IRAQI DINAR REVALUATION

IRAQI DINAR

Here are the top 3 reasons the Iraqi Dinar revaluation is NEVER going to happen and why “dropping the zeros” would actually be WORST NIGHTMARE for any U.S.-based holder of the Iraqi dinar.
The first reason it won’t revalue is economic growth. I’m not saying it won’t grow… but buying a currency is NOT like buying the stock of a country.
Take Turkey for example… they’ve had some great economic growth, but irresponsible government spending has caused their currency to TANK.
And that brings us to reason #2, their government spending is COMPLETELY irresponsible.
They need $96 oil to pay for their budget that just passed for the next 3 years, but right now oil is in the 60s and we’re heading into a global recession. With oil at this price, their debt will SKYROCKET by almost 25% of GDP per year! That’s a recipe for disaster and would almost CERTAINLY lead to a WEAKENING dinar in the next few years.
The 3rd reason it will not EVER significantly revalue and “drop the zeros” like Kuwait is because A. that’s impossible… it’s not how currencies work… and B. that DIDN’T happen in Kuwait!
This is the NUMBER ONE way the dinar scammers mislead people. First, the pre-war Kuwaiti dinar is NOT the same currency as the current Kuwaiti dinar. It DID NOT revalue. The old currency was demonetized, aka made worthless, then they switched the Iraqi dinar for a while, and then a NEW currency was created after the war.
And since it is PHYSICALLY IMPOSSIBLE for a currency to appreciate 1000x overnight because they don’t have NEARLY enough foreign exchange reserves to make that happen, THAT is the ONLY way they can “drop the zeros” in Iraq, through demonetization.
How would that work in practice?
If they wanted to drop 3 zeros, like so many people claim, they would do that by demonetizing the current Iraqi dinar.
That means people would have a certain amount of time… maybe a couple months to a couple years… to GO TO IRAQ and exchange their old dinars for the new ones, but it would NOT be a 1 for 1 exchange. It would be 1,000 old dinars for 1 new one, so there would be NO CHANGE IN VALUE… except that if you DIDN’T go to Iraq in time, your old dinars would eventually become worthless. The VERY THING dinar holders have been hoping for, would actually be their worst nightmare.