The Central Bank of Iraq is planning to rebase the Iraqi dinar but hasn’t decided yet on the timing of the move, the bank said in a statement Monday.
“The Central Bank affirms its commitment to its strategic projects, particularly knocking three zeroes from the Iraqi dinar,” the statement said.
“Despite the technical and logistical preparations for the project we have yet to decide on suitable timing to implement the project,” it said. Choosing a suitable time wouldn’t be linked to economic aspects only, but rather to the security situation as well, it added.
Separately, the bank’s senior advisor Mudher Qasim told Dow Jones Newswires that knocking off the three zeroes would improve the value of the Iraqi dinar which is trading Monday IQD1, 170 against one US dollar.
The central bank’s advisor said that if the project was implemented the central bank would need to print new banknotes.