At a glance

• Dinar hits 154,250 per $100 in parallel markets; street rates exceed 154,750.
• Erbil Currency spokesman links decline to poor finances and high USD demand during salary distributions.
• Rates vary between 154,500 and 154,750 across Erbil, Slemani, and Duhok.

The Iraqi dinar has dropped against the U.S. dollar, and $100 is being traded in the Kurdistan Region's parallel markets at 154,250 dinars, while the sale of dollars outside the markets has reached more than 154,750 dinars.

---

Key Statement and Focus Area

• Kaifi Khoshnaw, spokesman for the Erbil Currency Market, attributes the decline of the dinar to Iraq's poor financial situation and the increased demand for the dollar during salary distributions.
• Khoshnaw stated that the continuous change in prices at present is linked to the level of supply and demand of foreign currency in the markets, which directly affects commercial transactions and the purchasing power of citizens in the markets.

---

According to the Erbil spokesman, the value of the dinar against the dollar will remain unstable until the general financial situation in Iraq completely stabilizes.

During salary distributions for the government public sector, the value of the dinar drops because citizens convert a part of their salaries into dollars.

In Iraqi markets, he noted, there is a price difference of 250 dinars for every $100 between provinces.

The value of the dinar fluctuates daily by 1,000 to 2,000 dinars in the markets.

Dollar exchange rates vary across Kurdistan Region cities including Erbil, Slemani, and Duhok, as well as other Iraqi provinces, ranging from 154,500 to 154,750 dinars per $100. 

The spokesman for the Erbil Currency Market described these regional price disparities as standard market behavior.

FYI

In recent weeks, the Iraqi dinar has faced heightened volatility in parallel markets, with the exchange rate climbing from roughly 152,500 dinars per $100 in early August to over 154,750 dinars. 

Market instability has been further exacerbated by rumors surrounding a state-proposed currency redenomination plan to drop three zeros from the banknotes. 

Jabar Goran, spokesperson for the Slemani Currency Exchange Market, told Channel 8 that dropping three zeros from the dinar would force individuals holding illicit cash reserves to reveal their sources, freezing tens of trillions in hidden funds.

The spokesperson dismissed rumors of a dinar devaluation, stating it is unnecessary due to rising revenues, and predicted the market rate could strengthen to 146,000–147,000 IQD per $100 if regional trade channels remain stable and geopolitical tensions ease. 

Dive Deeper: Handpicked Stories for You

Follow Channel8 for continuous updates:

Iraq Struggles to Contain Volatile Dinar Currency Disparity 

$500 Million Cash Shipment Arrives at Baghdad as Toman Rallies

Finance Minister Meets Central Bank Governor on Monetary Stability

Iraq, Iran Central Bank Chiefs Discuss Financial Cooperation

Iraq Advances Digital Payments, Platform Regulation Framework