it says and we'll all be rich!

i am really not sure tony i just coped it to this page i am waiting for some one to explain it to me .

Guys go to EX.com, it's at 1446. It's been droping since this morning. I've been monitoring this site everyday since the middle of June (the rate in the last 3 weeks has been between 1456 and 1476). This is the lowest it's been in 3 weeks, hope it keep dropping. Would love to see it open around .20cents or more. Wishful Thinking.

jamel i wana be rich too, i woulde stop working from next day and one thing more throwing the resignation paper in my boss face. i swear i'll do it.

NICE CATCH J --- 1446.09 at 1pm EST
That's 50 fewer dinar for the dollar in only 2 hours... we better keep an eye on this folks!!

i bought 13,000,000 NID but at the end of this mounth 2 more million will be added to become 15,000,000 i think that amount will turn me to one of bill gates friends. But the next couple months gana clear every thing out if its not end of july or begining of aug .. i will wait up to 2 years.

where did you got that exchange rate it's still showing 1460 in oanda and 1455 yahoo for jun 14 auction ... sound great

Hey Tony -- Watch out for SCGS. It's owned by a guy name David Adickes. He also owns First Dinar Financial Group. Check the contact address, same place... I had real problems with this guy when I ordered from FDFG. Gave me a run around for three weeks after I paid him. Never did get the Dinar. Had to file with the BBB to get a refund.
He's bad news and I wouldn't trust the claims on his site. You don't even know what SCGS stands for. No phone number or name given either. I had to track him down by the address. It's a park, presidentspark.com. He's an artist (A real good BS artist as well)
"Caviat Emptor" ...Buyer Beware


WOW Abdullah ! --- I'm jealous. 15 mil is going to make you a very rich man indeed.

The best rate I've seen is 1150 at: http://www.rate.co.uk/exrates.html
It hasn't moved at all on the site as far as I know.

However, this site:
http://www.xe.com/ucc/full.shtml
has shown steady improvement with a surge this morning.

Anybody else been tracking the rates? Pick up any trends??? Please share :)

Any good articles today?

abdulla where did you get your info about the world banks trading in november

i'm new at all of this but i think it has improved...i was just on oanda.com and saw that 1 iqd is .0007 usd and if i remember correctly a few weeks ago it was .0006...so it's getting better. and i was reading up in the blog and abdullah had said that on 6/29 1 usd was 1,455 iqd and today on oanda it is 1,421. so looks like it is getting better!!

Abdullah,

After I get back from Amsterdam..HEHE
We can meet up on my Yaht (how can I buy one when I don't even know how to spell it, guess I'll have to take a crash course)around the Virgin Islands and have drinks with all the money we will have. Just no comment like before or you'll be swimming home.
Patience my fellow investors, Patience.

Anyone with some knowledge...

That 15-30% tax, is that a one time deal when you cash in? Is there a tax each year at tax time for that amount of money also, like a "special" tax for the rich?
What is the average percent on a saving account? Hopefully that money earned will balance out what I've paid to the IRS.

Asian research dept. ???? Got a web sight or something. Give us some proof! All I've read from you is your opinion. I really like to hear everyone's thoughts negitive and possitive but you seem to be so informed, I'd like to see some facts please. By the way, this is a very good place to get info. Thanks all.

Here's an interesting conveter
http://www.iccfx.com/

10,000,000 Iraqi Dinar (IQD) = $31,235,939.6328 US Dollar (USD

according to them i currently have 31 million and some change kool just give me 10 mil..lol

thats the old rate bro they still havent changed that,BUT i wouldnt be suprised to see that old rate again in bout 5-6 years.

sorry, this is the one I ment to give

www.aljazeera.com/fn913.asp

http://portaliraq.com/index.php?module=PostCalendar&func=view&tplview=&viewtype=day&Date=20031228&pc_username=&pc_category=&pc_topic=&print=

on this website on the top left hand corner they have a converter that automatically changes,also whats kool is you can see job openings in iraq for all fields,some paying as much has $100,000 a year where here they would only make around $30-40k a year some kool stuff on that board,plus you can post your resumes and employers hiring for jobs in iraq will contanct you.

eflop good site,i wonder if the numbers change throughout the day or just once a day

Hey tony, your my new best friend! I only have 1 million dinar. Ah, I guess 3.1 million dollars is o.k. for now.

Hi Mallory -- That's the "Bid" price, not the "Ask" price. The bid price is what a buyer is willing to offer, the ask price is what the seller is asking for it. The actual price will lie somewhere in the middle. Most sites will only show you the ask price. OANDA shows both, which haven't changed in some time...

eflop,we need to be friends with Abdullah he has 15mill dinars-around 46 mil u.s lol

CONCRETE TAX IMPLICATIONS OF THE IRAQI DINAR INVESTEMENT

As a recent graduate of law school(taking the bar exam this month) who is also making a small investment into the Iraqi Dinar as well, I wanted to let everyone know how this will be taxed(i checked with my tax law professor)...

(Taken directly from my Professor's response regarding tax implications. Sections refer to Federal Income Tax Code)

BEGINNING OF RESPONSE
For U.S. tax purposes, foreign currency is property, not money. Thus its purchase and sale is a property acquisition and disposition resulting in section 61(a)(3) gain or section 165 loss. Accordingly, the cost of the foreign currency is its basis, and the eventual sale price is the amount realized. (Converting the Iraqi currency into U.S. dollars is a sale.) Depending on the relative numbers, gain or loss results when it is disposed of. In your case, you are assuming gain.

Given that, the next question is the character of the gain: ordinary or capital. If the currency is honest-to-God acquired for investment, and if none of the exceptions to the section 1221 definition of a capital asset apply (e.g., stock in trade, held for sale to customers, and so forth), then the gain is capital gain. If not, it is ordinary income.

If it is capital gain, then the final question is which of the capital gain rates apply. See section 1(h) (which probably will not be in its present form in five years).

So, with the gain being characterized as Capital Gain rather than ordinary income, you will be looking at roughly an approximate 20% tax rate.
END OF RESPONSE

J,
this will be a one-time, capital gains tax for each time you convert any amount of Iraqi dinar into U.S. dollars.

I has been enjoyable following this thread. Its much better than the FatWallet forum thread on the Dinar.

To further our discussion on taxes...

J'S question is a very good one.

The year you cash in your foreign currency you will need to claim a quarter of your profits as a capital gain; long term gain if you hold the dinar for over a year, short term gain if it's less than a year. The current maximum tax rate for this is 15% according to the IRS.
http://www.irs.gov/newsroom/article/0,,id=106799,00.html

ie. You paid $1,000 for 1 mil dinar. Now it's worth 10,000 so you cash in. Subtract the original investment amount 10,000 - 1,000=9,000
Take 1/4th of that; 9,000/4= 2,250.
You would pay the tax on 2,250 only, at whatever the rate is that year. (Vote BUSH for better rates. The DEMs want to take it away from you. This is what they refer to when they talk about tax breaks for the rich. They assume that only rich people invest. An insult to all of us small investors.)

The second issue, which J raises, is the earnings on the US Dollars afterward. Like any other other interest you earn in the bank, you must add it to your income tax return for the year. However, you pay tax on the earnings only, not the full amount of your holdings.

ie. If you have 1 mil USD in the bank earning at 3% interest that's $30,000 in interst earned for the year. You must add that $30,000 to your income tax return for that year and pay whatever the tax rate is for your bracket. The more money you make the higher the rate is. (US uses a Progressive Tax System)

M&M actualy i bought the 13,000,000 NID from exchange shop i live close to Iraq i can find it at any exchange shop i can buy as many as i can but i don't have enough mony to buy more i got addicted to NID i know it sound funy but this is the truth. the exchange rate i bought them is $700 for each million i know its cheape in here. and guess what free of taxes. Thanks goad

M&M,
Where do you see exactly that the IRS says you would only have to claim a quarter of your profits as a capital gain?

