Sources say, Iraqi Dinar contractors brought back with them during LOGCAP III & IV is pretty much worthless

Despite reports of the economy in Iraq rebounded after years of conflict the Iraqi dinar contractors brought back with them brought back with them during LOGCAP III & IV is pretty much worthless. According to some sources the Dinar has no chance of significant appreciation. The main reason is because of the political uncertainty — who would invest in the currency of a government that is still fighting a significant insurgency and might not be around the next year, any year? Second, and much more importantly, there are so many Dinars floating around that even if Iraq discovered the world’s largest gold mine tomorrow, the value of the Dinar would not significantly appreciate.

Actually, there have been a number of news outlets warning consumers about potential scams regarding Iraqi Dinar currency exchange services. While foreign exchange scams are not new, the sudden popularity with the Dinar and resulting consumer complaints to our banking partners is concerning.

Several websites have recently been advertising investment opportunities in Iraqi Dinars. These websites are asking the consumers to send a check, wire, money order, or pay cash upon delivery of the Dinars. What consumers are not told is that the Dinars can be redeemed only in Iraq, as most of the established currency exchange houses and banking institutions cannot convert the Dinar to US dollars. Since no exchange exists for the Iraqi Dinar, dealers can charge whatever they want to sell and buy back the Dinars.