Kevin J. Monangai✰
Alright, let's talk this through.
The chance that Iraq doesn't reinstate the Iraqi Dinar (IQD) by the end of 2024 is extremely slim -probably a 1 or 2 out of 10 at most IMO.
Here's why:
Right now, Iraq relies on something called the dollar auction to keep its economy running. This system lets their central bank supply U.S. dollars for things like trade and imports. But here's the deal: the auctions stop on December 31, 2024. After that, there's no safety net. The IQD has to be ready to step in as the currency for international transactions.
The Central Bank of Iraq and the government have been preparing for this all year. They've connected Iraqi banks to global financial networks, partnered with major banks like JPMorgan, and upgraded their systems to meet international standards. They're ready to flip the switch.
If they don't reinstate the IQD in time, it would create chaos-banks wouldn't be able to process trade payments, inflation could spike, and public confidence in their financial system could collapse. Frankly, they can't afford to miss this.
So, will they pull it off? It's almost certain.
Everything points to the RI happening before December 31, probably between December 26 and December 30, IMO. They've done too much work to let this slip. Missing the deadline is highly unlikely.
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