Iraq’s Council of Ministers on 7 February approved a controversial recommendation by the Central Bank of Iraq (CBI) to revalue the Iraqi Dinar at $1=ID1,300, strengthening it from the current official rate of $1=ID1,450.

The Ministry of Finance will exchange petrodollars at the new rate for dinars from the CBI while the latter will sell dollars to local banks at $1=ID1,310. Banks will be mandated to “sell at $1=1,320 to final beneficiaries” according to a 9 February release by the cabinet. (CONTINUED - 230 WORDS)