Will the Iraqi Dinar Revaluation Happen?

25,000 iraqi dinars baghdad investWill The Iraqi Dinar Revaluation Happen?

Imagine a currency from a faraway land, once purchased, a short period of time awaits you in order to yield a ROI above 100,000% allowing you to walk away from the investment arena and live the life you always dreamed of.

Would be nice wouldn’t it?

Of course the currency we are going to look at is the Iraqi Dinar aka IQD.

First of all, Iraq has potential! Bags of potential! 8.6% annual GDP change in 2011, 8.4% in 2012, 10.2% in 2013 and an expected report of similar figures for the next five years.

While most of the global economies are in decline, Iraq clearly is not.

So why are we seeing a reported 5 million investors buying up the Iraqi Dinar? Do they know something we do not?

The crux of the deal is simple, it is said by those pumping the sales of the dinar that the Iraqi Dinar is ridiculously undervalued and the only option is to complete a “revaluation” thus those who hold dinar now will someday in the not too distant future wake up to realize they have a substantial windfall of $100,000 for every $1 invested.

Some of the dinar community expect less and some expect more

Many of us know that Iraq has a lot of potential and is excelling despite the constant turmoil in day to day life, a great example of how the economy is doing was when Iraq had its first IPO since the Saddam Hussein era, an Iraqi telecoms company called Asiacell which ended up being the largest IPO listing in the Middle East and North Africa since the Saudi Arabian Mining Co listed in 2008 on the Saudi Stock Exchange.

Or even when you consider the oil, Iraq currently takes fifth place in the listings of countries around the world for proven oil reserves. It gets even better though, much of Iraq has not even been explored! Especially when you consider the new technologies for exploration, reserves currently documented are most definitely going to be higher.

As you can clearly see, Iraq is a success waiting to happen.

My prediction is that we will see a redenomination of the Iraqi Dinar whereby three zeroes will be deleted from the currency meaning the current legal tender becomes void once exchanged for a newly issued legal tender over a period of say 90 days.

An example being, today you fill up your car for arguments sake with a 25,000 dinar note the equivalent of $21.47 and once the redenomination takes place you have freshly minted notes of say a 20 and a 5 dinar note. You go back to the same location to buy your petrol and instead of using 25,000 dinars, you pay with the new tender of 25 dinars. This means the purchasing power is exactly the same, no less and no more, no winners and no losers. Meanwhile the exchange power to the USD remains the same 25 dinars gets you $21.47

I want to take a moment just to look at what happened in late 2003 and early 2004 when the Coalition Provincial Authority issued the new Iraqi Dinar (the one currently in circulation) in exchange for the old Iraqi Dinar bearing the face of Saddam. From October 15th 2003 to January 15th 2004 all of those within Iraq were able to exchange for the new legal tender, those outside of Iraq were not. Once January 15th elapsed those holding the old tender were no longer able to exchange and that tender became void.

The risk facing currency speculators is that Iraq will do a re-denomination and given its history may even do an in-country exchange only leaving those unable to get to Iraq with a pile of worthless currency. I think you have to look at this very seriously when one considers if the Coalition Provincial Authority (American, Britain etc.) did it when in power, now that Iraq has full power, she is well within her rights to do the same and likely will.

Some might say, “if Iraq is considering such action surely the moral duty is to stop selling to overseas purchasers.” Unfortunately the duty of the Central Bank of Iraq is to sell as much of its currency to the highest bidder.

[Tweet “If Iraq is considering such action surely the moral duty is to stop selling to overseas purchasers”]

Section 32 of the currency law gives them the right to remove the three zeroes and allow an exchange in-country only.

Iraq still has over 71tn physical banknotes alone and with a revaluation it would be worth a staggering 11 trillion US Dollars which even if you were to double the amount of US Dollars in circulation you would only end up with 25% of the IQD (M2)

It is also backwards to think that Iraq will use oil as its currency backing / inflation hedge because the reality is oil gets burnt, sold and used up aka depleted. There is no magic vault that the oil can remain within, as it has to constantly be sold or used which means every time a barrel goes through this process the currency has since become over-valued.


For the many dinar holders outside of Iraq, the future remains bleak contrary to what the dinar pampers will tell you. The fact that the numbers do not add up should be enough to tell you this get-rich-quick fallacy is just that, a fallacy.

Baghdad Invest a site focused on bringing a sense of realism to the investors of the Iraqi Dinar.

