Iraq Economic News and Points To Ponder Tuesday Afternoon 9-22-26
CBI currency sales drop $18.5B in eight months
2026-09-22 Shafaq News- Baghdad The Central Bank of Iraq's (CBI) foreign currency sales fell 34.5% year-on-year to about $35.27 billion in the first eight months of 2026, down from roughly $53.83 billion during the same period in 2025, according to CBI data. The CBI sold about $3.697 billion in foreign currency in August, including $270 million in cash sales and $3.427 billion to boost banks' balances abroad.
Foreign currency sales reached $5.662 billion in July and $5.857 billion in June, compared with $5.092 billion in May, $4.559 billion in April, $3.388 billion in March, $4.133 billion in February and $2.883 billion in January.
https://shafaq.com/en/Economy/CBI-currency-sales-drop-18-5B-in-eight-months
Saudi East-West Pipeline Resumes Operations
2026-09-22 Shafaq News- Riyadh Saudi Arabia on Tuesday restarted its East-West oil pipeline after a nine-day shutdown caused by drone attacks, restoring a key route used to bypass disruptions in the Strait of Hormuz, three sources briefed on the matter told Reuters.
The pipeline was initially operating at a low rate, two sources said, while Saudi Aramco was seeking to restore flows to about 4 million barrels per day (bpd), around 4% of global oil supply. One security source estimated that a full resumption could take weeks.
The September 13 attacks had shut the pipeline and halted crude loadings at the Red Sea port of Yanbu. Since oil flows through the Strait of Hormuz were disrupted following the US-Israeli war on Iran, Saudi Arabia has used the route to move about 4 million bpd to Yanbu.
Crude supply to Aramco’s Red Sea refineries will also resume, with a cargo bound for China scheduled to load at Yanbu later on Tuesday. Tankers were being moved to Egypt’s Port Said for ship-to-ship transfers and also to Sidi Kerir ahead of renewed Saudi loadings, two trading sources told the agency.
The restart helped drive selling in global oil markets, traders said, with Brent crude futures falling more than $2 a barrel to their lowest level since September 8.
https://shafaq.com/en/Economy/Saudi-East-West-pipeline-resumes-operations
Oil Climbs As Traders Await US-Iran Developments
2026-09-22 Shafaq News Oil prices gained for the first time in five sessions on Tuesday as investors awaited developments on potential US-Iran talks at the United Nations General Assembly this week after more supplies emerged through the Strait of Hormuz over the weekend.
The Brent crude futures November contract rose $1.14, or 1.1%, to $101.48 a barrel at 0317 GMT. The WTI October contract, which expires on Tuesday, climbed 87 cents, or 0.9%, to $96.65 a barrel.
The more actively traded November contract was up 85 cents, or 0.9%, at $93.22 a barrel.
Tehran and Washington exchanged threats on Sunday, though US President Donald Trump said he would be open to meeting Iranian President Masoud Pezeshkian, who is expected to be in New York this week for the UN meeting.
"The move higher in WTI and the stronger open in Brent have the appearance of a typical short-covering bounce after the recent decline, rather than a fundamental shift," said Tim Waterer, chief market analyst at KCM Trade.
"Traders who were positioned for further downside are taking some risk off the table while the diplomatic narrative plays out."
Over the weekend, Iran also conveyed its conditions to mediators for re-engaging in negotiations, Al Jazeera reported, citing Iran's security chief, Mohsen Rezaei.
Waterer said oil prices were likely to remain range-bound and sensitive to headlines until there was either clear progress or a setback in diplomatic efforts between the US and Iran.
Middle East tensions remained elevated after Yemen's Iran-backed Houthis said they attacked Riyadh and a Saudi Aramco facility in Yanbu and stepped up efforts to cut off Saudi-backed forces from the Red Sea coast.
China has privately urged Tehran to help curb attacks by the Houthis, three Iranian sources said, after Saudi Arabia appealed to Beijing following a recent surge in the group's military operations.
Saudi Aramco has increased exports through the Strait of Hormuz after attacks on its East-West Pipeline forced it to halt some shipments through Yanbu. Around 14 million barrels of its crude oil were loaded on seven supertankers inside the Gulf on Sunday, tanker tracking data showed.
"Supply concerns are easing as shipments through the Strait of Hormuz reach a six-month high and Saudi Arabia works to restore its East-West pipeline...Crude implied volatility eased 3.3% to 50.39, although it remains historically elevated," said Saxo Bank analysts in a client note.
