Economists: central bank tightening reason behind the rise in prices of the dollar against the dinar

Economists: central bank tightening reason behind the rise in prices of the dollar against the dinar



28/03/2013

BAGHDAD / obelisk: attribute a number of economists reason for the high dollar prices in the local market in Iraq to tighten controls followed by the central bank in the currency auction day to sell the dollar, and an illustration of the central bank governor said shop owners banking baptized to raise the exchange rate, calls subject to the laws of Bank.
The director of the Center for Economic Information Iraqi Dergham Mohammed Ali for "obelisk", "The controls applied by the central bank on the buyer the U.S. currency needs to pass through the routine long and provide identification documents may not be available to the buyer only after a long time due to lack of time, and therefore there will be need to buy dollars from other outlets, even if a higher profit margin ".
He adds that "the central bank became currently imposes on the trader or investor to bring the papers that prove to buy the dollar for the introduction of the goods and subsequently requires it be sure to enter the goods and this may not suit many, but from investments or types of trade that need to expedite the implementation of the transactions" .
For his part, confirms the economic expert Hamid ornaments for "obelisk", that "these measures, even if they are necessary to control the smuggling of hard currency from Iraq to the outside, but it must occur is something wrong in the joints of trade and investment, and this calls for revision of laws and regulations sponsors for these things. "
And points out that "the Iraqi Central Bank issued new instructions a few days ago in this regard, but not controls that fit with the import requirements and the Iraqi trade", calling the central bank to "engage trader or an economist in the legislation of these laws for benefit of his experience not only."
Turn sees Bassem Jamil Antoine's "obelisk", that "there is a major imbalance in the economic system of Iraq as a whole, can not say that there is an economy integrated in Iraq," noting that "Iraq will depend on the returns of oil and this in itself makes the economy as a concept needs to review, as well as the adoption of a rentier economy that disables many of the joints of the economy. "
Shows Antoine that "Iraq depends on oil only so Vabanny infrastructure investment, industry and trade are semi parked in full and this certainly makes the importer of controlled economy, so the restrictions on the merchant and importer makes looking for alternatives and therefore looking for alternative to buy dollars from the central bank is smooth and this is what exploited by sellers of the dollar or currency traders and therefore the currency rise against the dinar is thoughtful and controlled. "
And added that "this mess in the foreign currency rates against the Iraqi dinar create inflation is thoughtful and makes calculations in the budget is the same as it is in the records, and this is reflected on an area larger than expected for the local and national economy and not on the individual."
So illustrates the central bank governor and agency Abdel Basset Turki for "Obelisk", that "the bank is committed to providing hard currency to the local market, and that the imposition of controls is to maintain the national economy of smuggling," adding that "the bank According controls issued a few days ago A few committed to sell the dollar at a rate 1166 Iraqi dinars. "
He continues, "As for the commission in remittances has become dollar 1175 dinars instead of 1179 and this order came from in order to create more flexibility in selling the dollar."
And refers Turkish that "some of the owners Chierfat are paying the price up where in some places to 1275 dinars to the dollar and this is against the law and this Chierfat should be subject to the laws of the central bank for the sale of foreign currency and maintain the national economy."
The Iraqi market has witnessed a major upheaval for weeks in the price of the U.S. dollar against the Iraqi dinar as the sale price of one dollar to 1280 dinars.
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