Clarification from the remittance officer
Central bank settles dollar deposits: The era of “dollarization” is over in Iraq
2023-10-08 | 23:57
The Director of Foreign Remittances at the Central Bank of Iraq, Mazen Sabah Ahmed, said today, Sunday, that dollar customer deposits are not afraid of them yesterday, today and the future, and what is currently happening is the tendency to restrict remit remittances from abroad through bank accounts, where we are studying their delivery in dinars, and he says that this is happening in most neighboring countries while Iraq is living in the era of “dollar” since 2003, and it seems that the recent crises are pushing it to review this.
Sabah said in an interview with the media man Karim Hammadi, which was followed by the News
In the past days there has been a lot of ado on the subject of dollars and cash withdrawals, and it started from my meeting with Reuters, a respected and prestigious agency with its place among the news agencies, but my phrase was drafted in a way that seemed not to have been understood by the reporter, and it was conveyed in a way that led to a misunderstandings of the public in Iraq.
Frankly and I say it on behalf of the Central Bank of Iraq, there is no concern for any of the accounts of individuals and companies in any Iraqi bank, whether these deposits were called, for example, in 2015, 2019, 2020, 2023 or 2024, now, before and in the future, “”the Central Bank of Iraq with its current capabilities will not be unable to meet its financial obligations””, praise be to God, the bank's reserves are at their best levels, and we are fully able to meet the customer's need, especially since these deposits constitute only a very small percentage compared to the reserves.
The most important detail in this subject is the dollar imports to Iraq as of next year 2024, so that it is clear, and what I said is distinguished regarding dollar deposits in bank accounts and between incoming remittances.
It is known that the Iraqi economy (Meddler) is very large, so almost all contracts concluded by foreign companies operating in Iraq are in US dollars, and the transfers received to these companies are transferred from bank accounts (not cash paper), and go down in the accounts of the correspondents of these companies in Iraq, or in our accounts, which are required of us here as a central bank, to deliver them in cash.
Frankly, most neighboring countries, incoming remittances are restricted and delivered in local currency.
This situation, that is, the phenomenon of “dollarization”, which has marred the Iraqi economy since 2003, contributed to the establishment of working relations and contracts between foreign companies operating and processors inside Iraq as well as employees, all these relations have become in US dollars.
The central bank is not binding and is definitely not obliged to give incoming transfers of balances, convert them into cash and deliver them in dollars.
If this company called these amounts in cash in any of its accounts inside Iraq, it would take them in the same way, which is the cash form “cash”.
Let me give you an example of this topic “Let’s assume that there is an incoming transfer to a certain company, and this company distributes it within the bank accounts to 10 employees, for example, the recipient of the incoming transfer has the right to credit the amount of the transfer contained in his account in US dollars, and take from this account a credit card, whether (DBT) or (CredT), and he has the right to transfer any amount of this balance, to any party, but when he wants to disburse it and it received in the form of a balance or an account, he will not be able to disburse it in cash).
—————————————————————————-
The end of an era is upon iraq. The process to de-dollarize the country is clearly not going away. The central bank has plenty of money and reserves and is solid.
What is interesting is they tell us about contracts in dollars. Over the years there have been contracts to do re construction and infrastructure, etc. They used dollars to do so, not dinars. Those that think they did massive amounts of upgrading to the present day Iraq in dinar may need to rethink that.
Suggesting that they are going to do the development road projects is highly mistaken and may need to read this to get better understanding of what is coming and it is not a status quo. The country is not obliged to take incoming transfers in dollars.
They are de-dollarizing. Let that sink in. They’re going to have to so in dinar. It will be far to expensive at 1310. The better the new exchange rate is the cheaper it is going to be. Things need to change now and we’ll ahead of the end of year! Imo~ MM | | | |
Home
Militia Man & Crew just shared "Central bank settles dollar deposits: The era of “dollarization” is 
» utube 11/11/24 MM&C News Reporting-IRAQ-USA-Financial Inclusion up 48%-Money Inside & Out of Iraq
» "Thousands of them are suspended" .. Draft laws challenge the remainder of the life of the current p
» Population, oil and salaries...hot files in the meeting between Al-Sudani and Barzani
» Political attempts to obstruct it.. Personal Status Law on its way to legislation
» MP: Al-Sudani has reached the conviction of the necessity of removing some ministers
» Central Bank announces progress in dollar control procedures
» Baghdad.. Closing 144 informal metal smelting factories to reduce pollution
» Private Banks Association: Iraq to adopt advanced trade finance system by end of 2024
» Severe imprisonment for former Minister of Transport for deliberately violating his job duties
» 4 new pharmaceutical factories
» Iraq's move to attract $250 billion in investments welcomed
» Financial inclusion and banking restructuring
» Iraq records 4% economic growth, moves towards sustainable diversification
» Al-Sudani and Barzani discuss finding solutions to common issues "according to the constitution"
» Requesting Iraqi mediation.. US delegation arrives in Baghdad to follow up on the "hotline" with Teh
» Iraqi oil continues to decline for the third day in a row
» Population census in Iraq: social and political importance and a major challenge for the government
» Next Thursday.. the start of the first phase of the census
» 11 international companies compete to operate Faw Port
» Baghdad conveys Trump's message to Tehran: Stop proxy wars... and confirms removing the opposition f
» Iraq contracts to purchase defense systems and helicopters
» Has Al-Sudani's government succeeded in keeping the fire away from Iraq?
