In February the CBI raised its commission rate on currency auction sales from 13 to 24 Dinars/$ (on top of the 1166 IQD/$ official exchange rate). This is how central banks make their money. The purchasing banks therefore are paying 1166 + 24 = 1190 which is within 2.02% of the street/market rate. That is my understanding, but please correct me if I'm wrong.
"Don't confuse the CBI rate (1166) with the Official rate (CBI rate + commissions). The IMF clearly states the Official rate must be maintained within 2%. Therefore, compliance is at 1202 or less dinars per dollar. With the recent increase in commissions, that allows it to drift as high at 1213 dinars per dollar. In either case, the current rate of 1201 is well within both and therefore they are now officially in compliance with the IMF."