Erbil currency market shows preference for new $100 notes

The currency market in Erbil, Iraqi Kurdistan, September 2025. Photo: Screengrab/K24 TV video/YT/via iKurd.net

Erbil currency market sees differences between “white” and “blue” $100 bills. Erbil traders favor new blue $100 bills over old white ones

ERBIL, Iraqi Kurdistan region,— The currency exchange market in Erbil has recently seen unusual fluctuations in the value of U.S. $100 bills, depending on whether the note is the older “white” version or the newer “blue” version.

Traders and citizens report that while both are official U.S. currency, the newer blue notes are preferred in transactions, and the older white bills often fetch a lower value, according to K24 TV report.

At local money exchange shops, reporters observed traders distinguishing clearly between the two types.

One trader explained, “The blue $100 bill is accepted everywhere, but the white $100 bill is often treated with caution. In bundles of 100 notes, you might lose the value of one note, sometimes more, if it’s the older version. This difference might seem small per transaction, but it adds up significantly in larger trades.”

The difference between the old white $100 bills and the new blue $100 bills is significant for larger transactions. According to traders, a bundle of 100 bills, equivalent to $10,000, can have a price difference of around 100,000 Iraqi dinars, which is roughly $77 USD. This discrepancy shows how the market favors the newer blue notes even for substantial sums.

The preference for blue notes is said to have originated in Turkey and China, where traders reportedly reject older notes or accept them only at a discounted rate.

“Even in Baghdad now, some businesses do not accept the white bills,” a local market participant said. “The problem is not that the bills are counterfeit; all of them are genuine U.S. currency. It’s simply a matter of market perception.”

K24 TV report in Kurdish – YT

International transactions further amplify the issue. Traders conducting business with Turkey or China claim that their partners almost always insist on receiving the new blue bills. White bills are either refused or traded at lower rates.

“In our exchanges with China and Turkey, the old white $100 is practically useless. They want the blue notes, otherwise we lose money,” said a local money exchanger.

The impact extends to ordinary citizens. In some cases, individuals repaying loans or transferring large sums find that their white notes are accepted at a discount.

“Sometimes, to complete a transaction smoothly, people have to split their money, half blue and half white,” explained another trader. Even smaller denominations of U.S. dollars, like $50 notes, can have slight differences in value depending on whether they are old or new.

Local traders emphasize that the problem is largely specific to Kurdistan, particularly Erbil. In Baghdad, both versions of the $100 bill are generally accepted at the same rate.

“Here in Erbil, banks and private money exchangers often offer less for white bills. It’s a market-driven issue rather than a legal one,” a trader noted.

Officials at the Central Bank of Iraq maintain that all U.S. currency is valid and there is no legal restriction against using the older notes. Nevertheless, enforcement at local branches and private exchanges remains inconsistent.

A money trader at Erbil’s currency market, Iraqi Kurdistan, September 2025. Photo: Screengrab/K24 TV/YT/via iKurd.net

“Legally, a hundred dollars is a hundred dollars, whether blue or white,” said a market expert. “But the reality on the ground is different. Traders are reacting to the preferences of their foreign partners and local customers.”

Residents also explained that even minor transactions are affected by the discrepancy. One citizen noted that loans or personal exchanges sometimes require careful splitting of bills.

“If someone comes to pay me with a hundred-dollar bill, I check whether it’s blue or white. Sometimes we negotiate, and if it’s old, I accept less or adjust with other bills. It’s complicated but necessary,” he said.

The issue has persisted for several months. Reports indicate that the discrepancy first became significant about six to seven months ago in Turkey and gradually affected neighboring regions, including Kurdistan.

Citizens say that even in day-to-day shopping or trading in smaller amounts, the older white bills are less desirable.

Despite these challenges, the currency market in Erbil remains relatively stable. Large amounts of U.S. dollars continue to circulate freely, and daily trading in the market involves significant sums, reportedly exceeding a billion dollars in cash transactions over time.

Traders continue to operate cautiously, selecting which notes to accept to avoid losses, while ordinary citizens adjust their transactions accordingly.

One market participant summed it up: “All the money is real, but the market prefers the new notes. In Erbil, if you have white bills, you have to be careful. Sometimes it’s half and half, sometimes you take less. The system is unofficial, but it works as long as people understand it.”

The situation highlights the influence of international trading practices on local markets and the practical challenges of handling currency in regions where informal preferences override official valuation.

For now, residents and traders in Erbil are navigating this unofficial system, balancing the use of old and new $100 bills to keep business flowing smoothly.

(With files from K24 video report)