The Governor of the Central Bank of Iraq chairs the first meeting of the Iraqi National Payments Council

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His Excellency the Governor of the Central Bank of Iraq, Mr. Ali Mohsen Al-Alaq, chaired the first meeting of the Iraqi National Payments Council after its restructuring.

During the meeting, which was attended by officials from the Central Bank and representatives of the relevant ministries, the government and private banking sectors, electronic payment service providers and other actors, the objectives of the Council and the main tasks that it intends to implement were reviewed to achieve national strategies to develop the infrastructure of the financial and banking sector, advance the components of the electronic payment environment, and strengthen the pillars of inclusion. Finance in Iraq.

Economic policy in Iraq is moving towards implementing the principle of monetary sovereignty

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Saleh told the Iraqi News Agency (INA): “Economic policy in general and monetary policy in particular are moving towards a new principle called (monetary sovereignty), which considers the Iraqi dinar the only refuge for exchange, pricing, and coverage of internal transactions.” He added, "It is not permissible for the currency of another country whose monetary policy is subject to pricing and trade exchange operations within the Iraqi economy, and the principle of monetary sovereignty starts from this level."

Central Bank Governor: We agreed with America to leave the electronic platform at the end of the year

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Coordination with the Treasury and the Federal Reserve

Today, Friday, the Governor of the Central Bank of Iraq, Ali Al-Alaq, announced the start of importing dollars into the country through the accounts of Iraqi banks abroad, and while he indicated the end of the procedures for opening accounts in the UAE dirham and the understanding with Turkey to make transfers in the euro or the Turkish currency, he revealed a broad plan to reform and develop private and government banks.

The dinar begins its “recovery journey” against the dollar Unshackling the Iraqi dinar

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The Iraqi dinar continues to recover against the US dollar in the local markets in light of the continued government measures to close the price difference, as the decline reached the limits of 158 thousand per 100 dollars, at a time when experts expected that this decline is “temporary.”Yesterday, Tuesday, in a press statement, a government source revealed a package of new measures to address the difference in the exchange rate, including regulating the import process and ensuring the entry of the largest number of merchants and importers to the foreign currency sales window by facilitating account opening procedures, deposit operations, and other procedures related to issuing the importer’s identity. Which will facilitate the “know your customer” requirements for merchants and importers.He explained that Prime Minister Muhammad Shiaa Al-Sudani directed the activation of a joint committee between the government, the central bank and the private sector, under the supervision of his office, to hold serious discussions with the US Treasury regarding transfers through the foreign currency selling window, and the committee began its meetings from now

Economist: There are no changes in the government program, and the official dollar rate will continue for 3 years

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Economist Bassem Jamil Antoine believes that the official exchange rates for the dollar will continue for three years.

Antoine told {Al-Furat News} that: “The official exchange rates for the dollar are stable now, and once the budget allocations are released, the unofficial rates will be affected by the parallel rate of the dollar.” He added, "The official prices will continue for three years, in order to be consistent with the tripartite budget and the established government program."

A reading of the Central Bank’s decision to allow “importing the dollar”... What does it mean and how?

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The instructions issued by the Central Bank of Iraq yesterday, Wednesday (November 8, 2023), regarding allowing banks to import foreign currency from abroad, raised a number of questions and discussions in economic circles about the legality, motives, and goals of this step.

The discussion was topped by some recalling the decision of the State Shura Council in 2011, to infer the lack of legal basis for the decision to import foreign currency, as the State Shura Council issued Resolution 2/2011, in January of the year 2011, based on a request for an opinion that came to the Council by the Office Financial oversight, as the State Shura Council relied on several legal texts, to infer the absence of a legal basis for the Central Bank to grant licenses to import foreign currency from abroad.

Economist: The dollar exchange rate will be equal to the government price early next year

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Academic and economic expert Khaled Haider expected, on Tuesday, that the exchange rate of the US dollar against the Iraqi dinar on the black market would stabilize in parallel with the government pricing, starting next year.

Haider said in a statement to Shafaq News Agency, “The global political situation is directly linked to the financial and economic situation of the region, and the recent events in Gaza and the accusations directed at Iran of supporting the Hamas movement, are all reasons that make us expect that the rise in the price of the dollar is to restrict Tehran because Iraq is an important economic region for the neighbor.” Eastern Province and most of the foreign currency goes there.”