Because I do not see it on the link you provided, nor in the Federal Tax Code.

tony if you take a look at this site -->URL
http://www.scgs.us/

the following sentense "With the new Iraqi government in place the Dinar should gain faster than before. The prediction is that the Dinar will start trading with the world banks in November, at that time the cost of buying Dinar's may become to expensive to invest in. " written in the middel of this web site i don't know the cridability of this peace of information, i have dought of it since it's commercial site of selling iraqi dinar but in this days tony we tend to belive every thing make us happy.

hey guys. i've read your whole fourum from the start, lots of great info on the dinar
my dad is in iraq working for KBR and called me july 2nd and told me to send him some money right away if i wanted to get in on the deal so i did as he asked and sent a good sum of cash via the mail (neatly concealed within the packaging) i'm just starting to get a little nervous whether or not it will get there as he has been there for a month already and has recieved no mail as of july 3rd. any idea how long it takes for the mail to get from here to there?

MT that depends in what service did you use , for example fedex takes three working days, cause i have recived mail from usa using urgent services like fedex not more than that, but regarding iraq have no idea how is the infrastructore of the mailing system down there.

abdullah,
regarding the mail to iraq we used United States Postal Service (USPS) regular mail. which i was told goes to new york and from their is picked up as military mail (apo) and them from there who knows. i sure wish i had read this forum before i had decided to take this route of purchasing dinars, but when my dad called he sounded pretty sure this was the thing to do, again prolly worring over nothing this is just one other aspect of the gamble, thanks

every website that sells dinars are askin crazy prices some as much has $1700 for just 1 million and $50-$60 for just a 25000 dinar note

and i understand too what you mean by being addicted i am too,i feel like no matter how much i have its not enough then when it does change over and if it does change over to a really good price im gona kick myself in the butt for not buying more.

MT,
I'm in Iraq right now and it takes anywhere from 8 days to 3 weeks. It all depends on where he is and thru which service he is working with... Army, Civilian Compounds. I'm working in a small Army base as a Civilian and just had our address changed about 3 weeks ago. It only take about 8-10 days for things to get here. Before that I was waiting for about a month before things got here. In all the mail structure here in Iraq has gotten much better within the last few months but due to some things (not negative things, restructure again)going on over here it's taking a few more days than 8-10. Hope that answered your question.

Other than Irum, does anyone think the dinar is not a good investment? Just curious to everyone's thoughts.

Just a food for thought. I bought 2 million from JBtrader for $1750, who is in Chicago, on June 16th and still haven't received it yet. I did talk to him today and he says I will receive it by Thursday or Friday. Because the shipment was coming in tomorrow.

I then bought 1/2 million from jaki2000 for $450, who is in Jordan, on July 2nd. I tracked it on Fedex.com and it is scheduled for delivery on July 7th. Five days! Not bad huh?

Go dinar!

Hi Blake -- I read it somewhere when I first started to consider investing in the Iraqi Dinar. The 2003 capital gains reporting is done with a schedule D along with your 1040. It may have been part of the recent change to the lower rate of 15%. I'll pull it up again and post it.

Blake,or any Tax Person:
You wrote some very interesting comments on taxing the Dinar etc. Some questions if you will? When I was in Germany, I was living there an I exchanged my US dollars for marks daily sometimes weekly. Never showed any neg. or pos. nor did any American GI or US person I know of. There was always better deals to be had, just had to know who had the better exchange rates. I think the ARMY would've notified us that we would have to claim any gains or loss do to Currency trading etc. Okay, I have taken several vacation in other counties doing the same thing, exchange for the current monies from my U>S. Dollars without reporting because never been informed I had to etc. So, if the U>S. Person working in Iraq are tax free income, and decided to exchange while they are there, why would they have too? Furthermore, so many Americans take vacation all over the world and exchange monies and I would say nobody paying taxes on this transactions etc. I understand if I am making an investment, but if I am working or Vacations in the foreign place, wouldn't I be allowed to exchange without taxation? PLS explain on any of those ideas please. Breck

Hey J --- I found some info on offshore accounts:

http://www.offshorepress.com/offshoretax/legalways.htm
I didn't read it all the way though but it sounds like what you were looking for...

Hi Breck -- There wouldn't be any tax on the transaction you're describing:
http://www.offshorepress.com/offshoretax/otcurrency.htm

Breck,
The difference is that your scenario is the opposite of this investment for several reasons.

1st and basically, you were exchanging your U.S. Dollars FOR Foreign Currency WHILE you were in that Foreign Country. You were not exchanging German Marks for U.S. dollars WHILE your person was in the U.S., as is the case with the Iraqi dinar investment. I suppose while living there, as part of the military on active duty, you had a valid exception where you were not subject to Germany's tax laws, whatever they may be. But anyway, even if you were just a civilian, the action you describe would be subject to Germany's tax laws, not U.S. tax laws. Moreover, what you do while living in other countries "rarely" will have a U.S. tax implication.

2nd, with the "american on vacation" and "daily exchange" hypos, the person was not holding the U.S. currency for investment purposes waiting for the exchange rate to increase. The person was merely exchanging currency on a "as-needed" basis and there was probably only minimal gain/loss in U.S. dollar's value, if any, from the time you brought it into the foreign country and the time you exchanged it. IF you were required to file a German tax form b/c you lived & worked there, you would probably technically required to declare this gain, but in most cases, it is so inconsequential a gain/loss that no one would come after you if you didn't.

For example though, let's say you brought in 1 Million U.S. dollars into Germany and saved it under your bed. 1 year later you saw how much the exchange rate improved in your favor where you would get many more German marks for your 1 million U.S. dollars than when you first brought the U.S. currency into Germany. Again, you would be subject to Germany's tax laws for this type of long-term capital gain.

Now in reversing that and looking at currency brought into this country, you will see that there you there is a limit to how much you can bring into this country without reporting it. If you bring in Iraqi currency that is worth more thgan $10,000 USD at the time you bring it over, you must report it to Customs. Besides being a security concern, this also alerts the IRS to keeo track of the money to see if any tax may be owed sometime in the future.

So, yes if you are on vacation or working in a foreign country, you could exchange your money into the domestic currency without additional taxation. however, if you held onto your U.S. military paychecks for 1 year, and then exchanged them into German marks when the rate had increased, you would technically then be subject to Germany tax laws for any gain realized from the increased exchange rate.

I hope you were able to follow my examples. You kinda had the concept backwards and I tried to explain the best way i knew how. Since it's complicated and may seem confusing to outsiders, just trust that my 1st post is correct, as it is from one of the top Tax Law Professors in the country.

M&M,
Breck has the concepts backwards in his hypos so I think your link and statement will only confuse him more. Not to sound confrontational, but I would honestly suggest not giving out tax advice you found on some link if you're not qualified as a CPA or an attorney.

The only reason I am actually giving out the advice free here is b/c i have not yet taken the bar exam this month so I am not creating any attorny/client relationships with my advice. Once i am a licensed attorney in 3 months, I will not be able to answer any of these questions without taking on a duty a liability for the info I post. So in other words, I won't be posting in 3 months.

Actually, that 2nd link M&M provided, written by a tax attorney, backs up my earlier statements about the U.S. tax implications for the dinar investment exactly.