This article was written by: Baghdad Invest

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  • kev

    LOL. The market / street rate for the Dinar is even LOWER than the pegged rate – around 1220:1.

  • rich

    iraq is not going to revaluate their currency they are going to a free float and let the markets decide its worth and it doesnt matter what amount of currency they have outside the country they are only concerned with whats in country so you mentioning 70 trillion plus is dinar in and out of country doesnt mean anything.

  • brianh77

    Lots of misinformation out there I agree. I definitely don’t agree with everything she says. AJ , Icke & Fulford are all shills. However, it’s a fact that the CBI is a Rothschild controlled bank. They call the shots. They & their colleagues control the global economy. I said it before… Time will tell & prove one of us wrong.

  • kev

    ROFL!!!! “Karen Hudes” is an Internet conspiracy crackpot who rambles on about space aliens that everyone claims to be a “friend” of. I just KNEW you were going to say that name before you even said it!

    She claimed Hawaii has more than 170,000 tons of gold – then suddenly it’s the Philippines, then Indonesia. Then it was “gold certificates” not gold. Then she claimed Yamashita had “collected” 400,000 Metric Tons of gold. In reality, 170,000 tons of gold is actually more gold than has ever been mined across the planet!

    Then she claimed on 8th Oct 2013, a nuke detonated off the coast of South Carolina (and of course, no-one but her “source” noticed). She’s made several other trivial mistakes then backtracked from them when she later realized how absurd they sounded.

    It’s the same standard response on the same conspiracy forums “I have a secret high level source at the World Bank” = “I read something on the Internet by someone who makes stuff up”. In reality, she’s just one in a long line of attention seeking grand-standing “whistleblower” crackpots like David Icke, Benjamin Fulford and Alex Jones who make a lot of outrageous claims and openly contradict themselves every 5 minutes 😀

  • brianh77

    That’s odd, I never said I was a Dinar investor nor did I say “best friend”. Her name is Karen Hudes. You may have heard of her.

  • kev

    “A friend of mine was lead counsel at the World Bank”

    Why is it every Dinar “investor’s” ‘best friend’ all seem to work at the World Bank… So what’s his / her name?

  • brianh77

    I have no idea why. A friend of mine was lead counsel at the World Bank for 20 years. I was made aware of their plan through them. I would think that they would have a pretty good idea as to what these criminals are up to. They have always made their money through unscrupulous methods such as this. Time will tell but I trust their first hand knowledge & insight into this matter more than what I read on these sites.

  • Baghdad Invest

    Appreciate your views brianh77 and I recognize the far reaching capabilities of the global elite. No doubt about that.

    But why Iraq? Why would they chose to revalue Iraq’s currency instead of the other hundreds of currencies out there? Or do you own a little of each in order to hedge your bet?


  • Baghdad Invest

    Thanks Kev. Another way of looking at it, like any financial transaction, somebody wins and somebody loses. In this case it is beyond belief to see a sovereign nation do everything in it’s power to ensure it ends up bankrupt on day 1 of a revaluation going live. Every country would be revaluing their currency if it were ever so simple.

  • Baghdad Invest

    Thanks Richie, much appreciated. What you refer to is true among much of the material that is released from the pro-dinar gurus. 🙂

  • brianh77

    One again you prove you know NOTHING of how the global financial game is played and “who” calls the shots. The CBI is a Rothschild owned PRIVATE bank. They have controlled the global economy for many, many decades. When THEY decide to revalue the Dinar to bestow a blessing on themselves & on their elite associates. It’s going to happen. It masters not what you OR I say – They control the global purse strings . That my friend, is a fact!

  • kev

    Great article. It’s about time this absurd mis-selling scam died. 71tn banknotes in circulation alone should be the “common sense red flag”, but then I guess this whole scam is targeted at those who don’t really understand what that means. 71tn Dinar banknotes x the stupid “$3.5 rates” thrown around = $248.5tn. But Iraq’s economy is only $212bn and the GLOBAL economy is only around $70-80tn.

    Why on Earth would any country warrant having 1,150x more money than its own economy and 4x more money than the entire planetary economy?… You could do that with any country including the USA – just get the Fed to just print off 18.4 quadrillion dollars and declare that it’s “really wealth not inflation” as some are demanding Iraq do. LOL. People pushing this cr*p are delusional beyond measure.

  • Richie Chop

    Great article , but in inorder for the sheeple to believe what you wrote , you must mention God and a few bible quotes !