Monetary policy and the impact of rumors in distorted

11/30/2015 0:00

Abdul Rahman Al-Shaikhly
Recently launched a campaign of rumors affected the Iraqi Central Bank and banking institutions operating in Iraq, with many accusations reached the limit counted some are responsible for the economic crisis experienced by the country, and the light that we must clarify some central policy The Independent that law authorizes the Central Bank of Iraq has maintained the stability of the Iraqi dinar exchange rate against foreign currencies through the balance between supply and demand for the currency.

Were not allowed to leave a gap in this individual for adoption (Central) on its reserves of foreign currency in excess of what is destined according to Bank and the International Monetary Fund forecasts, which they considered that (40 Milirdolar) set a record for a reserve currency at the Central Bank of Iraq, likely arriving at the ($ 60 billion) advanced level in 2017, but Iraq has passed these figures, reaching more than this amount, despite the use of part of it after lack of Iraq's imports from the dollar after the global decline of the price of a barrel of oil produced and exported to overseas, where more than now, the Central Bank reserves (50 billion dollars), in addition to the gold reserves, which indicate the latest statistics him that he was about the (90 tons).

Add to the above the reserve The central bank added its cash deposits in more than discreet international bank with the amount of bonds and international investment.

As the Iraqi local currency is one of the discreet currencies comparing hard currency being covered by 150 percent for the entire money supply in circulation in Iraq's economic arena which amounts to (40 Trliuna) Iraqi dinars (35 Trliuna) of them within the banking framework is limited to 80 percent of them in the Rafidain and good government either the (5 trillion) remaining just outside this framework, and that is what the cause of a shortage of cash in circulation, but it nonetheless is the Iraqi dinar from the same confidence Currency high compared to local currencies to some neighboring countries,

Although perpetuate the military momentum requirements in light of the security and military conditions experienced by the country in order to restore territorial integrity and liberation from the grip of terrorism, which seizes a large area of the land of Iraq, but he was able to maintain the exchange rate and the equivalent of almost (1200 dinars) per

It is worth mentioning that the Iraqi economy with the present is economical Rieia, adopted President on the production and export of oil, which forms the basis for the general budget of the country so that the other 4 percent sectoral contributions only for exceeding the budget constitutes 2.5 percent of them agricultural sector The industrial sector is not more than 1.5 percent. On this basis activate all sectors are supposed to supplement the general budget Bamadakhal, especially that Iraq has a sound basic ingredients to build a solid economic foundations were used to make optimal cover a large part of the revenues