Cheers

M&M,
I'm just wondering, how did you get this statement you made....

"There wouldn't be any tax on the transaction you're describing"

...from the link you provided?

http://www.offshorepress.com/offshoretax/otcurrency.htm

Because the 1st sentence in your 2nd link actually says the opposite. And the 1st link you provided actually specifically states there are limits to over-seas gains from currency exchanges for non-investment purposes.

You can't summarize those complex principles into extremely broad simple statements and still correctly state the law. You're treading dangerous territory by doing so.

Hi Blake -- I wouldn't consider your comments confrontational at all. I've fully supported everything you've said so far and this is an open forum for sharing ideas, not a professional web services site. I almost always close my comments by citing where I found the info. I certainly can't vouch for it's accuracy. That's for the investor to determine for themselves, as with everything they may read here. (Especially postings from the "traders" websites) I never said I was giving out free professional advice. I actully charge a great deal for my services. I explained in an earlier post that although I am not a CPA I've been an accounting/finance manager for many years. I am now retired and have been researching investments in Dinar for the past six weeks. We have all been sharing ideas/articles/websites during that time. It's not about right or wrong. As questions come up I try to research as many answers as I can find and post them. And although you claim to be taking the bar in 3 months that doesn't make you a tax expert nor would I take any legal advice from a blogger... This is merely a chat room. :)

Ok, let me apologize a bit. These 2 links provided by M&M actually explain the further tax questions posed by Breck much better & more accurately than I could.

I'm not going to be a tax attorney so, some of the more complex international tax issues I was not completely accurate with in my 2nd post. My 1st post is still completely accurate, as it is taken word for word from my Tax Professor's reponse

Thus, for Breck's specific questions, follow M&M's links(not his statement though) and go here:

http://www.offshorepress.com/offshoretax/legalways.htm

http://www.offshorepress.com/offshoretax/otcurrency.htm

Sorry for the rambling.


Dangerous territory? Really Blake, you take yourself too seriously. You either like the links or you don't. You don't have to read them.
He described the casual transactions that happen when you travel and there are no taxes, you've agreed. Unless his transaction falls into the investment category, which is why I posted the link for all to read and interpret for themsleves.
Unlike some folks, who expect us to beleive them at their word...

Apology graciously accepted. Please keep all those good ideas and updates coming !!!

I only meant making broad statements like "There wouldn't be any tax on the transaction you're describing" is dangerous territory because you can't summarize those complex principles into extremely broad simple statements and still correctly state the law.


Again, sorry for the hostility before.

PS... That first link was for Kyle not Breck. Kyle is interested in an offshore shelter. I believe Breck is the traveler with the casual exchange.

I fully agree, but this is not the forum for in depth analysis, is it? Will you be writing any papers for us on the rise and fall of the Dinar and it's implecations worldwide? Not likely while you're studying for the bar. So we accept what little you have to offer, thank you, and continue on with our research...

oops... it was J looking for an offshore account.
What's your take on sheltering the investment offshore, Bake?

of course, I meant Blake, our resident attorney!

Sheltering the investment offshore is definitely an avenue I would look into if the appreciation makes it worth it. But for that complicated matter, I haven't a clue myself how to structure it. You would definitely need to talk to a international tax attorney. I know I will be if the time comes. :)

I'll try not to be so argumentative from now on. It's ingrained in my blood and sometimes i forget to curb it.

The mark of a good attorney - PASSION. It's about the ability to turn it on and off at the right time. Look at all the great trial lawyers. They're at their best when they get up and take a powerful stance. You're gonna be great. Best of luck on the bar!

I'm very curoius about offshore investment but to be honest, it scares the heck out of me. I think I'll stick with the devil I know, Good ol' Uncle Sam.

Blake, No don't think I had any concepts backwards! I appalled you for taking time out of your very busy schedule to post some information for us, who you think to be on your lower feeding chain. No, I didn't get confused. All do respect, I was just illustrating a different methodology. I was posing the following pervious questions? Just making a few comments, to what you had stated! Also. I can follow your simplest terms very easy. If you read right, issues spoke of, I said for those working and living in Iraq as well, therefore are in a TAX Except status!! So wasn't just stating living in U.S. and buying Dinars. I don't think its your info, it was your professor providing the info you perviously stated. But, if a person has tax except status and working in IRAQ. Oct 29th 04, he had 1,000 dollars and on that day traded from Dinars lets say 1 million, and later on Nov 15th 04, those Dinars became worth a gain. You are stating he would owe some criteria for tax levy gains, short-term if realized etc. You stated in your example you used person would be subject to Germany tax laws!! I concur with your early statement Gov't workers are usually TAX EXCEPT STATUS!! Therefore, wouldn't owe any taxes. Again thanks Blake. I have bought Iraq dinars and waiting just like everyone else for the payday. I guess I let my account figure out the taxation amount once I trade and pay him the 150.00 dollars. Is that what you will receive Blake for tax filings, etc.?

Breck,
I apologize if i came off pompous before, it was not intentional. All I meant is that tax law is very complicated as I found out in my courses, and i just thought some people might have trouble following it if they hadn't taken a taxation class before.

Oh, and I'm going to be a civil trial attorney. No way do I want to be a tax lawyer, so I won't be doing any tax filings for anyone. Not my bag. ;)

Sincere thanks for the comments, M&M.

Man, this dinar investment has totally taken me out of my study habits. It's such an addicting and consuming investment angle to research. I should be receiving my 1 Million Dinar soon, I wish i was working instead of studying right now so i could invest a little bit more.

I wonder when major news networks such as CNN, MSNBC, or Foxnews will pick up the scent and run a story on the Dinar investment??

Please pardon a pithy political comment...

Hi Jamel -- Thank you so much for your service to our great country. It's so sad to see how parts of the world have been left behind when it comes to culture, science and economics. America will always be viewed like a parent; no matter how much we give it will never be appreciated. Perhaps we need to send a few history books over, along with all the food and medicine. I was so proud to see Pres. Karzai here in the US accepting a much deserved award. He deserves a medal just for surviving all the attempts on his life! A dedicated servant to his people, indeed. I hope Allawi fares as well in Iraq... Thanks and come home soon.

Thanks Blake,

News have already ran a story, but not a good one. Makes it out like some guy in a church sold some dinar and took an old lady money. I think a 90.00 dollar investment and made it look like they took her medication monies for a per speculation on dinar given back a 200,000 dollar return. News channel four OKLAHOMA ran the story and think they have posted on there web site. No really good info and lacks any truth, accurate information on the Iraq dinar. Brad Edward's trying to make a story out of nothing, other then it's a excellent deal for possible lg return. Hope you receive your Dinar soon. I acknowledged I might have took it wrong in the early blog, all good, hope you had a good Fourth. Breck

Hey Blake-- If you have time, please see if one of your professors can outline the capital gains calculations expected for 2004. I can't find the article that talked about a quarter of the profits being taxed, not the full net. (full net? an oxymoron?)
The net being; Selling Price - purchase price - bank transfer fees = net gain.

You're right, this has been very addictive. Several people have said the same....

