Iraqi Dinar Continues to Weaken against US Dollar

Iraq’s currency plummeted to a new low against the US dollar. (AFP)
Iraq’s currency plummeted to a new low against the US dollar. (AFP)
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Iraqi Dinar Continues to Weaken against US Dollar

Iraq’s currency plummeted to a new low against the US dollar. (AFP)
Iraq’s currency plummeted to a new low against the US dollar. (AFP)

Iraq’s currency plummeted to a new low against the US dollar. In the northern Kurdistan region, the rate stood at 1,550 Iraqi dinars to the dollar - the lowest it has traded since 2004, according to experts.

The depreciation in the dinar’s value triggered a wave of severe anxiety in the local markets that have been suffering from recession for weeks. It also spurred fears of the possibility of more decline given the inability of the Central Bank and government authorities to curb the spiral.

Economic analysts traced the decline to both local and foreign reasons. In Iraq, some private banks were excluded from currency auctions set up by the Central Bank. External factors, such as the actions of the US Federal Reserve, have also been commonly blamed for the decline in recent weeks.

About three weeks ago, the Iraqi government pledged to control the exchange rate. The dinar, however, continued to depreciate steadily, drawing political and popular criticism against Prime Minister Mohammad Shia al-Sudani.

The political criticism came from the pro-Iran Shiite Coordination Framework that had brought Sudani to power in October.

Hanan Al-Fatlawi, a Framework MP, stressed that the government needs to explain its policy in fighting the drop in the dinar’s value.

“Panic is gripping the market due to the rapid rise in the exchange rate of the dollar,” tweeted Al-Fatlawi.

“The government is required to reassure the people. It must clarify the measures it is taking to prevent the collapse,” she demanded, noting that the Central Bank governor had yet to comment on the issue.

The parliamentary Services and Construction Committee viewed the drop in the value of the currency as the government’s failure to implement its economic policies.



Barrack Says Hezbollah Involvement in Iran-Israel War Would Be 'Very Bad Decision'

A handout photo released by the Lebanese Presidency press office on June 19, 2025 shows Lebanon's President Joseph Aoun (R) welcoming US negotiator Thomas Barrack at the presidential palace of Baabda east of Beirut. (Photo by Lebanese Presidency / AFP)
A handout photo released by the Lebanese Presidency press office on June 19, 2025 shows Lebanon's President Joseph Aoun (R) welcoming US negotiator Thomas Barrack at the presidential palace of Baabda east of Beirut. (Photo by Lebanese Presidency / AFP)
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Barrack Says Hezbollah Involvement in Iran-Israel War Would Be 'Very Bad Decision'

A handout photo released by the Lebanese Presidency press office on June 19, 2025 shows Lebanon's President Joseph Aoun (R) welcoming US negotiator Thomas Barrack at the presidential palace of Baabda east of Beirut. (Photo by Lebanese Presidency / AFP)
A handout photo released by the Lebanese Presidency press office on June 19, 2025 shows Lebanon's President Joseph Aoun (R) welcoming US negotiator Thomas Barrack at the presidential palace of Baabda east of Beirut. (Photo by Lebanese Presidency / AFP)

The US special envoy for Syria Tom Barrack on Thursday warned Hezbollah against getting involved in the war between its main backer Iran and Israel.

"I can say on behalf of President (Donald) Trump... that would be a very, very, very bad decision," Barrack said, responding to a question on what the US position would be on any involvement by Hezbollah in the war.

Barrack met with Lebanese President Joseph Aoun at Baabda Palace and Speaker Nabih Berri in Ain el-Tineh.

Hezbollah has condemned Israel's strikes on Iran and expressed full solidarity with its leadership.

Hezbollah on Thursday expressed support for Iran’s Supreme Leader Ali Khamenei following threats by Israeli leaders that he could be killed.

In a statement, Hezbollah said that “threats to assassinate (Khamenei) are foolish and reckless, and will have disastrous consequences.”

But the group has stopped short of making explicit threats to intervene.

Israel's defense minister said Thursday that Khamenei "can no longer be allowed to exist" after an Israeli hospital was hit during an Iranian missile attack.

"Khamenei openly declares that he wants Israel destroyed -- he personally gives the order to fire on hospitals. He considers the destruction of the state of Israel to be a goal," Israel Katz told journalists in Holon near Tel Aviv. "Such a man can no longer be allowed to exist."

Killing Khamenei would "end the conflict" between Israel and Iran, Israeli Prime Minister Benjamin Netanyahu has said.