Economist: sale of hard currency in several ports to monitor.
Posted Today, 11:22 AM
Economist: sale of hard currency in several ports to monitor. And intangible resultsConduct open multiple ports to sell the dollar, the Central Bank has raised controversy among economists, some of whom questioned the lack of commitment of some private banks with specific controls for sales.
The Central Bank knows full well how low exchange rate of the Iraqi dinar against the US dollar in an unprecedented manner in the past months, it has allowed (25) private banks to sell the dollar according to certain controls, and gives to every bank weekly million and 250 thousand dollar price (1179) and sold to citizens at a price (1189) that banks profit rate (10) dinars.
The Central Bank action comes to create a balance between the amount of currencies displayed and the size of the growing demand to maintain the value of the dinar against the dollar, while still the exchange rate varies between (1240-1250) dinars to the dollar.
Do you work for the Central Bank to curb the rise of the benefit of the dollar to dinar? Is it an actor?, thatís what I tried (the news agency news) know, through talking with experts and specialists in the financial area.
He said a member of the Committee on the economy and investment, the National Alliance Deputy//Amer winner: that private banks canít manipulate dollar l.d connected to it by the Central Bank and restricted conditions, but there are companies with the authorization of the Central Bank to buy foreign currency price failed to abide by the decision and there is no clear mechanism to follow up the work of these companies in the market.
And the winner (for the news agency news): the banks sell the dollar to companies at the official rate, but companies sold in the market (i.e. in exchange offices) at the price you want, the monopoly of the dollar caused that confusion in the sales process and fluctuations in the dollar versus the dinar.
He added: the Central Bank control companies buying and selling of currency as the main reason for the instability of the national currency, calling for legislation of a special law to punish offending firms and banks for specific controls to maintain the dollar to dinar.
Recent months have seen a marked decline in the exchange rate of the Iraqi dinar against the dollar, from 1200 to (1280) dinars to the dollar, the DT (1320) in some cases.
Some experts attribute the reasons for fuse dinar to international sanctions on Syria and Iran that led a large smuggling to the dollar in recent months, taking advantage of the free external conversion despite a series of Central Bank actions to control conversion, make citizens have no confidence in the national currency, the dinar was shaken by an unprecedented, is the first of its kind since 2003, where the rate of decline to (9%), the highest Exchange four years ago.
While competent in Economic Affairs Mohammad Zargham that causes instability of the dinar against the dollar despite open multiple Windows to sell hard currency, due to restrictions on the sale of the dollar is not an open process as envisaged by some, as currency selling banks committed exclusively to passengers $ 10 thousand dollars or traders after perusing the specific amounts of currency buying motives.
He said that some private banks may not adhere to the specific controls by the Central Bank need to tighten control.
He noted: the last Central Bank action to sell hard currency through banks just reduced a brokers sell the currency and this adds nothing to the local currency but a process similar to what the Central Bank auction.
Said: that the Central Bank has a successful monetary policy and knows how to face crises and donít fear the Iraqi dinar under a Central Bank.
And Deputy Central Bank Governor Mohammad Saleh appearance: when increasing demand for buying the dollar over the past months the Central thought to open multiple ports for auction-dollar injections by demand parallelism, in the beginning was the sale through Government banks (Mesopotamia and rational) and pumped them daily (6-7) million dollars, all private banks and endowed with requests to sell the dollar in exchange for its pledge to adhere to specific controls.
The valid (News News Agency) to: the number of licensed banks to sell hard currency (25) banks and by monitoring its work noted that the proportion (88%) Banks committed to civil procedures established to sell hard currency but the proportion (12%) Such non-compliance.
Said: that the cause of the failure to achieve the desired goal of selling currencies from several Windows back to the Government and the Central Bank feared a currency outside the national economy because it comes from a single resource is oil, adding barriers imposed by the State that do not give hard currency only to those used by legal form and correct despite freedom of use.
And Deputy Governor of the Central Bank warned banks in the absence of commitment to the controls of the recourse to the force of law to preserve the value of the dinar against the dollar. http://bit.ly/KUw6aW