Experts: Delete the zeros from the Iraqi dinar increases its strength against the dollar
Experts: Delete the zeros from the Iraqi dinar increases its strength against the dollar and easy to draw a price policy
02.22.2014 (0:01 pm)
BAGHDAD / Nihad Kazim
He said experts and specialists in regard the country’s financial The implementation of the project to delete the zeros from the Iraqi dinar will increase the strength against the U.S. dollar, in addition to facilitating the drawing political price in the country, as demanded a parliamentary committee by clicking on the government, “which disrupted the project” to force it to be implemented through texts Constitutional which allows the printing of a new currency, pointing out that the country’s exit from Chapter VII, and to achieve the balance of Iraq’s 76 billion dollars in international banks catalysts to delete the zeros.
The decision of the Commission on Economy and Investment parliamentary Mahma Khalil said in an interview with the “long” The parking Government against activating the decision to delete three zeros from the Iraqi currency under the pretext of fear of counterfeit currency is not justified, especially as the regional climate is ripe after the withdrawal of Iraq from Chapter VII and raced companies Global investment to invest in Iraq.
He added that there is a legitimate action as a means of pressure on a government to force it to retreat from its position, including recourse to the constitutional provisions that allow the printing of a new currency and to address the weakness of the Iraqi dinar against the U.S. dollar as a necessity of economic urgency after that had a balance of Iraq’s sovereign global banks 76 billion dollars.
For his part, said economic expert Majid picture “long” The Central Bank of Iraq in agreement with the Ministry of Finance presented the studies necessary for the process of deletion of zeros since 2008 and has taken all actions relating to the restructuring of the Iraqi currency, including the design of the currency and denominations and the quality of paper used her, who confirmed that from the finest stainless paper cash or difficulty falsified.
He added that the executive branch has decided to postpone the process of restructuring of the Iraqi currency, which led to the cessation of all actions related to this project, explaining that the aim of the restructuring process is to reduce the cost of handling and facilitate transactions handled, especially medium and large as well as to facilitate the draw price policy in the country.
He stressed the need to accompany the process a package of measures distributed responsibility on all departments and state institutions and banks in order to develop solutions to the problems and obstacles that can arise during the process of restructuring, including cash, and accounting, and security as well as take the necessary measures to destroy the currency received canceled.
He pointed out that the experience of Iraq to replace the currency in 2003 was very rich, but did not exceed only change the shape of the currency and replace it, so you do not need accounting requirements or legal, calling for the need to educate departments, banks and citizens feasibility of restructuring the currency as well as the use of modern technologies to detect fraud, also called to the non-interference of politicians and subjecting such decisions to Mazidat and political skirmishes, because that is not in the interest of monetary policy and the Iraqi economy.
Meanwhile, a financial expert, Thamer Alheimus “long” that highlighted the benefits of the deletion of zeros is to create flexibility and ease of trading, and gave the example that in the case of activation of the decision will be coin values of small Kkhmsin fils or less, and under that will highlight the prices between the fourth dinars and half dinars or less, and thus would be unlikely in a large increase in the value of the Iraqi dinar against the U.S. dollar in the case of Sir prudent monetary policy according to which it will contribute to the improvement of household incomes and low-income social strata.