Iraq Economic News and Points To Ponder Friday Morning 2-27-26
The Central Bank And Banks Have Chosen Their Path In Reform Processes And A New Initiative To Enhance Their Capabilities
The Central Bank of Iraq announces the completion of a key step in the comprehensive reform process for commercial and Islamic banks and branches of foreign banks. This step involved the submission of required documentation for review in accordance with the "minimum requirements," which outlined three paths: "continuing in the market as independent banking institutions, merging with other banking institutions, or exiting the market."
The Central Bank of Iraq confirms that all Iraqi banks submitted the required documentation according to their chosen path, allowing the Central Bank to assess their compliance with the minimum requirements. Over the coming months, the banks will address any identified gaps and strive for full compliance with the reform standards.
The Central Bank also announces a new initiative to expand the capacity of private banks to support international trade for their clients. Banks that meet specific criteria, as assessed by the Central Bank of Iraq, will be permitted to resume cross-border transactions and issue letters of credit in several international currencies, including the Euro, UAE Dirham, Chinese Yuan, Jordanian Dinar, and others.
This step complements the Central Bank of Iraq's strategy to enhance confidence in the future of the Iraqi economy and the global integration of the financial sector, and to drive sustainable growth in Iraq.
https://cbi.iq/news/section/155 - Infographic https://cbi.iq/news/view/3144
An Economist Says Reforming Private Banks Is Key To Stabilizing The Dollar And Boosting Confidence In The Financial Market.
Baghdad Today – Baghdad Economic expert Ahmed Abdel Rabbo confirmed on Wednesday (February 25, 2026) that the Central Bank of Iraq has taken a series of measures during the past period aimed at controlling the exchange market and enhancing financial stability, in light of the monetary challenges that Iraq has recently witnessed.
Abd Rabbo explained in an interview with “Baghdad Today” that the current stage requires speeding up the completion of the private banks reform project, as it is the cornerstone for achieving permanent stability in the dollar exchange rate within the local market, noting that the continued existence of some banks under sanctions contributes to creating bottlenecks in the supply of foreign currency and negatively affects the level of confidence in the banking sector.
Supporting Restructuring
He added that it is necessary to intensify efforts to support the work of Oliver Wyman, which is concerned with the restructuring of banks, in order to complete the banking compliance requirements within clear and announced timetables, which will contribute to removing a number of banks from the circle of restrictions and returning them to normal activity in accordance with transparent standards and strict supervision.
Reducing The Gap Between The Two Prices
Abdel Rabbo pointed out that achieving tangible progress in this direction will not only reduce the gap between the official and parallel dollar exchange rates, but will also send a genuine message of reassurance to the markets that the path of financial reforms is proceeding steadily, and that monetary stability is no longer a temporary measure, but a long-term strategic option to enhance confidence in the Iraqi financial market.
Over the past two years, Iraq has witnessed fluctuations in the dollar exchange rate as a result of tightening foreign transfer procedures and international compliance requirements, which prompted the Central Bank of Iraq to adopt stricter regulatory and supervisory mechanisms to control the currency sale window and enhance transparency.
Some private banks were also subjected to restrictive measures and sanctions, which affected the supply of foreign currency in the local market and widened the gap between the official and parallel exchange rates.
In this context, the restructuring of the banking sector has emerged as one of the most important paths of financial reform to ensure sustainable monetary stability and enhance confidence in the banking system. https://baghdadtoday.news/293908-.html
Iraq Reopens Cross-Border Trade Channel For Private Lenders
Shafaq News- Baghdad Iraq’s Central Bank (CBI) cleared private banks to resume cross-border transactions and issue letters of credit in multiple foreign currencies, in a move aimed at strengthening trade financing and accelerating banking reform, the CBI said on Thursday.
In a statement, the bank noted it completed “a key phase of a comprehensive reform process covering commercial and Islamic banks and branches of foreign banks.” The step required institutions to submit documentation for review under “minimum requirements,” selecting one of three paths: continuing operations as independent banking institutions, merging with other banks, or exiting the market.
All Iraqi banks have submitted the required documents in line with the path each chose, and they will address any identified gaps in the coming months, the CBI added.
Under the new initiative, private banks that meet specific standards based on the central bank’s assessment will be permitted to resume cross-border transactions and issue letters of credit in several international currencies, including the euro, UAE dirham, Chinese yuan, and Jordanian dinar, among others. البنك المركزي العراقي-Central Bank of Iraq
stpeondSro52h60gumgg1lua020383fuaih6mi5i8f4cci1t6u18lm7ma8ut ·
THE CENTRAL BANK .. Banks chose their way in the reform processes and a new initiative to raise their capacity
The Iraqi Central Bank announces the completion of the major step in the process of comprehensive reform of commercial and Islamic banks and foreign banking branches by submitting the required documents for review in accordance with the "minimum requirements" which summarized by choosing one of the three tracks, which is "continuing in the market as independent banking institutions, merging with other banking institutions, or exiting From the market".
The Iraqi Central Bank affirms that all Iraqi banks have submitted the required documents according to the route they had chosen, allowing the central bank to assess its level of acceptance for the minimum requirements.
Over the coming months, banks will work to address any loopholes that are identified, and will strive to achieve full compliance with repair standards.
