Shafaq News / the Central Bank of Iraq announced on Thursday a decrease in the foreign currency exchange.

Shafaq News Agency correspondent said that the foreign currency auction of the Central Bank of Iraq recorded a 6.85% decrease to 204,218,319 dollars which the bank covered at an exchange rate of 1460 dinars per dollar.

He added that the sales operations were in the form of wire transfer and credits (171,818,319 dollars) and Cash (32,400,000 dollars).

In December 2020, Iraq’s central bank increased the sale price of U.S. dollars to banks and currency exchanges to 1,460 dinars, from 1,182 dinars, seeking to compensate for a decline in oil revenue due to low crude prices.

The central bank of Iraq said the key reason behind the dinar’s devaluation was to close the gap of widened 2021 budget inflation after a collapse in global oil prices, a major source of Iraq’s financial resources.