Iraq Economic News and Points To Ponder Thursday Evening 2-26-26
Central Bank Advances Iraqi Banking Reform, Eases Foreign Transactions
26th February 2026 in Iraq Banking & Finance News, Iraq Industry & Trade News
By John Lee. The Central Bank of Iraq (CBI) has announced completion of the principal phase of its comprehensive reform programme for commercial, Islamic and foreign bank branches operating in Iraq.
According to the Bank, all Iraqi banks have submitted the required documentation under the "minimum requirements" framework, selecting one of three pathways:
Continuing in the market as independent banking institutions;
Merging with other banking institutions;
Exiting the market.
The submissions enable the Central Bank to assess each institution's compliance with minimum reform standards. Over the coming months, banks are expected to address any identified gaps and work towards full compliance.
The Central Bank also announced a new initiative aimed at expanding the capacity of private banks to support international trade. Banks meeting specified criteria under Central Bank evaluation will be permitted to resume cross-border transactions and issue letters of credit in multiple international currencies, including:
Euro;
UAE dirham;
Chinese yuan;
Jordanian dinar.
The Bank said the move forms part of its broader strategy to strengthen confidence in Iraq's financial sector, enhance global integration, and support sustainable economic growth.
Iraq’s CF Weighs Al-Maliki Nomination Under US Pressure
2026-02-26 Shafaq News- Baghdad Leaders of Iraq’s Shiite Coordination Framework (CF) held internal meetings Thursday to align positions ahead of a broader session next week, as divisions persist over nominating former prime minister Nouri Al-Maliki amid mounting US pressure.
Sources within the alliance told Shafaq News that three key issues will dominate the upcoming meeting, including urging parliament to set a date to elect a president. Kurdish parties are not expected to formally reveal their candidate until the voting session.
Under the proposed sequence, the Framework would present its nominee for prime minister one week after the president is elected, followed by a parliamentary session to announce the designation and begin government formation.
Another source said the bloc could still opt for an alternative candidate from the list under consideration, depending on political calculations and regional dynamics.
Earlier this week, a senior Framework official told Shafaq News the alliance had secured an extension to a US deadline related to withdrawing Al-Maliki’s nomination, adding that Al-Maliki has refused to step aside voluntarily, arguing that only the two-thirds majority that nominated him can rescind the decision.
The Framework, which groups Iraq’s main ruling Shiite factions, is split over Al-Maliki’s candidacy. Washington has strongly opposed to his return, with US envoy Tom Barrack conveying the American position during a recent visit to Baghdad.
President Donald Trump has also publicly criticized Al-Maliki’s previous tenure as prime minister from 2006 to 2014, and US pressure has intensified in recent weeks. CF formally nominated Al-Maliki on January 24, 2026, with majority backing from its components.
Read more: Nouri Al-Maliki’s new doctrine for power: Pragmatism over defiance?
https://www.shafaq.com/en/Iraq/Iraq-s-CF-weighs-Al-Maliki-nomination-under-US-pressure
Iraq Protests Arab States’ Support For Kuwait In Maritime Dispute
2026-02-26 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.
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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.
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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
German Report: Dispute Over Khor Abdullah Area Affects The Development Road Project And The Grand Faw Port –
Khor Abdullah – One News 2/26/2026 A report published by the German website DW stated that the dispute over the Khor Abdullah area is affecting regional development projects, especially the Grand Faw Port and the development road project in Iraq.
The report added that Iraqis see the Kuwaiti Mubarak Al-Kabeer port, which is part of Kuwait's 2035 vision and China's Belt and Road Initiative, as restricting maritime access and threatening the viability of their projects.
It also stated that if the Iraqi parliament refuses to ratify the agreement, a permanent and implementable solution must be found. The report added that this solution should be based on re-engagement between the two parties, grounded in justice, shared economic interests, and respect for international law and the constitution.
The report concludes that the Khor Abdullah dispute transcends being a technical disagreement over maritime borders, as Iraq and Kuwait can transform this thorny dispute into a model for regional diplomacy and respect for the international legal order, while demonstrating a clear commitment to international law and judicial bodies.
https://1news-iq.net/تقرير-الماني-الخلاف-بشأن-منطقة-خور-عبد/