Iraq coinage article is good

by Feisty136 Tue Oct 18, 2011 9:34 pm

Iraq Coinage One Step Closer to Reality - Article 10/18/2011

(Post by Debbie, The IQD Team)
Iraq Coinage One Step Closer to Reality
By Richard Giedroyc, World Coin News
October 18, 2011 This article was originally printed in World Coin News.

Iraq may soon see its first circulating coinage since 2004, but it might be quite different from what was used in the past.
Alsumaria
Iraqi satellite television reported on Sept. 3 that, “The denomination
of the Iraqi currency reached its final stages as the study and draft
resolution reached the Cabinet after being sent by [the] Iraq Central
Bank. Iraq Central Bank said that it won't only delete the zeros, but
it will also change Iraq monetary structure in order to provide bigger
currencies. According to this project, coins will appear again in the
Iraqi currency. As for the bank notes, the Central Bank will recourse
to international institutions to print them.”
In a further reform, the central bank announced that the new bank
notes will be printed in three languages, one of which will be Kurdish.
The Kurds live primarily in northern Iraq and were enemies of the Saddam
government and pro-Saddam insurgents who fought coalition troops
following Saddam’s overthrow.
The new notes will carry
vignettes from Iraqi civilization rather than Saddam’s portrait, which
has appeared on notes in the past. Nothing was said regarding the coins
and if they too will carry three languages.
The central bank
stressed the changes are meant to decrease the enormous amount of
currency it takes to make cash transactions, but it should not impact
the purchasing power of the dinar. Plans call for three zeroes to be
removed from all existing bank note denominations.
Coins were
initially introduced in modern Iraq when Iraq was an independent
kingdom, during 1931 and 1932. The coins were issued in denominations of
1, 2, 4, 10, 20, 50 and 200 fils. The 200-fils coin is also known as a
rial. In 1953, a 100-fils coin was added to this mix.
A new
series of coins initially in denominations of 1, 5, 10, 25, 50 and 100
fils was issued at the time of the establishment of the Iraqi Republic,
with 250 fils coins being added in 1970 and 500 fils and 1 dinar coins
in 1982. All Iraqi coin production ceased after 1990.
The
Coalition Provisional Authority that followed the overthrow of Saddam
authorized new coins and bank notes. In 2004, 25-, 50- and 100-dinar
coins were introduced, however they proved to be unpopular and were
quickly withdrawn.
Coins and low denomination bank notes are a
problem since due to inflation, they have little purchasing power.
Iraq’s highest currency denomination is the 25,000-dinar bank note,
which has an exchange value of about $21 U.S. It will take a currency
reform in which three zeros are removed from each existing denomination
to make it practical for coins to circulate. Such a currency reform will
also benefit the Iraqi government, since the government will be able to
spend less on future bank notes when low denomination notes are once
more able to circulate.
It is expected it will take three
years for a currency reform to become a reality. Nothing was immediately
available regarding where future coins or bank notes might be produced.

Iraq’s currency has been impacted by severe fluctuations in
the economy between the later years of Saddam’s dictatorial rule and
today. Economic sanctions imposed on the regime caused rampant
inflation, which was quickly coupled with massive counterfeiting of bank
notes, while all coins vanished from circulation.
Once the
Saddam regime was blocked from receiving new supplies of high quality
bank notes from overseas, the poorer quality notes produced domestically
became the target of domestic counterfeiters. It has never been proven,
but there is a possibility foreign countries also sanctioned
counterfeit Iraqi dinar bank notes as well.
http://www.numismaster.com/ta/numis/Article.jsp?ad=article&ArticleId=24266
http://www.theiqdteam.com/3/post/2011/10/iraq-coinage-one-step-closer-to-reality.html

MY SIMPLE TAKE ON THIS:

Before RV, the dinar bills are 50, 250, 500, 1000, 5000, 10000 and 25000
They bring in the three zeros and then the highest billis a $500.00 bill

New lower denoms are discussed to be :100, 25, 10, 5, 1, 1/2 fil, 1/4 fil

Coins are going to at least be less or equal to the lower denoms, so maybe 1/16fil, 1/8fil,1/4fil,1/2fil, 1fil, 5fil, 10fil, 25fil, 50fil, 100fil

Then that fits with a nice RV at about a buck....then the coins would be worth in $USD

1/16fil = $0.0625
1/8fil = $0.125
1/4fil = $0.25
1/2fil = $0.50
1 fil = $1.00
and so on

Looks good for an RV, otherwise the coins would be virtually worthless... let's get this thing done!

by Guest Tue Oct 18, 2011 9:55 pm

Thanks...interesting...go rv!!!

by Dinar4silver Tue Oct 18, 2011 10:06 pm

Feisty 136,

Thank you for the interesting article.

I thought the following link might be of interest to you.

http://www.cbi.iq/index.php?pid=Banknotes

You will see pictures of two of the proposed coins that have not been circulated yet.

The source is the Central Bank of Iraq.

Thanks again

by therealbutterfly Tue Oct 18, 2011 10:15 pm

Dinar4silver wrote:Feisty 136,

Thank you for the interesting article.

I thought the following link might be of interest to you.

http://www.cbi.iq/index.php?pid=Banknotes

You will see pictures of two of the proposed coins that have not been circulated yet.

The source is the Central Bank of Iraq.

Thanks again

Incorrect. Those coins are from back in the day and they discontinued using them because people were melting them down for scrap metal since that was worth more than the coin value. Those are NOT the new coins that will be introduced.

by Feisty136 Tue Oct 18, 2011 10:20 pm

therealbutterfly:

That is good because that would mean an RV at about a few cents was coming...that is if it is following our US coinage...

I'd love to see what they are thinking, cause if its 1/16fil, that means a 1 to 3 dollar RV...IMHO

by 1alaskan Wed Oct 19, 2011 6:08 pm

I don't know about the old coins, but if Iraq is spending the money to mint new coins. They must think there is or will be a need.

At the current rate of 1170 to 1 USD, they are not needed, so if the coins are being produced, that has to be good news that in the near future they will be needed.

by Guest Wed Oct 19, 2011 6:14 pm

1alaskan wrote:I don't know about the old coins, but if Iraq is spending the money to mint new coins. They must think there is or will be a need.

At the current rate of 1170 to 1 USD, they are not needed, so if the coins are being produced, that has to be good news that in the new future they will be needed.

I agree. GO RV!!!

by Olddab Wed Oct 19, 2011 8:30 pm

1alaskan wrote:I don't know about the old coins, but if Iraq is spending the money to mint new coins. They must think there is or will be a need.

At the current rate of 1170 to 1 USD, they are not needed, so if the coins are being produced, that has to be good news that in the near future they will be needed.

Makes sense to me!

Iraq coinage article is good

Iraq coinage article is good

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