Blake, you are such a damn lawyer. (That was meant as a joke, I promise)

I would just like to say that one should not expect the news to show anything positive for quite some time. A lot of us who have served tours in Iraq came home, saw the war coverage and were just stunned. I know it's already been talked to death, but I feel obligated to reiterate that the major news outlets have no interest in reporting anything good. I have served in Iraq and I have seen the good aspects with my own eyes. Iraq will recover

hey guys great fourum i've been following along for the past 2 days and i have also invested in dinars. Is the general consensus still that the world bank will be open and operating in Iraq late july/early august? I am also one who is waiting for some more dinars through the mail and don't want to miss the boat. any input appreciated

MT

Thank you for your service Jeff, Welcome Home!
There's plenty of good press out there, you just have to find it. Stick with Fox News, National Geographic, WABC talk radio, hannity.com has an internet broadcast too.
Good Luck and God Speed

Hi MT -- Welcome to Dinars Anonymous. As you can see we're all addicted to Iraqi Dinars. I have another order for 2mil coming in the mail as well...

Best of Luck!

Hey J --- Do us a favor ?!? Since your in Iraq, scan the local papers for dinar info. Or, if you have time, check with the banks? I know it's dangerous, even on an Army base, and I wouldn't want you to do anything crazy. Just let us know what you hear...
Be Safe

MT
as for he world bank in Iraq I have heard end of july and november both were confident answers when given to me I dont know what to believe

thanks for the info I talked with my dad today he is in iraq working with KBR driving tankers and said our dinar thing is right on track. in fact wants me to send him more money for dinars .the way he put it is were in the ninth ining with this thing.with the good news cooming from iraq i think we will all be having a good christmas.the things jeff said a little bit ago hits the nail right on the head. my dad said the same thing.IRAQ WILL RECOVER.hes looking at it with his own eyes. and jeff thank you for your service

sorry steve i put your name on my last post MT

REPOST:

Anybody have any info on this subject? Do you need a licence to trade currency in bulk? I haven't seen this area addressed yet on this forum.

`Sec. 1960. Prohibition of unlicensed money transmitting businesses
`(a) Whoever knowingly conducts, controls, manages, supervises, directs, or owns all or part of an unlicensed money transmitting business, shall be fined in accordance with this title or imprisoned not more than 5 years, or both.

http://www.epic.org/privacy/terrorism/hr3162.html

Mike,
I saw that info in one of M&M's links I believe, and from what I read further on under that federal statute, it applies to people in states that require licenses for money-transmitting businesses. So some states may not require one. But I imagine it might easier to get a license than we may think in any event.

No prob steve. It's nice to hear once in awhile.
Thank you.

this whole dinar thing has sure opened my eyes on iraq and how thoes poor people live over there makes me very greatful to live in our beloved united states.

Hi Steve -- You must be very proud of your Dad. He's a very brave man amd I give him a lot of credit, risking his life to help rebuild Iraq.
Thanks for the info from Iraq. If you don't mind paying a little more than you would on the streets of Iraq, PortAlIraq.com sells a million for $1085, free Fedex shipping. The dealers name is Chris and she's terrific. Fast delivery and friendly service. They also provide tracking for your package. I just placed my third order with them...

I am over here in Kuwait and I just heard that on Yahoo News it states that the Iraqi Dinar hit at .51 against the Dollar. I can't find anything to back up the rumor, but we have people packing their bags to cash in and go home. If anyone has any news or anything to back it up please let me know.

Thanks to all for all the info on investments and accounts/banks. All info is appreciated.

M&M and fellow investors,
I will post every and any new info on the dinar from Sunny Iraq as I get it.

As for the other guys who have stated about the recovery of this country... It is 110% correct. It is very apparent in the cities and the country folk are equally anxious to hit the road running. They are all also very serious about not putting up with the insurgents or acts there of. They are VERY Proud people and love their country. From talking to numerous individuals they have been waiting for this opportunity for too long and insist that they will be a very strong and powerful country, how can they not be, just look at all the Natural Resources this country has. It's friggin amazing!
As for the Big "O" (when will it Open)... They keep saying very soon. They don't have an exact date but are just as anxious and hopeful as we are.

so far in 1 hour the dinar went up to 1456 and down to 1446 on xe's site.as far has 51 cents to the dollar we have a better chance of winning the state lottery lol

Stacey, could you provide a link to where you seen that at. I'm ready to go home too!!

http://www.isx-iq.net/

thats the website for the iraq stock exchange i hear coca cola is trying to buy out the baghdad soda company in iraq but are worried bout security issues,can you imagine if anyone has stocks in coke and they start business in iraq..big bucks for sure.

Good Morning -- Stacy sure gave us a wake up call!
Checked all the foreign exchange sites:

RateUK 1150
UNIDO 1460
Bloomberg 1460
OANDA 1460
NBK 1239
XE.COM 1446.48 (down from 1446.09 yesterday)
ICCFX 1456.9533 (they finally updated their rates from the old pre-gulf war rate of $3 per Dinar. Did anyone call them, like we did with OANDA, to get them to update? Or are they preparing for something? Hmm...)

Couldn't find anything on yahoo news to support Stacy's announcement... so far :)

Bagdad Stock Exchange

Oh my God, Tony! How could you do that to me ! :)

Did you read this ? "...Rolling out over the coming weeks, 5 new companies per week"?? Broker accounts held from before the war ready to pop... Holy Cow!

I'm still grappling with my Dinar addiction. My husband will flip if I start investing in the Iraq Stock Market. I'd have to strap my laptop to my chest and carry it around. You think it's bad watching dinar grow, ha!

I actually didn't see it on Yahoo. A friend of mine gave me a printed out page from Yahoo news that reads.......

Breaking News Alert
BANGKOK,Thailand (AP) Associated Press reports that Thai Banking industry is taking the first major step to recognize the value of the fledging Iraqi Financial market. The international Bank of Bangkok has valued the dinar at an ititial rate equivalent to 20 Baht, or .51 of the American Dollar.

I have looked all over hell and back for this artical but can't find anything. The printed page is definitely from Yahoo just can't find anything to back it up.

You're killing me here, Stacy! Is there a web address printed at the bottom of the page??

I am currently on R&R in Thailand. Stacy is right I called my broker and he advised me to cash in immediately. Jump now!!!!!

lmao m&m i knew some people would get a kick out of it,i havent spent much time on it yet i still need to see whats going on.

Who know more about what other Major companies are setting up shop in Iraq??

Which Vendors.... Examples... Frito Lay?? Verizon??

Any Vehicle Manufacturing Companies??

Anything????

hyundai is one

a $500 million contract to major Iraq contractor, California-based Parsons Delaware Inc., for the construction and renovation of public buildings in Iraq.

Lucent Technologies has been awarded a contract by the United States Department of Defense to help rebuild, restore and modernize communications systems in Iraq. The contract currently has a value of up to $75 million over two years, with the option of spanning a total of five years

http://www.rebuild-iraq-expo.com/news_details.asp?id=342

http://www.rebuild-iraq-expo.com/news_details.asp?id=341

http://www.rebuild-iraq-expo.com/news_details.asp?id=340

http://www.rebuild-iraq-expo.com/news_details.asp?id=339

http://www.rebuild-iraq-expo.com/news_details.asp?id=337

there are so many its would take hours to post all so just go to this link and read it,it has day to day happenings in iraq

http://www.rebuild-iraq-expo.com/news.asp

Tony I knew that some on e would pick up on my thread "Dinar may go up" on The Portal Iraq site... not surprising seeing as how it has over 2000 views almost doubble that of charP and Danpeg.

as I said on that site the coca cola thing looks good. I spoke with Mr. Fettal of Albakra bank in Baghdad and he said opening up an accout there is not a problem. Its just I have to drive from Kuwait to there. I have to date 50,000,000 IQD and holding. Im going for stock and an Iraqi bank account because its 1. offshore 2. wont have to worry about currency demonitizing or currency change.. and as I said on Portal Iraq predidential order 13303 allows you to invest in currency, stock, buisness, bonds, and realestate.

