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View Full Version : Expected to continue a volatile dinar exchange rate in the near term



BatmaninIraq
05-31-2015, 03:14 AM
Bank official is expected to continue a volatile dinar exchange rate in the near term Iraqi banking official predicted on Saturday continued fluctuation of the dinar exchange rate against the dollar in the near term due to increased demand for hard currency,

after the financial authorities recently taken new measures in an effort to support the local currency. The record of the Iraqi dinar significant decline against the dollar for the first time in years, the exchange rate was about 1230 dinars to the dollar after it was flat for the past years by about 1220 dinars to the dollar.

A member of the administrative board of the Central Bank to Twilight News that “the approved measures to increase the supply of the dollar in the Iraqi market has been unable to cover the increasing demand for the dollar, presumably to other government agencies outside the central bank, banks should take other measures to combat capital flight operations.”

He added that “the Iraqi Central Bank grants $ 125 thousand for each banking institution in the country,” pointing out that “financial speculation and lack of security and political stability in the country helped the decline of the Iraqi dinar exchange rate.” The central bank sells at auction its currency per US dollar to 1179 dinars, private banks and the companies, but it does not sell directly to the citizens, while private banks authorized to sell to sell the currency, the dollar B1189 dinars, for citizens directly.