GOLDILOCKS: The Central Bank of Iraq (CBI) shares current official Iraqi Dinar exchange rate
"The Executive Board of the International Monetary Fund (IMF) issued a statement on Wednesday (9th July) following the conclusion of its Article IV consultation with Iraq.
It projects an average exchange rate (dinar per US$) in each of 2025 and 2026 of 1300, the same as for 2024, adding:"
"The CBI [Central Bank of Iraq] should be commended for the successful transition to the new trade finance system now fully managed by commercial banks through their CBRs, contributing to a reduction in the spread between the official and parallel market exchange rates."
(While commercial banks don't directly set official exchange rates, they can significantly influence them through their trading activities in the foreign exchange market.
Their buying and selling of currencies, driven by customer demand and their own trading strategies, impacts the supply and demand dynamics that ultimately determine the exchange rate).
The transition to the new trade finance system in Iraq is closely linked to the adoption of new digital trade mechanisms.
The transition to the new trade finance system in Iraq involves implementing more digital and internationally compliant mechanisms for trade finance, primarily handled by commercial banks, as part of the country's push towards greater digitalization of its financial sector.
This is a step into the right direction we need to see for Iraq. I am aware they are going to use CBDC for their trade token per CBI contact (boots inside the CBI Tower). 
There is a strong global trend towards Central Bank Digital Currencies (CBDCs), with a growing number of countries actively exploring, piloting, and even launching their own digital currencies.
While the United States remains undecided about a domestic CBDC, it is engaging in wholesale cross-border payment research.
If a particular country's CBDC gains significant traction in international trade, it could strengthen that currency's international role and potentially lead to its appreciation against others, according to santander.com.
This might not necessarily "level the playing field," but rather shift the balance of power between different currencies.
Are you watching the water yet
© Goldilocks
santander.com/en/press-room/
iraq-businessnews.com/2025/07/09/imf
iraqinews.com/iraq/imf-prais.
atlanticcouncil.org/cbdctracker/
