Pimpy

  In Pimpy's Investment Chat

A couple days ago or so we had an article in which the IMF was suggesting that Iraq do a reduction on the exchange rate. That’s good for us.  We got other news.  Article “Iraq: the government is compelled to “delete the zeros” from the dinar currency…”  …This person is suggesting that…they go ahead and devalue the currency. This scenario is not good for us. We want them to reduce the exchange rate. We do not want them to reduce the value of the actual dinar…this has been studied. This has been talked about several times….the studies show is you can’t do that [devalue the currency]. It effects the poor people…in addition to that it’ll cause the citizens of the country to lose faith in their currency because it has no value…this article here is an economic expert saying that this is what the Iraqi government should do. The other article is the IMF saying this is what they want done…a reduction in the exchange rate. That’s good for us.