The Central Bank and the Association of Banks are preoccupied with forums, and the dollar continues to exhaust the market[You must be registered and logged in to see this image.]
Baghdad today - Baghdad
In light of the large difference between the exchange rate of the dollar in the (parallel market) and the official rate, the Central Bank and the Association of Private Banks in Iraq are preoccupied with preoccupying themselves in conferences and forums that “neither rich nor fatten from hunger” to address this difference between the two prices.
The participating private banks, during the annual banking conference that was held yesterday, received shields and honors for "achievements" from which the citizen did not touch an impact on his reality, which raised questions in the economic and popular circles about the role provided by private banks, whether in the dollar crisis or the economic development of the country, to be rewarded with shields from Before the Central Banks Association.
It seems that the Central Bank and the League are "incapable" in bridging the gap in the exchange rate and that they do not have plans and remedies. Rather, they did not even discuss mechanisms and how to control the dollar in their conference yesterday.
Trade financing mechanisms continue to be unregulated and merchants resort to the parallel market due to the complexities and large commissions charged by the Central Bank for transfers.
The government set the official price at 1,300 dinars per dollar, but in the free market another exchange rate is being traded and today it has reached 1,463 dinars, which prompts the government and the central bank to continue the policy of pressure on the market gradually until the value of the dinar in the market reaches what the central bank valued, 1,300 dinars to the dollar. .
The sudden and rapid decline in the exchange rate of the dollar is not without risks and the creation of multiple concerns by traders and businessmen and the losses incurred by them due to the rapid and continuous decline in the exchange rate.
Economists say that "the decline in the exchange rate of the dollar against the dinar is positive for the general economic situation, but there are merchants and importing companies that have begun to raise commodity prices and manipulate prices, taking advantage of the fluctuation and instability of the exchange rate, due to the absence of government control, which has created a state of anxiety in market and a continuous decline in purchasing power.
Despite the decline in the exchange rate of the dollar and the relative recovery achieved by the Iraqi dinar, food and consumer prices in the Iraqi market are still relatively high.