The exchange rate between the US Dollar and the Iraqi Dinar is still unstable in local markets this Tuesday.
Even though the Central Bank of Iraq has set the official rate at 130,000 IQD per $100, the real market tells a different story.
In the parallel market, rates are staying much higher—above 155,000 IQD per $100.
In Baghdad, the dollar was selling for around 155,500 IQD and buying at 155,100. In Erbil, prices were slightly lower, with selling at 155,250 and buying at 155,000.
Meanwhile, in Basra, the rates were a bit more competitive, with selling around 150,000 IQD and buying at 154,750.
This gap between the official and market rates shows strong demand for dollars right now.
Experts say there are a few key reasons behind this. One is reduced supply of dollars in the market. Another is rising regional tensions, which are making people and businesses turn to more stable currencies like the dollar.
There are also concerns about economic pressure, especially with disruptions linked to the Strait of Hormuz affecting oil exports.
In simple terms, the exchange rate is becoming an important signal of economic stress. The wider the gap, the more it reflects pressure on the local economy and the everyday purchasing power of Iraqi citizens.
