FDI and Economic Revival Fortifying Iraq and Dinar

FDI and Economic Revival Fortifying Iraq and Dinar

Welfare effect of the foreign direct investment and economic revival is fortifying Iraqi economy and dinar.

 

The phenomenal decrease in violence in Iraq is leading to raising investment and is providing adequate opportunities for the economy to grow and stabilize. Iraq is gradually moving towards being a stable nation, so far the focus was on security which is now moving towards the economic revival and assimilation into the global economic community. Mutual commercial ties with the other nations is assisting Iraq in bridging the sectarian and the cultural gaps, increasing the employment, producing more wealth, facilitating the technology transfer, and motivating the new businesses to adopt the best practices in the industry. Most importantly, this economic revival is providing that feel good factor and a new hope not only to the Iraqi people and its economy, but also to the United States and to the entire world Iraq has fifth largest oil reserves in the world.

Iraq is going through the most critical period of strengthening its economy and taking the right steps towards increasing the dinar investment 2015. Iraq's ally United States Of America is standing firm by all the commitments that the US has made, be it through the Diplomats of US or in the form of assisting the Iraqi economy and the dinar by bringing in the investment from the private sectors around the globe.

Literacy leads to Economic Growth:

One of the aspects of identifying the economic growth of the nation is its literacy rate as it improves the living standard of an individual, society and the country. Iraq has shown significant growth in its literacy rate, this literate population of Iraq becomes the workforce that will drive the Iraqi economy and the dinar towards a bright future.

Iraq is transforming rapidly into a preferred choice of opportunities because of its vast oil reserves and literacy rate of 80% and the manpower availability. Equipped with ever improving self-governance, adept security forces and developing economy, Iraq can become a center of social and economic stability in the Middle East region. The determining factors in achieving this goal will be trade and economic association with the USA and the global community.

FDI and Economic Revival Fortifying Iraq and Dinar

 Decreasing Violence, Increasing oil revenues:

A remarkable seizure of the Baiji oil refinery by winning the battle against the militants has provided the government of Iraq a sigh of relief. The ground security forces have done a significant job and are getting great support from the air strikes by the allies.

A very positive effect of the change in government and the new policy implementation can be seen on the security. It has been over a decade since the downfall of Saddam Hussein and Iraq is on the way of establishing itself as a major oil exporter globally. Iraq is now producing 3 million barrels per day.

In the past it has been mentioned that the crude oil production might go up to 12 million barrels per day, however Mr. Abdul- Mehdi, Iraq's ex Vice president and finance Minister who is now handling the portfolio of Oil Ministry feels that by 2020 Iraq will be able to double its crude oil production. This will help the Iraqi economy to attract remarkable levels in terms of international investment which will be required for drilling new well and developing required infrastructure.
Recent oil and budget agreement between the Iraqi government and Erbil was a much awaited goal and is seen as a significant achievement for Iraq.

Success in Foreign Direct Investment:

In the initial period of US association with Iraq, the private companies of US entered into the business ventures with Iraq through the projects that were funded by the government of USA. But the scenario has drastically changed, Iraq has new laws for investment and these new laws provide favorable circumstances and the tax laws which is encouraging the Foreign Direct Investment in Iraq. The foreign direct investment in Iraq is gaining strength because of the Ministries decision in allocating a huge budget for procurement. Hence as compared to the initial phase, today many firms from the US are making the most of this opportunity by directly investing in Iraq.

Few years down the line the reconstruction and investment task force of Iraq will lay the right foundation for making Iraq a strong economy and fortify the Dinar. The continuous association of Iraq in trade with the global community and the US along with its huge crude oil reserve and the growing literacy rate that will provide the labor force to do justice with the economic development opportunities that Iraq has successfully created besides the turmoil, will result into a economically strong Iraq and a very valuable Dinar.

Tricks and Traps: Making Your Dinar Investment in Big Money

STRIKE IT RICH BY KNOWING ABOUT DINAR FACTS AND UNDERSTANDING PERFECT ANALYTIC REPORTS.

Making Your Dinar Investment in Big Money

People who have knowledge, do not get into predicting things and people who predict does not have knowledge. Ironically, the investment market is driven mainly by the predictions, but dinar investment is an exception to this. The trick here is to know about the Iraqi Dinar Investment 2015 as a currency and the oil sector that forms the backbone of the dinar. 

