The Central Bank of Iraq resolves the controversy surrounding the suspension of dollar supplies to travelers.
The Central Bank of Iraq denied, on Sunday evening, the veracity of circulating news regarding stopping the supply of dollars to travelers at the official exchange rate of 1,320 dinars per dollar .
The bank stated in a statement received by Shafaq News Agency that “the process of supplying travelers with dollars is carried out regularly through an advanced electronic system, supervised by approved banks and exchange companies at airports, ensuring that foreign currency reaches those entitled to it through a transparent and rapid mechanism.”
The statement indicated that “the new mechanisms have facilitated travelers’ access to dollars and reduced the negative phenomena that had previously exploited this process by speculators.”
For his part, Diaa Al-Taie, head of the founding team of the Iraqi Money Changers Syndicate, denied that dollar sales to travelers at Iraqi airports had stopped.
Al-Taie told Shafaq News Agency, “The dollar-selling platform for travelers is operating normally so far, and there are no disruptions at any airports.”
Some social media platforms circulated news that dollar-selling platforms had stopped serving travelers, sparking fear and astonishment among Iraqis.
The Central Bank announces reform plans aimed at modernizing the Iraqi banking sector.
The Central Bank of Iraq announced, on Monday, a comprehensive reform project for the private banking sector, while pointing out the details of the reform steps to build a solid, modern, and flexible banking sector.
A statement from the Central Bank, received by Al Furat News, stated that, “With the full support of the government and in cooperation with Oliver Wyman Consulting, the Central Bank of Iraq has unveiled reform plans aimed at modernizing the Iraqi private banking sector and building a sound, modern, and flexible banking sector that drives economic growth, enhances financial inclusion, and achieves stimulating and sustainable returns for shareholders.”
He added, “This plan is the result of joint efforts between the Central Bank of Iraq, the government, and the private banking sector, in cooperation with Oliver Wyman Consulting. Its success depends on the active participation and cooperation of all stakeholders.”
He pointed out that “the bank and the government will lead projects aimed at modernizing the sector and meeting the evolving needs of a rapidly growing economy. These projects focus on three objectives: enhancing and deepening financial inclusion in Iraq; increasing the efficiency and productivity of the private banking sector; and creating a fair and healthy competitive environment in the market while enhancing the sector’s resilience and ability to withstand risks.”
He explained that “this project will contribute to enhancing the protection of depositors and creditors, along with financial education campaigns to restore confidence in dealing with banks. The base of financial inclusion will also be expanded by establishing legal and regulatory frameworks and implementing them effectively, with the aim of enhancing access to services.”
He continued: “Payment systems will also be modernized to facilitate efficient and reliable transactions for both businesses and individuals. Financial infrastructure will also be expanded, including an increased network of branches and ATMs. Compliance procedures for anti-money laundering and counter-terrorism financing measures will also be streamlined and strengthened through the digital identity system.”
He pointed out that “a prerequisite for the success of the plans is requiring all banks to comply with a set of standards and actively participate in the sector’s transformation process. Banks must move towards business models that add value to the Iraqi economy, while providing distinguished services to customers, ensuring their financial stability, and combating fraud and financial crime.”
He added, “The main banking standards to be implemented are divided into four main categories:
1. Ownership and governance structure:
– Setting a maximum ownership limit to prevent excessive control (concentration) by any single entity or related parties.
– Ensure the existence of competent and independent boards of directors, with the application of suitability tests for all key leadership positions.
– Conducting intensive due diligence on all major shareholders.
2. Sustainability of the business model:
Requiring banks to adopt sustainable and viable business models by submitting detailed, consistent business plans, strategic plans, financial forecasts, organizational structure, technology implementation plans, and operations management plans.
– Ensuring that key services and products align with market needs to support the Iraqi economy and citizens.
3. Financial metrics:
Maintaining capital adequacy and liquidity ratios in line with global best practices to ensure banks’ resilience in the face of financial crises.
4. Risks and Regulatory Compliance:
– Keeping pace with global best practices in the field of compliance, including comprehensive measures to combat money laundering and terrorist financing, to ensure the protection of the sector from financial crimes.
– Enhancing transparency in reporting and auditing by accredited auditors to reduce conflicts of interest, including transactions with related parties.
The bank confirmed, according to the statement, that “the reform process will be a multi-stage journey, during which private banks will be assessed for their compliance with the required standards at various stages of the reform process. The first evaluation cycle is expected to begin in the first quarter of 2026.”
He pointed out that “in the coming months, the Central Bank of Iraq will share with the private banking sector detailed criteria and timelines for implementing the reform process, in official circulars. It will also work to activate support channels and hold technical assistance workshops to ensure readiness before the evaluation process begins.”
