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The Federal Court summons the Minister of Finance and the Governor of the Central Bank
March 08, 2022
Ultra Iraq - Editorial Team
The Federal Supreme Court summoned, on Tuesday, the Minister of Finance and the Governor of the Central Bank in the context of a new lawsuit related to raising the dollar exchange rate and establishing a wealth fund.
The court decided, according to a statement, to postpone the decision on case No. 32 / federal, until the presence of the Minister of Finance and the Governor of the Central Bank.
The court held, earlier today, its special session of the lawsuit related to raising the price of the dollar and establishing the Sovereign Revolution Fund.
On February 28, during its second session of the fifth session, the House of Representatives hosted Finance Minister Ali Allawi, in the presence of 288 deputies, to discuss the dollar exchange rate and its repercussions on the local market.
Allawi attended Parliament, accompanied by the Undersecretary, at the request of a parliamentarian carrying 100 signatures, to review the reasons for changing the dollar exchange rate and its relationship to economic reform.
The House of Representatives, headed by the First Deputy Speaker of Parliament Hakim Al-Zamili, hosted the Governor of the Central Bank, Mustafa Ghaleb and his deputy, after inviting the leader of the Sadrist movement, Muqtada Al-Sadr, to "discuss the consequences of the price hike as a result of raising the dollar exchange rate."
And the Minister of Finance reiterated his assertion that “reconsidering the exchange rate of the currency in an ill-considered manner leads to financial chaos like some countries, so the trend was to set the exchange rate of the Iraqi dinar comfortably to protect it from any external changes in a proactive and correct step in coordination with the Central Bank and study it with the President The government, heads of political blocs and other parties, in addition to the support of the International Monetary Fund, to change the price at a reasonable rate.
On the re-lowering of the exchange rate again, Allawi explained that "it is not possible at the present time to change the exchange rate, as it has achieved stability in the Iraqi economy, and its change is linked to a rise in financial abundance that meets ambition."
The Central Bank of Iraq had said that its administration "does not intend at the present time to change the exchange rate of the dollar" following the uproar that the leader of the Sadrist movement, Muqtada al-Sadr, recently aroused.
And a source indicated in an official statement that "the discussions that took place during the hosting of the Governor of the Central Bank of Iraq in the House of Representatives on Saturday, corresponding to February 19 2022, emphasized the need for concerted efforts by all government institutions to improve the economic and living standards of the poor classes that were affected by the high rate of inflation."
The source pointed out that "the repetition of changing the exchange rate within short times without studying by the concerned authorities, leads to economic recession, confuses the work of local markets, increases speculation on foreign currency, and dissipates the gains made by the current exchange rate.