Dinar rises slightly and some bankers are reluctant to sell the dollar

Dinar rises slightly and some bankers are reluctant to sell the dollar

02.03.2015 1:04 p.m.

Dinar rises slightly and some bankers are reluctant to sell the dollarLong-Presse / Baghdad
A number of owners of companies and banking offices, on Tuesday, the high value of the Iraqi dinar slightly against the dollar after one day of a big drop is the first in many years, and as pointed to dollar exchange rate reached to 1240 Iraqi dinars, revealed their unwillingness to sell the dollar. ” fear “of the heavy losses may occur to them if the fluctuation of the Iraqi dinar exchange rate continued.
Said Mohamed Salem, owner of office banking in the Karrada district in an interview with the (long-Presse) that “the dollar against the Iraqi dinar rose again on Monday evening, up to 1280 dinars, causing large overwhelm in the Iraqi market,” noting that many of the offices and banking companies completely stopped buying and selling for fear of losses which may cause hours after the sudden rise. ”
Salem added that “the Iraqi market is still experiencing confusion and volatility despite the rise of the dinar exchange rate against the dollar slightly up to 1240 Iraqi dinars,” adding that “all employees in companies and banking offices are looking to their news stating a rise or fall of the Iraqi dinar against the dollar to hear American “.
For his part, Ahmed Sami, owner of Allied Banking Corporation, said in an interview with the (long-Presse) that “the high and low price of the Iraqi dinar against the dollar was not expected because of the stability in the pricing of the dollar over the last two years.”
He Sami “It’s hard to predict what will happen during the next few hours of the waves striking in high or low, I personally attributed one of those reasons to the central bank, which has a hand in this volatility for not pumping hard currency to banks only in small quantities, noting that” the dollar exchange rate stood at Today in 1240 dinars, down from the exchange rate on Monday, which amounted to 1280 dinars. ”
And between Sami that “his company stopped selling the dollar temporarily until get stability in the dollar exchange rate of the dinar against the fear of big losses you might get, if it continues to fluctuate Iraqi dinar exchange rate.”
Experienced companies and shops, banking in Baghdad an apparent absence of Iraqi customers stagnant sales and buying foreign currency.
Noted correspondents (long-Presse) in Baghdad and the provinces, the dollar exchange rate against the Iraqi dinar frequently rose on Monday from 1240 to 1250 and then in 1280 the Iraqi dinar. ”
The Iraqi Central Bank to sell dollars to banks at a price of 1166 dinars to take is to sell to dealers.
The Economic Committee in the Iraqi Council of Representatives Ezzat, on Monday, rising dollar exchange rate of the dinar in the Iraqi market to the decisions taken by the Central Bank during the past few days to support the economic development that, while likely economist return of the dollar to normal rates through a simple period, attributing the cause rise to the “rush” banking offices to buy the dollar, as well as reducing the quantities sold by the central bank as recommended by the general budget.
It is noteworthy that the current year’s budget law, committed the Central Bank of Iraq, in paragraph 50, identifying sales of foreign currency (dollar) in daily auction ceiling does not exceed 75 million, with the exercise of justice in the sale, and claim the participant in the auction the bank providing the introduction of goods and data documents Tax settling accounts and savings Alkmarki within 30 days from the date of purchase of the amount, and so it applies penalties stipulated in the Central Bank Act or regulations issued it, and use other banking tools to maintain the strength of the dinar against the dollar.
The Central Bank of Iraq, announced on Sunday, (the first of February, the current 2015), take five resolutions for “support” the development of the Iraqi economy, stressing his agreement to cover bank accounts abroad to “US dollar” to cover imports, while the importance of ” accelerate “legislation Deposit Insurance Act, hailed the formation of a committee to reconsider the structure of interest among its” approval of the Central Bank to cover the bank accounts abroad in US dollars to cover imports of customers and for other purposes without the need to go through the window of the currency sale at the Central Bank of Iraq. ”
The Iraqi Central Bank announced last week, to take the necessary measures to boost liquidity in the banking system, and decided to facilitate the procedures for the sale of foreign currency “to sustain the exchange rate.”
The Central Bank of Iraq, had announced in (the 18th of January 2015), that the financial reserves of Iraq is equivalent to one and half times the weakness of the currency bloc, returned it the “best rates” in the countries of the world, as he emphasized that Iraqi financial institutions are “unable” to cover The fiscal deficit, he stressed the need to reconsider the structure of the budget and spending and diversify sources of income and achieve investment more broadly to address the decline in oil prices.
The Iraqi Council of Representatives passed last Thursday (29th of January the past), the financial budget for the current 2015, an amount of 119 trillion dinars, the equivalent of $ 117 billion, and a deficit of about 25 trillion dinars, or about 23 billion dollars, and calculates the price a barrel of oil at $ 56 a barrel, while the President of the Council stressed, Saleem al-Jubouri, it is the first time that the adoption of the budget is during the first month of the year, returned to the “achievement” is calculated to parliament.
The Economic Committee in the Iraqi Council of Representatives Ezzat, on Monday, rising dollar exchange rate of the dinar in the Iraqi market to the decisions taken by the Central Bank during the past few days to support the economic development that, while likely economist return of the dollar to normal rates through a simple period, attributing the cause rise to the “rush” banking offices to buy the dollar, as well as reducing the quantities sold by the central bank as recommended by the general budget.

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