This bank also announces a new initiative to expand the capacity of private banks to support international trade to its customers, where banks that meet certain criteria according to the assessment of the Iraqi Central Bank will be allowed to resume cross-border transactions and issue credentials based on many international currencies, including the euro, the UAE Dirham, the Chinese Yuan, the Jordanian Dinar, among others, and come This step is a continuation of the path laid out by the Iraqi Central Bank to strengthen confidence in the future of the Iraqi economy, global cohesion with the financial sector, and to lead the sustainable growth of Iraq.
https://www.shafaq.com/en/Economy/Iraq-reopens-cross-border-trade-channel-for-private-lenders
US State Department: Washington's Support Is Linked To The Iraqi Government And Its Program, Not To Individuals
The US State Department explained in statements to “Lwan News” that the formation of the Iraqi government is an internal matter that reflects the constitutional will and the outcomes of the democratic process, stressing that Washington’s support is linked to a government that enjoys national credibility and is committed to reform and the rule of law.
The ministry said that any government that does not meet the requirements of stability and reform will not receive full US support, stressing that its position on the return of Nouri al-Maliki is based on an assessment of the previous phase and its repercussions, and that its support is linked to the government program and its performance, not to the individuals themselves.
The US State Department added that it is following with interest Iraq’s steps regarding the demarcation of maritime borders and the deposit of maps with the United Nations, and encourages Iraq, Kuwait and Saudi Arabia to address differences through technical and legal dialogue, stressing that sovereign issues must be addressed within legal and diplomatic frameworks away from escalation.
She stressed that a stable, prosperous Iraq that is committed to its regional obligations remains an important partner for Washington, and that it will work with any future Iraqi government, provided it adheres to good governance, the constitution, and the promotion of regional security.
https://1news-iq.net/الخارجية-الأمريكية-دعم-واشنطن-مرتبط-ب/
Iraq Protests Arab States’ Support For Kuwait In Maritime Dispute
Shafaq News- Baghdad Iraq’s Foreign Ministry on Thursday reproached Palestine, Jordan, and Egypt over their official positions aligned with Kuwait regarding Baghdad’s deposit of its maritime boundaries map with the United Nations.
The three counties expressed concern over Iraq’s submission to the United Nations, reaffirmed support for Kuwait’s sovereignty, and urged both sides to resolve the maritime dispute through dialogue in line with international law and the 1982 UN Convention on the Law of the Sea.
The ministry said in separate statements, that the remarks came during meetings between Undersecretary for Bilateral Relations Ambassador Mohammed Hussein Bahr Al-Uloom and the ambassadors of Palestine, Jordan, and Egypt. Bahr Al-Uloom presented Baghdad’s position concerning the three counties’ statements, which “overlooked Iraq’s viewpoint and the measures it had taken in full accordance with international law, particularly the 1982 United Nations Convention on the Law of the Sea.”
He described Iraq’s move as a sovereign right, adding that the country acted with full transparency and remains committed to addressing related issues through legal and diplomatic channels in a way that safeguards its sovereignty and national rights. وزارة الخارجية العراقية
doSterposn9i80t4c0h44ah3i86f7c8afgi1m0f81m08h91a64aa13f53cll ·
Foreign Ministry Representative Hosts The Ambassador Of The Arab Republic Of Egypt To Iraq
The Ministry of Foreign Affairs, representing the Ministry of Foreign Relations, Ambassador Mohammed Hussein Bahr Aloum, on Thursday, 26/02/2026, hosted the Ambassador of the Arab Republic of Egypt to the Republic of Iraq, Mr. Ahmed Samir Helmy, on the background of the statement issued by the Egyptian Ministry of Foreign Affairs and Immigration regarding the deposit of the Republic of Iraq the map of maritime areas to the nations المتحدة
The ministry spokesman affirmed clearly and explicitly that Iraq's decision to deposit a map of its maritime areas is indeed a sovereign that cannot be reversed, in accordance with Iraq's position and his observations in accordance with the Egyptian statement, which obliterates Iraq's opinion, position and the actions it has taken in full compliance with the provisions of international law, and especially the United Nations Convention on Law The seafarers of 1982, with full transparency reflects his keenness in addressing all relevant issues through legal and diplomatic frameworks, upholding Iraq's sovereignty and preserving its national rights.
In this context, Iraq expresses its regret for making such a statement, for which it is due to a state of dissatisfaction at the official and popular levels.
The ministry spokesman also stressed the depth and durability of the fraternal and historical relations between the Republic of Iraq and the Arab Republic of Egypt, emphasizing the importance of investigating the highest levels of accuracy and objectivity in official statements and positions, which have a direct impact on the course of the bilateral relations, emphasizing that any statement should include respect for the sovereignty of the two countries on Towards even more. He expressed the appreciation of the Republic of Iraq for the special relations with the Arab Republic of Egypt and its keenness to develop them in various fields.
On his part, the Egyptian ambassador expressed his gratitude for what the ministry spokesman provided with important and comprehensive information on the reality of the situation between the two countries and the level of cooperation and communication on the subject of drawing maritime borders, underlining that the concern expressed by Egypt in its statement stems from its eagerness to support security and stability between the two countries. He also noted that he would ensure that Iraq's message is conveyed to the Egyptian leadership in a clear and detailed manner, reflecting the Iraqi viewpoint and the relevant developments between the two countries.
***************
To read more about the news of the Ministry, you can visit the official pages and accounts of the Iraqi Ministry of Foreign Affairs: Ministry's website: https://mofa.gov.iq
Earlier this month, Baghdad a detailed maritime domain map with the United Nations and prepared to submit a Federal Supreme Court ruling that annulled the demarcation with Kuwait up to marker 162, a step that calls for re-demarcation under international law. Meanwhile, Gulf states, including the GCC, have urged Iraq to withdraw the submission and address the issue through diplomatic channels.
Read more: Khor Abdullah entangled in sovereignty disputes and legacy of invasion
https://www.shafaq.com/en/Iraq/Iraq-protests-Arab-states-support-for-Kuwait-in-maritime-dispute