Information About Iraqi Dinar

Information About Iraqi Dinar
The dinar is the official currency of the nation of Iraq. The Central Bank of Iraq first issued the current dinar in late 2003 as a replacement for the original dinar, which was discontinued in the financial collapse following the 2003 invasion.

Original Dinar

The original dinar was first issued in 1923 as a replacement for the Indian rupee, the previous official currency under British occupation. The value of the dinar was pegged to the value of the British pound until 1959, when the Central Bank of Iraq began pegging the value to the United States dollar. The dinar destabilized after the first Gulf War in 1991, and completely collapsed after the invasion of 2003.

New Dinar

On October 15, 2003, the Coalition Provisional Authority began issuing the new dinar currency, in the form of banknotes and coins. Due to instability, there is no international exchange rate, and international banks do not trade the Iraqi dinar. The value is set by the International Monetary Fund at 1,170 dinars per U.S. dollar.

Coins

Coins were introduced at values of 25, 50 and 100 dinars in 2003 and 2004. Because of inflation, these coins quickly became useless and are no longer in circulation.

Currency

Dinars are issued as paper banknotes in denominations of 50 dinars, 250 dinars, 500 dinars, 1,000 dinars, 5,000 dinars, 10,000 dinars and 25,000 dinars.

Current Status

As the Iraqi economy stabilizes, the Central Bank of Iraq has indicated that it will eventually revalue the dinar as a prelude to trading on international exchanges. It is likely that the revaluation will be make 1,000 current dinars equal 1 new dinar.

Article Written By Timothy Aldinger

Timothy Aldinger brings 20 years of experience as an instructional design consultant and corporate training strategist in the automotive, environmental, health and insurance industries. His professional writings have been published by Ford Motor Company, Chrysler Corporation, General Motors, Volkswagen, Toyota, Nissan and many other major corporations. Aldinger received his Bachelor of Arts in political theory from Michigan State University.

Don't Miss a Thing!

All our latest outdoor content delivered to your inbox once a week.

FREE UPDATES

Subscribe

We promise to keep your email address safe and secure.