Dep Finance Minister: Dropping Zeros Won’t Raise Dinar Value

Rudaw reports that Kurdish members of the Iraqi Parliament’s Finance Committee have denied that there is currently any proposed law regarding the removal of zeros from the Iraqi banknotes.

Ahmad Faizulla, an MP from the Kurdistan alliance in the Iraqi parliament and member of the finance committee, dismissed claims that their committee has prepared and drafted a law to alter the currency.

The finance committee cannot make such a decision. We can only suggest projects. The drafted projects will be presented to parliament for discussions for voting. This is something that must go through legal channels.

Heitham Jiburry, a member of the finance committee, announced last week that the zeros will be eliminated from Iraqi banknotes next year. “It is expected that the process of printing new currency will start next August,” he said.

Jiburry also remarked, “The process of replacing the old currency to the new one will continue throughout next year. The old currency will completely be gone in the first 6 months of 2014.”

In April, the chief of staff of Iraqi Council of Ministers suspended the process indefinitely.

7 Responses to Dep Finance Minister: Dropping Zeros Won’t Raise Dinar Value

  1. Jaydee June 5, 2012 at 1:31 pm #

    Yes, it doesn’t make sense to change the currency without changing the value. I’ve been saying and thinking that for the past two years. The Iraqi government needs to stop messing around and revalue the Iraqi dinar internationally. That would begin to solve their financial problems eg. corruption, poverty, instability….

    Iraqi government, become the solution instead of the problem.

  2. Evan June 8, 2012 at 2:51 am #

    Instead of saying 123,000 dinars equals $100 we will say 123 Dinars equals $100. I sure like the sound or that! Go RV

  3. Stew June 8, 2012 at 3:12 am #

    Yes Evan… but dropping three zeros means that if you have 123,000 dinars now, you will only have 123 after.

    Not sure what part of “Dropping Zeros Won’t Raise Dinar Value” people don’t understand.

  4. Van June 9, 2012 at 4:58 am #

    “THIS IS THE REAL DEAL.” IF YOU ARE THE OWNER OF $25,000 BILL NOTES, THEN THOSE BILLS WILL BE WORTH ONLY $25US BECAUSE INVESTORS WILL HAVE A VERY SHORT PERIOD OF TIME TO RETURN DELETED ZERO NOTES BACK TO IRAQ. THAT’S RIGHT, MANY OR GOING TO LOOSE OUT, SOME SAY THAT YOU WILL HAVE ONLY 6 MONTHS TO VISIT IRAQ PERSONALLY AND CASH IN YOUR NOTES. THE US BANKS WILL NOT TRADE THEM UNTIL WAY AFTER THE RV IS TOTALLY COMPLETED. HOWEVER…THE SMALLER NOTES AND DINAR COINS MAY HANG AROUND FOREVER!

    TRADERS OF DINAR KNOWS THAT THE LONGER YOU HOLD ON TO YOUR NOTES OR COINS, THE MORE OF A CHANCE YOU HAVE OF GETTING THE FULL US DOLLAR HIGHER VALUE ON YOUR INVESTMENTS. IRAQ BANKS MUST CALL HOME THE LARGE NOTES WITH THREE ZEROS ONLY. AFTER ALL, NEARLY ALL 2/3 OF THE CURRENCY USED BY THE IRAQI PEOPLE ON A DAILY BASES ARE SMALLER DINAR NOTES AND COINS. THE BANKS OF IRAQ ARE GOING TO LET THE IRAQI PEOPLE BENEFIT THE MOST FROM THEIR STRONGER CURRENCY IN THE LONG RUN. “WORLD INVESTORS BEWARE OF THIS FACT”. SMART PEOPLE THAT BUYS THE SMALLER NOTES AND DINAR COINS WILL HANG AROUND BECAUSE WHO WILL TRADE FOR BIGGER NOTES THAT’S GOING TO GET DELETED SOMEDAY? “NO BODY”

    “BUY NOW” THE SMALLER DINAR COINS LIKE, $100 AND $25 DINAR. WHY? BECAUSE YOU CAN NOT REMOVE THREE ZEROS FROM ANY COINS, AND COINS HAVE A MUCH LONG HISTORY IN IRAQ.
    GET IT?

    JUST THINK ABOUT IT. THE $25, $10, $5, $1 ARE GOING TO TAKE PLACE OF THE OLD BIG NOTES $25,000, $10,000, $5000, $1000, AND THE $500, $250, AND $50 NOTES WILL BECOME THE NEW BIG NOTES!

    WHY DO YOU THINK THAT TRADERS CHARGE YOU SO MUCH MORE FOR SMALLER NOTES, AND MANY WILL NOT SELL THEM AT ALL TODAY. JUST CHECK AROUND AND SEE FOR YOU SELF… GOOD LUCK?

  5. shane June 11, 2012 at 9:20 pm #

    do you know of a dealer who sells the lower notes.

  6. Jaydee June 11, 2012 at 10:01 pm #

    Shane, I think all the dealers sell the lower denomination notes. [advertising removed]

  7. Daniel September 12, 2012 at 7:00 am #

    This whole article is a typical oxymoron- and I really can’t tell which side actually makes sense anymore. Here’s why:

    “Dropping Zeros Won’t Raise Dinar Value”
    In Basic math, the zeros being dropped is a revalue. It would almost seem like the Iraqi Government is lying.

    If the dropping of 3 zeros on a Forex currency calculator still comes out to the same equation answer it was before the dropping of the 3 zeros, that’s completely illogical- backwards.

    “After removing zeros instead of saying 123,000 IQD is equal to US$100 we will say 123 Dinars is equal to US$100. It is just to show that Iraq has a strong economy.” This is an oxymoron.

    If on the other hand the Dinar isn’t revaluing at all, or dropping any zeros at all, then the “Cosmetics” that Iraq is talking about has nothing to do with dropping Zeros, they’re just drawing up new paper bills. Why would they even say, “Hey, we’re dropping zeros off the dollar, but it’s just for looks,” if it doesn’t effect the Forex Currency Calculator???

    They’re either dropping zeros, or they’re not. Obviously they’re either up to something or they don’t even know what they’re talking about.