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Topics tagged under 80 on Dinar Daily DinarDailyUpdates?bg=330099&fg=FFFFFF&anim=1

Current date/time is Mon Sep 27, 2021 5:43 pm

Search found 3 matches for 80

Pimpy says There's no reason for this rate not get back up to where it was before

not ranked in 2020 for obvious reasons , not 9th more like #80 of 80. while we all love a good romantic fantasy does anyone fact check anymore.. 

Please note, #Historybuffs .. the IQD was propped up by a sadistic tyrant, and it's unlikely it will get back to those levels ever again.. unless! they find another sadistic tyrant to lead them, but then he/she (hate to be sexist) will print their own mug on their freshly printed monopoly bills.
by Tinef
on Thu Mar 19, 2020 4:38 pm
Topic: Pimpy says There's no reason for this rate not get back up to where it was before
Replies: 2
Views: 553

KTFA Members "News and Views" Sunday Afternoon 5/27/18


DinarDiva1:  Article:  “A spokesman for Sadr: We will end the formation of the largest bloc in two weeks”  So they need 2 more weeks then govt will be formed?
Venustwo2: The next 2 weeks we will be in the middle of the year. I remember it has always been said, last quarter, first quarter, middle of the year is what Dr. Shabibi  preferred for the R/I of  the dinar and it is playing out beautifully imo.

Pattycakes77:  You are right. I cannot remember what year it was when Shabibi wanted to R/I but it was during the month of June. Early June. 
Fuze:  June 6, 2014! It was actually mentioned in a MOF document. I recall well because that was the back wall date I gave to a few Dinar giftee's of mine, in October 2013....

Doc.K:  MID YEAR  coming up  ......  accounting .... bookkeeping , contracts... etc.
maybe they can start their New Mid Year books with a New Rate ? 
Timing - June through the 1st half of July (before July 15 IMF rate)  will allow this.
Final 6 weeks ......   or less ...... IMO      Hang in there !!

​Kindworld33:  I wonder if they have to wait to after they forma block to pick a prime minister? 

Iobey777:  Hopefully during that time Trump will have everything set in writing that he wants before or by June 12! IMO, I don't know if it is related, but it's just my thought that it may be something to do with China and NK.


US dollar

MilitiaMan:  "1190 ought to floor everyone. The CBI is not going to lose money for very long.. In fact, imo Delta's #87 in the FA says one word that is very telling. It is.. "Immediately.. " That is about how long the CBI will lose money.. lol imo ~ MM

"And that this goal will remain one of the objectives of the central bank, which requires direct banks to immediately leave the total dependence on the window selling foreign currency in its financial activity." FA87  ~ DELTA

MilitiaMan:  Well at a 1190 they will do exactly that as noted above in red. They are not in the business to lose money. In fact they will make nothing but money from hear on out. imo ~ MM

MilitiaMan:  Now keep in mind that the dust is settling on the political stage and note they had (imo) 15 days to get things in order and then, wala. We see this below. In other words, the final touches politically last night look to have been met and apparently reported today that are on time, and within that window of 15 days. Close enough for Government work, imo.. Then the CBI at  or just before Banks closed in Iraq today we see this.

1USD/1190IQD = .00084034. Imo if you have one USD divided by 1190 that is a number. Project to delete the Zeros, then becomes 1 USD  1/.84 = 1.190476 IQD. imo That is purchase power folks, imo.. That will or should draw the remaining 3 zero notes in from the citizens, as in country the Dinar has or will have more value than the USD. Just like they are telling them in the news and in the FAs, see below. imo~ MM

“A spokesman for Sadr: We will end the formation of the largest bloc in two weeks"  LINK

DUST IS JUST ABOUT SETTLED .................... TA DA. ~ Frank26

Final Article #80.. "Pull the dollar" 

MilitiaMan:  Those three words are exactly what they are doing, imo..  They are now  or have been, ceasing (Multi Currency Practices.) MCPs by pulling the dollar in with having more value to the Dinar.  Imo.

