Foreign investors buy local bonds → they need local currency to settle→central bank prints or releases more local units → supply/demand imbalance pushes the currency stronger in the short-to-medium term. This is textbook revaluation pressure, not fantasy. Vietnam is running this playbook right now. They are flooding international markets with bonds, strong in capital, and watching the Dong strengthen as money floods in. This is not random. It’s coordinated… Iraq is under the exact same mechanics…When Iraq sells sovereign or reconstruction bonds internationally (already happening quietly through backchannels), foreign capital pours in, forces dinar demand, and compresses any remaining resistance to a strong, tradable rate… Ariel :