Chad -- How? It's not traded in the US yet?

By the way Stacy Im working for ITT as a Q.C. on Arifjan and m&m this is the best board yet. :)

I am not in the US, I am out seeya, Just transferred 4.5 mil

ive searched my fingers to the bone and cant find anything bout thailand and $0.51..lol even there website bank of thailand has nothing bout it.

The problem we have no is the CPA is disolved, there fore we have no "eyes" on whats going on hell roumer has it that they quit auctioning off dinars and are buying treasury bills. Would make sense since the world bank has recognized them and IMF is waiting on the Paris Club to find out how much debt they are going to let go so the IMF can start pumping them. World bank is doing 34 bil who knows what the IMF is going to do..

chad how many dinars you trade in?

CHAD ! No Way ! You're just pulling our leg?!?!

Chad,
Your joke is not so funny!
But man did you have me scrammbling. ;)

I called the Bank of Thailand and was told they do not trade in Iraqi Dinar...

Chad,
Your joke is not so funny!
But man did you have me scrammbling. ;)

lol,i knew he was bs'ing thats why i asked him how many he traded in i wanted to see if he even knew how to calculate it..lol

lol,jerry didnt know that was you over there

LMFAO m&m called Thailand for noting too cute!!!

m&m no one in the world will touch the dinar untill the world bank enters iraq wich is anywhere from july 31st to november

m&m aint messing around she got her new lexus on hold =)~

ya man I'm eeeeeeeeeeevery whereeee.... lololol

Hey Jerry,

I'm in the middle of no where at Camp Buehring, formerly Camp Udairi. I hope this guy Chad is not BS. I wish I just had some hard facts to back it up.

The big issue here for Iraq and their economy is
the forgiveness of the current 120 billion is debt racked up by the old regime. The Bush Admin favors forgiving 90% of the debt, which would be great for Iraq to rid the shackles on them. If none of the debt is forgiven by the IMF the Iraqis will have alot of problems as the economy is only about 16 billion GDP, mostly oil. The Europeans, mostly French, want to get paid back. I suspect some sort of compromise allowing French firms a piece of the future in exchange for forgetting the debt. In any event, the short term outlook for the new Iraqi Dinar hinges on this. If alot is forgiven the currency will benefit greatly, if none is forgiven then the currency will be very, very weak. No matter what progress is made in rebuilding, the current debt is too high and the Iraq economy and currency will suffer unless they can start with a clean slate.

the only people i see standing in the way are the french i say just offer them some big contracts.

LOL -- Great adrenalin boost first thing in the morning! Didn't have to call Thailand tho, they're here in NY. Also spoke with the nice folks over at the Bank of Kuwait in Manhattan They're trading dinar at 1239 but only in Kuwait.

And Tony, it's a jaguar, black convertable, walnut dash, chrome trim... oh yea!

also i cany help but ask this question to everyone,at what point do you cash in?i mean if it goes up to 25 cents,then next day 27 cents,then next day 24 cents,i mean what are you happy with? or are you the ones waiting till it hits 1 dollar? 2dollars?im thinking bout cashing in half just for personal stuff then leaving the rest in the pot,incase it hits something really worth writing hom about

there is some many to be made now,not much like if you drive to iraq and buy 50 mil dinars it would cost you $34,246 then drive to kuwait and sel it to them at 1239 apieace youd make $40,355 a profit of $6,109 not bad for a days work lol

m&m im sorry to have insulted you with a lexus..lol

No problem Tony, You'd need an armored hummer to make that trip tho ! :)

Hello everyone, MY MANE IS MO AND I'M AN ALCOHOLIC .. Oh Sorry I ment Dinar addict (just kiddig). I'm in since 1/2004. I've been doing my homework like most of you (bty, you're all great bunch)I've been watching NID daily on almost all of the links you know, till I got to this forum. I don't have to do the work anymore. I read the whole thing and follow. but then I felt like this is unfair. I have to give back. and I remembered what I was looking for when I got to your forum. As an ex day trader, I'm not only concerned with the value of the NID but also the valume being traded specialy with supject that has a very thin market like NID. I was getting that from the CPA site. as you all know this is no longer working. to make long story short, to compensate lack of valume info, I picked ebay as alternative. before I see how much they sell 1 mill for I see how many offers ,how many completed items and count how many mil's are sold. the good news is the numbers are very good my friends. within the past 10 days, offers went down from 250 to 160's, completed items doubled from 475 to 950's, all new offers are very small quantities and the prices on the new listing alredy up from 850 to 900 and going as of now
I hope that mean somthing to any of you.

Thank you very much.

I really don't know how much is enough to be honest... I'll most likely cash in 4mil if it opens at .30, and hold 2mil for 3 - 5 yrs hoping for it to go to $1. If it only opens at .01 I'll probably only cash in 2 mil and hold 4...

(In Unison, please) Hi Mo -- :)

Welcome to Dinar's anonymous... We're all here playing the waiting game. Stacy got things moving earlier, Tony's tempting everyone with the opening of the new Iraqi Stock Exhange (Something you might be very good at ;)*nod*, and you bring us good news from ebay ! A great day all around, so far. You're absolutely right, higher prices and smaller offerings are just what we want to see, now that we're done buying. (Had to hide the checkbook,lol)

http://fxtop.com/en/historates.php3?C1=USD&C2=IQD&DD1=06&MM1=06&YYYY1=2004&B=1&P=&I=1&DD2=06&MM2=07&YYYY2=2004&btnOK=Go%21

Friends i just want you to take a look at the 2004-06-14 --> 1 USD = 800.063061 NID


Thats why we have to keep our eyes at the daily Exchange rate of the NID we may miss it again because if i relized it rised that much i would sold it cause that will be enough for me cause i have 15,000,0000.

Hey guys,
Since everyone here is always looking for more info, I figured I could add this little bit of personal info indicating a historical track record of success investing in Post-War Currency Trading....

Nne my investors in my small group of friends and family is an 86 yr old Multi-Millionaire/grandfather of my best friend who was actually around back in the 1940's and actually took part in investing in Post-WWII Germany Currency at a time he was almost piss-broke.

The great success he had investing in Post-WWII Germany currency jumpstarted his wealth and enabled him to take his first steps to where he is today. And he said Germany was anything but a cohesive nation after WWII.

FWIW, he has invested in the stock market for over 50 years throughout his successful career in commercial real estate, and he stated that now after many loopholes in the stock market have closed, the Post-War Currency Trading in the right situation is one of the few remaining places to make alot of money off of a small investment. He personally bought 5 Million Iraqi Dinar as part of our group without discussion.


I hope we all realize Chad was pulling our legs. ;) That's just too soon & too much of a dramatic spike for it to be true.

$0.51 is not impossiable i honestly think it will hit that much by feburary 2005,well maybe not cause by december im lookin at $0.25 cents so maybe by august of 2005 is more like it.

chat or stacy Please for any information regarding the (thiland & the NID) support that with an artical.

The Iraqi merchants on the base I am at are selling 1,000,000 NID for $770. Unfortunately, the Marine Corps dispersing office on base only disperses up to $500 a month to Sergeants and below and $1,000 to Staff Sergeants and above. Looks like I'm getting owned. I only have 2 months left here so all I can get is about 2-3 million at this great rate. I checked the exchange rate against the value posted by http://wwp.greenwichmeantime.com/time-zone/asia/iraq/currency.htm and it looks like the Iraqis are making about an $85 profit. It's alot less then the profit the guy at http://www.investindinar.com is trying to make.

