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Iraqi News Thursday AM 6-10-21

Iraqi News Thursday AM 6-10-21

TLM724 Administrator BondLady’s Corner

PUK: The rise in the dollar exchange rate above 150 thousand dinars is a legal violation

Political   Wednesday 9 June 2021 | 08:21 pm| Number of readings: 1291

Baghdad/..A member of the House of Representatives, Arzo Mahmoud, of the Patriotic Union of Kurdistan announced today, Wednesday, that the rise in the dollar exchange rate above 150 thousand Iraqi dinars is a legal violation, indicating that the House of Representatives will host the Minister of Finance in the federal government to find out the reasons for the high exchange rate of the dollar.

Arzo Mahmoud said, during a statement to Kurdish media, that the rise in the dollar exchange rate to 150 thousand Iraqi dinars is a legal violation, noting that the exchange rate was set in the federal budget at 145 thousand dinars.

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And she added: He and on this issue asked us to host the Minister of Finance in the Federal Government to the House of Representatives for the purpose of knowing the high exchange rates of the dollar against the Iraqi dinar, pointing out that hosting the minister did not take place due to the failure to hold a session of the House of Representatives, which failed twice to hold its session due to the lack of a quorum to hold it .

The head of the National Nahj bloc, Ammar Tohme, announced on Monday the acquisition of "parasitic" banks. Profits of more than (300) billion dinars per month in the currency sale auction. Tohme said, in a statement, "With the passage of time, the failure and harm of the dollar exchange rate decision and its severe repercussions on the stability of the market and millions of Iraqis are proven, and there is no beneficiary from this decision except the owners of parasitic banks and their partners from the influential politicians."

He added, "All the justifications put forward by the defenders of raising the exchange rate were that it turned out to be false and unrealistic, especially with the rise in the price of oil globally and with negligence and failure in controlling outlets and not restricting the import of materials similar to the local product and not taking even a simple step in providing the structure to support the national industry that they mentioned A farewell justification for their unjust decision to raise the price of the dollar. Tohme continued,

https://aynaliraqnews.com/index.php?aa=news&id22=148421

The Continued Rise In Hard Currency Prices...And Anger Prevails In The Iraqi Street

Posted On 2021-06-10 By Sotaliraq   Baghdad / Rami Al-Salihi   Months ago, specifically since the shock of the collapse in oil prices in the world, Iraq has faced a severe and unprecedented financial crisis, which prompted the federal government to move towards borrowing from the reserves of the Central Bank of Iraq to repay nearly $ 5 billion per month, which is represented in “employee salaries, expenses The public sector, pensions, and other things.”

The government, through its economic plans, headed towards a decision to raise the value of the dollar against the Iraqi dinar, to compensate for the financial deficit, a decision that sparked a wave of anger in the Iraqi street.

Prime Minister Mustafa Al-Kazemi came out at a conference and defended the central bank’s decision in this regard, saying that the government had two options, “either the collapse of the system and entering into complete chaos, or we enter into a Caesarean section for reform.”

Months after the decision to raise the price of the dollar, the markets witnessed during the past few days a noticeable rise in prices, which led to an increase in the prices of all food and consumer items.

Monetary inflation and economic deflation

In this regard, economic expert Bassem Antoine believes that “the federal government’s decision to reduce the value of the dinar came against the background of its weak confidence in the Iraqi dinar,” noting that “there are many factors that affected the increase in the value of the dollar in local markets.”

Antoine adds in an interview with Al-Mada that "the political and security instability in Iraq was one of the important reasons for the decline in the value of the dinar against the dollar."

Antoine speaks, saying that "speculators play a major role in changing the dollar's prices in the markets, in addition to the continuation of statements by members of the House of Representatives regarding the possibility of dollar prices rising to more than 160 thousand per hundred dollars."

The economic expert indicates that “the Iraqi government and the relevant authorities are afraid of the collapse of the economy in the future, which prompted them to take such a decision to remedy the problem according to their point of view,” explaining that “the government presented the (reform) white paper to advance the economic reality in Iraq, but it I carried out only the part that serves it.”

Antoine explains, "The government's wrong decision caused the economic downturn, in addition to monetary inflation in the markets and a significant increase in poverty rates in all governorates."

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Citizens behind the rise

In a statement to a member of the Parliamentary Finance Committee, Ahmed Al-Haj Rasheed, who says that "the rise in the dollar's exchange rates against the Iraqi dinar came due to supply and demand and the merchants' dealings and dependence on foreign currency and its preference over the local currency."

Rashid adds, "Many citizens buy the dollar and store it in homes, preferring it over the Iraqi dinar, and this is another reason for the high exchange rates, which exceeded the 150 thousand per 100 dollars."

And set the Central Bank of Iraq, last Monday, a new pricing for the purchase of dollars for people wishing to travel outside Iraq.

