Official: Iraq’s foreign currency reserves hit $115 billion high
28 Feb 2023 07:07 PM
Mubasher: Prime Minister Mazhar Mohammed Saleh’s financial adviser said that Iraq’s foreign currency reserves have reached their highest levels in Iraq’s financial history and currently touched 115 billion US dollars.
Saleh explained on Tuesday to the Iraqi News Agency (WAA), that the management of foreign reserves is subject to international standard investment guides.
He added, “The coverage of reserves from foreign exchange to the issued national currency is approximately 150%, which is very high and represents optimal efficiency in the standards of managing reserves, as well as covering the external debt obligated to pay to Iraq about five times.”
He stated, “Almost half of the amount of reserves is in the currency of the United States of America (US dollar) and a high percentage of the country’s dollar reserves are invested in secure financial instruments, most of which are short-term US treasury bonds and carry interest of more than 4% per year currently on average and have a very advanced credit rating, and can be converted into liquid dollars immediately when needed.”
“The management of foreign reserves is all subject to international standard investment evidence issued by international multilateral financial institutions, within the management of an optimal investment portfolio that avoids risks, the most important of which is the avoidance of legal risks, the risk of exchange rate fluctuations, interest rates and other operational risks,” the Prime Minister’s adviser said.
He continued by saying: “The rest of the remaining foreign reserves, which are 50% (other than the dollar) are deposited with reliable European global central banks and global monetary institutions and in currencies such as the pound sterling, the European euro, the Chinese yuan, the Japanese yen and the currency of the International Monetary Fund called special drawing rights units, in addition to cash gold, which is more than 132 tons or more as officially announced and deposited in the safe global gold cellars.”