We know that that Iraq is having a very difficult time paying September’s salaries. Remember that Iraq is still 95% socialist and so this means that 95% of the jobs are all still under the government and thus paid salaries by the government. This is the quagmire that Iraq has been trying to get itself out of since 2003 and can’t seem to manage to do it. It needs to move to a free-enterprise, private sector capitalist system and move this burden of salaries over to the private sector. This has not been done already not because they too don’t recognize the need but because of corruption.
However…times are changing in Iraq and the new prime minister and his cabinet are on a mission to fix this socialism to a capitalistic system. In fact, there is no other choice for Iraq as it is either “do or die” at this point. So, Iraq must move to a private sector and this will mean finally reinstating the dinar…We could very well see the reinstatement in January 2021 or maybe even sooner since we know they desperately need to pay October, November and December salaries too. Can they even wait until January 2021?