The Iraqi Central Bank diagnoses the “basic” problem with the crisis of the dollar’s rise
The Iraqi Central Bank diagnoses the “basic” problem with the crisis of the dollar’s rise
11-28-2023
Information/Baghdad…
On Tuesday, member of the Board of Directors of the Central Bank, Ahmed Brehi, denied that the Central Bank had a problem with its balance of foreign currency or revenues, pointing out that raising the issue of a shortage of cash liquidity is fabricated due to ignorance in central banking.
Berhi said, in a statement to Al-Maalouma, that “it is wrong to accuse the Central Bank of its inability to overcome the crisis of the rise in the exchange rate of the US dollar against the Iraqi dinar.”
He added, “The Central Bank does not have any problem with revenues or its foreign currency balance, but the real problem lies in the restrictions imposed by the US Treasury.”
Berihi pointed out that “raising the issue of a shortage of cash liquidity is fabricated due to ignorance in central banking, and the central bank can print the local currency without any cover because this matter has been overcome internationally since 1971.”
It is noteworthy that the sanctions imposed by the US financial authorities on 14 Iraqi banks led to a rise in the price of the dollar because these banks are part of the process of financing the local market with hard currency.
almaalomah.me
