Kurdistan Regional Government (KRG) shifts to Iraqi dinar for customs duties instead of US dollars

ERBIL, October 16 — The Kurdistan Regional Government (KRG) has decided to impose customs duties in Iraqi dinars rather than US dollars at border crossings, and it has confirmed penalties for those who do not comply.

On September 20, the Kurdistan Regional Government (KRG) issued a directive, numbered 227, to all border crossings, mandating the collection of all customs duties and taxes in Iraqi dinars.

Shakhwan Abubakr – Director of Bashmaq Customs for Network 964:

“While the directive was issued by the Ministry of Finance, we have been receiving amounts in dinars at all border crossings except for Ibrahim Khalil, which also accepts payments in US dollars. If the prices are in dollars, our system is in Iraqi dinars, so we only accept the local currency. If a trader gives us $1,000, the system will show 1.3 million dinars (Central Bank Rate), so the individual must pay the fees in dinars.”

Statement from the Kurdistan Region Government, as translated by Network 964:

“Pursuant to the provisions of Article 8 of Law No. 3 of 1992 of the Kurdistan Regional Government Cabinet, and based on the proposal of the Minister of Finance and Economy, it has been decided to collect customs duties at border crossings and customs points in Iraqi dinars only. All relevant ministries and authorities must adhere to this decision. In the event of non-compliance at border crossings and customs points, violators will face penalties.”