"RV UPDATE" BY SANDY INGRAM, 4 FEB

 Sandy Ingram

  Kuwait receives oil revenue in its currency.  Wrong. Kuwait is a member of OPEC and receive its oil revenue in US dollars just like Iraq.  It's all about how you spend your profits.  This is why the IMF encourages Iraq to create more streams of income...

Kuwait, is a country that successfully revalued its currency in the early 90s.  Following the Gulf War Kuwait's economy was in ruins, yet within a short span the Kuwaiti dinar was reinstated as one of the most valuable currencies in the world... Unlike Iraq, Kuwait had a relatively stable political environment and a resilient economy backed by vast oil reserves. 

 The international community had faith in Kuwait's ability to rebuild and stabilize which facilitated the revaluation process...A stable political environment, a strong economy, a positive balance of trade and the trust of the international markets are all critical ingredients for successful revaluation.  It's not a magic wand...