The 70-year-old economist, who worked for two decades at the UN trade and investment body UNCTAD and had been central bank governor since 2003, has been described by analysts as a capable technocrat who fought to maintain the bank's independence.
But Iraq's cabinet decided last month to replace him with Abdelbassit Turki, the head of the Board of Supreme Audit, on an interim basis.
Shabibi said he intended to return to Iraq to fight the charges, but would only do so if the arrest warrant was lifted. He noted that the government could not fire him, a power which by law rests with parliament.
He also dismissed the charges of currency manipulation or mismanagement as trumped up, comparing relatively minor fluctuations in the value of the Iraqi dinar to greater changes to the values of the US dollar or the euro.
Along with the accusations over the fluctuation in the value of the dinar, concerns have been raised that currency auctions organised by the central bank have been used by neighbouring Iran and Syria to shore up foreign currency reserves, allegations the central bank has denied.
It nevertheless tightened its rules on the purchase of dollars earlier this year, requiring banks to provide the identity of individuals or organisations buying them, as well as other information.
(Source: AFP)
Comments are closed.