Due to a decision to be implemented in 6 days, an expert reveals the reason for the rise in the dollar’s price and predicts “a turbulent month of exaggeration.”
Due to a decision to be implemented in 6 days, an expert reveals the reason for the rise in the dollar’s price and predicts “a turbulent month of exaggeration.”
2025-11-25
Economic researcher Manar Al-Obaidi revealed on Tuesday the reasons behind the rise in dollar exchange rates yesterday in the parallel market in Baghdad and the provinces, where exchange rates jumped to 144,000 dinars per 100 dollars, after they had been stable between 40,000 and 141,000 dinars in recent weeks.
Al-Ubaidi said in a post that “the Iraqi dinar witnessed a decline yesterday, coinciding with most speculators refraining from selling dollars, which created a state of confusion and anxiety in the markets,” noting that “despite the widespread talk about an intention to change the official exchange rate, the Central Bank’s statement was clear that there were no intentions to change the exchange rate.”
He explained that “the real movement in the market is not related to the official exchange rate, but rather to the imminent implementation of the pre-calculation mechanism for customs, which is a long-awaited step. Starting from 1/12/2025, no bank will be allowed to execute an external transfer unless the customs duties have been calculated in advance.”
He explained that “this mechanism will bring about significant changes, including a substantial increase in the state’s customs revenues, control over customs smuggling that has drained the country’s resources for years, prevention of fictitious transfers used for speculation or money laundering, and a reduction in the volume of random imports that consume a large part of foreign reserves.”
He considered that “any such radical reform will face widespread resistance, especially from speculators who will exploit every opportunity to raise the price of the dollar, small traders who have not organized their commercial and banking transactions, and the parties that have benefited from the chaos in transfers and customs over the past years.”
He pointed out that “therefore, we expect a turbulent month of statements, pressures, and media hype,” explaining that “if the mechanism is implemented correctly and continues without backsliding, it will be the biggest blow to customs smuggling operations in 20 years, and it is also capable of raising customs revenues to 6-8 trillion dinars, reducing the unreal demand for the dollar, and reducing unnecessary imports.”
burathanews.com
