Iraq Economic News and Points To Ponder Wednesday Evening 10-15-25
The Region Transfers 120 Billion Dinars Of Its Non-Oil Revenues To The Federal Government.
Economy | 03:45 - 10/15/2025 Mawazine News – Erbil An informed source in the Kurdistan Regional Government revealed on Wednesday that 120 billion dinars of non-oil revenues have been transferred to the federal government in Baghdad.
The source said, "The Kurdistan Regional Council of Ministers approved during its last meeting the transfer of 120 billion dinars of non-oil revenues collected during the recent period to the federal Ministry of Finance," indicating that "the step comes within the framework of the ongoing understandings between Erbil and Baghdad regarding the settlement of financial files and the regulation of public revenues."
The source indicated that the decision came after a series of joint meetings between the Ministries of Finance in Baghdad and Erbil over the past months, focusing on the mechanisms for disbursing non-oil revenues and implementing the provisions of the Federal Budget Law for 2025, which stipulates that the region is committed to transferring a specific percentage of its revenues in exchange for securing the salaries of its employees. https://www.mawazin.net/Details.aspx?jimare=268507
Tax Reform Is Yielding Results In Increased Non-Oil Revenues For The State Treasury.
Money and Business Economy News – Baghdad Non-oil tax revenues increased to 3.07 trillion dinars in 2023, 3.87 trillion dinars in 2024, and 1.155 trillion dinars in the first half of 2025, benefiting the state treasury.
These measures included expanding the tax base, introducing new activities under the income tax, adopting modern electronic automation and payment systems, and activating exemptions for productive sectors.
The government adopted an economic approach based on maximizing non-oil resources and strengthening the development economy, emphasizing "the importance of tax as a primary economic resource for the public treasury."
In this context, a broad package of tax reform measures was launched.
This package included Cabinet Resolution No. (24074), which stipulates expanding the tax base, subjecting new activities to income tax, subjecting e-application companies to tax, and introducing a sales system for premium and first-class restaurants and hotels, with the tax amount being collected and the taxpayer being discharged directly.
Key measures and important decisions included establishing tax accounting mechanisms with foreign oil companies, mixed-sector companies, and private universities; submitting a draft new Income Tax Law to replace the amended and effective Law No. 113 of 1982; establishing a tax inquiry platform; and moving toward fully automating the General Tax Authority's work through a comprehensive tax system in cooperation with major e-commerce companies.
Reforms also included adopting a self-assessment and subsequent audit mechanism, launching an electronic payment service at the Authority and its branches, and activating tax exemptions for productive agricultural lands, poultry farms, and hatcheries.
The tax reform also included the Prime Minister's sponsorship of the "Tax Reform Conference," which emphasized studying tax evasion and enhancing a business-friendly tax environment, in addition to tax accounting for extractive companies within licensing rounds.
A wide range of double taxation avoidance agreements was signed with governments of friendly countries.
In the same context, the Prime Minister sponsored the "Tax Conference for Economic Development and Revitalizing the Investment Environment," which concluded with recommendations emphasizing the need not to impose tax increases that would negatively impact the business environment. https://economy-news.net/content.php?id=61176
Trump Sends A Letter To The President Of The Republic
Political | 04:27 - 10/15/2025 Mawazine News - Follow-up US President Donald Trump congratulated Iraq on its National Day on Wednesday, affirming the United States' firm commitment to the strategic partnership with Iraq and joint cooperation.
The Presidency of the Republic stated in a statement received by Mawazine News that "President of the Republic Abdul Latif Jamal Rashid received a congratulatory message from US President Donald Trump on the occasion of the 93rd anniversary of Iraq's National Day."
In his message, President Trump affirmed "the United States' firm commitment to the strategic partnership with Iraq and joint cooperation in all fields in a way that enhances regional stability."
The following is the text of the message:
“Greetings, Your Excellency the President.
We and the people of the United States of America are pleased to extend our sincere congratulations and blessings to you, the government and people, on the occasion of the (93)th Iraqi National Day.
This year has been marked by remarkable achievements that highlight Iraq’s resilience and growing leadership in the region. The successful hosting of the Arab League Summit in Baghdad highlighted Iraq’s ability to enhance dialogue and cooperation among neighboring countries. The visit of the US-Iraq Business Council in April confirmed the strength of our shared economic partnership.
The United States demonstrates its steadfast commitment to the strategic partnership with Iraq. Together, we have worked to promote regional stability, enhance energy security, and maintain pressure to prevent the return of ISIS.
We look forward to continuing our cooperation on shared priorities and building on the momentum of our economic successes. We wish you and all Iraqis a happy holiday and a year filled with peace, progress, and prosperity.
Sincerely , President Donald J. Trump.” https://www.mawazin.net/Details.aspx?jimare=268510
Central Bank: 5 Iraqi Banks Will Leave The Market And Close Their Doors.
Economy | 10/15/2025 Mawazine News - Baghdad - The Central Bank of Iraq revealed on Wednesday that five Iraqi banks are close to exiting the market in the coming period, after failing to comply with the comprehensive review standards imposed by the Central Bank on banks.
Deputy Governor of the Central Bank, Amer Al-Ithawi, said that the restructuring process for private banks in Iraq included three paths: remaining in the market by adhering to the standards, merging, or exiting the market, according to Bloomberg.
He added, "Most private banks in Iraq have adhered to the first and second paths, whether continuing alone while adhering to these standards, or merging with other banks. However, a small number of them have chosen to leave voluntarily, a small minority not exceeding five banks."
He explained that "the standards that banks operating in Iraq must meet are strict and clear, and banks that are unable to comply with them will be ineligible to be included in the Iraqi banking sector." https://www.mawazin.net/Details.aspx?jimare=268491
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