TNT:
Tishwash: Parliament discusses with the Minister of Finance the exchange rate and the price of a barrel of oil in the 2027 budget
Member of Parliament Ahmed Salem Al-Saadi announced on Tuesday that he will host Finance Minister Faleh Al-Sari to discuss the dollar exchange rate and the price of a barrel of oil adopted in the 2027 budget.
Al-Saadi told Al-Mada that “today we will host Finance Minister Falih Al-Sari, and the issue of the price of a barrel and the exchange rate of the dollar in the 2027 budget will be discussed within the Finance Committee and in the House of Representatives.”
He added that the discussion will include an agreement on the exchange rate and the price of a barrel of oil adopted in the budget, indicating that information and details regarding the results of the discussions will be announced later. link
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Tishwash: Parliament begins discussing budget items early
The Iraqi Parliament is intensifying its efforts to review the draft federal budget law before its official approval by the Cabinet. These efforts are spearheaded by an extensive parliamentary session today, Tuesday, with the Minister of Finance and senior ministry officials to discuss the details and key provisions of the draft, particularly allocations for contracts and salaries, the regularization of contract workers, and borrowing projects.
The session will also address ways to mitigate the fluctuating exchange rate and protect citizens’ purchasing power.
In this context, Riyadh al-Tamimi, a member of the parliamentary finance committee, confirmed that today’s meeting aims to develop a clear and early parliamentary understanding of the draft before its official submission to Parliament. He explained that the discussions will include legal questions and the mechanisms used in preparing the allocations. Meanwhile, committee member Ahmed al-Masari indicated that this session coincides with expectations that the draft will soon be presented to the Cabinet for a vote in its regular session today.
Article (11) of the Financial Management Law in force states: “The Council of Ministers shall discuss, approve and submit the draft federal general budget law to the House of Representatives before the middle of October of each year.”
In a related development, Faleh al-Khazali, head of the “Victorious” parliamentary bloc, presented a package of proposals aimed at maximizing state revenues by approximately ten trillion dinars per month and reducing financial waste. The proposals included selling government scrap and decommissioned assets, based on the law governing the sale and lease of state property, particularly the large quantities held by the Ministry of Defense, as well as imposing fees on foreign workers and directing the proceeds to the Industrial and Agricultural Banks.
The parliamentary vision also called for auditing and reviewing the partnership and operation contracts in the Ministries of Industry and Transport, turning the instructions for implementing government contracts into a binding law, and establishing a Supreme Council for Armament to keep armament deals away from partisan quotas.
In the course of reform, the Finance Committee discussed with a World Bank delegation on Monday the strengthening of non-oil revenues and the automation of the tax system, with a focus on reducing dependence on the Strait of Hormuz for exporting goods. link
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Tishwash: From line-item budgeting to performance-based budgeting: Parliamentary Finance Committee discusses reform with the World Bank
The parliamentary finance committee discussed on Monday with a World Bank delegation the financial situation and mechanisms for developing the budget and enhancing non-oil revenues .
A statement from the House of Representatives’ media office, received by “Mail,” stated that “the Parliamentary Finance Committee, headed by MP Uday Awad and with the attendance of a number of its members, hosted today, Monday, October 5, 2026, a delegation from the World Bank headed by Mr. Sandeep Mahajan, Regional Director of the Prosperity Sector in the Middle East, North Africa, Afghanistan and Pakistan, to discuss the financial situation, in addition to discussing mechanisms for the transition from an itemized budget to a program and performance budget .”
At the start of the meeting, the committee chairman welcomed the World Bank delegation, noting “the importance of finding opportunities to export goods through more than one outlet and not relying on the Strait of Hormuz, as well as moving towards maximizing non-oil revenues and working to achieve real automation in the tax system .”
The Finance Committee praised “the role played by the World Bank in supporting the committee and the Iraqi government in general, expressing its hope that this support will continue and that procedures related to financial and economic matters will be facilitated, in a way that contributes to shaping the country’s financial policy .”
For his part, the head of the World Bank delegation affirmed that the Iraqi government has a clear vision for implementing financial reforms, explaining that the budget is a very important tool for the government, in addition to the need to work on improving the financial situation in general and supplying the budget with revenues, pointing to the bank’s role in providing support and expertise, and the importance of building institutions capable of establishing advanced financial systems .
The committee discussed with the World Bank delegation “the mechanisms for transitioning from line-item budgeting to performance budgeting, and the mechanism for auditing data to ensure better performance through reliance on programs and performance, as well as dealing with spending units and financial allocations .”
The possibility of implementing a partial budget transition in stages, through its trial in a number of governorates and institutions, was also discussed, with emphasis on the need to increase non-oil revenues in a way that contributes to supporting the budget and achieving positive results .
Both sides affirmed their readiness to exchange experiences and follow developments in the financial sector, in order to support the move towards the right path, in addition to the importance of providing the necessary support to the Iraqi government and participating in establishing specialized training courses in program and performance budgeting link
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Tishwash: No session on Thursday… “Vacant Ministries” meeting today and “State Administration” meeting tomorrow
The Iraqi parliament has postponed a session scheduled for next Thursday to complete the cabinet formation until next week.
According to an informed source who spoke to Shafaq News Agency, the postponement came as a result of ongoing disagreements over the candidates for the ministries of Labor and Social Affairs, Youth and Sports, and Planning, Reconstruction and Housing.
