Iraq Economic News and Points To Ponder Friday Morning 8-28-26
CBI Deposits Slide 5.6% In H1 2026
2026-08-27 Shafaq News- Baghdad Iraq’s total bank deposits fell by 6.19 trillion Iraqi dinars ($4.03B) in the first half of 2026, extending a decline that has taken deposits to their lowest level in recent years, Central Bank (CBI) data showed on Thursday.
Total deposits stood at 104.875 trillion Iraqi dinars ($68.30B) at the end of June, down 5.6% from 111.065 trillion dinars ($72.33B) at the end of 2025.
The decline followed a broader downward trend. Total deposits stood at 123.327 trillion dinars ($80.32B) at the end of 2024 and 133.499 trillion dinars ($86.94B) at the end of 2023.
Private-sector deposits made up the largest share at 49.964 trillion dinars ($32.54B) at the end of June 2026. Central government deposits reached 31.426 trillion dinars ($20.47B), while public institutions held 23.485 trillion dinars ($15.29B).
Cash credit contracted by 4.073 trillion dinars ($2.65B), falling 5.4% to 71.511 trillion dinars ($46.57B) at the end of June from 75.584 trillion dinars ($49.22B) at the end of 2025.
Credit extended to the private sector totaled 46.687 trillion dinars ($30.41B), while lending to the central government reached 22.419 trillion dinars ($14.60B). Public institutions received 2.405 trillion dinars ($1.57B) in credit.
Read more: Iraq’s private banks: Capital Growth and the structural credit gap
https://www.shafaq.com/en/Economy/CBI-deposits-slide-5-6-in-H1-2026
Iran Reports Continued Oil Sales Despite US Blockade
2026-08-27 Shafaq News- Tehran/ Doha Iran continues to sell and deliver oil despite the US naval blockade, Oil Minister Mohsen Paknejad told reporters on Thursday, acknowledging that sales had declined while deliveries continue in international waters beyond Iran’s territorial limits.
He declined to disclose operational details, saying the information “could be used by [Iran’s] adversaries.”
Kpler estimates that Iranian crude shipments to China, Tehran’s largest oil buyer, fell to about 534,000 barrels per day in August from 823,000 bpd in July, compared with an average of 1.4 million bpd in 2025.
Earlier today, US Central Command (CENTCOM) said its forces had redirected 75 commercial vessels, disabled three, and boarded two during the current enforcement phase of the naval blockade on Iran. Washington has also expanded sanctions targeting Iranian oil revenues, shipping, financial networks, and companies “helping Tehran maintain external trade.”
Iranian Parliament Speaker Mohammad Bagher Ghalibaf told Qatari Prime Minister and Foreign Minister Sheikh Mohammed bin Abdulrahman Al-Thani that the US economic blockade would fail and called on Washington to fulfill commitments Tehran says were included in the June ceasefire memorandum, including lifting the blockade and oil sanctions, releasing frozen Iranian assets and ending military operations on all fronts.
Talks between the two sides also focused on a proposed temporary Iran-Oman shipping corridor and a joint mine-clearing project in the Strait of Hormuz, where Kpler data showed 10 visible commodity-vessel transits on Wednesday, below the 10-day moving average of 15. https://www.shafaq.com/en/Economy/Iran-reports-continued-oil-sales-despite-US-blockade
Oil Prices Ease After Two Weeks Of Gains
2026-08-28 Shafaq News Oil prices fell on Friday and are on track to snap a two-week winning streak, despite settling higher in the previous session following a report that U.S. President Donald Trump is not interested in returning to previous deal terms with Iran.
Brent crude futures were down 25 cents, or 0.3%, to $89.45 a barrel by 0035 GMT. West Texas Intermediate crude futures fell 22 cents, also 0.3%, to $83.31.
Both benchmarks were poised to end the week lower, with Brent down 5.3% and WTI falling 4.3%.
Citing people familiar with the matter, the Wall Street Journal report said the Trump administration has repeatedly told mediators it has no interest in reviving the June memorandum of understanding, complicating diplomatic efforts to restart talks.
Earlier on Thursday, Washington said it was not in talks with Iran despite diplomatic efforts by other countries to re-engage the two sides.
On Monday, the U.S. announced what it called the "toughest sanctions in history" on Iran. Tehran said the sanctions were an "inhumane and hostile act" that had lost their effectiveness.
Elsewhere, geopolitical tensions escalated after Moscow warned it could strike British military targets inside and outside Ukraine in response to Kyiv's attacks on Russian territory using British-supplied long-range cruise missiles.
Trump, however, said Russian President Vladimir Putin will not attack a North Atlantic Treaty Organization (NATO) country, and he downplayed media reports that CIA Director John Ratcliffe this week had warned Russian officials against such an attack. Britain is one of the founding members of NATO. (REUTERS)
https://www.shafaq.com/en/Economy/Oil-prices-ease-after-two-weeks-of-gains
Gold Slips Ahead Of Fed Chair’s Jackson Hole Speech
2026-08-28 Shafaq News Gold slipped on Friday as market participants awaited closely watched remarks from Federal Reserve Chair Kevin Warsh at the Jackson Hole symposium.
Spot gold fell 0.5% to $4,580.19 per ounce by 0438 GMT. It touched a more than three-month high of $4,696.18 on Tuesday, following the U.S. Treasury's announcement of support measures for long-duration bonds.
U.S. gold futures eased 0.7% to $4,632.40.
The case for Warsh to lean hawkish is greater than the case for him not to, and that could see gold retreat further from its cycle highs in the near term, said Matt Simpson, a senior analyst at StoneX.
"But I suspect any such dip will be viewed favourably by bulls who missed out on the first phase of the rally - and are keen to have another crack at $5,000," he said.
Fed officials shared their concerns about the U.S. inflation landscape on Thursday, as central bankers gathered in Jackson Hole. Their comments came a day after data showed that the Personal Consumption Expenditures price index, the Fed's main inflation gauge, stood at 3.7% in the 12 months through July.
Fed Chair Warsh is scheduled to speak later in the day.
Traders see a 33.7% chance of a U.S. rate hike in September and a 74.2% chance by December, according to the CME FedWatch tool.
Despite its role as an inflation hedge, gold tends to lose appeal in a high interest rate environment as it offers no yield.
Gold remains supported by improving participation in exchange-traded funds and futures, along with concerns over U.S. fiscal credibility and continued official-sector buying, though risks of a consolidation persist, OCBC precious metals strategist Christopher Wong said in a note.
"We remain constructive (on silver), though a cleaner extension higher likely requires renewed weakness in yields, U.S. dollar and a decisive break above the $70.60-$72 resistance area," he said.
Spot silver fell 0.6% to $68.85 per ounce and palladium declined 0.2% to $1,349.44. Platinum was down 0.3% at $1,840.78, on track for a weekly loss. (REUTERS)
https://www.shafaq.com/en/Economy/Gold-slips-ahead-of-Fed-Chair-s-Jackson-Hole-speech