Stop Fundamentalism, February 27 – Iraqi Dinar closed just below 1288 Dinars per Dollar today at IraqÃ¢â‚¬â„¢s Central Bank Auction. This is unchanged from last Tuesday, says the ICB.
Since the introduction of new Iraqi Dinar, this currency has demonstrated a great potential in gaining value against Dollar. Just last November and December Dinar was sold for prices above 1400 per Dollar.
Reports indicate a high volume of trade at IraqÃ¢â‚¬â„¢s Central Bank through its network of 14 participating Banks throughout Iraq.
Economist Abdul-Razzaq Sadeq al-Abaiji told the independent news agency Ã¢â‚¬Å“Voices of IraqÃ¢â‚¬Â (VOI) that, "The exchange rate was stable for more than a week now leading traders to offer selling dollars in today’s auction."
"The offers to sell dollar encouraged the Central Bank to cover all bids for dollar during Tuesday’s session.Ã¢â‚¬Â Abaiji added.
Azaman reported on Monday that the Central Bank had failed to cover bids made in its daily auction for dollar resulting in a decline in the demand ceiling to less than $34 million.
Some analysts anticipated last year that the Iraqi government plans to push IraqÃ¢â‚¬â„¢s Dinar value high to be fixed at 1000 per Dollar. IraqÃ¢â‚¬â„¢s Central Bank later on denied such initiative. Whether that is true or not the prediction seems to be coming to reality after all.