Iraq Economic News and Points To Ponder Late Saturday Evening 6-20-26
A US Official: Iraq Has Agreed To Cooperate In Combating Money Laundering And Has Begun "Taking Steps"
2026-06-19 Shafaq News – Baghdad A U.S. administration official confirmed on Friday that Iraq has agreed to cooperate with a financial group to combat money laundering, corruption and terrorist financing, and has begun taking positive steps in this regard.
The official told Shafaq News Agency that "after a process that lasted nearly two years to review the Iraqi system for combating money laundering and terrorist financing, Iraq agreed to work cooperatively with the Financial Action Task Force (FATF) to address the most strategic deficiencies in its system for combating money laundering and terrorist financing."
He added, "Iraq has already begun taking positive steps, demonstrating a political will to comply with the international standards set by the Financial Action Task Force (FATF)," noting that "we encourage Iraq to continue this positive movement and accelerate the implementation of the FATF Action Plan."
Sources indicated to Shafaq News Agency this evening that the changes being made by Prime Minister Ali al-Zaidi will affect more than 100 officials, and are closer to redrawing the centers of influence within the Iraqi state than to mere routine administrative procedures.
The evaluation process is not limited to administrative performance alone, but also includes the nature of the political and organizational affiliations of some officials, amid talk of a trend to remove figures who are accused of being close to armed factions or who have failed to manage the files entrusted to them during the past years.
According to political sources who spoke to Shafaq News Agency, US envoy Tom Barrack discussed with al-Zaidi during his recent visit to Baghdad issues that go beyond the formation of the government or the distribution of positions, reaching the form of the Iraqi state during the next stage, the mechanisms for managing sovereign institutions, and strengthening the independence of government decision-making from traditional centers of influence.
According to the sources, there are understandings that led to the abolition of the positions of deputy prime ministers, as well as the exclusion of the “Ministry of Federal Security” project, which was proposed to include various security formations, including the Popular Mobilization Forces and armed factions.
Meanwhile, negotiations regarding the allocation of security ministries and some contentious portfolios are still ongoing, amid assurances that al-Zaydi is seeking to select technocratic figures, even if they enjoy the support of certain political forces, sources say. https://www.shafaq.com/ar/سیاسة/مس-ول-ميركي-العراق-وافق-على-التعاون-لمكافحة-غسيل-ال-موال-وبد-بـ-اتخاذ-الخطوات
Exclusive: PM Al-Zaidi Targets Major Overhaul Of Iraqi Institutions
2026-06-20 04:32 Shafaq News- Baghdad Iraqi Prime Minister Ali Al-Zaidi is preparing a broad reshuffle that could affect more than 100 senior officials across state institutions, with changes expected to include deputy ministers, agency heads, directors-general, and senior security officials.
Sources familiar with the matter told Shafaq News that a team appointed by Al-Zaidi is conducting a “comprehensive review” of government institutions, assessing the performance of senior officials and evaluating several administrative files. The review also examines the political and organizational affiliations of some officials, amid discussions about removing figures found to have neglected their duties or maintained links to armed factions.
Al-Zaidi has already introduced changes in key security and economic institutions, including the Iraqi National Security Service and the Central Bank (CBI). The planned reshuffle comes as the prime minister works to complete his cabinet formation and ahead of his expected visit to Washington, where he is due to meet US President Donald Trump.
Political sources told Shafaq News that US envoy Tom Barrack discussed a range of issues with Al-Zaidi during his recent visit to Baghdad, including the management of sovereign institutions and efforts to strengthen the independence of government decision-making.
According to the sources, the discussions coincided with the decision to abolish the posts of deputy prime ministers and shelve plans for a proposed Federal Security Ministry that would have brought together several security formations, including the Popular Mobilization Forces (PMF), a predominantly Shiite umbrella formation integrated into Iraq’s state security structure in 2016, and armed groups.
Negotiations within the ruling Shiite Coordination Framework over the security ministries and other disputed portfolios remain ongoing, with Al-Zaidi seeking to appoint “technocratic figures,” according to the sources.