Separately, an armed group closed valve seven on Libya's Sharara crude pipeline to Zawiya port on Monday, resulting in a significant decline in production at the Sharara oilfield, Libya's National Oil Corporation said in a statement.
Production at the field has fallen by around 200,000 barrels per day and is currently between 100,000 and 105,000 bpd, two engineers at the field told Reuters. (Reuters)
https://shafaq.com/en/Economy/Oil-climbs-as-traders-await-US-Iran-developments
Basrah Crudes Slip Despite Global Benchmark Gains
2026-09-22 Shafaq News- Basrah Iraq’s Basrah crude prices remained above $90 a barrel on Tuesday, while global oil benchmarks moved higher.
Basrah Heavy stood at $90.27 a barrel, while Basrah Medium was priced at $93.57.
The two grades had each fallen $0.80 in their previous trading session, with Basrah Heavy down 0.88% and Basrah Medium 0.85%.
Global oil prices rose on Tuesday as investors awaited potential US-Iran talks at the UN General Assembly.
Brent crude climbed above $101 a barrel, while US West Texas Intermediate also gained in early trading.
https://shafaq.com/en/Economy/Basrah-crudes-slip-despite-global-benchmark-gains
IMF, World Bank Revise Debt Risk Assessments
2026-09-21 Shafaq News- Washington The International Monetary Fund (IMF) and World Bank are revising their debt assessment framework for low-income countries following its first review since 2017, with the updated system expected to take effect in the second half of 2027, the IMF said on Monday.
According to the IMF, debt risks have become more complex since the previous review, with debt levels rising in many low-income countries and governments increasingly borrowing from domestic and foreign sources on commercial terms.
The changes will sharpen the distinction between countries facing debt stress and those whose debt is considered unsustainable. They will also refine how debt-carrying capacity is measured and expand the thresholds and tools used to identify risks.
Greater attention will also be given to domestic debt and long-term pressures, including development needs and climate adaptation. The IMF said the changes should help governments assess how much fiscal space they have for investment while managing debt vulnerabilities.
Other measures include stronger stress tests and tools to assess the accuracy of economic forecasts. The framework will encourage countries to improve the coverage, transparency and reliability of public debt data.
IMF Executive Directors broadly supported the changes but called for clear guidance, communication and training before implementation. Most directors also backed temporarily withholding the probability thresholds and country-specific mechanical signals generated by a new model for assessing unsustainable public debt while the IMF gains experience with the methodology.
The review kept the harmonized discount rate used under the LIC-DSF and the IMF's Debt Limits Policy unchanged at 5%.
Introduced in 2005, the framework guides IMF and World Bank assessments of debt risks in low-income countries and informs lending, fiscal policy and public debt management. It underwent previous reviews in 2006, 2009, 2012 and 2017.
https://shafaq.com/en/Economy/IMF-World-Bank-revise-debt-risk-assessments
Iraq Is Preparing To Launch A Strategic Project For Steel Industries
Money and business Economy News — Baghdad The Ministry of Industry and Minerals announced on Tuesday the launch of the second phase of a strategic project for steel industries, with the aim of enhancing the production of rebar locally and providing multiple types and sizes of it to meet the needs of the local market.
The Director of the General Company for Steel Industries at the Ministry, Ahmed Hamed Zainuddin, said that "the rolling and continuous casting project for steel industries consists of two phases, the first of which includes the project of continuous arc casting, which completed the development and modernization of its production lines in accordance with the latest technologies and technological methods, during the month of May of 2024, which contributed to enhancing its operational capacities."
He added that "the said project currently produces 600 thousand tons per year of pallet, and is the primary and basic material for the operation of the rolling project, which he stressed that providing it locally will contribute to support the production chain and reduce the need to import raw materials in the rebar industry."
He pointed out that the second phase of the project, which will be opened soon, will allow the production of rebar with various measurements required in the local markets, starting from 8 to 44 mm, with a production capacity of about 400 thousand tons per year, as well as the production of about 200 thousand tons per year of industrial iron.
He stressed that "the project represents an important step in supporting the industrial sector and enhancing its ability to meet part of the local demand for iron products, as well as providing the market with a local product according to the required specifications, which enhances the presence of the national industry in the market and reduces dependence on imported products."
He pointed out that "the operation of the project in its various stages will not be limited to increasing local production, but will contribute to the revitalization of sectors related to the iron and steel industry," stressing that "the company is continuing to complete the technical and operational requirements of the project in preparation for the start of commercial production, in line with government plans to qualify and operate industrial projects and increase the production capacities of public companies."