00:00Good morning everyone, and welcome back. Today is Saturday May 16th, 2026, and as always,
00:06we are here to bring you the most honest, straightforward, and up-to-date information
00:11about the Iraqi dinar. So let us get right into it, because today we have quite a bit to talk
00:16about, and I want to make sure you walk away from this video with a clear picture of where
00:20things stand right now. Let us start with the exchange rate, because that is always the first
00:25thing on everybody's mind. As of today, Saturday May 16th, 2026, the official USD to IQD exchange rate
00:33is sitting right around 1,310 Iraqi dinars per US dollar. Now, I know some of you are looking at
00:40that number and thinking, when is this going to move? And that is a completely fair question.
00:45The honest answer is that the rate has been remarkably stable over the past several weeks
00:49Iraqi dinars per US dollar as its benchmark. The Council of Ministers endorsed this figure,
00:54and the central bank formally communicated it to the Ministry of Finance.
00:58Now, a lot of people in the dinar community have been pointing to this
01:021,300 rate as some kind of signal that a revaluation is coming. I want to address that directly and
01:09honestly. This 1,300 rate is a budget accounting rate. It is the number the government uses to
01:14calculate oil revenues, government spending, and fiscal planning. It is not a promise of a sudden
01:21currency appreciation. It is not a secret code embedded in government documents. It is simply
01:26how Iraq manages its national finances. And it has been the rate in place since February 2023.
01:32So while it does provide a certain level of clarity and predictability for the economy,
01:37it should not be misread as a revaluation announcement. I know that might not be what
01:42some of you want to hear. But my job is to give you accurate information, not to tell you what
01:46sounds exciting. Now, let us talk about the parallel market, because this is where things get a little
01:52more nuanced. While the official exchange rate at the central bank level is around 1,300 to 1,310
01:58dinars per dollar, the street market and informal exchange offices in cities like Baghdad and Erbil have
02:04been trading the dollar at significantly higher rates, sometimes as high as 1,440 to 1,450 dinars per
02:11dollar. This gap between the official rate and the market rate is something economists call the
02:16parallel market premium. And it has been a persistent feature of Iraq's currency environment
02:21for several years now. What this gap tells us is that there is real. The official exchange rate is
02:27stable at around 1,310. The central bank of Iraq is committed to maintaining that stability.
02:33The 2026 budget confirms the 1,300 benchmark. Iraq's foreign reserves are solid. Inflation is under
02:40control. The parallel market premium remains. But the CBI is working to close that gap through banking
02:45reform and tighter financial compliance. The geopolitical environment carries risk but is
02:51not in a state of acute crisis right now. And the international financial community, including
02:56the IMF, sees Iraq as a conventional peg economy with a stable monetary foundation. That is the real
03:02picture. That is what the data tells us today. The policymakers in Baghdad are choosing stability over
03:07drama. For anyone who has invested in the dinar and watching closely, that is the environment you are
03:13operating in. Stay patient, stay informed, and most importantly, make decisions based on real facts
03:20rather than speculation. That is everything for today's update. Friends, I want to take a moment to
03:26sincerely thank each and every one of you who watches these videos, shares them with your friends
03:31and family, and stays engaged with this community. Your support means the world, and it is what keeps me
03:37coming back every single day to bring you the most accurate and honest Iraqi dinar coverage I possibly can.
03:42If you have not already subscribed to the channel, please do so right now. It is completely free,
03:47and it makes sure you never miss an update. Hit that like button if this video was helpful to you,
03:53and drop your questions or thoughts in the comments below. I read every single one. Until next time,
03:59take care of yourselves, stay informed, and I will see you in the next video.
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