He added: “All licensed private banks will also be asked to formally confirm their participation in the reform process. The Central Bank of Iraq is fully committed to achieving this transformation by working closely with all relevant parties to pave the way for a strong and inclusive financial system.”
An economist reveals the extent to which Iraq has been affected by US tariffs.
Economist Diaa Al-Mohsen revealed the extent to which Iraq has been affected by the tariffs imposed by US President Donald Trump on a number of countries, highlighting the importance of finding alternative markets to mitigate any potential price increases.
Al-Mohsen told Al-Maalouma, “US President Donald Trump has imposed customs duties on several countries. As for Iraq, exports do not exceed $7 billion in oil and $400 million in dates annually.”
He added, “Oil exports to the US are tax-exempt, so customs duties will only be imposed on date exports, estimated at $432 million, with a duty of approximately $70 million.”
He explained that “there is an impact on the price level in the Iraqi market, but Iraqi traders have alternatives they can resort to in order to import goods from China and other countries, and work to find alternative outlets for oil to support the budget with revenues.”
Al-Sudani: The three-year budget laid out a long-term financial plan that contributed to achieving the goals.
Prime Minister Mohammed Shia al-Sudani affirmed on Monday that the three-year budget sets out a long-term financial plan that has contributed to achieving development goals. He also expressed the government’s readiness to support all local and international entities, institutions, and companies to develop the banking sector.
The Prime Minister’s media office stated in a statement received by Al-Maalouma Agency that “Prime Minister Mohammed Shia al-Sudani sponsored the Iraqi Banking Sector Reform Conference,” appreciating “all the efforts that contributed to holding this conference, including its visions and ideas for developing the Iraqi banking sector, and presenting ideas for achieving sustainable development, strengthening Iraq’s economic standing, and its regional and international role.”
According to the statement, the Prime Minister praised “the ongoing efforts of the Central Bank, banks, and task forces from international and local consulting firms to strengthen and develop the Iraqi financial and banking sector.”
He added, “The government assumed responsibility in a complex economic context, requiring measures to achieve stability and ensure growth.” He pointed to “the achievements made in the financial, banking, and economic fields, which represented positive steps toward establishing a solid foundation for development and investing in stability.”
He added, “The government has prepared a three-year budget that includes allocating resources to various vital sectors such as health, education, and infrastructure,” noting that “the three-year budget has enabled the development of a long-term financial plan that will contribute to achieving the state’s development and strategic goals.”
He continued, “The government has worked to maximize revenues by improving the tax and customs system and enhancing non-oil revenues, which has contributed to reducing dependence on oil revenues.” He added, “We are working to fully automate customs through the ASYCUDA system, which is the United Nations’ Automated Customs Procedures System.”
He added, “Customs revenues increased by approximately 128%, while tax revenues increased by approximately 22%, which are higher than in previous years.” He explained that, “We have launched ambitious projects to reform the government banking system, ensuring increased capacity to provide financial services to individuals and companies.”
He pointed out that “over the past two years, several decisions were issued by the Council of Ministers to restructure the Rafidain, Rashid, Industrial, and Agricultural banks, through the assistance of a reputable international consulting firm,” adding that “we have worked to strengthen the infrastructure for electronic payments and trading by enhancing systems and protocols to facilitate electronic payments across various sectors.”
He pointed out that “the government has established partnerships with the best financial technology companies to provide innovative payment solutions, with the aim of enhancing the efficiency of the financial system,” stressing that “the financial inclusion rate has reached more than 40%, compared to the rate two years ago, which did not exceed 10%, a fact commended by international organizations such as the World Bank and the International Monetary Fund.”
He continued, “Laws related to e-commerce and payments have been updated, and awareness campaigns have been organized for citizens on the benefits of electronic payments, which has strengthened the culture of digital payments in society.” He noted that “we have provided support to small and medium-sized enterprises by providing financing and resources, which has resulted in job creation and economic revitalization. Through the proposed initiatives, we seek to address current challenges in the banking sector and enhance its competitiveness on the international stage.”
The Prime Minister continued, “Banking reforms constitute an important pillar of the economic reforms adopted in the government’s program. The government, in cooperation with the Central Bank of Iraq, has embarked on a comprehensive initiative that includes an integrated strategic banking reform process.”
He explained that “the comprehensive reforms aim to keep pace with international developments, and contribute to opening partnerships and horizons of communication with the outside world in modern banking and financial transactions. We are ready to support all local and international entities, institutions and companies to develop the banking sector, enhance economic growth and achieve financial stability.” He added that “we have achieved tangible results and successes that have been reflected in the development of the banking sector through expanding projects in this field.”
