Iraq Economic News and Points To Ponder Thursday Evening 6-18-26
The Coordination Framework Empowers Al-Zaydi To Implement The Barak Plan And Aspires To Greater Positive Cooperation In The Security And Economic Fields
latest news Thursday June 18, 2026 Baghdad - One News Informed sources within the coordination framework revealed that Prime Minister Ali al-Zaidi presented details regarding the roadmap of US President's envoy Tom Barak for resolving the factions, and taking broader measures that include cooperation in the fields of security and the economy.
According to the sources, Al-Zaydi convinced the leaders of the coordination committee of the proposals presented by Barak, which include economic and investment partnerships, which contribute to ending the difficult crises in the electricity file and others.
The sources revealed that a high-level committee will soon be formed, comprising ministers and some experts, to study the proposed partnerships and investment projects that Barak carried, in order to prepare a guarantee paper, in favor of Iraq, that secures for it gains to end its crises in the financial, environmental and energy files.
https://1news-iq.net/الإطار-التنسيقي-يخول-الزيدي-تنفيذ-خري/
Sources Told Lawan News That Ali Al-Alaq Has Been Relieved Of His Position As Governor Of The Central Bank And Nizar Nasser Has Been Appointed In His Place.
https://1news-iq.net/مصادر-لوان-نيوز-إعفاء-علي-العلاق-من-منص/
Sources To “One News”: A New Generation Of Security Leaders In July After The End Of Extensions And The Redistribution Of Positions
latest news Thursday, June 18, 2026 Baghdad - One News - High-ranking security sources told One News that the plan to restructure the military and security establishment led by Al-Zaydi aims to pave the way for young leaders to assume senior positions in the Ministries of Defense and Interior.
The sources explained that the retirement of a large number of officers with the rank of lieutenant general will be accompanied by a process of selecting replacements, according to the criteria of competence, experience and integrity, far from the principle of seniority alone.
They added that the government views the next stage as an opportunity to modernize the security leadership system and introduce more flexible administrative and field methods, in line with the requirements of modern security and the changing challenges facing the country. https://1news-iq.net/مصادر-لـوان-نيوز-جيل-جديد-من-القيادات/
Financial Distress And Patchwork Solutions... Will The Borrowing Crisis And Budget Deficit Trigger The Exposure Of Inherited Corruption Files?
Today 20:19 Information / Report.. The country's financial reality faces a major challenge that is the most important and difficult test to assess the success or failure of the Al-Zaidi government, at a time when government solutions have begun to move towards the option of “borrowing”, amid warnings that it is a patchwork solution that does not address the roots of the financial crisis left by the repercussions of the war in the region and the closure of the Strait of Hormuz.
With the accumulation of the financial crisis, another legislative and economic challenge emerges related to drafting the current year's budget and sending it to Parliament, which observers see as difficult to achieve given the limited time, especially since the government has not yet taken any actual steps towards preparing the budget, amid calls from specialists to rely on immediate solutions by approving a small emergency budget for the remaining months of the year.
In this context, economist Basil al-Ubaidi told Al-Maalomah that "the budget process has already passed. Iraq is now teetering on the brink of collapse at the end of June, and the bureaucratic procedures for approving the budget will inevitably hinder and delay it until next September." He added that "a budget approved for only three months of a fiscal year that is nearing its end is worthless."
Al-Ubaidi pointed out that “preparing the budget depends primarily on estimating revenues and expenditures, which is difficult to achieve at the present time, given the significant decline in the country’s revenues as a result of the repercussions of the regional crisis and the disruption of export traffic through the Strait of Hormuz,” indicating that “Iraq needs a period of no less than two months to restore some degree of financial stability.”
In turn, current MP Mukhtar al-Moussawi told Al-Maalouma that “the success of the current government depends primarily on the path of combating corruption, which has caused a large financial deficit in recent years that has become evident in recent months.”
He added that "there is pressure to re-evaluate all projects implemented in the previous government, especially given indications of significant price and cost overruns, which raises many questions," noting that opening a broad investigation into previous projects would be an important step in combating corruption and revealing the truth about the situation.
Discussions have recently intensified in Iraqi circles regarding the current government's ability to address the legacy of the previous administration and identify the sources of failure and corruption that plunged the country into economic crisis. This is particularly concerning given the absence of clear plans and visions, a deficiency that became even more apparent with recent regional developments and the closure of the Strait of Hormuz.
Despite this anxiety, Iraqis seeing a glimmer of hope for a return to normalcy after months of drought and financial stagnation that have ravaged the markets. (End of page 25)
Economist: The 2026 Budget Train Has Left The Station... The Government Is Patching Up The Deficit By Borrowing.
Information / Special.. Economic expert Basil Al-Obaidi confirmed today, Thursday, that insisting on preparing and approving the general budget at this time is “a form of absurdity” and has no benefit whatsoever, at a time when the country’s financial affairs are being managed by “patchwork” and borrowing from banks.
Al-Ubaidi told Al-Maalomah that "the train has already left the station. Iraq is now staggering at the end of the sixth month, and the bureaucratic processes involved in approving the budget will inevitably hinder and delay it until next September." He added that "a budget approved for only three months of a fiscal year that is nearing its end is worthless."
He added, "The preparation of the budget depends primarily on estimating revenues and expenditures, which is difficult to achieve at the present time, given the significant decline in the country's revenues as a result of the repercussions of the regional crisis and the disruption of export traffic through the Strait of Hormuz."
Al-Obeidi pointed out that "Iraq needs a period of no less than two months to restore some degree of financial stability, pending an improvement in oil revenues and the return of exports to their normal levels, in the event that the Strait of Hormuz is reopened and all the technical and logistical requirements related to pumping Iraqi crude oil to the ports and export outlets are completed."
The economist warned that "the anticipated budget will turn into an arena for political bidding, where it will be bombarded with explosive demands that a short-term budget cannot accommodate, starting with a flood of appointments, bonuses and patchwork, and ending with a conflict over projects."
Al-Ubaidi called on the Cabinet to “preemptively address the crisis and prepare a draft law for an exceptional operational budget for emergencies, to manage the remainder of the year, while postponing the comprehensive budget to 2027,” stressing that the upcoming budget must be “real and completely different from its predecessors, which existed only on paper.” (End of page 25)
The Central Bank Of Iraq: The Document Circulating Regarding A Request To Change The Dinar's Exchange Rate Is Forged.
The Central Bank of Iraq categorically denies the circulating reports regarding any intention to change the exchange rate of the Iraqi dinar.
In the same context, the Central Bank warned against engaging with misleading news, revealing that it had detected a forged document circulating online that falsely claimed the Prime Minister's office had submitted a request to the Finance Committee of the Council of Representatives to change the exchange rate to 1,600 dinars per US dollar.
The Bank urged media outlets and citizens to exercise caution and rely on official and exclusive sources of information issued by the Central Bank of Iraq. Baghdad - Media Office, June 17, 2026 https://cbi.iq/news/view/3225