The source explained that “the Kurdistan Democratic Party is insisting on nominating Rebaz Hamlan for the Ministry of Reconstruction and Housing, as He will put forward his party’s candidate for the position of fourth deputy prime minister.”
According to the source, the coordination framework will hold a meeting today to discuss the issue of completing the government, while the State Administration Coalition will also hold a meeting tomorrow to discuss the same issue.
In this context, MP Badr Al-Fahhal stated that the political blocs have nominated names to fill the vacant ministerial portfolios, and that the ball is now in Prime Minister Ali Al-Zidi’s court to choose the candidates and send their names to the House of Representatives for a vote and to grant them confidence.
According to Al-Fahl, who spoke to Shafaq News Agency, there is no specific date yet for holding a session of the House of Representatives to grant confidence to the candidates.
An informed source revealed to Shafaq News Agency yesterday, Sunday, that the State of Law Coalition, led by Nouri al-Maliki, officially nominated Yasser Sakheel for the Ministry of Interior portfolio, and Haider Bahaa, who currently serves as Dean of the College of Pharmacy at Al-Nahrain University, for the Ministry of Higher Education portfolio.
The leaders of the coordination framework will meet this evening, in the presence of the Prime Minister and the Minister of Finance, to discuss the vote on completing the government cabinet and next year’s budget. link
Tishwash: Currency spokesperson Denies Dinar Devaluation Rumors Amid Market Panic
At a glance
Market Spokesperson Jabar Goran clarified that changing the exchange rate is an exclusive constitutional power of the Central Bank of Iraq, not the Ministry of Finance.
Contacts within the Parliamentary Finance Committee confirmed that the proposal is entirely speculative and has not been drafted into any formal bill.
Goran labeled a devaluation as “suicidal,” warning it would devastate living standards.
Unverified reports originating from an Iraqi MP claiming a proposed devaluation from 132,000 to 150,000 IQD per $100 triggered a massive parallel market panic.
The Slemani Currency Exchange Market spokesperson warned that recent unverified rumors of an official dinar devaluation to 150,000 IQD per $100 are triggering severe parallel market panic and volatility, labeling any such policy move as a “suicidal decision” for the economy.
Key Statements and Focus Area
Currency Market spokesperson Jabar Goran stated that the instability in local exchange markets “was triggered by statements from an Iraqi Member of Parliament claiming that the Minister of Finance discussed adjusting the exchange rate—devaluing it from 132,000 dinars to 150,000 dinars [per $100].”
“This inherently created a highly negative reflection on the market and caused a massive panic. However, this proposal has neither become a draft bill nor has it been presented to the members of the Parliamentary Finance Committee,” Goran affirmed.
A currency trader told Channel8 that “any rumor circulated in the market—whether accurate or inaccurate, and whether it drives up demand or supply—directly impacts individuals and traders alike.”
Briefing reporters in Slemani on Monday, including Channel8, spokesperson Goran stated that according to the constitution and the regulations of the Central Bank of Iraq, “these powers reside exclusively with the Central Bank.”
He noted that decisions of this nature require comprehensive analysis by Central Bank experts, adding, “a decision like this is never made haphazardly.”
“This would be a suicidal decision,” he stressed, adding that it would create a severe negative impact on the market and drastically lower the citizens’ standard of living.
“In my personal opinion, this decision will not be implemented,” he reaffirmed.
The spokesperson highlighted that “at a time when customs tariffs have already been increased on the public due to the ASYCUDA system, coming along and devaluing the currency on top of that would ultimately have a devastating impact on people’s lives.”
Goran confirmed that according to sources within the Parliamentary Finance Committee and the Central Bank, the exchange rate adjustment remains entirely speculative and has not been drafted into a formal legislative proposal.
Answering questions regarding the motives behind the circulated reports, he said that “the intention of the parliamentarians who circulated this news is either to gauge the public’s reaction first or, in one way or another, to manipulate the market.”
He called on media outlets not to broadcast this news until the source has been officially verified.
Meanwhile, a currency trader noted that the market witnessed intense volatility as the dollar rate surged past 160,000 IQD before retracing to 159,000 IQD, warning that the instability will persist until the Central Bank officially refutes the devaluation rumors.
He further said that the ASYCUDA system fails to adequately facilitate trade by significantly delaying dollar allocations for merchants importing essential goods, forcing them to purchase dollars directly from the parallel market and thereby driving up demand.
FYI
The instability in the parallel market across the Kurdistan Region comes as Iraqi Parliamentary Finance Committee member Dilan Ghafoor revealed that the draft 2027 budget proposes setting the exchange rate at 150,000 IQD per $100.
Lawmaker Ghafoor explained that this fiscal measure, developed by the Ministry of Finance, aims to completely eliminate the gap between official and parallel trading figures by aligning both rates at the 150,000 dinar threshold.
She added that while a principal agreement has been included in the initial budget draft to inject an additional 20 trillion dinars into state revenues, the adjustment is not yet final as it still requires formal approval and votes from both the Council of Ministers and Parliament.
The Central Bank of Iraq (CBI) has not issued any official statement regarding the matter so far.
However, the apex bank has previously and repeatedly reaffirmed its steadfast commitment to maintaining the official exchange rate at 1,320 IQD per dollar without any alterations. link
