Iraq’s central bank has firmly dismissed rumors about any changes to the dinar-dollar exchange rate. At a high-level investment forum, CBI Governor Ali al-Allaq made it clear that neither the government nor the central bank plans to adjust the official rate.
The dinar-dollar rate has drawn considerable attention due to past fluctuations. Previously, under former Prime Minister Mustafa al-Kadhimi, the official rate rose from 121,000 dinars to 140,000 dinars per $100. Later, the current government set the official rate at 132,000 dinars per $100. Despite these figures, the dollar often traded above the official rate in local markets, peaking at 170,000 dinars per $100 before moving closer to the official benchmark.
Al-Allaq emphasized that the central bank’s priority remains market stability and protecting the currency’s purchasing power. He explained that sudden adjustments could destabilize the economy and disrupt investor confidence. He also noted that CBI continues to monitor the rate carefully and will act only when necessary to safeguard the financial system.
Analysts highlight that maintaining the official dinar-dollar rate fosters confidence among local businesses and international investors. Furthermore, a stable exchange rate helps regulate inflation and ensures smoother trade and financial transactions.
The governor also reiterated that speculation about currency changes can create unnecessary panic. Therefore, authorities encourage citizens and businesses to rely on official announcements regarding the dinar-dollar rate.
Iraq’s central bank has successfully stabilized currency expectations, ensuring predictable financial conditions. The government aims to maintain this stability while supporting economic growth. The central bank confirmed that the rate will remain unchanged, reassuring all stakeholders that the official rate remains reliable.