Let me explain what’s really going to on with the Iraqi dinar right now because a lot of people are pointing fingers at the Central Bank of Iraq. The bank is saying, ‘Hold on. This isn’t on us.’ Here’s the situation. The dinar has been looking weak lately, especially when you compare the official exchange rate to what people are paying on the streets of Iraq for the US dollars. I know they are not supposed to be using dollars but they are. That gap between the official rate and the market rate has been growing… People want to know who’s responsible…The Central Bank of Iraq says the problem isn’t caused by the bank’s policy. Instead, they believe the pressure on the dinar is coming from…political tension, trade issues and demand for dollars inside of Iraq.