M&M - The ability to invest in the T-Bills will probably not come until the WB is in Iraq. Most major investment firms would not touch a trade like that without the backing of the WB. I wouldn't mind investing in that myself, just hope the WB gets in there fast.

MAX - The formal exchange rate for the US will come after the WB has compiled what it needs to open it up. It will take them 3 months to compile their info, so if they come in by the end of July, we should see it open up by November.

John - I'd worry about a tax expert that says you would have to pay no taxes. What we all are doing is called Currency Speculation. It's no different than Stock or Real Estate speculation. It is covered under the Capital Gains Tax.

JD - They buying and selling of the dinar is going to make it fluctuate. Even if a bunch of the Egyptians cash in millions, there will be international investors who will be buying millions. The buying will more than likely out weigh the selling, about a 60-40 split. US Banks and investment firms want you to stay away from it because they can't make money off you that way. All these places that say it is risky will be buying millions and even billions of dinars. Banks also can charge for foreign currency, so that is how they make money.

If it comes out big (like .25/usd or higher) you may want to cash in a little but don't dump off too much. This is an investment that will grow in the thousands of percents. What I am going to do is sell 500K which will be many times what I invested. Then I'll sit and watch before selling any more. Anything after that is pure cream on the cake.

Does anyone currently on the ground in Iraq know if prices are in US$, NIDs or both? If so, what is the price of a common item like a Big Mac or a satellite dish? I read there had been over .5 million satellite dishes purchased since "major fighting" ended.

I feel like current price info can help us to determine the impact of a huge appreciation of the NID. For example, say the Big Mac is currently 1 US$(~1460 NID). Assuming an opening market exchange rate of say 1US$ = 1 NID (wildly optimistic!), then wouldn't it be ridiculous to assume as well that a big mac costs 1 million US$? I'm just curious about how this would work in reality. No one is going to be paying a mil for a burger, but i'll be buying a few!

Jared or M&M,
Could one of you guys explain what T-Bills are exactly (I've heard of them) and how that type of investment would work in this situation? I'm unfamiliar with it.

Much Appreciated,

Irum,

Most of those sites haven't updated because they were get-rich-quick sites that probably folded. One of them, Iraqidinarinvestments.com is locked by a lawsuit by Parava.net for an undisclosed reason.

FirstDinarfinancialgroup.com and Iraqi-Dinar.com are both registered to Glenn Cope via GoDaddy software. GoDaddy will not validate them as an actual business.

NewDinars.com, owned by Kristopher DiMarco is probably a single entity trying to cash in.

Daystartrading.com, owned by William Burbank of Reno, Nevada, probably the same as DiMarco's.

BuyDinars.com, owned by Lion Capital Group, is the only one in your list that is at least owned by a financial group. They may have walked away from this due to the difficulty in purchasing a large enough quantity to do business.

So sorry Irum, I'm not going to get disappointed by your very flimsy websites that probably can't afford to pay anyone to update their sites.

Please do not describe yourself as part of a Research group, because you obviously don't do any research.

Keep up the faith folks! Skip Irum's posts as they are rather pointless and factless. The only thing you need to understand is that you are not going to be an instant millionaire. You will, however, be one in time. The wave that we are riding has many miles to go before it reaches the shores, just keep the faith and stay on your board!

Blake,

T-Bills are Treasury Bills. They are sold to generate operating capital. In this case, they are selling them to operate the government. The US aslo sells T-bills as does just about every other country. Most have a fixed interest rate that could make it a nice little investment considering the dinar raises in value you will get that along with what interest rate they provide. I have yet to find out what that opening rate will be. I don't think we will be able to invest until the World Bank steps in. But that my not be the case if the stock market is back operating. We should hear more news on this in the next couple weeks.

Ben, the prices of goods and services will change depending on how the currency is valued. When Germany had wild currency devaluation, the cost of a loaf of bread soared, because the money was almost worthless. So, assuming that the dinar steadily appreciates in value, the cost of goods in Iraq (in dinar) will decrease. If the value of the dinar goes up by a 10-to-1 ratio, the cost of a Big Mac (in dinar) will decline accordingly. Not even a company as powerful as McDonalds can get away with charging the equivalent of U.S. $1000 for a Big Mac.

For example, when the Euro came out, it was initially very weak against the U.S. Dollar. The purchasing power of the Dollar was strong by virtue of that conversion, and the purchasing power of the Euro was weak. Now, the Euro is surging against the Dollar, and the roles have reversed.

Great site, everyone. Much, much better than Fat Wallet. I enjoy the reasoned analysis.

Hi guys, Great Info. Lots of discussion about Dinar. We are in very interesting times. Do you recommend a place/website where I can buy (other than EBAY) about 5 million, reliable way? From http://www.oanda.com/convert/classic

Tuesday, July 6, 2004

1 US Dollar = 1,460.00 Iraqi Dinar
1 Iraqi Dinar (IQD) = 0.0006849 US Dollar (USD)

How much above exchange rate is reasonable for somebody who resides in US (assuming I am not desperate!). You guys are experts in this field. Any advice is much appreciated. Thank you.

can someone make any sense of this for us?

http://www.isx-iq.net/page/daily-bulletin.htm

there are 2 reliable sellers on ebay bro one named dima89 the other named j.b trader they have over 3000 feed backs and are ebays #1 sellers for new dinars you wont go wrong with eiter of them.

I read the other day that De La Rue received somewhere in the neighborhood of 115 million $ for the printing of the new dinar. Has anyone been able to find the actual amount of currency currently in possession of the Iraq Central Bank? Or for that matter the amount of NID currency in circulation, or released by the central bank?

Since we're in the business of currency speculation, in my opinion the less currency in circ, the more valuable each dinar is, and the better off we are.

tony regarding -->

http://www.isx-iq.net/page/daily-bulletin.htm

Iraq Stock Exchange / First Trading Session 26.06.2004

Yesterday i posted an artical of the opining day of the stock market is gana be today .

In my opintio they are using US Dollar instatde of NID because it says that opening price is 10 --> keep in mind that is the lowest currency in Iraq right now is 50 ID as i know.

Tony,

Looks like mainly the banks in Iraq that are selling stock. This may be a re-issue of stock, that is, the old stock may have been deemed worthless under the old regime. I'm sure Saddam had his fingers in that somewhere. So the banks are probably starting at square one, buy issuing stock for capital and operations. I checked the others too, like the weekly and there was no info yet, so they are still working on compiling information for the website. The IMF will not come in until the World Bank is up and the framework of the stock market is up. This is very good news! I'd love to see the WB and IMF in there before the end of July, and that might just happen!!

Netcom,
jaki2000, from my research, also looks to be the one of the best Ebay sellers. I didn't go through him though, b/c he didn't give me a discount for a bulk purchase (I also bought upwards of 5 Million). But jaki2000's delivery time looks to be very quick, about 5 days judging from his feedback. jb.trader looks to sometimes take about 3 weeks so you have to balance what your concerns are in purchasing. Additionally, it looks like as of today, jb.trader does not have any current listings. I know from talking to him over the phone that he was dealing with a supply problem b/c of the overwhleming demand. may be a short-term problem, but I'm not sure right now.