Now dont' forget the article #17 in the FAs #87 by Delta was on the 25th and the Alak showing the ATMs preceded that.. New ATMs with the new software to support the NEW Currency is in place and has been now for some time.. Let the timing sink in now. The CBI changed the rate right before banks closed. Hmmm? Holiday in the UK and USA on Monday.. Hmm? Starting to see the picture? They set the stage already.. Bill boards, presentation boards, photos of LDs for symbolism, Alak with new ATMs.. All timed and synchronized, imo lol ~ MM

Topics tagged under 80 on Dinar Daily Alak_1
"Visit of the Governor of the Central Bank of Iraq branch of Basra" FA #70 ( Lower Denomination photo for symbolism. ~ MM)

"The next phase of currency reform is the conversion from old cash currency to new. " FA81

"The campaign must make it clear that once the currency reform is initiated, account holders can withdraw their money in the form of new banknotes." FA81

I. E., Modernized banking is up and running.. imo ~ MM

They even go so far as this~ MM:

"It will be issuing new Iraqi dinars a way to expose corruption, as it requires the replacement of currency in circulation is the new currency." FA82

"National Bank announces the completion of the electronic system for the completion of transactions." FA85 link

"The value of the dollar is lower than the value of the dinar adopted by the Ministry of
Commerce to buy flour as a domestic crop and sugar as crop National. ~ FA85

I sure hope this helps out, it sure helps me see what is going on and in my humble opinion, as FRANK26 would say, "TA DA FRANKIN DA" and (imho), WS may say, "YEP".. ~ MM

Samson:  Commercial Bank of Iraq distributes 12 billion dinars to shareholders

 27th May, 2018

The Commercial Bank of Iraq ("Commercial Bank of Iraq") approved the distribution of cash dividends to shareholders. 

In a statement quoted by the bourse, the bank said that the cash dividends of 11.88 billion dinars for 2016. The bank grew its annual profits by 32.6% to reach 10.05 billion dinars in 2017, against a profit of 7.58 Billion dinars, in 2016. 

The bank's current capital of 250 billion dinars, distributed over 250 billion shares, the nominal value of dinars per share.   LINK


Samson:  Iraq ranks high with gold reserves

 26th May, 2018

Topics tagged under 80 on Dinar Daily Gold_13 The World Gold Council revealed that gold reserves owned by the Arab countries amounted to 1006 tons. The figures showed that Saudi Arabia tops the Arab countries with reserves of 323 tons, followed by Algeria with 174 tons

Libya comes in third with a reserve of 117 tonsIraq has about 90 tons of gold, Kuwait 79 tons, followed by Egypt with a reserve of 77 tons

The gold reserves in Jordan are estimated at 44 tons, 27 tons in Qatar and 26 tons in Syria. Morocco is ranked 10th in the Arab world with a gold reserve of 22 tons

According to the data, the United Arab Emirates has 8 tons of gold, while the distribution of 14 tons of gold between Tunisia, Bahrain, Yemen and Oman

The world's gold reserves remain at 8133 tonnes, and the total global gold supply rose slightly to 1,063.5 tons in the first quarter of 2018, while the production of mines was 770 tons. Precious metal by 27% to about 287 tons    LINK

Samson:  Iraq fourth in the gold reserves at the Arab level   LINK
by Ssmith
on Mon May 28, 2018 8:02 am
Topic: KTFA Members "News and Views" Sunday Afternoon 5/27/18
Replies: 0
Views: 589

"Lowest in the Market" - Thurs. PM KTFA Thoughts, News w/ DELTA 4/19/18


Samson » April 19th, 2018

The dinar is down against the dollar in the local stock exchange100 LINK

DELTA » April 19th, 2018


MilitiaMan » April 19th, 2018

The above is the part of Unification of their Currency that was spoken about in the W CC..

imo "This meeting was very unique." ~Frank26

"They were talking about the unification of their currencies." ~Frank26

That is in reference imo to the AMF and IMF meetings recently, imo. The above post is showing the parallel market behavior, just as talked about in the below Final Article #20. ~ MM

Final ARTICLE # 20

New BD version .. enhance cash to our system


Dr.. Mohammed Riad Hamza

The reality of the dinar 's trading current segments of confusing and obstructive economic, commercial and service all of the activities, for the Iraqi market , the level of the reality of the dinar in the evaluation of commercial exchanges, inter and single, is far from accurate price, as well as in the evaluation of real estate , buying and selling and lease, and facilities banking, trading and any resident currency, any deal large amounts of both ends need to fill categories of dinar bags for exchange between the seller and the buyer.

