Thursday Iraq News Posted by Tishwash at TNT 10-8-2026
TNT:
Tishwash: Al-Masoudi: Al-Zaidi gave the green light to American companies to take control of energy projects.
Former Member of Parliament Riyadh al-Masoudi asserted on Thursday that Prime Minister Ali Faleh al-Zaidi has given American companies the green light to completely control energy projects in Iraq, without any restrictions or conditions.
Al- Masoudi told the Information Agency, "Prime Minister Ali Faleh al-Zaidi is merely a listener and executor of Trump and his administration's directives. He is the weakest link in implementing Washington's policies, even though they are not in the interest of the Iraqi people. Moreover, al-Zaidi has given American companies the green light to completely control energy projects and other vital projects without any restrictions or conditions."
He added, "The country's economic and security policies remain weak due to American interference in internal affairs, in addition to the weakness of the Iraqi negotiator, al-Zaidi, in dealing with issues that affect the country's sovereignty." He further stated, "Al-Zaidi has not achieved any notable accomplishments, and all the signed agreements benefit America, not the Iraqi people." link
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Tishwash: One day after the exchange rate adjustment decision... A source at the Central Bank of Iraq told the Iraq Observer: We are monitoring every detail of market activity, curbing speculation, and continuing to bolster banks' dollar reserves to meet their needs.
A source at the Central Bank of Iraq stated that the bank's procedures to bolster banks' reserves to meet their import financing needs are ongoing.
Speaking to Iraq Observer one day after the exchange rate adjustment, the source added that the bank is closely monitoring all market developments and is committed to curbing speculation to achieve a fair dollar exchange rate in the Iraqi market, thus protecting the rights of Iraqi citizens and strengthening the value of the Iraqi dinar.
The source concluded by reassuring all citizens, business owners, and merchants that the financial situation in the country is under control and that dollars are available in all Iraqi banks to meet the import needs of traders. link
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Tishwash: Financial advisor: Adjusting the exchange rate is a precautionary measure to protect economic stability.
The Prime Minister's Financial Advisor, Mazhar Muhammad Salih, confirmed on Wednesday that the adjustment to the dinar's exchange rate is part of precautionary measures aimed at protecting economic, financial, and monetary stability. He noted that financing for foreign trade is proceeding regularly and stably.
Salih stated, "The exchange rate of the Iraqi dinar against the dollar and other foreign currencies represents the dinar's external value, and therefore its stability is closely linked to the availability of foreign currency and the economy's ability to finance foreign trade needs."
He added, "The potential repercussions of regional and international crises, particularly the effects of war and unrest that could impact oil exports through the Strait of Hormuz, and their impact on oil revenues, the general budget, and foreign currency inflows, necessitate a precautionary and well-considered approach."
He clarified that "the measures taken do not indicate any imbalance in the economic situation, but rather are part of proactive safeguards to protect economic, financial, and monetary stability, in anticipation of any developments that might affect the state's foreign currency reserves or its ability to finance foreign trade and public spending."
He pointed out that “monetary policy works to manage the exchange market and maintain the smooth flow of foreign currency, ensuring the continued and stable financing of foreign trade.” Meanwhile, fiscal policy works to absorb some of the potential effects of external shocks through balanced management of public spending, revenues, fees, taxes, and government subsidies.
Saleh explained that “customs and tax measures are part of the precautionary system and are used judiciously to regulate imports, enhance public revenues, and rationalize the use of foreign currency, without aiming to increase the burden on citizens or cause unjustified price hikes.”
He affirmed that “the general budget possesses important tools to protect internal stability through continued spending on food, medicine, fuel, and essential services.” He noted that government subsidies, in addition to their social function, represent an economic tool for absorbing shocks and maintaining price stability and domestic demand.
Saleh emphasized that the financial, customs, and tax measures associated with the current phase aim to strengthen the state’s ability to confront any potential decline in oil revenues or foreign currency inflows, maintain the general budget’s ability to meet its obligations, and protect the stability of the domestic market.
He explained that “these measures are not intended to cause a sudden change in the exchange rate or to burden society with the cost of the crisis. Rather, they aim to hedge against these challenges and build a financial and monetary safety net that enables the Iraqi economy to cope with exceptional circumstances, while continuing to provide essential goods and services and maintaining purchasing power and internal stability.”
He pointed out that the strength of the economy in such circumstances is not measured solely by the size of its resources, but also by its ability to manage shocks before their full effects are felt. He emphasized that the integration of monetary and fiscal policy, exchange rate procedures, customs, taxes, spending, and subsidies represents a formula for protecting the economy and citizens from the repercussions of any external disruption in oil markets or international trade link
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Tishwash: Warnings of a third exchange rate adjustment... and the Central Bank's capitulation to the Ministry of Finance
Iraq is heading towards a new reduction in the value of the dinar against the dollar to cover the budget deficit, in a move that will be the third adjustment to the exchange rate after the December 2020 adjustment (when the dinar was reduced to 1450) and the February 2023 adjustment (when it was raised to 1310), amid political and economic warnings against the Central Bank “submitting” to the wishes of the Ministry of Finance.
Former MP Majid Shenkali said in a post seen by 964 Network that the leaks confirm the trend towards changing the exchange rate to cover the budget deficit at a time when the government continues to expand with appointments and promotions, describing this trend as “complete disconnect from reality, financially and politically” in light of rapid regional and international developments.
For his part, economist Nabil Al-Marsoumi indicated that the Central Bank may again yield and agree to a third amendment if the financial authority decides to do so, explaining that despite the bank’s absolute powers under its law, it was previously forced to abandon its opposition under pressure from the Ministry of Finance in 2020, before agreeing to the second amendment in 2023.
These moves come amid a widening gap between the official rate set at 131,000 dinars per 100 dollars and the parallel market rate, which has broken the 160,000 mark, prompting calls to amend the official rate in the budget tables to control the growing financial deficit. link
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Tishwash: Parliament will have a say in amending the exchange rate.
MP Ibtisam Al-Hilali confirmed on Wednesday (October 7, 2026) that the House of Representatives will have an opinion on amending the exchange rate in the budget law in consultation with the government to control the dollar in the black market, following the government’s sudden decision to change the official rate, stressing her rejection of the decision and warning of its direct repercussions on prices and the livelihood of citizens.
In a statement received by 964 Network , Al-Hilali expressed her rejection of “the Cabinet’s decision to change the exchange rate of the dollar against the Iraqi dinar, noting that this decision will affect the Iraqi citizen and market.”
Al-Hilali said, “We were surprised by the Cabinet’s decision to change and raise the exchange rate of the dollar against the Iraqi dinar, which has repercussions and a direct impact on the Iraqi economy and market.”
She added, “We reject this decision. If the government wanted to address the financial crisis, it should have changed the exchange rate to 1400 dinars per dollar or less to control the market and prevent it from affecting food prices, which directly impacts citizens.”
Al-Hilali explained that “the House of Representatives will have an opinion on changing the exchange rate in the budget law, in consultation with the government, to control the dollar exchange rate in the black market.” link