Expert warns of exchange rate change: wrong step bigger than last amendment
The economic expert, Abdul Rahman Al-Mashadani, warned against changing the official exchange rate and returning it to 145 thousand dinars per 100 dollars.
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“There is talk about the idea of changing the official exchange rate and returning it to 145 thousand dinars for every 100 dollars,” Al-Mashhadani said, warning that “this measure will be the biggest mistake of the last amendment.”
He stressed that “the dollar exchange rates in the parallel market have stabilized for a long time at the threshold of 151 thousand dinars per 100 dollars,” pointing out that “this difference has nothing to do with the budget tables for 2025, as it will not differ much from the 2024 budget.”
Al-Mashhadani pointed to “a desire to stabilize the price of a barrel of oil at $60 with a trend to reduce investment expenditures, due to the large and continuous fiscal deficit in the budget,” adding that “the gap between the dollar in the parallel market and the official price will remain the same.”
He explained that “dollar exchange rates will not stabilize due to a gap in demand, as Iranian goods constitute a large part of the market, and imports continue at a rate of 25 to 35 million dollars per month, with the financing of these funds from the parallel market instead of central bank transfers.”
The economist concluded by stressing that “the exchange rate between the parallel and official market will continue unless trade is regulated and entered in the central bank’s remittances.”
Ragheed