And you can see scenes of people carrying bags of dinar entrants to the banks or exchange houses or coming out of it.

It is certain that the reality of the Iraqi dinar and the low value segments purchasing a catalyst for the crimes of counterfeiting, states that equal their exchange rate with the Iraqi currency plagued by rigging the currency and counterfeit currency have devastating effects on the economy , among the components of the total of any state.

To dinars Iraqi Rolling currently Bocefarh and the small value of the cashed important role in the rise in goods and services and rising inflation rates, since the transactions in the wholesale exclude small - value segments of the dinar, in addition a few thousand dinars to deal consumer goods or long - lived, and circulation of marketing to another port and into the hands of the consumer, the price of the commodity Tuwalia ballooning number of marketing outlets.

The reason is the low purchasing power of the dinar small groups that are excluded when evaluating the price of any commodity.

On 27 August 2015 published (unit of economic studies links for research and strategic studies center) in its website an important article included reference to «that the Iraqi government may resort to the liberalization of the dinar any (floated) something that will not solve the financial problem in the country, but will have disastrous effects on the Iraqi people first and foremost.

On the other hand, the flotation is the port for speculators in the market to carry out money laundering and manipulation of the currency auction within the central bank.

Currency float means leaving the exchange rate of a currency float rises and falls reverse proportion to the cases of demand and supply in the market.

And taking into account the level of emancipation of the national economy, and the quality of his performance, and flexibility of its production apparatus.

It is the risk of this operation is that it opens the door to money laundering and corrupt diversion of funds from the Iraqi dinar to the free exchange for smuggling operations abroad.
The survival of the purchasing power of the Iraqi dinar is weak seesaw at home and are not supported in the outside with rampant financial corruption contributes to convert the dinar into other currencies smuggled out what causes inflation rise, as to keep large amounts of the dinar in the Iraqi market means inflation liquidity, which makes it easier out more of foreign currency from the country.

The solution is not to delete zeros or dinar floated, but substituting new Iraqi dinars and linking its exchange rate to the US dollar
The issuance of any new Iraqi dinars equivalent to the dollar in the exchange rate.

It consists of one hundred per dinar fils and groups: one dinar, five dinars and ten dinars, and twenty dinars, and fifty dinars, and one hundred dinars.

Minting coins from fils and five fils, ten fils fils twenty, and fifty fils, and one hundred fils.

And ensuring the stability of the monetary system and eliminate the flaw in the current system , which allowed rampant corruption.

As has been the abolition of the currency of the former regime after 2003 and replacing rolling dinar now, it can be done through the abolition of the current period of time and bring new dinar.

It is important that the Iraqi Central Bank assisted by experts from the «Federal Reserve« The US central bank in the Iraqi monetary system , the development of the currency enjoys the trust of high exchange locally and internationally.

Central banks play a major role in financial instruments control in all countries of the world, the most important tool in the hands of the Central Bank is the monetary policy, it is through an increase in liquidity can stimulate the economy out of the state of economic crisis, or to help the economy grow by encouraging exports, reducing inflation.

The currency of the Iraqi dinar in US dollars fasten it means installing currency dinar price of a fixed exchange rate and a lot of countries in the world this practice is based, there are 17 countries in the world have linked its currency to the US dollar, including six Arab countries , namely Saudi Arabia, Jordan, Oman, the UAE, Bahrain and Qatar.

