On Monday, the Parliamentary Finance Committee rejected the government’s proposal to issue a new local currency. The Committee also revealed the influence of the US Federal Reserve on the ongoing dollar crisis.
One of the committee members, Moeen Al-Kazemi, has stated in an Agency report that the news about the federal government planning to issue a new local currency is entirely false. He clarified that the Iraqi dinar has a cover and bonds worth around 150 billion dollars.
Al-Kadhimi stated that a new currency would not solve the discrepancy in the dollar exchange rate. Addressing the issue requires thoughtful steps taken by all concerned parties.
He pointed out that the Central Bank provides merchants with dollars at an official rate of 132,000 dinars for every 100 dollars, and the disparity is due to a black market.
He stated that the US Federal Reserve was exerting influence to maintain the crisis in Iraq for political purposes.