Iraq Devalues Dinar 14.5% as Hormuz Disruption Drains Oil Revenue
Iraq devalued the dinar by 14.5% on Wednesday, setting the exchange rate at 1,520 per dollar after months of disruption to oil exports through the Strait of Hormuz cut into the government’s main source of revenue. The cabinet adopted the new exchange-rate structure on Tuesday, with the changes takin
Source: OilPrice.com
―
DW NOTE
Iraq has devalued four times since 2014, each time blaming external shocks. The Hormuz closure is real, but the dinar was overvalued long before the strait shut — Baghdad has been burning through reserves to defend an unsustainable peg while oil infrastructure crumbles and corruption siphons what revenue remains.