Iraqi authorities have dismantled an illegal currency exchange and money transfer network in Baghdad, arresting five suspects and seizing $240,000 in cash.
According to the Ministry of Interior, the operation was carried out by the Federal Intelligence and Investigations Agency after receiving judicial approval and forming a joint intelligence and technical team to monitor the group’s activities.
The suspects were operating in several areas on the Rusafa side of Baghdad. Investigators said they were conducting currency exchange and money transfer services without the required licenses and were using social media groups to organize transactions and trade foreign currencies outside official regulations.
Security forces caught the suspects during the operation and arrested them on the spot. Several mobile phones believed to have been used in the illegal activities were also confiscated.
The suspects have been referred to the relevant authorities under Article 57 of the Banking Law, and investigations are continuing.
The operation comes at a time when the Iraqi dinar has been facing pressure in the local market, with the exchange rate recently rising above 1,600 dinars per U.S. dollar, creating a gap of more than 20% compared to the official rate.
Despite these market fluctuations, the Central Bank of Iraq has repeatedly stated that the country’s foreign currency reserves remain strong and are sufficient to meet market demand.
