Central Bank Governor Denies Currency Printing and Highlights Decline in Official and Parallel Exchange Rate Gap

Central Bank Governor Nizar Nasser confirmed today, Thursday, that there is no currency printing currently underway, describing reports of currency printing as inaccurate. This statement came during a visit by the Investment and Development Committee, headed by senior member Nahida Al-Daini, to the Central Bank of Iraq to discuss the repercussions of changes in the dollar exchange rate and its impact on the investment and economic realities, as well as the challenges facing investors and local companies. The committee reviewed the measures taken by the Central Bank to support the national economy, including supporting governmental and private banks to provide concessional loans to citizens ranging from 5 to 15 million dinars. The Central Bank Governor pointed out the decline in the gap between the official exchange rate and the parallel market rate, which previously reached 24% but currently stands at about 9%. The committee emphasized the importance of mitigating the effects of exchange rate fluctuations on the cost of implementing investment projects, prices of raw materials, contractual obligations, and their impact on market stability and citizens' purchasing power, stressing the need for balanced solutions between monetary stability and supporting economic and investment activities. It also highlighted the necessity of enhancing coordination between the Central Bank, government entities, and the banking sector to overcome obstacles facing investors and facilitate banking financing procedures, ensuring the continuity of investment projects without imposing additional burdens on investors and citizens. The committee noted that stable monetary policy and clear banking procedures are fundamental pillars for creating an attractive investment environment, affirming ongoing monitoring of priority economic files and efforts to develop practical recommendations that support investment, protect citizens' interests, and strengthen the national economy.