Central Bank: low demand for the dollar does not mean a decline in aggregate demand
2009-10-12 09:10:17
BAGHDAD (Iba) .. adviser said the Iraqi Central Bank, "The decline in demand for dollar in daily auction over the last period does not mean a decline in aggregate demand, denying the bank's monetary policy change."
The appearance of Dr. Mohammed Saleh told the independent press (Iba) on Monday, "The Bank's goal is focused on achieving price stability in the short term, while preserving the stability of foreign exchange in the local market, and we all know the importance of that for the level of prices and inflation rates."
He continued, "Rising demand for the dollar's decline is linked to the rule of supply and demand and can not be divided on the mechanisms of this rule the central bank."
Saleh explained that "the goal of maintaining a safe level of foreign reserves, which ensure the maintenance of economic stability in the long term, at the same time maintaining price stability are warranted in light of the shift in global politics."
On the other hand, Saleh stressed that "the deletion of zeros from the Iraqi currency will depend on the long-term monetary policy. Indicating that this step requires the issuance of legislations and laws before going ahead as part of the strategic management of the currency in Iraq."
Stated that there are proposals to delete the zeroes of the Iraqi currency, but did not find their way to implementation so far, for reasons related to monetary policy of the State.
2009-10-12 09:10:17
BAGHDAD (Iba) .. adviser said the Iraqi Central Bank, "The decline in demand for dollar in daily auction over the last period does not mean a decline in aggregate demand, denying the bank's monetary policy change."
The appearance of Dr. Mohammed Saleh told the independent press (Iba) on Monday, "The Bank's goal is focused on achieving price stability in the short term, while preserving the stability of foreign exchange in the local market, and we all know the importance of that for the level of prices and inflation rates."
He continued, "Rising demand for the dollar's decline is linked to the rule of supply and demand and can not be divided on the mechanisms of this rule the central bank."
Saleh explained that "the goal of maintaining a safe level of foreign reserves, which ensure the maintenance of economic stability in the long term, at the same time maintaining price stability are warranted in light of the shift in global politics."
On the other hand, Saleh stressed that "the deletion of zeros from the Iraqi currency will depend on the long-term monetary policy. Indicating that this step requires the issuance of legislations and laws before going ahead as part of the strategic management of the currency in Iraq."
Stated that there are proposals to delete the zeroes of the Iraqi currency, but did not find their way to implementation so far, for reasons related to monetary policy of the State.