What Is The Reason For The Difference In The Official And Parallel Dollar Exchange Rate? An Expert Identifies Problems, 4 FEB

 What Is The Reason For The Difference In The Official And Parallel Dollar Exchange Rate? An Expert Identifies Problems, 4 FEB

An economic expert revealed the reason for the difference between the exchange rate of the official dollar and the parallel market in the country.

Abdul Rahman Al-Mashhadani told {Al-Furat News} agency, “The continuation of the difference between the official and parallel exchange rates requires a solution to basic problems. The problem is not foreign transfers, but the issue of continuing trade relations with the sanctioned countries, which constitute a large part of the demand for the dollar, in addition to preventing a number of... Traders are able to enter the platform and remain at the parallel price.”

He pointed out, "It is difficult for travelers to obtain the dollar. As long as these problems remain, the price difference between the official and parallel prices will remain."

Al-Mashhadani continued, "In any case, the dollar is now witnessing stability within these rates present in the market."

During the past few weeks, the Iraqi dinar witnessed a significant and gradual increase against the dollar, as the exchange rate in the parallel market reached an average of 1,500 dinars to the dollar or so, after recording a significant decline that reached 1,700 dinars to the dollar in the last quarter of 2023, while The monetary authorities, which set an official price for the dinar at 1,320 per dollar, are seeking to pursue those they describe as speculators and smugglers of hard currency.  LINK