Central maintains the value of the dinar Following a drop in the dollar exchange rate
Source: Al-Sabah
Returned prices of the dollar to witness Asagrara price reached after a rally last week’s, Analysts attributed the cause of the falling exchange rate of foreign currency against the dinar to the measures and actions taken by the Central Bank as well as the procedures and calls for intensive government stressed the need to reduce the prices of the dollar as soon as possible, which it what happened actually when the recorded exchange rates 124 000 dinars per $ 100, at a time when the dollar increased significantly last week reached in which the exchange rate more than 133 thousand dinars for every $ 100. In order to maintain the stability of exchange rates and prevent the rise again suggested Economists range of measures they said were capable of tackling any high potential for the dollar in the future, stressing that the increase in the dollar could reflect negatively on the inflation rates, which increased during the past few days because of the high prices of many materials and household goods as well as the prices of fruits and vegetables imported. The process of rising prices, a natural matter of its close association with an increase of prices of the dollar, so for the adoption of the country heavily on foreign imports to feed the local markets, materials and household goods, as it requires usually large amounts of dollar to feed imports, which has driven prices of those materials to rise after high exchange rate of the dollar locally, and also finds that the economic expert on behalf of Jamil Antoine, who praised the measures the central bank in the absorption unit rise of the dollar, calling on him to take more effective measures not only to reduce the prices of the dollar but to preserve the value of the dinar in the future, and stressing at the time the same on the need to have recourse to the government to impose strict control over the traffic the dollar from the central bank and even real objectives that are used for it in funding trades the private sector or to meet some requirements of the construction and reconstruction, explaining that this procedure can reduce the smuggling of currency in which said Antoine it major reason behind the erosion of the dollar from the local market and thus higher prices. said Antoine Speaking (morning): that Iraq’s interest first and the central bank again to address the great pressure experienced by the domestic market in the country by neighboring countries, which have been subjected to UN sanctions, and thus They are an economical way to attract the capital it in various ways, and this is the latest big gap between supply and demand for the dollar, which faded by the fund trades great with these countries, and thus increased its price as witnessed during the past week. According to Antoine the importance of what he had done the Central when stressed conditions for participation in the daily auctions, pointing out that exceeded the quantities sold of the dollar called for regulators in the bank to take those measures designed to protect cash reserves and keeping the value of Iraqi dinar covered the value of a good dollar. confirms Antoine need to move the wheel of the economy in whole, in a move aims to raise the value of the dinar against other currencies, maintaining the stability of the exchange rate, and this requires activation of the productive sectors of non-oil sectors such as agricultural, commercial, or industrial, adding that the move of these sectors will enrich the country for much of the imports, which cost Iraq a lot of money to meet the financing of such materials and equipment entering the local market and that are imported into the habit of neighboring countries. stressing that when what has activating the productive sectors of non-oil and provide food security full, the Iraqi economy will flourish and will increase the value of the local currency will be subject to vibration the higher the dollar. was Antoine had noted at the time of prior to the existence of depression in the Iraqi market for securities due to lower stock prices, prompting traders in that market to shift to buy the dollar to trade him and thereby raising the rate of exchange against the dinar. He added that the inertia and the recession that hit the Iraqi market for securities due to lower prices of shares, push companies to buy the dollar and traded for the liberation of this recession happening in the Iraqi Stock Exchange, increasing the demand for dollar by the central bank, adding that the central bank sales are limited and can not sell large quantities of the dollar because the demand to buy large and will affect the local currency the fact that the dollar is the cover of her
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