IN NEED OF BOLD SOLUTIONS.. THE DOLLAR CRISIS IS MORE COMPLEX THAN THE CENTRAL BANK’S PROCEDURES – URGENT
An economist and academic at Cihan University, Nawar Al-Saadi, confirmed today, Thursday (February 1, 2024), that the dollar crisis has become a “chronic problem” that requires “bold” solutions from the government and not just the Central Bank’s measures alone.
Al-Saadi said in an interview with “Baghdad Today” that, “For two decades, Iraq has been suffering from cumulative problems, especially in the issue of trade with successive countries from the United States.”
Al-Saadi added, “Trade with Iran and Syria is covered by monetary demand, and Iraq needs $30 million to cover trade with Iran only. If the dollar exceeds the barrier of 200 thousand dinars, trade with Iran will remain profitable.”
He pointed out that “without controlling the border crossings and imposing fines on merchants, the government will not be able to limit the daily dollar bleeding,” indicating that “for this reason, the dollar will be purchased by the parallel market for the purpose of covering trade with Iran.”
For several months, the country has witnessed a rise in the dollar exchange rates, exceeding 150 thousand dinars for every 100 dollars, while the government and the central bank are trying to control the exchange rate approved by them in the parallel market by pursuing speculators on the one hand and taking a number of measures on the other hand.
No comments:
Post a Comment