CENTRAL BANK GOVERNOR: THE DOLLAR EXCHANGE RATE IS FIXED AND WILL NOT CHANGE
The Governor of the Central Bank of Iraq, Ali Al-Alaq, attributed the fluctuation of the “parallel market” and the rise in the dollar exchange rate to the dealings of some traders, stressing that the dollar exchange rate at the Central Bank is fixed and will not change.
Al-Alaq said regarding the fluctuation against the dinar: “The price set by the Central Bank for the US dollar is fixed and does not change, but the developments that have occurred in the import mechanisms have prompted some traders to turn to the black market to buy dollars.”
Al-Alaq added: “These traders will soon return to the official channels to obtain currency, and thus the price will return to its normal level, especially since the Central Bank does not suffer from any problem with gold and foreign currency reserves, and continues to inject dollars, so we have not faced any obstacles in this regard.”
He also pointed out that the current turmoil in the currency market requires a reorganization of oversight of all commercial transactions to bring them back to their official channels, which will lead to stabilizing the situation and restoring balance.
The Central Bank Governor continued: “We do not have an official currency market (outside the Central Bank), there is only a black market, while the only source of dollars is the Central Bank. As for the dollars circulating in the markets, they are the surplus that is traded among citizens, because the Central Bank does not provide dollars for unofficial or illegal transactions. Rather, we monitor commercial activities and provide the necessary facilities to ensure that they proceed in accordance with legal frameworks, especially after the Central Bank developed its procedures in line with international standards.”
Al-Alaq added: “We are closely monitoring the activities of importers and exporters, goods, prices, and all related issues. At the same time, the transfers currently being conducted are legal and protected, and we hope that all traders will adhere to the procedures to ensure market stability.”