Thursday AM Iraq News Posted by Tishwash at TNT

TNT:

Tishwash:  Former MP: The government faces two paths: borrowing or raising the exchange rate.

Former member of the parliamentary finance committee, Abdul Hadi Mouhan, confirmed that the new government faces two paths: either external borrowing or increasing the exchange rate domestically in order to increase revenues under the current circumstances.

Mohan told Al-Maalomah, "There are two paths for the new government led by Ali Al-Zidi to ensure the securing of expenses, especially operational ones, by moving towards external borrowing, which is the most dangerous path that Iraq will face if it goes in this direction."

He added that "the second path that the government may resort to in order to increase its revenues is to go towards raising the exchange rate, which is the least dangerous path compared to going towards external borrowing, which is a double-edged sword for Iraq."

He indicated that "the government will most likely move towards raising the exchange rate in the upcoming budget in order to address the existing inflation and the deficit in the federal budget, and to ensure that the economic situation does not collapse."  link

Tishwash:  Prime Minister's Advisor: Iraq is on the verge of major economic changes under the guidance of Al-Zaidi

The Prime Minister's Advisor for Financial Affairs, Mazhar Muhammad Saleh, confirmed on Wednesday (May 27, 2026) that Iraq is going through an important transitional phase at the economic level, noting that the directives of Prime Minister Ali al-Zaidi have brought about a shift in the philosophy of managing the state's financial and economic affairs, which paves the way for broad transformations during the coming period.

Saleh said in a statement followed by “Baghdad Today” that “Al-Zidi assigned the Minister of Finance the duties of Deputy Chairman of the Ministerial Council for the Economy, which is a measure that reflects the philosophy of the modern state that sees the Ministry of Finance as a sovereign institution concerned with planning the economic future, and not just an entity for distributing salaries.”

He pointed out that "Iraq is about to undergo broad changes in its economic structure," noting that "the Prime Minister has asked the Ministry of Finance to prepare a long-term plan and move from the role of treasurer to a ministry that leads the reform of the philosophy of the economic system and creates a balanced partnership between the state and the market, within the framework of Iraq Vision 2035."

Saleh explained that "the Ministerial Council for the Economy has become the main engine for economic policies, and that it will lead the next phase by transforming temporary solutions into sustainable institutional work aimed at reforming the structure of the national economy."

He also explained that "implementation includes comprehensive oversight extending from the Financial Control Bureau to ministries such as industry and agriculture, reaching the oversight of financial markets," stressing that "the citizen is the primary goal of development programs and improving the standard of living."

In the same context, Saleh stressed that “the Central Bank of Iraq is independent in its work, but it coordinates within the Ministerial Council for the Economy, which is headed by the Ministry of Finance,” explaining that “there is a Council for Economic, Monetary and Financial Stability in which all essential economic files are presented.”  link

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Tishwash:  Post-Eid period: Parliament faces a cabinet test, and the insistence of political forces on their candidates deepens the crisis.

The escalating political controversy surrounding the session to complete the cabinet threatens to complicate the parliamentary scene, with political forces insisting on reintroducing the names that failed to gain confidence during the first session.

 This puts Parliament in front of a new crisis that may hinder the resolution of the vacant ministries and open the door to deeper disputes within the political process, amid warnings of the country entering a phase of political deadlock that is difficult to contain.

In this regard, the MP from the Sadiqun bloc told Al-Maalouma that “the insistence of some parties on putting forward the same names that did not gain confidence in the previous session must be overcome,” noting that “Parliament did not grant confidence to these names before Eid, so how will it grant it to them after Eid?” stressing that “Iraq cannot stand helpless in the face of the emergence of new talents who can be appointed as ministers.”

Karim called on political blocs to "look for alternatives that enjoy the confidence of Parliament and political forces," noting that "parties should give themselves more space to put forward new names and increase the options for candidates for ministerial portfolios, in order to give the opportunity to the largest possible number."

In contrast, Kurdistan Democratic Party member Ribin Salam confirmed in a statement to Al-Maalomah that “the submission of the same Democratic Party candidate to fill the Ministry of Reconstruction and Housing depends on what will be issued by the Federal Court regarding the appeal submitted against the session of granting confidence, and what accompanied it in terms of failures and mismanagement by the Speaker of Parliament, as well as the deliberate violation of legal procedures in submitting the names of ministers for voting.”

The political arena is experiencing a state of cautious anticipation for the upcoming parliamentary session after the Eid al-Adha holiday, amidst growing doubts about its feasibility or its ability to resolve the remaining vacant ministerial posts.

This stems from the sharp disagreements that erupted during the previous confidence vote session. Political forces accuse Speaker of Parliament Haibat al-Halbousi of mismanaging the session and violating established voting procedures, leading some blocs to reject the results and challenge the legitimacy of certain measures.

Amid this crisis, the affected parties are insisting on resubmitting the same candidates who failed to secure a vote of confidence, threatening a repeat of the political division and further complicating the process of completing the cabinet. link

Tishwash:  Al-Sadr announces the separation of the "Peace Brigades" from his movement and the joining of its members to the state.

On Wednesday, the leader of the Shiite National Movement, Muqtada al-Sadr, announced the separation of the "Peace Brigades" from the movement and the joining of its members to the state, while calling on the "Popular Mobilization Forces" to separate from "partisan and sectarian" orders.

Al-Sadr said in a statement, which was received by Shafaq News Agency, that "the decision came from the general interest of the nation, and in line with the dangers surrounding the nation."

He added that the civilian entities attached to the "Saraya" will move to Al-Bunyan Al-Marsous without any headquarters, weapons, uniforms, addresses, or anything else.

Al-Sadr expressed his gratitude to "the military formations of the Peace Brigades for all their greater and lesser jihad, and may God forgive all those who did not conform to our religious, doctrinal, and social tastes in general."

He expressed his hope that all the Popular Mobilization Forces would separate themselves from "partisan and sectarian orders," especially after the "factions" handed over their weapons to the state, as they had been advised to do years ago.

Al-Sadr's decision comes in conjunction with political moves to address the issue of the "factions'" weapons and hand them over to the government.

The Peace Brigades represent the military wing of the Shiite National Movement (formerly the Sadr Movement) led by Muqtada al-Sadr. It is an armed formation that officially falls under the umbrella of the government’s Popular Mobilization Forces (Brigades 313, 314, and 315), and it undertakes prominent security tasks in several Iraqi regions, most notably the city of Samarra.

Some political forces and armed factions are showing "flexibility" regarding the issue of restricting weapons to the state, after having been rigid on this subject, according to what a government source told Shafaq News Agency earlier, who added that the process of handing over weapons will be within a specific time mechanism.

The ministerial program of Ali al-Zaidi’s government, which won the confidence of the Iraqi parliament on Thursday, May 14, included a clause restricting weapons to the state, and he emphasized it during his speech after gaining the confidence.

Prior to that, an informed source had revealed to Shafaq News Agency on May 9 that the Coordination Framework had agreed with Prime Minister-designate Ali al-Zaidi to form a committee tasked with disarming armed factions, coinciding with the call made by the leader of the Sadrist movement, Muqtada al-Sadr.

The head of the executive council of the Al-Nujaba Movement, Nazim Al-Saidi, one of the most prominent armed factions, confirmed on May 15 that the “weapons control” clause included in the new government’s program does not include “resistance weapons” but rather those that cause “chaos.”  link