Arab Newspaper Reports That USA Issues New Iraqi Banknotes

The USA has issued a new Iraqi currency, Al-Ittihad published in the United Arab Emirates reported referring to a source in the US administration that is now in Kuwait.

At first, the Iraqi dinars issued in Switzerland will be circulating until the new currency is introduced.

According to the newspaper, the dinars of 20 and 50 denomination abolished in 1993 and replaced with banknotes featuring Saddam Hussein will be allowed.

However, the dinars issued in Switzerland were used in three Iraqi northern provinces controlled by the Kurdish parties. Recently Jordanian exchanges have purchased them in great amounts hoping that they would circulate and their exchange rate would increase. In Jordan, since the war began, the dinars issued in Switzerland grew in value from 12 to 36 dollars per thousand and the exchange rate of the dinars featuring Saddam went down to 3,300 dinars per dollar.

According to the US administration, the most popular banknote of 250 denomination will be abandoned.