We noticed you're blocking ads.

Keep supporting great journalism by turning off your ad blocker.

Questions about why you are seeing this? Contact us

Font Size

- Aa +

Thu 4 Oct 2007 11:51 AM

Font Size

- Aa +

Dinar falls for 3rd time this week

Kuwait's central bank lets dinar depreciate against dollar again after US currency recovers some losses.

Kuwait's central bank allowed the dinar to depreciate against the dollar for a third time this week on Thursday, after the US currency recovered some losses against the yen and euro.

The dinar will trade around a mid point of 0.28015 per dollar compared with 0.27985 the previous day, the central bank said. That is a decline of 0.11%.

The currency of the Middle East's fourth-largest oil exporter has now risen 3.21% since May 19, a day before the central bank dropped its peg to the weakening dollar and adopted a basket of currencies.

Kuwait has declined to give the composition of the basket.

In late afternoon trading in New York, the dollar was 0.9% higher at 116.71 yen.

The euro edged 0.4% lower to $1.4095, down from a record high of $1.4281 hit on Monday, according to Reuters data.

The central bank says the dollar's decline on global markets is driving up inflation and making some imports more expensive.

Kuwait pays for more than a third of its imports in euros.

Central Bank Governor Salem Abdul-Aziz al-Sabah said on July 29 the basket gave the bank flexibility to track moves on global foreign exchange markets, state news agency KUNA reported.

Arabian Business: why we're going behind a paywall

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Real news, real analysis and real insight have real value – especially at a time like this. Unlimited access ArabianBusiness.com can be unlocked for as little as $4.75 per month. Click here for more details.