$USD Surges Against IQD in Iraq's Parallel Market
The US dollar has continued its upward trend against the Iraqi dinar, reaching nearly 160,000 dinars per $100 in Baghdad's parallel market. The exchange rate closed at 159,500 dinars per $100 at Al-Kifah and Al-Harithiya exchanges, up from 158,800 dinars earlier in the day.
In Baghdad's exchange shops, the dollar was selling at 160,000 dinars per $100 and buying at 159,000. Similarly, in Erbil, the dollar also rose, with exchange shops selling $100 for 159,100 dinars and buying it for 159,050.
Economist Ali Daadoush attributed the increasing demand for dollars to 'irresponsible' remarks by some politicians and non-specialists, combined with uncertainty and speculation. He noted that part of the market's cash-dollar supply comes from travelers, travel companies, and exchange firms linked to citizens purchasing foreign currency at the official rate for approved purposes.
Daadoush also pointed out that the supply of dollars has declined due to traders and importers holding fewer dollars abroad amid delays in official transfers. He warned that the rising exchange rate could lead to imported inflation, alongside higher customs duties and taxes.