A positive appearance: Exchange rate stability reflects the strength of reserves and the flow of goods.
The financial advisor to the Prime Minister, Mazhar Muhammad Saleh, confirmed on Saturday that the stability of exchange rates in the local market reflects positive indicators, while pointing out that the strength of reserves and the accumulation of commodity stock contributed to reducing the fluctuations of the parallel market.
Saleh told Al-Furat News Agency: “The stability of exchange rates in the local market reflects positive indicators that are embodied in two main directions.”
He added that “the flexibility of financing foreign trade from the country’s foreign currency reserves, which are among the most efficient according to the standard of trade efficiency of reserves,” indicating that “these reserves extend to cover more than a year of imports, compared to the global standard, which is estimated at only about three months, in addition to continuing to meet the demand for foreign currency at the official rate of 1320 dinars per US dollar.”
He added that “the accumulation of diverse commodity stocks, both governmental and private, covers the country’s needs for essential and durable goods for a period ranging from one to three years,” noting that “this stability came as a result of adopting alternative trade methods, through the efficient and rapid use of the ports of neighboring countries, which ensures the smooth flow of goods to local markets.”
He pointed out that “these factors combined contributed to reducing exchange rate fluctuations in the parallel market, and led to achieving a high degree of price stability, with the exception of some seasonal fluctuations in the prices of a limited number of goods.”
He stressed that “the market maintained its expectations that the conflict in the Gulf and Middle East region will remain short-term and will not extend for a long period.”
Alforatnews.iq