Jared IMF already in Iraq . In cnn they mensioned that. i don't remeber the reference but i am sure thay are already in place.

i just noticed j.b trader is not there,in a way its a good thing that he couldnt keep up with demand shows more and more are buying,jaki2000 does have decent prices may put in a small test order can never have enough honest people to buy from

Thank you, Tony and Blake.
How much were you able to negotiate with jb.Trader? Any other choices? Thanks

http://portaliraq.com/buy-iraq-dinar.php

I've been using this dealer. Her name is Chris Papatheofanous. I've made several purchases from her. She has the currency shipped Fedex(free) direct from Jordan. Friendly, reliable and fast...

honestly j.b trader wont budge from his prices there pretty much set in stone even when i wanted to buy 3 mill from him he wouldnt even give me a 5 dollar discount..lol the only one i was able to negotiate with was dima89 he once gave me a deal for 650,000 dinars for $500 this was bout 4-5 months ago i dont know if he would do it now.but hes a really good guy i think im gona email him and see what he can do for a oddball amount.

m&m antiqes is a decent person to deal with ive bought a few 25000 dinar notes from him one of wich i just won last week for $26.95..lol he starts his items really low but once it gets down to under 10 hours thats when you gotta watch the back door people jump and take it from you

heres a guy to be weary bout

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&category=4369&item=5708374428&rd=1

selling (4)x25,000 dinar notes=100,000 dinars starting bid only $12.00 i checked his feedback 16 of the 17 feedbacks are by one person and that person isnt a registered person at ebay anymore becarful for stuff like this.

Netcom,

Dima89 is the best one on eBay. I've purchased about $15M from him alone. I've never waited more than 3 day's to recieve my order. JB.Trader was actually selling what he didn't have. He was buying them after the auction which to me is not good business. Dima89 however has been the best one to deal with. I had some friends stationed over there for a while that I was buying from, but when they came home, I started working with Dima89. He flat out is the best (IMHO)!

ya you wont find anyone cheaper online ebay or websites

M&M, I see even more tempting another price: 7.5 mil for $6120 (1 mil=$816).

I read the price in Iraq is $770 from one of messages above (with local profit of $85 or so). That was second part of my question. How much is reasonable to pay above exchange rate/rate in Iraq. Thank you.

Abdullah,

The IMF is not yet in Iraq. What CNN reported is that the talks are going forward for the IMF to come in. If you go to the IMF website you can read the press release from Thomas C. Dawson, Director, External Relations Department.

The IMF team has been there for talks, but IMF has not set up an office as of yet. The IMF also needs to have the World Bank set up as they are a key element of the Iraqi stock exchange, and that is what the IMF is coming in to fix.

Netcom,

At this point you'd better not be so concerned on price as you should be on the time you have left to decide. One thing to consider is that the World Bank has been in talks with Iraq for quite some time and could do what they have to do from a remote site without the need to come into the country so soon. There are many options in the talks that we are not aware of. It could open tomorrow for all we know and then you will not be able to touch it at the price you can get it at now. I'd grab it at $816/mil.

First, I want to say thanks to Jared for your all of your informed input to the board. Especially thanks for the input about jb.trader as to why his shipping takes so long. I bought from him the beginning of last week, so I will keep my fingers crossed nothing goes astray.

Netcom,
jb.trader does not budge from his price of $860 per Million, but his price is already pretty much bottom-dollar in terms of Ebay sellers, and buying 9 Million from jb.trader at $860 was much cheaper overall than buying that same amount at $898 from jaki2000. That's all I meant.

Good luck.

Thanks Blake!

I only purchased from jb.trader once, several months ago. I had sent him payment via next day service. It took 23 days to get my order. After about a week, I started emailing him to find out a status. He stopped replying. I then mentioned that the money order was from the US Post office and I'd sick the Post Master General on him if he didn't respond. That seemed to get his attention and I received my order. Can't believe he puts 95 available when he doesn't have any of them on hand.

Also folks, I had asked Dima89 about a month ago if he would match jb.traders price, and he did. So you my want to send Dima89 an email and give him the auction number of jb.traders dinars and ask if he will match. Chances are that he will and you can get them delivered very fast!

Thanks jared for clearing that.

were at the point where we cant be picky anymore,were complaining and lookin for cheaper pleaces to buy,and watch 5-6 months from now dont be suprised to be paying $2000 for 1 mil dinar and we will look back on this and say man i should have bought them when they were $900-$1100

hey everybody...i love reading what everyone has to say...i wish i didnt have to work, or i would sit here all day...it's so so addicting. i got my dinars today!!! they are so pretty, and i have anohter 1 mil on the way!!!
i wanted to ask...once the dinar hits the world market, do you think that most banks will exchange them, like bank of america or wachovia, or will we have to use international ones, like wells fargo?
and my other question--does the bank of kuwait in nyc exchange the dinar yet, or will they wait to do so when it hits the world market??? if anyone knows, pls let me know. thanks so much.

i think everyone has forgotten your local currency exchange those stores keep as much has $200,000 u.s currency in there safes once the world bank starts up im gona exchange some thru them,but i know there fee is gona kill me but this is just something to keep in your back pocket but once it is accpeted i would think any bank would change them.

Hey Mallory!!

Any US bank on the World Bank backbone will be able to exchange the currency. BofA, US Bank, Wells-Fargo, Wachovia, and many others will do it. You will need to contact a local branch to see if they will do it -vs- having to go to a bank headquarters location. Where I am at for instance, the US Bank main branch is the only one that does international exchanges. The exception up here is Canadian since we are by the boarder almost all branches exchange Canadian dollars.

I've been waiting to hear someone comment on the Kuwaiti bank in NYC. I would assume so once the dinar comes on the market.

Tony,

You may want to consider US Bank if there is one around you. Their exchange fee is only 4%, I'm not sure if that is better than the exchange companies, but 4% is not bad.

Congratulations Mallory !! Yes, they are beautiful!

I just happened to call the Bank of Kuwait in NYC this morning, (No comments Tony :) and the nice folks over there told me that they are only trading within Kuwait and that they only do business in NYC at the wholesale level, no retail services available in the US. She also said that once the ban is lifted it will be exchangeable like most other currency at commercial banks and services like American Express. Amex has an exchange in mid-town Manhattan. They said you'd have to call ahead to arrange any large amounts.

theres many banks around me,but im saying if for some ungodly reason your local bank doesnt exchange them you know currency exchange will and i know its gona be more then 4%,i once changed 50 dollars canadian into u.s cash currency and they charge me $9 just for that.

i just calculated it they got me with a 18% fee so imagine exchanging 100,000 dinars at $.10 a dinar instead of $10,000 u.s currency youd only get $8200 so 18% fee is what it looks like they charge

LMAO m&m

Hey Blake -- Nice Historical on post-war currency, thanks!

Hey Pete -- "Semper Fi" from the 119 U.S. Marine Corps JrROTC Cadets at Tottenville HS, in NYC !
Only 2 months to Home !? That's great. God Speed and Good Luck with the Dinar.

HSBC bank will trade currency (once it's on the world currency market), if you open an account, for 3%
Wells Fargo tells me that they will do a currency conversion for 5 dollars per transaction

tony

I said that when the NID where cheaper in last January. and exact this is the game after period of time the exchange rate will move and other people say i wish i could bought them when the exchange rate was at "?" .. That what i think that the rate will move down slowly withen next tow years for two reasons. i dont belive that next day i am going to wake up and the rate is .33.

