Dipo Tepede

Obama’s 100 days in office was quite instructive to me on a personal level; the freedom of the campaign trail contrasts sharply with the constraints of reality. When all have been argued, the bottom line is that there has really been no policy change from the Bush administration. However, there has been shift in global perception while everything is the same in the realm of reality. Ok, I don’t write about politics but political decisions are pivotal to investment opportunities.

 

 

Let me give you a historical example; prior to Saddam Hussein’s invasion of Kuwait in 1990 one Kuwait Dinar (official currency of Kuwait) was worth $2.79 US Dollars. After Saddam Hussein’s invasion of Kuwait the Kuwaiti Dinar plummeted to a value of $.10 on the Dollar. When the U.S. lead coalition removed Saddam the Kuwaiti Dinar could be purchased for pennies on the Dollar. Today one Kuwaiti Dinar is worth $3.42 U.S. Dollars (USD).

 

 

My cousin who was in US Army was “fortunate” to be drafted to Kuwait during the time; unwillingly changed his US dollars to Kuwait Dinar at $.10 value. He came back to the US suddenly still holding the perceived valueless currency and waiting to be drafted back so he could get back his US dollars. He didn’t have to wait too long because the valueless currency was now worth 3240% return on his unintended capital.

 

 

This is how some people’s economic profile change – a single political decision can make or mar you. Early this year based on a political, I made 1000% return on selling helmets but now you would be lucky to make 120% return on selling the same helmet; this is a typical example of time and chance. The time you may not control but seizing chance you can definitely control. Seizing chance is based on your level of preparedness which is a function of your insight.

 

 

In my early write-up, I advised my readers to Stop Struggling and embrace the night time of their lives to develop insight. I also told you of Oliver Stone’s “W” and the memorable boardroom that led to the decision of going to Iraq. What I missed out in that write-up was the economic reason that Dick Cheney, the vice president of the country, gave for supporting the Iraq war:

 

 

“I see a world that in 25 years, American resources would be gone. Demand would be up 30-40% and we have two oceans blocking us from the world’s reserves. Do you think we would have allies then? We are 5% of the world’s population and we use 25% of the world’s resources. Do you think China and Russia would help us out when they need those resources themselves? 80% of the world’s future energy reserves are in Eurasia (Middle East) where the prize ultimately lies; oil, gas, water. Iraq alone, 10% of the world’s reserve; 60 of 80 oil fields are still undeveloped. They have about 100 billion gallons in the western desert, they are floating in the sea of oil…….if we attack them, we would run it; they own it but we run it.”

 

 

Statements like the ones above confirm the reason why Americans don’t bother intervening in genocides like Dafur and Congo civil war. There is no economic leverage. Americans invest 10 billion dollars per month to stay in Iraq: They don’t appear to be fiscally stupid to me. This simply means Americans would do all in its power to stabilize Iraq for its benefit. Why do you think Obama proposed another 89 billion dollars to be spent in Iraq? How does all this affect you on a personal level?

 

 

Simple! Just like what happened to Kuwait which has the third largest oil reserve in the world, the same thing is likely to happen to Iraq that has the second largest oil reserve in the world. Before Saddam came to power the Iraqi Dinar was worth $3.30 (USD). After Saddam lost the war with Iran, the war with Kuwait and after the country was impacted by years of UN Sanctions the Dinar was down to its lowest exchange rate ever.

 

 

Prior to the start of Operation Freedom initiated by US, after two wars and over 10 years of U.N. Sanctions, the official international exchange rate for the Iraqi Dinar was $0.31 (USD). Today the exchange rate for Iraqi Dinar is close to its lowest point in history, .00068, after bottoming out at .00027.  Of course you have to be in Iraq in order to get that rate. At the present time it’s only a local currency.  Speculators are waiting for high returns should it to become a global currency again sometime in the future.   

  

 

 

 

I am sure you really don’t have to be a seer to foresee the Iraqi Dinar coming up just like the Kuwait Dinar. The Kuwait Dinar has the highest purchasing exchange rate in the world; the next currency to it is the British Pounds. Mid last year, the oil fields were opened for operations in Iraq and the country went from zero profit to 80billion dollars in profit from oil sales which increased the value of the Iraqi Dinar. Don’t get too excited yet, the fact that the Iraqi Dinar may rise  is simply speculation. Let me balance the article by giving you the disadvantage of owning the Iraqi Dinar.

 

  

The Disadvantages:

1.  The Iraqi government that is established is so new and the currency is not firmly established.

2.  The government could decide to recall the present dinar for a newer dinar and exchange at a ratio less than 1:1. The government has the final say.

3.  Iraqi Dinar is not traded in the world market for now but this issue would soon be resolved as some countries have started lifting sanctions.

4.  Internal strife or a new civil war can lower the value of the Iraqi Dinar

5.  Instability in the oil market could affect the value of Iraqi Dinar

6.  Inflation may affect the Iraqi Dinar

7.  Iraqi Government may decide to keep it low for a number of reasons.

 

 

I am sure you can all do your risk analysis; the outcome if RV is greater than the pending loss. After going through the disadvantages and you are still interested in investing in Iraqi Dinar, you may buy from us; we offer the best deal in Iraqi Dinar compared to other dealers in the world. Our dinars are straight from the Central Bank of Iraq so we guarantee the originality which simply means you are sure of getting your dough back when you invest. Note that there are so many dealers selling fake dinars out there. A minimum of 250 USD is needed to buy from us. Please, click HERE to show interest and learn more.

 

 

N/B: THIS IS A HIGH RISK INVESTMENT AND THE PRIMARY RULE IS TO INVEST MONIES THAT DOES NOT IMPACT YOUR WORLD NEGATIVELY. 

 

 

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