The Central Bank of Iraq launches a comprehensive reform project to modernize the private banking sector.
The Central Bank of Iraq announced on Monday reform plans aimed at modernizing the Iraqi private banking sector and building a robust, modern, and flexible banking sector that will drive economic growth and enhance financial inclusion .
The bank stated in a statement received by Shafaq News Agency, “This plan is the result of joint efforts between the Central Bank of Iraq, the government, and the private banking sector, in cooperation with Oliver Wyman Consulting.” It indicated that “its success depends on the active participation and cooperation of all concerned parties, as the Central Bank of Iraq and the government will lead projects aimed at modernizing the sector and meeting the evolving needs of a rapidly growing economy.”
According to the statement, these projects focus on three objectives: enhancing and deepening financial inclusion in Iraq, raising the efficiency and productivity of the private banking sector, and creating a fair and healthy competitive environment in the market, while enhancing the sector’s flexibility and resilience to risks .
The statement added, “This project contributes to enhancing the protection of depositors and creditors, along with financial education campaigns to restore confidence in dealing with banks. The base of financial inclusion will also be expanded by establishing legal and regulatory frameworks and implementing them effectively. With the aim of enhancing access to services, payment systems will be updated to conduct efficient and reliable transactions for both companies and individuals. In addition, the financial infrastructure will be expanded, including increasing the network of branches and ATMs. Compliance procedures for anti-money laundering and countering the financing of terrorism measures will also be simplified and assessed through the digital identity system.”
The statement explained: “A key condition for the success of the plans is requiring all banks to comply with a set of standards and actively participate in the sector’s transformation process. Banks must move toward business models that add value to the Iraqi economy, while providing distinguished services to customers, ensuring their financial stability, and combating fraud and financial crime.”
According to the statement, the main banking standards to be applied to four main categories are divided into ownership structure and governance by setting a maximum ownership limit to prevent excessive control (concentration) by any single entity or related parties, ensuring the existence of competent and independent boards of directors, applying suitability tests (qualification) for all key leadership positions, in addition to conducting intensive due diligence processes on all major shareholders .
He pointed out that “the second criterion is the sustainability of the business model, which is also achieved by obligating banks to adopt sustainable and viable business models by submitting detailed, compatible business plans, strategic plans, financial forecasts, organizational structure, technology implementation plans, and operations management, and ensuring that key services and products are aligned with market needs to support the Iraqi economy and citizens. The third criterion can be found in financial metrics, which is maintaining capital adequacy and liquidity ratios in line with global best practices to ensure banks’ ability to withstand financial crises.”
The statement noted that the fourth standard focuses on risks and regulatory compliance, by keeping pace with global best practices in the field of compliance, including comprehensive measures to combat money laundering and terrorist financing, ensuring the sector’s protection from financial crimes, and enhancing transparency in reporting and auditing by accredited auditors to reduce conflicts of interest, including transactions with related parties .
The statement continued: “The reform process will be a multi-stage journey, during which private banks will be assessed for their compliance with the required standards at various stages of the reform process. The first assessment cycle is expected to begin in the first quarter of 2026.”
At the conclusion of the statement, the Central Bank affirmed that “the coming months will witness the Central Bank of Iraq sharing with the private banking sector detailed criteria and timetables, based on official circulars, for implementing the reform process. It will work to activate support channels and hold workshops to provide technical assistance to ensure their readiness before the start of the evaluation process. All licensed private banks will be asked to officially confirm their participation in the reform process. The Central Bank of Iraq is fully committed to achieving this transformation by working closely with all relevant parties to pave the way for a strong and comprehensive financial system.”
In this context, Prime Minister Mohammed Shia al-Sudani inaugurated the Iraqi Banking Sector Reform Conference today, Monday .
The Central Bank of Iraq sets regulations for the international use of bank cards
The Central Bank of Iraq issued a new circular containing regulations for the use of bank cards (credit, debit, and prepaid) outside Iraq. This circular aims to strengthen oversight of international transactions and ensure the safety of future growth in international settlement payments.
The circular, dated Monday, April 7, 2025, and received by Shafaq News Agency, stated that the new cards will be activated for use outside Iraq 30 days after their issuance date. The relevant authorities will later be provided with lists of relevant merchant categories (MCC Codes) within the specified controls.
The Central Bank confirmed the suspension of these rules effective April 20, 2020, with the possibility of reviewing them periodically to support the sustainable growth of international settlement payments.
He also noted that the current limits on international transactions involving prepaid cards, whether issued by banks or payment service companies, will remain in effect.
On the other hand, the circular clarified that travelers will continue to receive their foreign currency (dollars) at the official Central Bank rate, in accordance with the procedures adopted within the current e-governance system.
