Article: “Al-Kadhimi: The decision to increase the interest rate will activate the banking system inside Iraq” Will increasing interest rates on your account to 7.5% draw people in? Heck yeah it will! If a bank did that in American you would see a lot of people run to it… Quote: “The Central bank’s decision…falls within banking reform measures… of prime minister Al-Sudani’s directives… The decision…will certainly encourage citizens to deposit in banks which will stimulate financial movement…in addition to… reducing the exchange rate of the dollar against the Iraqi dinar.” That’s really what the goal is…If this doesn’t work there’s going to be other measures that need to be taken in order for them to do something about closing that gap between the parallel market and the set rate of 1320 dinar.
