Economist: The Central Bank of Iraq turned into a “money changer” and broke into the black market

Economist: The Central Bank of Iraq turned into a “money changer” and broke into the black market

2023-10-07 07:33

Economist - The Central Bank of Iraq turned into a money changer and broke into the black marketShafaq News/ An economic expert revealed, today, Saturday, the reasons for the rise in the dollar exchange rates in Iraqi markets in general and the Sulaymaniyah markets in the Kurdistan Region in particular, while explaining that it is not one of the duties of the Central Bank to sell the dollar against the local currency and that the matter must be left to the “black market” for stability. market.

Economist Dana Mawloud said in an interview with Shafaq News Agency, “There are two main reasons behind the sudden rise in the dollar exchange rate, the first of which is the Central Bank of Iraq’s announcement to stop pumping and selling the dollar to the markets as of the beginning of next year, and the second reason is due to the media exaggeration carried out by some media outlets, which had an impact.” On citizens’ decisions to collect dollars instead of local currency.”

Regarding the reasons for the Central Bank of Iraq’s decision to stop pumping currency at the start of the new year, Mawloud added, “The Central Bank of Iraq, in coordination with the World Bank, took this decision and with the approval of the US Treasury, and it will be implemented as of next January 1, with the aim of preventing the US dollar from reaching Iran from Iraqi markets.” And Turkey, as these two countries are the ones that buy the most US dollars from Iraqi markets.”

Mawloud stated that “the Central Bank is the only body that sells foreign currency in the markets and it acts as a money exchange, and there is no bank or bank in the world that sells foreign currencies,” indicating that “the issue is supposed to be left to the black market and the Central Bank and other banks exchange and transfer currencies.” Foreign exchange rate at the government rate, then the dollar exchange rate stabilizes between the government-specified rate and does not exceed 137,000 thousand dinars for every 100 dollars.”

Mawloud explained, “The reasons for currency smuggling are that the dollars pumped by the Central Bank of Iraq do not go to citizens, but rather go to banks and companies that do not benefit the Iraqi citizen.”

Today, Saturday, the exchange rate of the US dollar on the Sulaymaniyah Stock Exchange reached 158,500 thousand dinars per 100 dollars.