This action by the CBI is designed to bring the market rate inline with the official rate, instead of the fear and rumor driven speculative rate in the secondary market though the secondary market will always be lesser in value because the private banks have to include their transaction fees in the exchange, they have to make money providing the service that's just the way it works... The rate is already tightening up...
The member of the Association of private banks Ali Tariq, Thursday, to determine central bank rate 1200 dinars to convert the next dollar from abroad led to a major disruption because of him the difference and the market price, and between that it is currently working with the central bank to postpone the implementation of this resolution until the stability of the dollar exchange rate.
Said Tariq in an interview with Alsumaria's News, "The central bank issued, on 25 May last, instructions for banks to be deposited in cash in dollars in the central bank can pull the dollar but overpriced next foreign remittances in dollars, the central bank converts the Iraqi dinar at a price of 1200 dinars and pass it to banks own, "adding that" the private banks be forced to fulfill its obligations in front of customers in Iraqi dinars and at this price. "
He said Tariq that "the problem lies in the price of 1200 and the market price because the market price differs significantly and that is what led to a significant disruption," noting, "We are currently working with the central bank to postpone the implementation of this resolution until the stability of the dollar in the market and the bank rate."
He said a member of Association of private banks that "private banks carried out the decision of the date of issue and this has led to problems, especially exchange for foreign companies being involved in dollars to pay their dues and salaries of their employees," pointing to "We were expecting a significant decline in the market which is what happened but suddenly the dollar rose and the reason The main process is supply and demand in the market because there is a great demand for the dollar because of the massive imports imported by the private sector as well as the drop in oil price. "
The Iraqi Association of Banks announced that, in (23 May 2015), an initiative to reduce the cash sales to the dollar for the citizens and businesses of banking, indicated that it will be sold for 1193 dinars to the dollar.
The dollar price in the domestic market in front of the Iraqi dinar gradually during the last period up to 1335 dinars to the dollar, compared to 1200 dinars to the dollar by the end of last year 2014.