BGG

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Article quote:  “The Central Bank of Iraq, on Monday, reduced the value of the dinar against the US dollar. According to a statement of the bank, that “lifting of US dollar selling to banks and exchange companies rate by 16 dinars any by 1.37 percent to 1182 dinars.”

[I am trying to understand how devaluing is a good thing? 1182 is going the wrong way?]

It gets them closer (or within) the required 2% IMF regulations… no one saw this coming – the way for them to comply was “give away” a few dinars per transaction… HUGE NEWS…

That is Market rate / CBI rate spread… no one had any idea how they would ever be able to get this valuation to work right – turns out – EASY.

Give away 16 dinars per transaction.  AND – stop and think… they HATE their exchange rate going the wrong direction. There has got to be a MASSIVE pot of gold at the end of the rainbow…

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