The most prominent of which is the decision of the Central Bank… Three reasons behind the rise of the dollar against the Iraqi dinar

Shafaq News / Financial expert and former director of the Central Bank, Mahmoud Dagher, revealed on Thursday three reasons that led to the recent rise of the dollar against the Iraqi dinar.

Dagher told Shafaq News Agency, “There are several reasons behind the rise of the dollar against the dinar, but the most important is the decision of the Central Bank of Iraq to sell cash dollars to travelers inside the airport.”

He pointed out that “the second reason is the suspension of foreign currency transfers via the dollar, which are scheduled to resume, especially to China, but with strictness and follow-up by an international auditing company and with senders and banks that conduct transfers that are different from before.”

The financial expert continued by saying that the third reason is, “As long as there is insistence on trade with Iran and Syria – two countries that do not have a banking system with the world – then obtaining dollars has become more difficult for them.”

This week, the dollar rose against the Iraqi dinar, with the 100 US dollar denomination reaching nearly 150,000 dinars.

Last Monday, the Central Bank of Iraq issued new instructions regarding granting US dollars to travelers, indicating that these instructions will come into effect starting from July 14.

According to the bank’s statement, which was addressed to Rafidain, Rashid, and Iraqi Trade Banks, exchange companies currently operating at airports, and exchange companies of category A and B, “in order to ensure that travelers receive cash dollars and to prevent exchange companies from passing improper transactions, it was decided to set 7/14/2024 as the final date for starting the mechanism of granting dollars to travelers at airports exclusively.”

According to the Central Bank, the aforementioned banks and exchange companies operating at the airport are entitled to a fixed commission of (15,000) dinars from the customer for each transaction, and the exchange companies outside the airport collect it for the benefit of the companies and banks operating at the airport, according to a mechanism determined between the two parties, the banks and companies operating at the airport and the exchange companies outside the airport.

Shafaq.com