Iraqi dinar would soon return to what it was prior to 1980 due to global demand: Banking and Finance Ministry Head
Official: declining reserves of the Central Bank of gold does not affect the rate of the dinar
The head of the Department of Banking and Finance Ministry Hilal Taan diminishing quantities of central bank reserves of gold does not affect the price of the local currency.
He said in a statement to the National Iraqi News / Nina / today: “The basket cash reserve covering currencies do not include the gold only, but depend on the dollar and the pound sterling and the euro, in addition to gold bullion.”
He said: “The Iraqi dinar has been a week before the beginning of the deal by one of the sites of the U.S. because of the high currency reserves to more than $ 67 billion is evidence that the Iraqi currency backed by a strong balance can not be influenced by declining gold bullion.”
He pointed out that “the dinar traded in global financial directory sites on the recovery of the currency and that there is a future for the Iraqi dinar and would soon return to what it was before 1980 because of the global demand in the global financial markets.”
The Iraqi Central Bank denied reports by the media about the low reserves of gold, stressing that it saw stable over the past several months.
He said in a statement yesterday he was “no truth to the news reported by some media on the low bank reserves of gold,” stressing that the reserves now total 29.790 tons.
The International Monetary Fund (IMF) revealed in a report last week, said Iraq cut its gold reserves by a quarter to reach 29.9 tonnes in November 2012, pointing out that the reserves in September and October of last year reached 39.4 tons.