1) the average guy in Iraq will be a millioner (no way)
2)there is no bill less than 50 bill (no way)
there must be more that i dont know but that what i am thinking of right now

m&m
Sorry I had to go for a drink :-))
Thanks for responding, still demand going up and supply going down on eBay ... basic economy.. Prices will go up definitely. Regardless IMF, W/B that is good news for me. for those were asking, De la rue printed 6.2 trillion NID 6200000000000 about one dinar for every person on earth 4.3 in circulation.

m&m
Sorry I had to go for a drink :-))
Thanks for responding, still demand going up and supply going down on eBay ... basic economy.. Prices will go up definitely. Regardless IMF, W/B that is good news for me. for those were asking, De la rue printed 6.2 trillion NID 6200000000000 about one dinar for every person on earth 4.3 in circulation.

could someone tell me where the proof is that the world bank will step in before november

lol,you guys gotta remember when the dinar goes down its only good for us,not for people living in iraq so no the average guy in iraq wont be a millionaire cause last year when iraqis were trading in u.s currency they were getting 4000 dinars for each now there only getting 1460 for that same amount 1.us currency so before 1 american dollar would have bought milk,eggs,toilet paper,now only buys eggs see what i mean only way it helps them is itm akes there country rich and jobs plentiful but as far has them profiting from this not much in it for them

also beware of counterfiters? I just heard from a friend that there has been a ring of countrfitters busted in oklohoma dont know if its true just what I was told

Roger, did HSBC or Wells Fargo happen to say whether or not they automatically convert deposits from IQD to USD? Smith Barney allows accounts to be held in selected foreign currencies but IQD is not on the list yet.

http://www.smithbarney.com/products_services/other_investments/foreign_exchange/fxbasics.html

you making a good point tony , but i still don't understand when you said "ou guys gotta remember when the dinar goes down its only good for us"
--> so lets say
the today exchange rate is
1 USD= 1460 NID
after period of time it becames
1 USD= 1200 NID

is that good or bad ?

Jeff
both said conversion would be real time, but remember ( when it comes on the market)

Sorry for the silly question roger, but "real time" means atomatically converted?

Cool stats Mo, thanks! Hope it was a tasty one :) Did you get a chance to look at the ISX yet?

Tony...

I'd like to add my comments to Abdullah's 2 points.

I consider the opening rate of .33USD per IQD a fair and appropriate restoration of the Iraqi's wealth. As an Iraqi man with 50mil Dinar in the bank before the war, I am a rich man. This same man during the war, has nothing. We must, at a minimum restore the wealth they had pre-war. These men are not "waking up rich" one day. They're hoping to get their lives back.

With regard to the minimum currency, I believe they use coins for amounts below 50. Like quarters to the dollar? I could be wrong but I think I read it along with comments about how happy they were that there were many more options now than they had before. I'll see if I can pull up the post...

I believe there is a smaller denomination...called a fil. I forget how many fil=1 dinar or how it all works.

That's all I got.

Value of Dinar

A great article in dinar valuation from the Kennedy School at Harvard Univerity. I only posted the summary. The link will take you to the article.

"To fix the dinar (or other countries' currencies) simply to oil alone may be too radical a proposal. While it would facilitate the recovery and expansion of the oil sector in Iraq, it might at the same time discourage production of other internationally tradable goods by shifting the entire burden of price uncertainty onto them.

My proposal for Iraq, therefore, is to add oil to the basket of currencies to which the dinar is to be pegged.

For simplicity, give equal value weights to all three units. Or, what is almost equivalent, define the value of the dinar as one-third of a U.S. dollar plus one-third of a euro, plus one-one-hundredth of a barrel of oil.

Unlike other proposals for nominal anchors, this is one that an oil producer like Iraq could live with even if there are big swings in international exchange rates or world oil prices in the future."
http://www.pwc.com/extweb/newcoweb.nsf/docid/7B3682DA4F62B17885256DF0005B03A3

By my count that's a basis of 33 cents +++
Tony, your good with numbers, what would that be today?

.33 would be a third of the face value of your NID.

abdullah if the dinar goes up its good for them bad for us,if it goes down good for us bad for them

Blake,

1000 Fils = 1 Dinar. The fils come in 1, 5, 10, 50, 100, 250, 500 and 1Dinar (1,000 fils).

I think when the dinar starts to rise, the larger bills will go out of circulation and others will come in. I see the 1, 5, 10, and maybe a 25 dinar note to replace the 1K, 5K, 10K and 25K notes. Makes sense when you look at the denomination values.

m&m well a third of the current value of the dinar is 468.60 dinars

third of the curo value is $0.41 wich is 41 cents

and one-one-hundredth of the current price on oil barrel wich is around $45-$50 a barrel would be 45-50 cents

M&M great artical Iraq's Currency Solution

tony i know i sound stupid put but what do you mean by up or down

if it shifted from 1460 to 1200 is that up or down

Abdullah,

Many Iraqi men were millionaires. They were buying up Kuwaiti dinars like crazy and cashed in this same way. Bringing the dinar back to the pre-war level will bring balance back to the Iraqi people. This will also bring with it, faith in the new Iraq.

There is currently no bill lower than the 50 is true. But as the dinar goes up, smaller bills will be made and the larger ones will stop being circulated.

if it goes from 1460 to 1200 then it went down wich is good for us the closer the number 1460 gets to 1 is good the more further the number 1460 gets from the #1 is bad for us.

Thanks Jared,
I also thought that as the dinar rises in value they would slowly pull the 25,000 notes out of circulation as people deposited/exchanged them.

What did you think of the Harvard article posted by M&M? It sounded like extremely good news to me. oh, I emailed you about a further quesiton i had.

thanks.

Tony,
I believe you have some of the concepts switched around. I think Jared can better explain to you than I can though.

The only way an appreciation of the dinar would be bad for the Iraqi people is if they were still paid in U.S. dollars, which won't continue to happen as Iraq gets on its own feet and the dinar becomes an established currency. An appreciation in the Dinar is not bad for Iraq.

got it tony

...define the value of the dinar as one-third of a U.S. dollar plus one-third of a euro, plus one-one-hundredth of a barrel of oil.

.33 + .41 + .45 = $1.19

M&M, that's what I came up with as well.

were both 50% right if they get paid entirely in dinars then there good to go,but im sure there will still be alot of u.s currency around and for those people that are stuck with it they will suffer,but at the same time we need to remember has the country gets stronger,richer so does the cost of living there so your getting paid more but cost of living has risen,but i think people wont care at that point cause of all the jobs that will be availiable to the people.

$1.19 would be a golden egg for us..id collect my 11 mil+change and throw a big party with all of you invited,im sure you can find some time off from work ;)...lol

Blake,

Emailed you a reply already. Should be in your inbox.

Hmmm Jared,
I didn't get it?

Ok everyone, let's take the Harvard bit a step further.

If they want to peg based on PEP, why must it be one commodity? Iraq also has an enormous date industry. At one time, it was $18B/year and that was half of what oil brought in. Why not base the PEP on all exports? or at least the two biggest?

Now that Iraq can start building again, you know full well that the date industry is going to be a big one because it creates a lot of jobs. It takes a lot of manpower to run a date crop.

Now if oil was to drop a little, the dinar could still be supported or supplemented by the date industry. It would seem that the more things you could get in the PEP to peg the dinar the better. If one industry has a bad time the others can support it. Hmmmmm

Blake, I sent it from my other account, check your inbox again.

ahh.....time delay. just finally arrived. thanks man

well since that report was written in fall of 2003,it would be great to see what they think now if there views have changed better or worse,im gona see if they have a email and see if they can give me anything to think bout.

That's brilliant Jared ! I knew that the Kurdish agricultural resources had barely been tapped and will become a big part of their GDP in the future, but, "Dates"? Yummy !

Anyone here into commodities trading? Can we invest in the biggest date crops in Iraq on the ISX?

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