Speculated rates and theories: Based on Kuwaiti Dinar: It’s been said that the rate must equal their neighboring Kuwaiti Dinar rate, which would put the Dinar at $3+. Many people speculate that the Iraqi’s are a prideful people, and it would be a slap in the face to have a revalued currency be less than Kuwaits. Based on “dropping the 0′s”: It’s mentioned many times in the news that the 0′s could be dropped, which would mean one of two things: 1. The 0′s are dropped from the bills, which essentially puts most investors at a break even return. Nothing gained, nothing lost. 2. The 0′s are dropped from the exchange rate, which is currently .00086 (Dinars are worth about 1170 IQD per 1USD, or an exchange of .00086). This means your dinars are worth .86 USD per Dinar – in other words, a 10,000 IQD note is exchanged for $8,600 minus spread and bank fees.
Based on “equal to the USD”: We see articles all the time that reference the US Dollar, stating that the CBI wants the IQD to be equal to the USD. An easy assumption is to simply RV at 1:1, making a 10,000IQD note worth $10,000.
Based on “they can’t RV low or investors will buy too much!”: Some people state they will not cash in for anything less than $1. They state that Iraq would be foolish to RV at a low rate, because then big money will come in and buy up a ton of Dinar before it can go higher. (This theory is wrong, FYI.)
I agree with a few of the speculations above. [reference posts 1 and 2 7-13-2020] But my opinion of the rate goes a little deeper… it includes a “business sense analysis” that everyone might consider. Iraq is a business – and the business is natural reserves. Iraq holds a majority of the worlds natural gas and also black gold, also known as “oil”. When…the HCL has been settled, they will begin operating their business using the same principals any other successful company uses – the goals being profit, sustainability, and success!