Iraq Dinnar - Good Investment?

Question

I have a friend who is buying Iraq Dinar. He tells me that once the war is done, the currency will go up 100x in value. Are there examples of similar situations in history? Money exchange apperciation is also tax-free captial gain.

Answer 1

There are many different things to look at. yes if the war ends well and the Democratic government holds there is the chance for the value of the Dinnar to sky rocket. but there is a huge risk, first of all it won't happen over night. this could take a long time. also if there is a civil war it could cause more problems. the value could drop a lot. it would be best to talk to a professional.

Answer 2

With all due respect, I think your friend is making a huge mistake. First, please read this article:
http://www.xe.com/iqd.htm
Then, consider the following. Even if Iraq is able to form a stable government, there is no guarantee that the dinar will go up in value. Look at Iran, which has a stable government, but the Iranian rial has dropped from 3000 / US$1 to over 8000 / US$1 over the last five years. Second, when it comes time to sell, no bank or currency exchange in the US will buy them. (Don't believe me? Call the bank or currency exchange of your choice and tell me what rate they are buying at. You are in for a very unpleasant surprise.)
Bottom line: You WILL lose at least half of your money investing in Iraqi dinars.

Answer 3

the only example is the Kuwait dinar, after Saddam Hussein invaded Kuwait, the currency drop down, when liberated it raise up 1000x, but tell your Friend to be car full, because Iraq is not occupied, and its currency is determined by the market price these days.

Answer 4

what appears to be good may turns bad. what appears to be bad may turns good. It may sounds like a good investment in iraq dinar. you do have to consider about the power, influence of the politics over at Iraq. Its will be a good catch if you right about about it.

Answer 5

no