Heats up debate on the process of deletion of zeros from the currency

02/09/2012 2:02 am

During a seminar held by the (morning)
BAGHDAD - Haider al-Rubaie Flaih - Hussein Tgb Tamimi
Discuss Economists process of deletion of zeros from the Iraqi currency, and the order of the positives that can be reflected on the overall economic activity in Iraq or cons able to affect the business operation and financial in general, and as Deputy Governor of the Central Bank that the disintegration of the monetary system in the country is vulnerable and clear to the overall political process, board Other specialists participated in the seminar that the process requires timelines testify during the economic reality of Iraq more stability, which otherwise is witnessing now, according to specialists.
The deputy governor of the Central Bank of the appearance of Dr. Mohammed Saleh during a seminar organized by the morning yesterday on the process of deletion of zeros from the currency and with it, it's pros or cons related to the overall economic process: that Iraq suffers from enormous power of the monetary mass estimated at 35.3 trillion JD inflation rates caused an increase to dangerous levels, which called for the initiation of change currency and deleting three zeros in order to shrink as it believes in the use of small cash categories.
Pointing out that the deletion will be produced by issuing classes cash small up to 25 fils in order to fill a need transactions small future, stressing that the Iraqi dinar currently covered well and cash value estimated at more than $ 60 billion, a cap could keep the value of the dinar from All economic variables that could face the country.
Saleh was who delivered Mahazerh first at the symposium had answered a number of questions that guide the participants in the same order, as explained during his answers to the financial value of the dinar after the change will maintain its position fully, denying that you get some imbalances in the process transactional to banks and banks with customers who deposited their money before the deletion of zeros.
Despite what was said in favor of the positives can be realized after the deletion, but the president of the Association of private banks Abdul Aziz Hassoun wondered about the feasibility of the change in value of financial standing after the deletion, saying at the same time: what will result from the deletion of zeros, from the comfort of the use of the currency, Will will that rest, economically successful.
In turn expressed an economic expert Dr Akram Abdel Aziz during Mhazertha on the sidelines of the seminar for lack its own absolute in times of time to process the deletion of zeros from the currency, wondering about the impact of the operation in enhancing the value of the currency and whether it will contribute to the positive impact on monetary indicators as well as the guarantee that can Saves the process from corruption.
Abdul Aziz believes that the adoption of a strategy for managing and structuring currency surround require all economic indicators, particularly the effectiveness of the real and service sectors of the economy and what is the percentage of its contribution to the gross domestic product.
She drew Abdul Aziz that enhance the value of the currency can not be achieved implicitly, pointing out that the reasons for this comes because the value of the dinar and the strength derived from the diversification of income sources and increase built sectoral and making them able to produce goods and services, criticizing a growing reliance on the oil sector in supplying the budgets the country's financial and influenced the stability of cash income from foreign currency assets enhanced the value of the currency, as well as that this matter can keep on unilateral export content and increasing import content with a wide range of external borrowing.
And participated in the seminar a number of experts and specialists in economic affairs appeared in many government and private agencies, and will be published an extensive report for the morning seminar in future issues.