CBI confirms the value of the dinar is not affected by high inflation rates in the country
Baghdad, September 2 / September (Rn) – The Central Bank of Iraq, Friday, on the value of the dinar is not affected by high inflation rates in the country, denying the existence of any economic risks on the country it came from.
The World Bank called Bank of Iraq, the Ministry of Finance, on Thursday to take action to prevent increasing the persistence of high monthly inflation.
The deputy governor of the Central Bank of the appearance of Mohammed Saleh told the Kurdish news agency (Rn) that “the concerns of the international financial institutions of high rates of inflation, monthly and annual amounts which are under the control of the Central Bank of Iraq and any threat does not cause deterioration of the value of the Iraqi dinar.”
Iraq has seen a rise in inflation for the month of July in 2011 compared to the same month of 2010 by 7.1% after it was last year’s 2.4% due to higher prices, housing rent allowances.
He pointed out that “the crisis of the dollar and the rising prices of rents and higher wages for electricity and the main reasons behind the persistence of high inflation in the country.”
He explained that “the Central Bank of successful political support in reducing the rate of inflation and reduction in line with demand and supply prices on the Iraq dinar and increase the monetary value.”
Defines inflation as excessive in the general level of prices and rising incomes in cash or a component of cash income such as wages or profits as well as high costs and over-the creation of cash balances. And worried about a number of economists from the continuing high rates of inflation in the country in the absence of mechanisms to reduce height of the government institutions involved in the management of the economy in the country.