On Sunday, the Iraqi Parliamentary Finance Committee issued a statement that Iraqi Central Bank sold the maximum amount of hard currency and it is more than double of the Iraqi revenues originated from the Iraqi oil export.
A member of Finance Committee Majida Al-Tamimi said in a press interview that Iraqi imports in the month of January 2016 have been reached at 1 billion and 144 million U.S dollars. But, Iraqi Central Bank sold 3 billion and 319 million U.S dollars. She further added that cash reserves at the Iraqi Central Bank were used to cover the difference between State revenues and Iraqi imports. It is indicating that cash reserve of Iraqi government has reached at zero level and supervisory operations to withdraw from Iraqi Central Bank could cause the economic disaster in the country. So, most of the currency investors preferred to Sell Iraqi Dinar to prevent major loss.
Al-Tamimi further said that monetary reserves at the Iraqi Central Bank have been reached at 50 billion U.S dollars as it was at 59 billion U.S dollars. This situation became more critical by the foreign currency sales auction at Iraqi Central Bank and it also covered most of the expenses of the state. A large amount was used for the purpose of imports of some unnecessary Consumer Goods including juices, gypsum and various other materials, in spite the current financial and economic crisis experienced by the country. It is important that a number of economic and financial experts believe that Iraqi dinar currency would be affected badly, so they advised the Iraqi dinar investors not to Buy Iraqi Dinar and avoid for Iraqi Dinar Investment.