{Econsical: Euphrates News} A source at the Central Bank of Iraq denied the existence of a “slight” in cash liquidity in the country’s markets.
“There is no scarcity of cash liquidity, and cash is available despite the current policy is a deflationary policy, but cash is available,” the source confirmed to {Euphrates News}.
He pointed out that “the foreign reserves and gold at the Central Bank are at historical levels and the electronic platform is open to anyone who wants to officially enter into the purchase of the dollar at the official rate.”
Specialists in economic and financial affairs reported that despite the large monetary mass, which reaches (83) trillion dinars, there is a noticeable scarcity in cash from the Iraqi dinar in the commercial markets, explaining that this comes for several reasons, foremost of which is the mismanagement of the financial file in the country.
The professor in economic affairs, Jafar Alloush believes, in a press statement that “the problem of liquidity scarcity – if any – is related to a number of factors; including the lack of economic flexibility in monetary flexibility in the management of public money, and the official monetary indicators do not indicate a scarcity of liquidity.”
He explained that “the problem is that the bulk of the issued currency is in the public, which occupies 91.3% of the issued currency, reaching more than 90,070 trillion Iraqi dinars of that currency outside the banking system, and although this (massive) monetary mass is used for the purposes of transactions by the public and for the exercise of its daily economic activity; it is outside the control of the monetary authorities.”
