Rate Of Exchange Iraqi Dinar To Us Dollar
Introduction
The exchange rate of Iraqi dinar to US dollar has been a topic of interest for many people over the years. The Iraqi dinar is the currency of Iraq, while the US dollar is the currency of the United States of America. The exchange rate between these two currencies determines how much one can get when exchanging one currency for the other. In this article, we will explore the rate of exchange between Iraqi dinar and US dollar, its history, and its current status.
History of Iraqi Dinar
The Iraqi dinar was first introduced in 1932, replacing the Indian rupee, which was previously used in Iraq. The dinar was pegged to the British pound at a rate of 1 dinar = 4.86 pounds. In 1959, the peg was changed to 1 dinar = 2.8 US dollars. In 1982, the exchange rate was further changed to 1 dinar = 3.22 US dollars.
History of US Dollar
The US dollar, also known as the American dollar, was first introduced in 1792 as a unit of currency for the United States of America. It was originally based on the Spanish dollar and was pegged to gold. In 1971, the US dollar was no longer pegged to gold, and its value was determined by supply and demand in the foreign exchange market.
Exchange Rate of Iraqi Dinar to US Dollar
The exchange rate of Iraqi dinar to US dollar has fluctuated over the years. In 1990, the exchange rate was 1 dinar = 3.47 US dollars. During the Gulf War, the value of the dinar dropped significantly, and the exchange rate reached 1 dinar = 0.33 US dollars. After the war, the exchange rate was reinstated at 1 dinar = 3.47 US dollars.
In 2003, the exchange rate was again changed, and the dinar was devalued. The new exchange rate was 1 dinar = 0.00027 US dollars. This was done to combat inflation and stabilize the economy. Since then, the exchange rate has remained relatively stable, with minor fluctuations.
Factors Affecting Exchange Rate
There are several factors that can affect the exchange rate of Iraqi dinar to US dollar. One of the main factors is the political stability of Iraq. Any instability in the country can lead to a decrease in the value of the dinar. Another factor is the supply and demand of the currency. If there is a high demand for dinar, its value will increase, and vice versa.
The global economic situation can also affect the exchange rate. If the US dollar is strong, the exchange rate will be higher, and vice versa. Other factors include inflation, interest rates, and government policies.
Current Exchange Rate
As of August 2021, the current exchange rate of Iraqi dinar to US dollar is 1 dinar = 0.00068 US dollars. This means that for every US dollar, you can get approximately 1464 Iraqi dinars. The exchange rate is regularly updated based on the global economic situation and other factors that affect it.
Conclusion
The rate of exchange between Iraqi dinar and US dollar is an important factor for anyone who wants to trade or invest in Iraq. The history of the dinar and the US dollar, as well as the factors that affect their exchange rate, should be considered when making any financial decisions. While the exchange rate has remained relatively stable in recent years, it is important to keep an eye on any changes that may occur in the future.