Dinar Knowledge:

In order to issue the notes and maintain the reserves for the Iraqi dinar, Iraqi Currency Board was formed in London in the year 1931. After the formation of the Iraqi currency Board the value of the Iraqi Dinar in the year 1932 to the year 1982 is said to be varying in between the range of $ 5 and $ 3 per dinar. Because of its link to the British pound Dinar kept on strengthening. 

 The major reason for the argument about investing in Dinar is certainly because of the abundant oil & natural gas reserves. With 34 trillion Iraqi Dinar out of the banks in Iraq and the exchange rate that is consistently doing good, if Dinar moves up even just one cent, then the percentage return on the Iraqi dinar would be 1,329%. 

A close observation and analysis of the purchasing power parity of Iraq would help us in getting a clearer picture of economically developing Iraq.

GDP of Iraq:

Iraq had a GDP which was worth 222.88 billion USD in the year 2013. This GDP value of Iraq has a representation of 0.36% in the economy of the world. It reached 222.88 billion USD, an all-time high in the year 2013.

 Iraq ranks 53rd in the country comparison of the GDP and if we compare the real growth rate - GDP of Iraq to other countries it ranks 15th in the world.

Industrial Production Growth rate of Iraq:

Iraq ranks 14thas compared to the other countries in the industrial production growth rate.

The percentage increase in the annual production is inclusive of the manufacturing industry, mining industry and the construction industry.

Current account balance:

According to the information from the CIA World Fact book Iraq's current account balance in 2012 was $29.54 billion, which ranks 16th as compared to the other countries.

Making Your Dinar Investment in Big Money

Iraqi economy - Synopsis

An overview of these facts about the Iraqi Dinar and the economy of Iraq drives our attention to the financial facts about Iraq which is very important while making an investment. This analysis will help in making improvement in our investment behavior and also in our motive to invest. A proper understanding of these facts hopefully means making the right decision and making risk free profit by investing in Iraqi Dinar. You can easily assess the risk involved in the dinar investment in a very rational way. Investment dinar gurus often suggest that there is a risk element involved as we don't tend to make decisions that are balanced, we just keep on confirming what we want to believe. The financial planners stresses that if an individual is not in need of money for the next few years he should put his money to work. The future is unpredictable still we forecast. But the dinar investment is a decision that is driven by the facts and perfect analysis of the Iraqi economy.

Iraq's improving environment pertaining to the security and the other nation's initiation in investing in Iraq is encouraging the economic activity, especially in the oil industry, energy, construction and the retail industry. The Iraqi governments passing the important policy reforms are laying down the foundation for the better living standards.  90% of the government revenue comes from crude oil industry. The Geo political tensions have an adverse effect on the oil revenues, but the geopolitical tension are not there only in Iraq, even China has disputes with the neighboring countries adjacent to the south and the seas of the East China, the latest dispute with Vietnam over the Chinese oil rig location. The latest figure of the oil production in Iraq shows that Iraq has reached the level that it had in 1970.

 The leaders of Iraq are pressing hard to transform the gains from macroeconomic into improvised living standards for the people of Iraq. Unemployment ratio is declining and the government of Iraq is deregulated in order to encourage the private enterprises which are making it simpler for the citizens of Iraq and the other nations to start up a new venture and business in Iraq. The important steps that are being taken in the direction of a establishing a growing economy are, banking reforms and the global trade and business tie ups.

Iraq's steady approach towards a growing economy despite the geopolitical disputes will finally result into the revaluation of the dinar and it will help millions of dinar investors to secure their future. 

Dinar Investment in 2015 Brings New Hope For Investors

Dinar Investment- Risk Free Profit

Dinar Investment in 2015 Brings New Hope For Investors

Before proceeding ahead with the article let us understand why so many people are thinking of Dinar investment in 2015? Since human evolution we all have been yearning for a better tomorrow. This search for a better tomorrow has been sometimes called as curiosity and sometimes greed. And the only factor that can promise a better and secure future has been money. Having some cash in your savings accounts and different types of deposits can be great for crisis funding but if an individual having a long term investment goal to fund his retirement must consider investing in Dinar.

Every individual might not be greedy but every individual is very enthusiastic about earning a significant amount of wealth that would help him make his future safe and sound. This very desire is the reason why people are always in search of such options to be rich but in legitimate way. Number of means and ways are available which can actually assist in reaping excellent benefits by making investments and investing in dinars is one of the quickest ways to fulfill the desire to be rich. However various speculations about the dinar often puts us on the back foot but even though it is little risky still it becomes necessary to take risk for safe and sound financial future.

