Dinar is the currency used in Iraq that is attracting a lot of investors in different parts of the world. There are many people who want to make investments in Iraqi Dinar. At the same time, the value of Dinar is decreasing over recent years due to regional wars, disputes with the US government, and Covid-19. Iraq is the leading producer of oil and the country’s economy is slowing down from 2017. However, experts say that the economy will increase in value against the US dollar.
The value of Iraqi Dinar is at low price point
Investors cannot redeem Dinar only in Iraq because the currency is not allowed to trade on the global markets. The value is set by the government and Dinar dealers can fix any prices when it comes to investments. Moreover, the Central Bank in Iraq has the rights to determine the value of Dinar through an auction process. At present, the value of one United States dollar is worth $ 1,186.44 IQD. Currently, the value of the currency is a speculation and experts say that the value is at a low point. They even reveal that the exchange rate will improve only if Iraq revalues its currency.
The reality behind Iraqi Dinar revaluation
A majority of investors like to buy Iraqi Dinars because they think that the situation will improve in the future. Once this happens, it is possible to sell their Dinar with high profits in the markets. Furthermore, the exchange rate will improve due to general improvement in fiscal health and economic growth. At the same time, revaluation of currency will depend on Iraqi’s economic improvement. The value of Iraqi currency will increase in the future based on the decisions made by Iraqi’s Central Bank because the economy is not good as per current news.
Is Iraq recovering from economic crisis?
Iraq’s economy is mainly based on oil industries and natural gas preserves. It is recovering slowly, but there are many internal conflicts that affect the growth. Investors should stay on the latest updates before buying Iraqi Dinar. Despite all the problems, Iraq is exporting more oil to other countries for developing its infrastructure in economic sectors. These are some reasons to suggest that the value of the exchange rates of currency will improve after a few months. Revaluation also will play a significant role in improving the value of Iraqi currency which helps investors to generate more profits.