The Framework meeting has been postponed until after the tenth day of Muharram*, as political parties await further clarity on the cabinet lineup and the scope of the expected changes.
*The first month of the Islamic lunar year. For many Muslims, particularly Shiite communities in Iraq, it commemorates the martyrdom of the third Imam Hussein ibn Ali, Prophet Mohammed’s grandson, at the Battle of Karbala.
https://shafaq.com/en/Iraq/Exclusive-PM-Al-Zaidi-targets-major-overhaul-of-Iraqi-institutions
MP: Economic Reform Begins With Activating The Private Sector
The Information Agency / Baghdad - MP Ali al-Zirjawi called on the Prime Minister on Saturday to activate the role of the private sector and alleviate pressure on the country's general budget, given the current economic challenges.
Al-Zirjawi told the Information Agency that "the large operational expenditures in the general budget have caused recurring economic crises and affected the state's ability to implement sustainable development projects."
He added that "Iraq is currently experiencing an economic crisis as a result of mismanagement and poor planning, in addition to regional tensions that have negatively impacted the overall economic situation."
He pointed out that "addressing this crisis requires genuine economic reforms, foremost among them supporting the private sector and reducing reliance on government operational spending."
He stressed that "the current stage necessitates adopting more flexible economic policies to ensure the stability of the national economy and improve the level of services." End/25
The Central Bank Of Iraq Responds To FATF: We Avoided The Blacklist And Will Implement The Plan To Exit The Grey List.
Economy | 20/06/2026 Mawazin News - Economy The Central Bank of Iraq responded to the Financial Action Task Force (FATF) regarding its placement on the grey list, pledging to implement the joint action plan adopted with the group to be removed from the enhanced monitoring list.
The Anti-Money Laundering and Counter-Terrorist Financing Council stated that the FATF adopted a joint action plan with Iraq during its recent plenary meeting, noting that the group's statement acknowledged the progress made by Iraqi authorities in several measures related to combating money laundering and terrorist financing.
The Council added that Iraq has made progress in implementing market access controls to limit criminals' and terrorists' access to vital sectors, strengthening oversight of non-bank financial institutions and the real estate sector, and developing the authorities' understanding of money laundering and terrorist financing risks.
The Council explained that Iraq will continue working with the FATF to implement the action plan, which includes strengthening risk management, regulating virtual asset service providers, increasing the effectiveness of reporting suspicious transactions, and expanding investigations into money laundering and terrorist financing crimes.
He affirmed that "Iraqi financial, judicial, regulatory, and security institutions are committed to implementing the plan's components according to specific timelines, thereby contributing to strengthening the resilience of the Iraqi financial system, protecting the national economy, and expediting Iraq's removal from the enhanced monitoring list."
The statement noted that "Iraq's inclusion on the enhanced monitoring track is a procedure that several countries have undergone during international evaluation rounds," emphasizing that "Iraq managed to avoid being placed on the blacklist by complying with international standards and addressing identified weaknesses."
https://mawazin.net/Details.aspx?jimare=284064
The Dollar As A Weapon Of Pressure: An Expert Warns Of American Dominance Over The Iraqi Economy.
The Information Agency / Baghdad... Economic expert Faleh al-Zubaidi stated on Saturday that the United States is using the dollar as a tool of pressure and blackmail against Iraq to advance its interests and agendas in the country.
In a statement to the Information Agency, al-Zubaidi explained that “the visit of US envoy Tom Barrack to Iraq comes within the framework of attempts to impose political dictates and conditions on the Iraqi government.”
He added that "the dollar and the global financial system are subject to American hegemony, which is sometimes used as a means of pressuring countries, including Iraq, to achieve specific gains and interests."
He pointed out that "Washington may resort to economic and financial pressure tactics if Iraq does not comply with these dictates or imposed directives."
He emphasized that "the current economic reality requires strengthening Iraq's financial independence and reducing reliance on external financial instruments in order to preserve the country's economic autonomy." End/25