In fact, out of many investment choices available buying Iraqi Dinar involves some risk as compared to the other options

In the US there are many adults who are not confident that they are saving sufficient money that can give them a secure future. This becomes a scary thought and that is the time when an individual thinks of various options available in the market to ensure a safe future. There is fairly consistent proof that people are risk averse and the reason behind this behavior is experience and the financial knowledge.

The risk taking behavior can be investigated in various dimensions such as the uncertainty, expectations and the possible outcome of the investment.  And a careful study and keen observation of the events affecting the Dinar value can make it a calculated risk. And it has been proved very often that calculated risk gives the desired outcome.

Buying Iraqi dinar with our hard earned money can be categorized as risky investment. The two main categories of investment options are stocks and foreign currency. The people who invest in these two categories can get few good returns in future. But the main factor that justifies your investment is the ratio of return which is definitely going to be high if the investment is done in dinars.

Dinar Investment in 2015 Brings New Hope For Investors

The ever growing demand of the crude oil makes dinar currency investment the most promising investment

The trading in the market is never based on what everybody knows, it is rather based upon the visionary people who predict with the help of perfect information. And a systematic analytical report predicts bright future of the Iraqi economy which is indeed doing well, besides the geo political and the sociology economic difficulties that Iraq is facing. Majority of the people have habit of ignoring the probabilities and overestimating risk. Hence while considering the various complex investment opportunities it is of utmost importance to get the right understanding and knowledge about the investment options. Iraqi dinar is the right option for both, those who believe that time spent in the investment is more important than the timing in the market and also for those who believe that timing in the market is more important than time spent in the market.

Overall buying Iraqi dinar in order to have safe and sound future is most promising choice amongst the several investment choices available. The demand of the crude oil is at all-time high besides the drop in its price and it is stated that the demand is going to keep on rising in the years to come. The risks mentioned earlier in the article include the ever changing state of affairs globally and the sociology political scenario in the Middle-east. Even the latest trend of manufacturing fuel efficient vehicles cannot by pass the ever emerging need of crude petroleum oil. This very emerging rise in the worldwide demand of crude oil gives the much needed feeling of security while choosing the option of investing in Dinars. We know that crude oil is most valuable resource for our lives and the transition to the post oil era seems to be a distant dream. 

People feel comfortable and assured when they do what everyone else is doing and such type of trend is then termed as popular trend. However if you get into the practice of examining the reason for making investment in dinar you will realize that dinar is your option to make a risk free profit.

Sources:
DinarInsider, et al., “Not A Dinar Scam – The IQD Is A Relatively Low-Risk Investment,” Dinar Guru. January 21, 2015;

Investing in Iraqi Dinar a Good Idea For Retirement in 2015

Using Dinars to Grow Your Retirement Nest Egg

Investing in Iraqi Dinar a Good Idea For Retirement in 2015

Most people don’t make saving for retirement one of their priorities. According to research from the Employee Benefit Research Institute, over a third of consumers have less than $1,000 set aside for retirement.

Part of the problem is that many people don’t make saving a priority, but they also tend to invest in low-return investments. They will face serious financial trouble if any of the major markets enters a downturn. In contrast, smart investors often buy the Iraqi Dinar and other solid, potentially high-yielding investments.

A Common retirement planning pitfalls:

It’s critically important to save for retirement. With existing savings so low, most people should allocate more money toward potentially high-yielding investments such as the Iraqi Dinar. Here are some common retirement-planning mistakes.

Overestimating future Social Security income:

Many people believe that saving for retirement is unnecessary because Social Security will cover their expenses after retirement. Unfortunately, the federal government is considering drastic cuts to the Social Security program and will need to completely overhaul it in the near future.

Millennials should set aside even more money for retirement, because they are expected to receive far less than earlier generations. One way to quickly regain lost savings may be to invest in the Dinar and other potentially profitable investments to make up for reduced Social Security income.

Overexposure to stocks

Equities are traditionally one of the most popular investments. However, they are also very risky, especially in the current economy. The stock market has undergone a dozen major crashes since 1987. Stock investors may not recover their investments for several years.

The risk of another major stock market crash seems imminent. Mark Hulbert, a financial columnist for MarketWatch, recently reported that major investors are preparing for a crash in the near future. Investors should be careful not to invest too much of their money in stocks, in order to minimize potential stock losses.

