It charges the central bank to stand behind the rise in the dollar and the latter denies

It charges the central bank to stand behind the rise in the dollar and the latter denies and vows to speculators

16-06-2015 10:42 AM

Finance Committee promised in the Iraqi Council of Representatives yesterday that many of the question marks are raised on the outcome of the Iraqi Central Bank action to stop the deterioration of the value of the dinar against the dollar, while the economic and investment commission parliamentary felt that many of the economic crisis solution is to amend that law Bank so as to ensure its independence from the government, and carry Bankers ‘abuse’ the central bank responsibility rising dollar, despite the latter denied this and accused them of and speculators responsibility, and vowing procedures ‘deterrent’
and experiencing the local markets rise a day steady to the dollar exchange rate against the dinar, the impact on the movement and reflected negatively on citizens, particularly with limited income.

Finance Committee: question marks on the central bank to stop the deterioration of the dinar procedures

A member of the Parliamentary Finance Committee, Magda Tamimi The ‘rise of the dollar exchange rate against the dinar, is due to reduce the central bank from sales, as well as increasing demand from citizens and the recent special procedures deductions of tax and customs from the merchants’, loaded with’ the Central Bank of Iraq first and last responsibility to maintain the value of the dinar and the lack of deterioration against the dollar. ”

It said al-Tamimi, that ‘the Iraqi Central Bank has taken a number measures to counter the decline in value of the dinar, but the results did not show on the surface so far indicates many question them signs’, stating that’ the central bank issuing coins and paper from large groups Kalkhmsin or hundred thousand dinars , it may lead to a reduction of the dollar exchange rate against the dinar, because of the ease to carry and be stored and traded, within the framework of actions aimed to revive the domestic market ‘.

Committee the economy: the dollar will not solve the crisis but to amend the central bank law

She said a member of the economic and investment commission parliamentary Nora Albjara The ‘crisis of rising dollar will not be resolved until after the amendment of the Central Bank of Iraq Law No. 94 of 2004 in harmony with the current stage’, usually that ‘the law is a big part of the market crisis, especially with the rise of the dollar against the dinar , as well as financial liquidity ‘.
Albjara explains that ‘the economic and investment commission supports cooperation with the Finance Committee, the amendment of the Central Bank Law’, pointing out that ‘the new draft law to the Central Bank currently exist in the State Consultative Council, in preparation for examination by the government approval and transmittal of the Parliament ‘.
Albjara confirms, that the ‘approval of the central bank law amendment will make him independent of the government’, arguing that ‘problems began to accumulate as a result of a law conflicts with a lot of economic and financial aspects that have been developed in Iraq’.

Central bank: exchange companies and speculators are responsible for rising dollar exchange rate of
the Iraqi Central Bank attributed the rise in the dollar’s exchange rate against the dinar, to speculators in the market, denying that the reason behind the lack of quotas banking financial companies, banks and the conversion of hard currency.

A source at the Central Bank that ‘the Bank increased its outlets to sell the dollar and reduced the standard routine to buy it by banking companies and financial transfer and banks, the currency auction’, blaming ‘exchange companies and speculators responsible for rising dollar exchange rate’.
The source denied that the ‘procedures to be adopted by the Bank, the deduction rate of eight percent as collateral for the tax and customs, are the main reason behind the rise in the dollar exchange rate ‘, stressing that’ the central bank form an operations room to take deterrent measures against exchange contrary to his instructions companies, as well as cooperation with the concerned authorities to fend off speculators and prevent them from manipulating the price dinar exchange ‘.

Bankers: the arbitrariness of the central bank reason for the high dollar

Meanwhile download Bankers arbitrary actions of the Central Bank responsibility for a stronger dollar.
He said the owner of foreign exchange company in Shorja commercial district, central Baghdad, Abu Nizar The ‘arbitrary actions of the Central Bank caused a rise in the dollar’s exchange rate against the dinar’, noting that ‘the central bank reduced the dollar quotas on the exchange companies and banks, and the imposition of taxes and customs fees on goods entering, as collateral for the dollar, amid growing demand for it. ‘

And refers Abu Nizar that ‘Iraq of the largest country of imported goods so traders need to the dollar to cover their goods’, they returned to ‘the current procedures do not allow for traders easy access to the dollar, which forces them to buy it on the black market at any price and thus lead to a height’.
mentions The dollar exchange rate has seen a steady rise in the domestic market of nearly 1200 dinars to the dollar, the beginning of the current 2015 to 1400 dinars currently.

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