Skip to main content

Baghdad Struggles to Halt Devaluation of Iraqi Dinar

The Central Bank of Iraq has taken measures to slow the fall of the Iraqi dinar, which has plummeted against the US dollar in recent weeks.
A customer counts Iraqi dinars at a money changer in Baghdad October 1, 2012. Many Iraqis have lost faith in their dinar currency but to some foreign speculators, it promises big profits. The contrast underlines the uncertainties of investing in Iraq as the country recovers from years of war and economic sanctions. Picture taken October 1, 2012. To match IRAQ-ECONOMY/DINAR  REUTERS/Saad Shalash (IRAQ - Tags: BUSINESS POLITICS) - RTR38QU1
Read in 

Over the last few days, the government in Baghdad has been preoccupied with attempting to control the exchange rate of the Iraqi dinar against the US dollar. The rate has been dropping since April, reaching its lowest at the beginning of this week.  

During the preceding week on the local market, the dinar dropped against the dollar from 1,200 to 1,300, widening the gap against the official exchange rate by 121 dinars.

Access the Middle East news and analysis you can trust

Join our community of Middle East readers to experience all of Al-Monitor, including 24/7 news, analyses, memos, reports and newsletters.

Subscribe

Only $100 per year.