This article Using Dinars to Grow Your Retirement Nest Egg was originally published at DinarInsider

Dinar Investment is an Excellent Approach in 2015

 Diversification By Dinar – How To Build A Stronger Portfolio

Dinar Investment is an Excellent Approach in 2015

Diversification is a risk-management technique, and it’s critical for success with any investment portfolio. The Iraqi Dinar can help you build a stronger, more diverse portfolio. By diversifying your risks properly, you’ll reduce overall investment risk, even for individual investments which are riskier than average.

Diversification maximizes your returns by investing in assets which react differently to the same geopolitical events. This means allocating investments between different asset classes, business sectors and other categories such as foreign currency investments like the Iraqi Dinar.

Although diversification doesn’t guarantee against loss, still, it’s the only practical way to achieve long-term financial goals while effectively managing risk. In fact, a diversified portfolio will generally yield higher returns and bear lower risk than the individual investments alone.

Benefits of the Dinar for diversification

 First, the Dinar is a strong currency play. Holding the Iraqi Dinar (IQD) in your investment portfolio lets you own a foreign currency with outsized potential for gains.

The Dinar can be purchased at a low exchange rate now, before the expected upward revaluation of the currency. Once the revaluation occurs, there is enormous upside potential for Dinar investors.

Second, the Dinar isn’t correlated with mainstream U.S. investments. So, the price of the Dinar doesn’t necessarily move in the same way as ordinary, low-yielding investments do. Dinar investments aren’t correlated with the performance of such investments as U.S. Treasury securities.

As an example, if you own Coca Cola stock already, it usually doesn’t make sense to buy stocks of Pepsi-Co and other bottlers because it creates over-exposure because soft-drink bottlers are correlated businesses – If negative news in the marketplace affects one bottler, it usually affects all bottlers.

So, diversification addresses the problem of potential losses from near-duplicate investments.

By buying and holding Dinars, you’re diversifying into an independent market niche which is affected only by overall economic conditions in Iraq. And, the country’s economy is booming because of the rapid accumulation of rich oil revenues. The country’s financial numbers suggest that its currency is far undervalued right now.

This article Diversification By Dinar – How To Build A Stronger Portfolio was originally published at DinarInsider

An Overview on Iraqi Dinar Historical Exchange Rate

An Overview on Iraqi Dinar Historical Exchange Rate

Iraq’s official currency since 1932 to today is the dinar. Since its creation, the currency has remained significantly stable until in the years towards 1990 and the gulf war, when it began to register substantial losses. Today, the Iraqi dinar is being presented as an attractive investment opportunity, with the country’s economy being in a steady recovery mode.

The Iraqi dinar traces its roots back to 1932 at the end of the British authority when it replaced the Indian currency rupee. The dinar was coupled with the British pound during its first 17 years of use. The exchange rate during that time bordered on 4.86 US dollars for every single dinar. However, the currency’s value was readjusted downwards to 2.80 US dollars in 1949. The Iraqi dinar exchange rate steadied till 1971.

The Iraqi Dinar after Independence

The Iraqi dinar acquired a life of its own when it finally broke free from the British pound in 1959, after the country gained independence. But its value remained pretty much the same as the British pound, until the latter was devalued in 1967. The currency steadied at an exchange rate of $2.80 for every unit until 1971 when the US dollar lost value.

The Iraqi dinar soared and in 1973 the official exchange rate for the currency stood at US$3.93. It maintained some level of stability until 1978, when the official trade rate was down to US$3.22 for every dinar. Yet, as per black market rates, the currency was reported to have depreciated to trade at 1.86 units for every 1 US dollar.

War dynamics at play

Prior to the events that happened in 1991 going forward, the official exchange rate for the currency was around $3 for every Iraqi dinar. But things changed after the US army marched into Iraq in reaction to the country’s aggression in Kuwait. The country’s economy caved in under the weight of the brief war and economic sanctions that ensued. As a result of the war, the Swiss note printing technology and the country resorted to production of low quality notes.

There was also excessive printing of the Iraqi dinar, which resulted in inflation, hurting the currency’s value substantially. The currency’s exchange value was down to 3,000 units for one US dollar following inflation, by 1995.

The second US invasion of Iraq in 2003 also left a mark in the country’s economy, with the ouster of the then Iraqi president Saddam Hussein is bringing about the interruption of the currency’s supply. The Iraqi governing council and other government authorities authorized the printing of more Saddam dinar notes to temporarily check the shortfall as the country awaited the introduction of a new currency.

This article An Overview on IraqiDinar Historical Exchange Rate was originally published at DinarInsider.com