CBI records 96% surge in external remittances

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CBI records 96% surge in external remittances

EconomyBreakingCBI

2024-03-24 07:27

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Shafaq News / The foreign remittances in the Central Bank of Iraq (CBI) auction surged by 96% in cash sales, reaching $237 million, on Sunday.

Our correspondent reported that CBI sold a total of $245,545,947 in its auction today. The Bank covered it at an exchange rate of 1305 IQD per dollar for documentary credits and international settlements for electronic cards, and at a rate of 1310 IQD per dollar for foreign remittances and cash dealings.

Most of the Bank's dollar sales went towards bolstering balances abroad in the form of remittances and credits, totaling $237,727,027, marking a 96% increase compared to the cash sales, which amounted to $7,818,920.

Notably, only one bank purchased cash dollars, while 18 banks fulfilled requests to enhance balances abroad. 

The total number of exchange companies and intermediaries participating in the auction was 18.

CBI conducts regular currency auctions to manage the country's monetary policy and stabilize the exchange rate of the local currency. 

These auctions serve as a mechanism for banks and financial institutions to buy and sell foreign currency, primarily the US dollar, to meet the demands of importers, travelers, and other entities requiring foreign exchange. 

The auctions are a crucial tool for CBI to control inflation, manage liquidity in the banking system, and maintain confidence in the national currency. 

Additionally, the auctions play a role in regulating the flow of foreign currency in and out of the country, helping to manage Iraq's balance of payments. 

Monitoring the results and trends of these auctions provides insights into the overall economic health and stability of Iraq's financial system.