» Justice announces the Ministry of Finance’s approval to appoint contract employees in all judicial d
» Expert: Traders’ dealings with sanctioned markets trigger demand for dollars on the black market
» Anbar.. Al-Waleed District summarizes the completed and under-construction projects for the current
» A government delegation reviews the work stages and completion rates at Nasiriyah International Airp
» Al-Mashhadani to the Sovereignty Bloc delegation: The necessity of turning the page on differences b
» Al-Hasnawi: Iraq will benefit from green climate funds to improve the environment
» New decisions approved by the Council of Ministers during today's session
» The Chairman of the Trade Bank of Iraq reveals to Alsumaria the interest rate on loans
» The 10 cheapest countries to pay electricity and gas bills.. Where is Iraq?
» Al-Sudani and Nechirvan Barzani at one table in Erbil
» Here are the dollar prices in the Iraqi stock exchanges
» Parliamentary Committee Reveals to Alsumaria Latest Developments in Israeli Violation of Iraqi Airsp
» The largest of its kind in Iraq.. Launching a pioneering medical conference for professional develop
» A source explains the circumstances of transferring 75% of the Ministry of Interior’s civilian emplo
» Weapons are becoming more "loose" and the Interior Ministry is "politicizing"
» Government messages to citizens regarding the population census in Iraq
» What is Iraq's ranking in the Artificial Intelligence Index?
» utube 11/9/2 MM&C News Reporting-Sudani Art IV IMF-Port Faw Open-CBI Governor-No Room for Tw
» Finance Committee discusses revenue enhancement and investment budget allocations with governors
» His advisor: Al-Sudani's visit to Kurdistan focuses on these files
» Al-Tamimi explains the importance of the real estate return law
» MP: The administrative capital is a project under study and 2025 is the decision date
» Parliamentary Planning: Al-Sudani's government has not achieved what it pledged in its program
» MP: Baghdad has started funding the governorates to complete their projects
» Al-Haboubi: The Riyadh Summit ignored the most important item that would force the entity to stop th
» Foreign remittance sales increase by 99% at Central Bank auction
» Trade Bank of Iraq clarifies interest rates on its loans in 5 areas
» Iraq prepares to launch a group of investments worth a quarter of a trillion dollars
» Bitcoin Approaches $90,000 for the First Time Ever
» Minister of Electricity directs investigation into high electricity bills
» Iraqi Ministry Approves Contract Fixing
» Iraq prepares investment portfolio to attract $250 billion in two years
» What is the cost of the population census in Iraq?
» Parliamentary Finance Committee discusses investment budget allocations with a number of governors
» President of the Republic: Iraq is fulfilling its obligations under the climate agreement
» The position of truth
» The government places achieving development among the priorities of the 2025 budget
» Next Thursday .. Planning begins the first step of the census
» The utility of the population census
» Iraq needs to address funding issues
» The risk of oil supply disruption has receded.
» Parliamentary Finance Committee discusses with a number of governors the allocations of the investme
» Integrity: Two new rulings issued against the director of a government bank in Diyala
» Federal Ministry of Finance returns payrolls of regional employees due to technical problems
» Iraqi analysis of the results of the "Riyadh Summit": Ink on paper and will not change anything in r
» Finance Ministry approves the establishment of all contracts in justice institutions
» In various fields.. Preparations to launch a group of "unprecedented" investments in Iraq
» Al-Sudani's advisor announces US Treasury support mechanisms for Iraq
» Indomie and dollar smuggling: Has fast food become a cover for currency smuggling from Iraq?
» Including personal status.. Former MP: Parliament will resume work next Saturday to pass laws
» Politician: America has put Iraq at its mercy and controls all its imports
» “Political” Interventions in Nineveh Education... Transferring Staff and Appointing “Contractors” as
» Al-Sudani at the Riyadh Summit... and American messages may be passed to Tehran via Baghdad
» Is the Grand Faw Port Iraq's gateway to global trade?
» After extending its legislative term... Why has Parliament not held any session yet?
» Karrada bids farewell to its trees: Road expansion sparks controversy over the future of the environ
» Victory Coalition talks about the outbreak of a “war of leaks” and reveals an external breach
» Al-Mashhadani confirms to the US Ambassador the importance of resolving the security agreement file
» Al-Sudani: Iraq strongly renews its initiative to establish an Arab and Islamic fund
» Al-Khazaali: The importance of activating cooperation mechanisms between Iraq and Azerbaijan in the
» Al-Araji and Salami discuss details of joint security agreement and border control between the two c
» Al-Sudani and Bin Salman stress the need to coordinate positions to stop the war and provide relief
» Parliamentary Finance: The government has started preparing the 2025 budget
» Al-Sudani to Bin Salman: We appreciate the efforts made by the Kingdom to hold the summit called for
» What did Iraq achieve in its meetings with the US Treasury, and did it succeed in controlling the sa
» Morning list of dollar exchange rates in Iraq
» Ziggurat of Aqar Quf.. A new step to choose Baghdad as the Arab Tourism Capital for the year 2025
» Notice regarding applying for the free scholarship channel for the medical group colleges
» After questions published on Alsumaria.. Planning sends a message to Iraqis: Don't worry
» Al-Mashhadani to the US Ambassador: The importance of resolving the security agreement file by the e
» Mr. Al-Hakim: We support the automation of government sectors to stimulate the economy and move prod
» Embezzlement of 570 million dinars from a bank in Babylon
» The housing dream is fading away: Are housing complexes only for the wealthy?
» Economist identifies main reason behind dollar's rise
» Al-Mutalibi: The Riyadh Summit is a preparation for the American project towards Palestine
» With the document.. The State Council completes the review of the law on the care of minors in Iraq