Iraqi Dinar as an Investment
Posted By: Dr. Frugal in Currency on 09/22/2007 at 12:37:46
About a year ago the hot thing in currency was Iraqi Dinar. The Iraq War, while not going well, still looked somewhat manageable and the fact the Kuwaiti dinar had experienced a spike after US meddling brought a lot of investors on board. The investment of dinar has taken a pretty substantial turn downward now, with $1m dinar equaling about $700 US dollars. To give some perspective, the Kuwaiti dinar was equally low and rebounded to a 3:1 exchange over the US dollar. People made millions.
Investing in the Iraqi dinar, though, due to the fact the country is not only experiencing pre-civil war conditions but also preparing to possibly be divided into three sections (with different currency) is troubling at best. Although the "new" Iraqi government printed new, counterfeit-protected money with the assistance of the US government, it looks like they will likely have to scrap the existing currency and swap it out once the turmoil settles down. And know knows when that'll be.
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