Monday, October 31.2016
Mohammed Riad HamzaIt is unacceptable to keep the Iraqi dinar exchange rate against the US dollar and the currencies of industrialized capitalist countries and neighboring Arab countries is in the thousands. Valencod Iraqi dinar paper of the highest categories opens with four zeros paper … the fifty thousand to 250 dinars a minimum.
The reality of the dinar current trading segments of confusing disabled economic, commercial and service activities for all. For the Iraqi market , the level of the reality of the dinar in the evaluation of trade operations, and a single sentence, is far from accurate price, as well as in the evaluation of real estate , buying and selling and lease, and banking facilities, and any trading assesses currency. Any deal large amounts of both ends need to fill categories of dinar bags for exchange between the seller and the buyer .oimkn see scenes of people carrying bags of dinar entrants to the banks or exchange houses or coming out of it.
And make sure that the reality of the Iraqi dinar and Dialh value segments purchasing a catalyst for the crimes of counterfeiting. In countries where equal their exchange rate with the Iraqi currency Mbtalat rigging the currency, and the counterfeit currency from the devastating effects on inter macroeconomic components of any State.
And the dinar Iraqi Rolling currently Bocefarh and Dialh value cashed important role in the rise of goods and services and rising inflation rates. As transactions in the wholesale exclude small – value segments of the dinar. The addition of a few thousand dinars to deal Consumer goods , or long – lived, and circulation of marketing to another port and into the hands of consumers, the price of the commodity Tuwalia ballooning number of marketing outlets. The reason is Dialh purchasing power of the categories of small dinar that are excluded when evaluating the price of any commodity.
On 27 August 2015 published (unit of economic studies links for Research and Strategic Studies Center) in his position on the Internet an important article included a reference to “that the Iraqi government may resort to editing dinar any (floated) something that will not solve the financial problem in the country, but would have a disastrous impact on the Iraqi citizen first class. on the other hand, the flotation is the port for speculators in the market to carry out money laundering and manipulation auction currency within the central bank. float currency Floating means Leave a currency floating rising exchange rate and declining reverse proportion to the cases of demand and supply in the market. and taking into account the level of emancipation of the national economy, and the adequacy of its performance, and flexibility of its production apparatus. It is the risk of this process as open the door to money laundering and diversion of corrupt money from the Iraqi dinar to currencies Free to smuggle them out. ” the
survival of the purchasing power of the Iraqi dinar is weak seesaw at home and abroad are not supported with rampant financial corruption, the dinar conversion into other currencies smuggled abroad cause higher inflation. As to keep large amounts of Iraqi dinar in the market means inflation liquidity which makes it easier out more foreign currency from the country. The
solution is not to delete zeros or dinar floated, but substituting new Iraqi dinars and to link the rate of exchange in US dollars. Be issued any new Iraqi dinars equivalent to the dollar in the exchange rate of the dinar .oatkon per hundred fils and groups: one dinar, five dinars and ten dinars, and twenty dinars, and fifty dinars, and one hundred dinars. Minting coins from fils and five fils, ten fils fils twenty, and fifty fils, and one hundred fils. Thereby ensuring the stability of the monetary system and the elimination of the imbalance in the current system , which has allowed widespread corruption.
As has been the abolition of the currency of the former regime after 2003 and replacing rolling dinar now, the current cancellation over a period of time and bring new dinar.
It is important that the Iraqi Central Bank assisted by experts from the “Council Federal reserve , ” the US central bank in the Iraqi monetary system , the development of the currency enjoys the trust of the exchange of high locally and internationally.
Central banks play a major role in financial instruments control in all countries of the world, the most important tool in the hands of the Central Bank is the monetary policy, it is through an increase in cash flow (Liquidity) can stimulate the economy out of the state of economic crisis, or to help the economy grow by encouraging exports, reducing inflation
the currency peg of the Iraqi dinar in US dollars means installing currency dinar price of a fixed exchange rate (fixed exchange-rate) and much of the world this practice is based. There are 17 countries in the world have linked its currency to the US dollar. Including six Arab countries , namely Saudi Arabia, Jordan, Oman, the UAE, Bahrain and Qatar.
To link the Iraqi dinar to the dollar has several advantages the most important of the ease of exchange rate policy between the currency of the country and the rest of the world currencies all, where monetary authorities determine the rate specified for the disbursement of the dinar to the dollar, through which the determined relationship management the rest of the dinar currency, goes up for these currencies with the rising dollar and decreases with Ankhvadh.mn other hand, the dollar peg helps relatively protect the national economy from inflation as
well as help link in the case of oil -producing countries to stabilize their revenues in local currency when the devaluation of the dollar. Vpferd the stability of the oil price decline, the global value of the dollar does not lead to a decline in oil revenues of Iraq Dinars.
It will be issuing new Iraqi dinars a way to expose corruption as it requires replacement traded currency is the new currency. At that expose shelve those billions and billions of the current Iraqi dinar and act in the framework of the weak monetary system and politicized the farthest thing from transparency. As can be the Iraqi Central Bank and commercial banks had placed before the deal could expose any abuses , money laundering and smuggling of the Popular currency abroad.
The main reason behind the dollar peg is to maintain stability and increased confidence to deal with, and maintain a fixed exchange rate of the dinar rate would eliminate the so – called parallel market vowels (black market). This reinforces the confidence of investors and the stability of the monetary system and to maintain the purchasing power of consumers with limited income.