Iraqi Kurdistan looking for alternatives to cope with the lack of dinar

Iraqi Kurdistan looking for alternatives to cope with the lack of dinar

Date: June 20, 2014

Iraqi dinar currencyAccording to observers, economists that the Kurdistan region may be forced in the coming period, to deal in U.S. dollars, or printed currency of its own, as a result of the lack of Iraqi currency in the banks of the region, resulting from the continuation of the Iraqi government not to send the salaries of the staff of the region, and the adoption of the latter on the oil money Kurdistan , which is sold in U.S. dollars.

The crisis has escalated since the beginning of this year, after the Iraqi government decided to cut staff salaries and financial benefits for the region and not to send any amount of history to the Kurdistan region, while appreciating the salaries of employees of the region b (580) billion Iraqi dinars per month, which led to an imbalance Financial in the region, which pays the salaries of its employees dues and financial investors in Iraqi dinars.

The network quoted «Basenyoz» Kurdish, a member of the Finance Committee of the Parliament of Kurdistan Ali Hama Salih, saying that the region in front of three options to get out of the crisis of the scarcity of the Iraqi dinar in the banks of Kurdistan, either that we are in coordination with the Central Bank of Iraq, or dealing in U.S. dollars, or printed its own currency region, pointing out that «Government of the Territory have shown its ability to print its own currency Kurdistan».


He ruled out the Undersecretary of the Ministry of Finance of Iraq Fadel prophet, who resigned recently, and there is a shortage in the province of Kurdistan, the Iraqi dinar, pointing out that ‘the Iraqi dinar is still available in sufficient quantity in the region «.

He added that the increase in demand for the Iraqi dinar, will lead to a rise in its exchange rate against the U.S. dollar, and the government of the region will be able then to solve the problem of lack of dinar by opening the door to buy it through a sub-central bank in each of the Sulaimaniyah and Arbil.

In turn, announced Erbil branch manager of the Central Bank for »the absence of a shortage in the amount of the Iraqi dinar in the Kurdistan region«, explaining that »the Iraqi dinar is still available in abundance outside the bank, in addition to a good amount banks exist Kurdistan«.