A statement published on the Central Bank website stated, “For the purpose of facilitating the procedures for citizens to obtain foreign currency, the dollar, for the purposes of travel, study and treatment abroad, the Central Bank of Iraq announces that all their requests to purchase dollars for the above purposes will be met by feeding electronic payment cards (MasterCard and Visa Card).” at the official rate set by the bank.

The government is responsible!

On the other hand, Saleh al-Hamashi, an economic expert, considers that “the reasons for the rise in dollar prices in the local markets during these days are due to emptying the stores of hard currency among citizens and owners of exchangers and private banks throughout Iraq.”

Al-Hamashi explains, in an interview with (Al-Mada), that "the news circulating on social media about the rise in dollar prices during the coming period to large numbers is one of the other reasons that led to the rise in hard currency prices in Iraq."

The economic expert points out that “the government has not been aware of the results of the rise in the price of the dollar by the central bank, so far,” at the same time holding the central bank and the federal government “responsible for the economic crisis that has affected the citizen in the first place.”

Al-Hamashi proposes many solutions to get out of the dollar crisis, including restoring economic agreements with neighboring countries and imposing fees, given that exempting Iraq from customs is not important, as Iraq is a non-exporting country, as well as the importance of raising Iraq’s trade balance and its equality with neighboring countries in order to advance the economy and bridge the gaps. The big decision left by the decision to raise the US dollar against the Iraqi dinar

In December 2020, the Central Bank of Iraq reduced the price of the dinar against the dollar, to be 1450 dinars per dollar from the Ministry of Finance, 1460 dinars per dollar for banks, and 1470 dinars per dollar for the public.   LINK

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For The Second Day.. The Central Bank Sells The Highest Amount Of Dollars Since The Exchange Rate Change

Time: 06/10/2021 13:55:36 Reading: 1,456 times  {Economic: Al Furat News} The Central Bank of Iraq sold today, Thursday, the highest amount of the dollar for the second day since it changed the exchange rate on December 19, 2020.

The total sales of the foreign currency auction of the bank today amounted to 218 million and 442 thousand and 159 dollars, after it reached 217 million yesterday.

The total sale for the purposes of strengthening balances abroad (transfers, credits) in today's auction was 192 million and 92 thousand and 159 dollars, and the total cash sale was 26 million and 350 thousand dollars.

It is noteworthy that the Central Bank of Iraq decided on January 19 last to make a significant change in the dollar exchange rate, as follows:

1450 dinars per dollar, the purchase price of foreign currency from the Ministry of Finance.

1460 dinars per dollar, the price of selling foreign currency to banks.

1470 dinars per dollar, the price of selling foreign currency to the public.

The exchange rate of the dollar on the Baghdad Stock Exchange today, Thursday, reached 1530 dinars. LINK

An Economist Reveals Who Is Behind Raising The Dollar And Evaluates The Central Bank’s Action

Time: 06/10/2021 14:42:43 Reading: 1,196 times   {Economic: Al Furat News} An economic expert revealed who is behind the rise in the dollar exchange rate in the Iraqi markets for several days.

Bassem Jamil Antoine told {Euphrates News}, "There is a demand and an offer. The demand for the dollar is still in line, but there is manipulation by some personalities who exploit the process greatly, in addition to banks that exploit and monopolize this process in selling the dollar to them, although the commercial demand is limited and not so." The level is what causes the dollar to rise.”

He pointed out that "the Central Bank of Iraq's action to sacrifice larger quantities of dollars through the currency sale window, as it wants to feed the growing demand and limit the increase in supply and large demand," stressing that "the banks trade in the process and benefit from it."

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He added, "The increase in central bank sales for the purpose of reducing the price of the dollar because there is a rise in prices and monetary inflation, so the bank tries to stabilize the financial market and prevent and limit speculation, pumping quantities and creating a balance between supply and demand because economic activity in general is weak and not at the required level."

It is noteworthy that the local markets in Iraq have witnessed a significant rise in the exchange rate of the dollar for days, which exceeded more than 1500 dinars.

The Central Bank also sold through the currency auction, and for the second day, the highest amount of the dollar, as it exceeded today, Thursday, 218 million dollars, which is an unprecedented amount since the bank raised the price of the dollar on January 19 last.    LINK

Finance Denies Statements Attributed To Its Minister Regarding Setting The Price Of The Dollar At 300 Thousand Dinars

Pratha News Agency54 2021-06-10   Today, Thursday, the Ministry of Finance denied statements attributed to the minister regarding the dollar exchange rate.

The media office of the Minister of Finance stated in a statement that “the Ministry of Finance denies what was reported by some media and news agencies about a statement attributed to Minister Ali Abdul-Amir Allawi (that the real value of the $100 against the Iraqi dinar is (300) thousand dinars.

The finance stressed during the statement that "some people circulated such irresponsible and baseless statements and news aimed at destabilizing the economic situation and confusing public opinion."

The ministry called for "adopting news and information through its official sources."

http://burathanews.com/arabic/news/394114

 

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