| 2007: Dollar holding strong aginst Iraqi Dinar |
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6/14/07 Iraqi Dinar was sold at 1258 per Dollar Wednesday at Iraq’s Central Bank Auction. This is three Dinars lower than mid last month’s prices. The demand for dollar has increased since earlier this month causing the rise in its value against Dinar. The exchange rate of the Iraqi Dinar rose significantly at the expense of Dollar, last year and earlier this year. Daily auctions by the Iraq’s Central Bank are part of a policy to maintain stability of Iraqi Dinar exchange rate and to prevent its uneven prices compared to other currencies, as well as reducing the inflation. Meanwhile, the General Assembly of the Iraqi Bank has approved a move of 20 billion Iraqi Dinars from accumulated surplus and development reserves into bank’s capital. This will increase the capital from 31 to 51 billion Iraqi Dinars. Observers welcomed the increase as significant considering the overall situation in the Iraqi banking sector and the current security difficulties. Also another breakthrough is the revelation that 45 countries have agreed to write off Iraqi debt totaling $140 billion, Iraq’s Minister of Finance told reporters early June. In the write off, Saudi Arabia came in first forgiving %80 of its claims. Source: Stopfundamentalism.com |