Pimpy
I started thinking about something. Right now Iraq is mostly importing. This is a time when a country would want to increase their exchange rate. This gives them more purchasing power. But that's not what is happening over there in Iraq...
I was wondering why don't they just increase the exchange rate? This would give them more purchasing power and would help them as far as dealing with the deficit because if your exchange rate if higher then you have more purchasing power...Increase in the value of the Iraqi dinar means the imports that they pay for would be cheaper because they would have purchasing power...
The good news keeps flowing in. That's what we want to hear. That's what we want to see... Every decision they make when it comes to Iraqi dinar absolutely positively affects the economy. Before they can make a decision to either devalue the currency or increase the value of the currency they have to sit back and figure out how it affects the economy...Iraq is mostly an import country. They rely way too much on other countries providing goods for them.
An increase in Iraqi dinar would make those goods cheaper... They're still trying to rebuild so an increase in the value of the exchange rate would help them go a long way. It would give them more purchasing power and imports would be a lot cheaper.
No comments:
Post a Comment