EnterpriseAM’s MENA+ edition asked what Iraq’s move to 1,500 dinars per dollar means for companies working in the country. Our answer: it is a contract question.
A dinar receivable from a ministry or state company is now worth about 13% less in dollars, and that loss stays with the contractor unless the contract carries a currency, price adjustment or change-in-law clause. Nothing has yet been published on how existing government contracts will be treated.