And connecting the Iraqi dinar to the dollar has several advantages the most important of the ease of exchange rate policy management between the currency of the country and the rest of the world currencies all, where monetary authorities determine the rate specified for the disbursement of the peg through which is determined by the relationship of the dinar to the rest of the currency, it goes up for these currencies with the rising dollar and fall with the decline.

On the other hand, the dollar peg helps relatively to protect the national economy from inflation as well as help link in the case of oil -producing countries to stabilize their revenues in local currency when the devaluation of the dollar,Vpferd the stability of oil prices, the decline in the global value of the dollar does not lead to a decline in oil revenues of Iraq Dinars.

It will be issuing new Iraqi dinars a way to expose corruption as it requires the replacement of currency in circulation is the new currency.

At that expose those who shelve billions of current Iraqi dinar and act within the framework of the weak monetary system and politicized the farthest thing from transparency.

It can also be placed CBI commercial banks before the deal could expose any abuses of money laundering and the smuggling of hard currency abroad.

The main reason behind the dollar peg is to maintain stability and increase the confidence to deal with, and maintain a fixed exchange rate of the dinar will eliminate the so - called parallel market vowels (black market).

This reinforces the confidence of investors monetary system and its stability and preserve the purchasing power of consumers with incomes limited.


MilitiaMan » April 19th, 2018

Now look at the similarities below to what WS brought in as the now Final Article #81. The aforementioned FA #20 shows the same sort of educational process that was successful and is some what of a mirror image of what is happening at present with the IQD.. Delta and Samson show that the parallel market is at that stage now to be at the stage for it to cease to exist. New currency is to be issued..

FA #80 "And promoting the circulation of small denomination banknotes." ~ CBI .....

This is the place we are now, read new currency with no parallel market anymore of substance.. imo. Waiting now for the moment of truth. Was that 24 hour notice given? ~ MM
"FA #81

New Money

FINANCE & DEVELOPMENT, December 2013, Vol. 50, No. 4

Introducing a new currency is a complex process—one that Turkmenistan completed successfully

A popular destination for visitors to the IMF’s Washington, D.C., headquarters has long been a 40-foot-long display of each member country’s currency.

Most countries have their own currency, which is an important part of their national identity, though some belong to a monetary union and share a common currency with the union’s members; others use that of another, often larger, country.

On occasion, a country must introduce a new currency. Turkmenistan, the former Soviet republic in central Asia, decided in 2008 to undertake a currency reform.

A major gap between the official exchange rate and the informal or market rate meant that Turkmenistan’s price system had become complex and inefficient. This, in turn, created complexities in accounting and statistical reporting. So the government decided to introduce a new currency before launching market-oriented reforms. Currency reform was regarded as the foundation for further strengthening the macroeconomic framework, particularly monetary transmission: the more the population relies on the local currency rather than U.S. dollars, the more control the government has over macroeconomic policy.

The total and orderly overhaul of Turkmenistan’s currency system in 2008–09 in many respects serves as a model for other countries.

Big decisions

The introduction of a new currency is not undertaken lightly. The motivation could be hyperinflation, exchange rate collapse, massive counterfeiting of the existing currency, or even war. Or it could be an intentional change—for example joining a monetary union, such as the European Monetary Union.

Changing a national currency is a highly political decision. Sometimes the existing currency does not meet the economy’s needs.

The typical economy in need of currency reform is cash based and highly dollarized, with multiple currencies circulating at the same time.

The single most important price in any economy is the price of its currency vis-à-vis other currencies. Countries that assign non-market-based exchange rates for different goods or services—or for imports versus exports—tend to have significant distortions in their economy. Over time, this usually leads to slower growth overall. Eventually, the general public, the business community, and politicians may start pressing for currency reform and the introduction of a new currency.

Currency reforms are typically complex and risky: global experience confirms that a successful outcome is never guaranteed. The main ingredient in the successful introduction of a new currency is a strong commitment by the central bank together with the government to take the steps needed to ensure that the new currency is perceived as stable by companies, the general public, and the international community.

