Iraq to pay for imports from Turkey in Iraqi dinar

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Iraq to pay for imports from Turkey in Iraqi dinar

Wadee Al-Handal, the Iraqi Private Banks League (IPBL) president, has announced that Iraq and Turkey will remain in constant communication in the coming days to fulfill their recent agreement on financing for foreign trade. The implementation of this agreement is being carried out under the direction of the Iraqi Government.

During a recent visit of Iraqi officials to Turkey, Al-Handal informed [the readers] that an Iraqi-Turkish committee was established. The committee aims to finance commerce and promote financial cooperation between the two countries.

According to the president of the IPBL, Turkey has shown exceptional adaptability in commerce funding by enabling Iraqi importers to make payments in Iraqi dinar and paying Turkish exporters in Turkish lira.

Al-Handal believes that the agreements Iraq has reached with its neighbors to finance international commerce in local currency would cause the US dollar exchange rate to decrease in the parallel market.

The president of IPBL announced that small-scale merchants importing goods from Turkey can finance those imports in Iraqi dinars through private banks in Iraq.

Al-Handal mentioned in the previous month that recent actions taken by the Central Bank of Iraq (CBI) and the government in relation to trade financing with various currencies, including the euro, UAE dirham, Chinese yuan, and Indian rupee, are a step towards decreasing the exchange rate of the US dollar in the parallel market.

Iraqi private banks are expanding international relations to facilitate financing Iraqi trade with other countries.