The US dollar strengthened against the Iraqi dinar on Tuesday, with the exchange rate climbing to approximately 154,000 IQD per $100 in Baghdad and Erbil.
The move marks a reversal of the dinar’s recent trajectory, which had seen the local currency firm up earlier in the week.
The shift to 154,000 IQD/$100 undoes the improvement recorded on Wednesday, when the rate had settled around 153,500 IQD per $100.
The shift to 154,000 IQD/$100 undoes the improvement recorded on Wednesday, when the rate had settled around 153,500 IQD per $100.
That prior strengthening was attributed to resumed dollar inflows, but Tuesday’s trading suggests those pressures have eased or been offset by renewed demand for hard currency.
Volatility in Iraq’s parallel currency markets remains a key risk for importers and businesses reliant on foreign exchange.
The rapid swing between 153,500 and 154,000 within a single week highlights the sensitivity of the dinar to short-term liquidity flows and market sentiment.