Introduction of a new currency comprises four phases. First, the necessary preconditions—sound macroeconomic policies and strong financial sector legislation—should ideally be in place or under way. Next, careful preparation is required, setting up the policies and processes behind the reform and drafting a detailed budget for the entire currency reform (including the cost of printing and minting the new cash currency). Then comes production of the new currency, and finally the most challenging phase: implementation.

Setting the stage

A government facing currency reform often has limited ability to pursue macroeconomic policy. If the country is suffering from hyperinflation, its macroeconomic policies to date by definition were unsound. In some cases, a currency reform must be implemented despite a difficult macroeconomic situation. Currency reform alone is unlikely to resolve such problems and will yield its benefits only if underpinned by fiscal and monetary action. But psychologically, introducing a new currency can itself facilitate the stabilization of an economy. It is sometimes combined with exchange rate unification—to eliminate the complications of both an official exchange rate and unofficial market rate.

Turkmenistan was able to achieve favorable macroeconomic conditions before it implemented exchange rate unification and currency redenomination. During 2006–07, the economy was growing more than 11 percent a year, inflation was in single digits, and fiscal and external balances were strong.

A currency reform must be supported by financial sector legislation. Existing legislation—including the law establishing the central bank and regulation of banks and other financial institutions—should be reviewed to ensure consistency with international best practices. A law and regulations on the specific currency reform are also necessary, and other legislation—for example, governing accounting and financial reporting—may require updating. This work can be supported by technical advice from the IMF and other countries’ central banks. Such technical assistance includes initial general guidance as well as detailed recommendations based on currency reforms in other countries.

In a crisis situation, the government has little, if any, control over the circulation of different currencies. For that reason, the economy tends to be highly dollarized—that is, many transactions are made with a foreign currency, often the U.S. dollar.

Moving forward, the government should favor a currency regime that supports open trade and free markets—one that allows international competition and is not overly protectionist.

The central bank is the arm of the state responsible for introducing a new currency, but it is not necessarily in a position to do so.

It may lack staff with relevant experience, or sufficient branches throughout the country from which to operate, or even the funds necessary to finance a reform. Strengthening the institutional capacity of the central bank and ensuring it has the resources needed are critical preconditions for currency reform.

Private banks also play a key role in currency reform. But the banking sector may be weak or, in some cases, virtually nonexistent. In some parts of the world, informal funds transfer systems such as hawala and hundi are more vibrant or have nationwide networks that surpass those of banks. In such cases, collaboration between the central bank and these payment system operators is critical to the success of the reform.

The central bank must assess the extent to which counterfeit banknotes circulate. Together with the ministry of finance and the commercial banks, it should formulate a strategy to avoid an increase in counterfeit currency during the critical implementation stages of the currency reform.

The central bank should prepare a budget for the entire currency reform early on and revise it as necessary over time. The IMF can offer technical advice on preparing such a budget.

Introducing a new national currency is a highly complex project, which requires a well-functioning accounting system. Throughout the various stages, tested systems must be in place for independent auditors to safeguard the integrity of the currency reform, by ensuring correct reporting and accounting of the currency exchange. Failure in this area is not only costly but also potentially devastating to the currency reform’s reputation.

Important as all these preparations are, the success of a currency reform depends just as much on a successful public education campaign. The central bank needs to coordinate this campaign with other agencies, financial sector representatives, merchants, and the general public. A delicate balance must be struck between providing sufficient public information and the need for confidentiality to avoid releasing clues to counterfeiters that could be used to undermine the integrity of the new currency.

The information campaign should encourage people to deposit their cash currency in accounts at banks. The campaign must make it clear that once the currency reform is initiated, account holders can withdraw their money in the form of new banknotes.

A second important point for the public education campaign is timely information on the stages of the currency reform to discourage a run on banks with temporary liquidity problems.

In Turkmenistan, the central bank conducted a proactive public communications strategy that began early in the currency reform.

The terms of the redenomination were carefully defined and announced in advance. An awareness campaign was carried out throughout the country. Booklets, illustrating the new banknotes to be distributed, were published in national and local newspapers along with explanatory articles. In addition, pocket-size cards comparing the denomination of old and new manat were distributed to the public. And the Central Bank of Turkmenistan set up a phone hotline to answer questions from businesses and the public.

