The exchange rate of the Iraqi dinar against the dollar increased at the end of the week economy

Baghdad – The exchange rate of the Iraqi dinar against the dollar rose today, Thursday, in the parallel market, with the price remaining stable in the official market, at the weekly close of currency exchange market activity in the Iraqi governorates.

The exchange rate of the Iraqi dinar against the dollar in the parallel market

• The price of the dollar in Baghdad reached 1,425 dinars when selling and 1,417.5 dinars when buying. Yesterday, the price for sale was 1,426 dinars, while the purchase price was 1,420.5 dinars.
• In Erbil, the selling price reached 1,412.5 dinars, and the purchase price reached 1,410 dinars, after recording 1,415 dinars for sale yesterday evening, while the purchase price was 1,412.5 dinars.
• The exchange rate in Basra reached 1417.5 dinars for sale and 1412.5 dinars for purchase in today’s transactions, after recording 1420.5 dinars yesterday evening for sale, while purchase was 1415 dinars.

The dinar exchange rate in official transactions

• Selling price for transfers, documentary credits, and international settlements for electronic cards: 1310 dinars to the dollar.
• selling price: 1305 dinars per dollar.
• Bank selling price: 1310 dinars per dollar.

The Central Bank’s dealings are limited to selling only the US currency, and its decision is binding on banks, and sales are only to travelers outside the country.

Factors controlling the price of the dollar

Economist Adnan Faraj confirmed that the continued decline of the dollar’s exchange rate against the Iraqi dinar is a “natural” and expected matter, as a result of the combination of a group of recent economic, procedural and political factors.

Faraj said – in an interview with Al Jazeera Net – that this decline reflects the beginning of the emergence of the results of the measures taken by the Iraqi Central Bank to curb previous fluctuations in the exchange rate.

He explained that the main factors that contributed to controlling the price of the dollar and curbing “previous jumps” include the following:

• Most traders have actively moved to use the official platform of the central bank to buy dollars, which provides them with a stable and transparent mechanism for providing foreign currency to finance their trade through official methods instead of through the parallel market.
• The recent elections ended normally without major problems, coupled with a relatively stable security situation. All of these conditions create a more confident environment that encourages the use of official channels.
• The recent measures of the Central Bank have begun to bear fruit in regulating the exchange market and meeting the legitimate demand for foreign currency.

Regarding expectations for the near future, the economic expert indicated that these conditions prepare for the continued state of stability in dinar prices, and the absence of any major jumps in the price of the dollar during the current period, noting that the sustainability of exchange rate stability requires stabilizing official mechanisms for providing the dollar. Most importantly, maintaining a stable political and security environment.

However, Faraj said, “The fate of this economic stability remains closely linked to the internal situation. The country is approaching the stages of forming a new government, which may enter a period of political tension as a result of the known conflicts between the blocs. Any political or security turmoil may undermine confidence and once again lead to pressure on the exchange rate.”