The bank confirmed in its circular that the new limits aim to regulate the use of payment cards issued by Iraqi banks, including debit and credit cards, according to the following categories:
Retirees: $10,000 per month or equivalent.
Travel: $20,000 per month or equivalent, including airfare, hotel reservations, and car rentals.
Treatment outside Iraq: $50,000 per month or equivalent.
General uses outside Iraq: $5,000 per month or equivalent.
He added that the maximum limit for using merchant bank cards outside Iraq will be $20,000 per month or its equivalent.
He also indicated that the new cards (debit, credit, and prepaid) for international use will be activated 30 days after their issuance date, with these rules to be implemented starting April 8, 2025, and to be reviewed periodically to support the growth of international payments.
The bank explained that it will later provide the relevant authorities with the merchant category codes (MCC codes) associated with these regulations, while the current ceilings for prepaid cards issued by banks or payment service providers will remain in effect.
The Central Bank sent a copy of the circular to a number of entities, including the Banking Supervision Department, the Non-Banking Financial Institutions Supervision Directorate, government and private banks, branches of foreign banks operating in Iraq, and electronic payment service companies, urging them to adhere to the aforementioned regulations.
Al-Sudani announces a 128% increase in customs revenues and a 22% increase in tax revenues.
Iraqi Prime Minister Mohammed Shia al-Sudani announced on Monday that customs revenues increased by about 128% and tax revenues by about 22%, higher than previous years. He also expressed the government’s readiness to support all local and international entities, institutions, and companies to develop the banking sector and achieve financial stability.
This came during his sponsorship of the Iraqi Banking Sector Reform Conference, where Al-Sudani commended the efforts that contributed to the conference, commending the visions and ideas for developing the Iraqi banking sector, and the pursuit of sustainable development and strengthening Iraq’s economic standing regionally and internationally.
Al-Sudani also praised the efforts of the Central Bank, banks, and teams from international and local consulting firms, according to a statement issued by his media office and received by Shafak News Agency.
Al-Sudani noted that the government assumed responsibility during a complex economic climate that required measures to ensure growth. He reviewed key achievements in the financial and economic sectors, stating that the three-year budget allowed for the development of a long-term financial plan to secure resources for vital sectors, including improvements to the tax and customs systems and maximization of non-oil revenues.
He added that customs revenues increased by 128%, and tax revenues by 22%, noting the launch of ambitious projects to reform the government banking system and enhance its service delivery capabilities.
Al-Sudani explained that the government had issued decisions to restructure the Rafidain, Rashid, Industrial, and Agricultural banks in cooperation with an international consulting firm. The government also strengthened the electronic payment infrastructure and established partnerships with financial technology companies.
He explained that financial inclusion has exceeded 40%, compared to 10% two years ago, with the updating of e-commerce and payments laws and the organization of awareness campaigns on digital payments.
He pointed to the support for small and medium-sized enterprises, which contributes to job creation, stressing that banking reforms constitute a fundamental pillar of the government’s program, including a partnership with the Central Bank on strategic reforms aimed at keeping pace with international developments and expanding banking partnerships.
Al-Sudani concluded by affirming the government’s readiness to support all stakeholders, achieving tangible results in developing the banking sector and expanding its projects.
The Central Bank of Iraq announced reform plans on Monday aimed at modernizing the Iraqi private banking sector and building a robust, modern, and resilient banking sector that will drive economic growth and enhance financial inclusion.
Iraq’s gold reserves decline after it sells bullion on the local market.
The World Gold Council announced on Sunday that Iraq’s gold reserves decreased by 100 kilograms.
According to the latest schedule published by the Council in April, seen by Shafaq News Agency, “Iraq’s gold holdings decreased by 100 kilograms, reaching 162.6 tons, down from 162.7 tons last month. This represents 14.5% of its remaining reserves.”
He added, “Iraq maintained its 28th place on the list out of 100 countries included in the table,” noting that “Iraq came in fourth place among Arab countries after Saudi Arabia, Lebanon, and Algeria.”
The Council also noted that “the United States of America tops the list of countries with the largest gold holdings in the world, with 8,133,000 tons, followed by Germany with 3,351,000 tons, then Italy with 2,451,000 tons, while Iceland comes in last with two tons.”
The 100-kilogram shortage in Iraq’s gold reserves is due to its domestic use and sale in the form of gold bullion, according to Shafaq News Agency’s economic correspondent.
It’s worth noting that the World Gold Council is headquartered in the United Kingdom and possesses extensive experience and in-depth knowledge of the factors driving market change. Its members comprise some of the world’s largest and most advanced gold mining companies.