Lights, camera, action

A new currency’s name is a psychologically important decision for the government. One option is to emphasize continuity with the old currency by retaining the old name or adding “new” to it. Alternatively, the government may choose to underscore a break with the past by giving a completely new name to the currency to mark the start of a new monetary era.

In Turkmenistan, the government decided to keep the name “manat” for the redenominated currency. However, in line with an international convention among countries and central banks, the International Standards Organization changed the three-digit ISO 4217 code from TMM for the pre-2007 manat to TMT for the new Turkmen manat.

The banknote printer and the minter of coins should be selected competitively and in the international market. Even if domestic producers are available, they should be required to compete for the contract. It is not uncommon, by the way, for various banknote denominations to be produced by different international firms.

Turkmenistan’s banknotes were printed by the British firm De La Rue, and the coins were minted by another U.K. company, the Royal Mint. De La Rue is now testing production of the banknotes from paper produced with local raw materials—Turkmen cotton, renowned since ancient times for its high quality.

Decisions on the artistic design of banknotes are almost always complex and time consuming. The design must be integrated with necessary security features: the higher the denomination, the more advanced security features are required. These often include watermarks, security threads, see-through registers, and hidden numerals. Decisions also need to be made on the size of banknotes—a uniform size as for U.S. banknotes or a different size for each denomination as for euro banknotes. Finally, the color scheme should be determined—again, uniform colors, like U.S. banknotes, or clearly different colors as for most other banknotes.

Hyperinflation and exchange rate collapse slash the value of a national currency, forcing the issuance of banknotes in ever higher denominations. In Yugoslavia in 1993, a banknote reached 500 billion dinars, and Zimbabwe’s highest banknote issued was 100,000 trillion Zimbabwe dollars in 2008. In such situations, a redenomination of the currency is not only appropriate but also necessary. Redenominating a currency means administratively changing its face value. In itself, a redenomination makes no one richer or poorer. Technically most redenominations of currencies are undertaken by using factors of 10, 100, or 1,000 and simply moving the decimal point a certain number of steps to the left to establish a new value. Such a change is simple to explain to the general public and easy for companies to implement. It also represents a clear way of monitoring whether price gouging is taking place.

The first step in the Turkmen currency reform was to unify the exchange rate. In the past, because of a shortage of foreign exchange, there had been a dual exchange rate system made up of an official rate pegged at 5,200 manat per U.S. dollar and an informal parallel market rate of about 23,000 manat per U.S. dollar.

Later, the government devalued the official rate to 6,250 manat per dollar and introduced a commercial rate of 20,000 manat per dollar at which banks could trade freely with the public. The two markets were successfully unified on May 1, 2008—at the rate of 14,250 manat per dollar, a level consistent with the country’s strong external position.

Currency exchanges were located wherever customers might want to exchange dollars for manat, offering easy and official access at close to the informal rate, thus killing off demand for the informal market. (parallel)

At the beginning of June 2008, the Turkmen government issued new foreign exchange regulations under which the Central Bank of Turkmenistan began providing banks and authorized currency changers ready access to foreign exchange, which in turn became available to the market-oriented private sector. Previously the central bank had been propping up the official, unrealistically low, exchange rate by restricting access to dollars. The provision of sufficient foreign exchange to an extensive network of exchange bureaus across the country eliminated the black market rate.

While unifying the exchange rate is important, the authorities must also modernize the national currency for a currency reform to be comprehensive. In Turkmenistan, the modernization entailed issuing a new family of banknotes that were smaller in size than the unnecessarily large old banknotes.

It also included the reintroduction of coins. The Turkmen economy had been cash oriented for a long time, and the U.S. dollar was extremely popular. The weakness of the manat to the dollar, which required thousands of manat in an exchange conversion, was deemed unacceptable. One way to correct this was to redenominate the national currency.

