Buying Currency in Iraq: A bargain or not?

If you do an Internet search for companies thatthese things will factor into your ability to make a
trade in currency, you may be surprised to find thatprofit from trading the currency.
there are dozens, if not hundreds, of web sitesMany who advertise sales of the dinar will not buy
dedicated to promoting the purchase of the Iraqithe same currency. That should make you somewhat
currency. Many of them tout it as a get rich quickskeptical, because if it is such a good deal, traders
scheme. Others say that it is a patriotic way towould not only sell dinars, but also be interested in
support the new democracy of the Iraqi people andpurchasing them. And they claim that even a fraction
their government. Still others base their marketing onof an upward movement in the currency can make
the notion that buying the Iraqi currency (the dinar) isyou a millionaire. That may be true, but it is no
like buying a penny stock – it is so cheap thatinsurance that the currency will go up. And
you can afford to buy huge quantities, so that evenmeanwhile, currencies of other, more economically
a slight increase in value will guarantee huge yields onstable countries in the world – like Turkey, for
your original investment. But buyers beware, becauseinstance – are cheaper to buy that the dinar, so
there is no proof that the dinar will make awhy not invest in those currencies instead? The fact
comeback anytime soon.is that Iraq’s economic outlook is bleak, and the
Here are a few things for would-be investors topossibility of making huge profits by buying and selling
consider before venturing into ownership of the dinar.the dinar remain slim – at least for now.
First of all, there is still no official and organizedOf course if you want to show your support for the
market for trading the Iraqi currency. This meanscountry – and buy a souvenir for your
that even if you want to buy and sell the dinar as agrandchildren in the process – there is nothing at
currency trader, there is no way to ensure that youall wrong with buying dinar notes, as many of them
will be able to find a market for it. Without buyersas you want. They are very inexpensive – you
and sellers coming together in an organized fashion,can buy them for pennies – and they have some
the currency lacks liquidity – if you need to sellhistorical value as keepsakes from an interesting time
your dinars to convert them to dollars, you mayin the long story of Iraq’s civilization. But to buy
have to wait days, weeks, or months to find a buyerthem strictly upon their upside price potential is
to take them off your hands. And without suchanother thing altogether, and the inherent risk of
liquidity, those who broker the notes will be taking bigsuch a purchase makes it more of a gamble than an
commissions, to make it worth their while. All ofinvestment.