Central Bank Of Iraq

The currently running Central Bank Of Iraq was established in 2004 and at the time funded with a capital of 100 billion dinars. As of the end of 2006 the bank had total assets valued at 33 trillion dinar which is about $28.5 billion in US currency.

The main objective of the Bank Of Iraq is to try and maintain domestic price stability and a completive market, a difficult task in a war torn country with black markets and other price and economic forces not under their control. The CBI is also to formulate and implement monetary policy including the currency exchange rate for the Iraqi Dinar.

The CBI is also to hold Iraqi gold and manage the reserves of gold for the country as well as issue and manage currency.

World's Largest Bank Robbery

The day before the United States and coalition forces began their invasion of Iraq, Saddam Hussein essentially robbed the Central Bank of Iraq of nearly $1 billion making this the largest bank robbery in history. More than $650 million of those dollars were eventually recovered by troops finding them hidden in the walls of Hussein's palaces. The other roughly $250 to $300 million was never found and claimed to be stolen by thieves other than Saddam Hussein and his sons.

A note was later found signed by Saddam himself ordering the withdrawal of $920 million from the bank. Funny how in times of great crisis national leaders think they own everything in the country.

At the current time the banking and financial situation in Iraq appear to be fairly stable. If a lasting peace does in fact happen in Iraq the value of the dinar will certainly climb and allow those who have bought Iraqi dinar to cash in on their investments.

Iraq Dinar Foreign Currency Trading