After the successful exchange rate unification, the authorities moved forward with the introduction of the new manat, revaluing the currency by a factor of 1 to 5,000. The pegged exchange rate of 14,250 manat per dollar resulted in an exchange rate of 2.85 new Turkmen manat to the dollar.

A presidential decree issued August 27, 2008, announced the introduction of the redenominated manat on January 1, 2009.

Even without redenomination, the denomination structure of a new cash currency is worth considering. Usually, lower denominations are eliminated and higher denominations added. There is generally a shift into coins from denominations that were previously issued in banknotes. Cultural and sociological preferences must be considered. For example, in some countries, such as Somalia and South Sudan, coins are not popular. In other countries, such as Germany, people want access to very high-denomination banknotes. A rule of thumb often applied in developing economies is to set the highest denomination of the national currency no lower than the equivalent of 20 dollars.

Money in hand

Turkmenistan issued six new banknote denominations on January 1, 2009: 1, 5, 10, 20, 50, and 100 new manat. This was a major expansion of the upper denominations—the previously highest denomination, 10,000 old manat, now corresponded to a mere 2 new manat. The six newly issued banknotes each differed in size and were all shorter and narrower than previous banknotes. The design of the front of the banknotes presented prominent historic Turkmen personalities. The reverse side, as in the past, portrayed new key buildings and monuments of modern Ashgabat, the Turkmen capital.

In parallel, new coins were issued in the following denominations: 1, 2, 5, 10, 20, and 50 tenge; and the following year, two more coins were circulated with 1 manat and 2 manat denominations. This represented a de facto reintroduction of coins after high inflation and intense exchange rate pressure had rendered the previously issued coins valueless.

Once the design and denominations of a new currency are selected, the central bank must decide how much to produce, based on research on the demand for money in general and on various cash currency denominations in particular. Data on past orders of banknotes and coins should give reasonable estimates, which must be assessed in light of recent changes in public demand for the currency compared with other currencies. Technical advice is available from international banknote printing firms such as De La Rue and Giesecke &Devrient, and for coin denominations from mints such as the Royal Mint.

The next phase of currency reform is the conversion from old cash currency to new. The authorities must decide—at first privately--when the currency exchange will begin, when it will end, and whether or not to cap, in absolute terms, the amount to be exchanged.

Then, decisions (date) on the announcement of and publicity for the currency exchange must be made. Other essential decisions include the conversion rate and how financial assets, resident/nonresident accounts, and existing currency contracts will be treated in the currency exchange.

In addition to the guidance of the central bank and the ministry of finance, the views of the ministries of justice, commerce, and defense; the police force; the chamber of commerce; bank representatives and representatives of the informal payment system (if it plays an important role in the country); the general public; nongovernmental organizations; and key media outlets should be considered.

The key stakeholders, under the leadership of the central bank, should develop a detailed plan for distribution of the new currency. They must identify exchange points (places where the public can exchange the old money for new and where cash currency can be stored temporarily); establish facilities for more permanent storage of currency, such as vaults and strongboxes; and address various logistic issues, including exchange point staffing.

In its plan for the currency reform, the central bank must decide how to handle the soon obsolete cash currency. Old banknotes that have been exchanged for new currency should be immediately invalidated via ink markings or holes drilled in the currency.

After a second counting, the then invalidated banknotes should be destroyed by shredding or burning. Routines should also be established for the collection and transportation of old coins, which may be sold by the central bank for scrap metal and ultimately melted down.

In line with common international practices, the Turkmen central bank allowed the two sets of banknotes to be circulated during 2009. By 2010, all banks were expected to exchange the old currency for new manat. And after that, the old currency was demonetized and retained only numismatic value.

The IMF’s currency display was recently dismantled to allow for repairs to the building. If and when the display is restored and updated, there will be several new currencies for visitors to view, including the new Turkmen manat.
by Ssmith
on Fri Apr 20, 2018 7:01 am
Topic: "Lowest in the Market" - Thurs. PM KTFA Thoughts, News w/ DELTA 4/19/18
Replies: 1
Views: 667

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