Baghdad:Deputy Prime Minister for Economic Affairs, Mohammed Tamim, has confirmed that the dollar exchange rate in Iraq’s parallel market is expected to decrease and align more closely with the official rate. This announcement comes as he revealed a significant shipment of $500 million is scheduled to arrive from the United States.

According to Iraqi News Agency, in an interview with Al-Iraqiya News set to air at 1100 PM, Tamim stated that the parallel exchange rate will decrease substantially, approaching the official exchange rate. He emphasized the strong relationship between the Iraqi government and the United States, built on trust, which has resulted in increased cash dollar supplies to Iraq.

Tamim elaborated that due to previous shortages, Iraq’s dollar supply had dwindled to less than $3 billion annually. However, recent actions by the United States aim to rectify this, with $3 billion intended for Iraq. The initial installment of this amount was received last Thursday, while the second installment, each exceeding $500 million, is expected to arrive on Monday.

He expressed confidence that the measures implemented by the government and the Central Bank, combined with the influx of dollars into the market, will lead to a reduction in the exchange rate, potentially bringing it in line with the official rate, similar to some neighboring countries.