Seeds of Wisdom RV and Economics Updates Tuesday Morning 12-30-25
Good Morning Dinar Recaps,
Trump and Netanyahu Signal Strategic Alignment as Middle East Peace Framework Advances
Florida meeting underscores security, disarmament, and regional normalization priorities
Good Morning Dinar Recaps,
Trump and Netanyahu Signal Strategic Alignment as Middle East Peace Framework Advances
Florida meeting underscores security, disarmament, and regional normalization priorities
Overview
U.S. President Donald Trump and Israeli Prime Minister Benjamin Netanyahu signaled near-total strategic alignment following a closed-door meeting in Florida
Both leaders emphasized peace through strength, tying disarmament of militant groups to regional stability
Iran, Hamas, and Hezbollah were identified as remaining destabilizing forces
Expansion of the Abraham Accords was confirmed as an active objective
Netanyahu announced President Trump will receive a prestigious Israeli honor traditionally awarded to Israelis, recognizing his role in advancing peace and security
Key Developments
Trump stated Hamas has been given a short timeline to disarm, warning consequences if commitments are not met
Netanyahu praised Trump’s record as Israel’s strongest ally, crediting joint coordination for regional breakthroughs
Netanyahu confirmed Trump will be awarded a major Israeli honor, typically reserved for Israeli citizens, acknowledging his contributions to Israel’s security and regional diplomacy
Both leaders confirmed ongoing discussions on Gaza governance, West Bank outcomes, and post-conflict security
Trump warned Iran against rebuilding weapons capabilities, signaling readiness to act if red lines are crossed
The Abraham Accords were described as expanding “fairly quickly,” with Saudi normalization still on the table
Trump confirmed openness to bilateral engagement with Iran — conditional on behavior
Why It Matters
The award announcement was not ceremonial — it was symbolic signaling. By granting a traditionally Israeli-only honor to an American president, Israel publicly reinforced long-term strategic alignment and continuity of policy, regardless of political cycles.
This reinforces confidence that the peace framework discussed is not provisional, but intended to be durable. Symbolism matters in diplomacy — especially when it aligns with enforceable commitments.
Why It Matters to Foreign Currency Holders
For foreign currency holders, Middle East stability directly impacts energy pricing, trade routes, sovereign risk premiums, and reserve confidence.
Public recognition of leadership continuity reduces geopolitical uncertainty premiums embedded in currencies. When peace frameworks appear durable — not personality-driven — capital reallocation accelerates and volatility compresses.
In reset terms, symbolic commitments often precede structural ones.
Implications for the Global Reset
Pillar: Diplomatic Continuity Anchors Stability
Stable alliances reduce geopolitical shock risk.
Pillar: Peace Enables Capital Normalization
Durable agreements allow markets to price risk forward instead of defensively.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
YouTube — “President Trump and the Prime Minister of Israel Deliver Remarks”
Reuters — “Trump, Netanyahu signal alignment on Gaza, Iran and regional security”
~~~~~~~~~~
Iran’s Currency Collapse Sparks Protests as Monetary Stress Intensifies
Rial depreciation exposes limits of sanctions resilience and domestic stability
Overview
Iran experienced renewed protests as the national currency fell sharply in value
The Iranian rial’s decline accelerated inflation and reduced household purchasing power
Public unrest highlighted growing stress between monetary instability and social tolerance
Currency weakness reflected sanctions pressure, reserve constraints, and structural imbalances
Key Developments
The Iranian rial slid to new lows against major currencies, triggering street protests
Rising prices for food, fuel, and basic goods intensified public frustration
Authorities cited external sanctions and market speculation as contributing factors
Currency intervention measures failed to restore confidence or stabilize exchange rates
Protests underscored the link between currency credibility and political stability
Why It Matters
Currency collapse is rarely just a financial event — it is a confidence crisis. Iran’s situation illustrates how prolonged sanctions, limited reserve flexibility, and restricted access to global settlement systems eventually surface in domestic instability.
When currencies lose credibility, governments face shrinking policy options. Monetary tools become less effective, capital controls tighten, and social pressure rises. Iran’s experience highlights the cost of isolation in a system increasingly defined by interoperability and trust.
Why It Matters to Foreign Currency Holders
For foreign currency holders, Iran’s currency collapse is a cautionary example of how geopolitical isolation accelerates monetary fragility. Currencies dependent on restricted trade, constrained reserves, or politicized settlement systems face amplified repricing risk during stress.
Conversely, currencies supported by diversified reserves, trade access, and functional payment rails retain stability even under pressure. In reset terms, access matters as much as assets.
Implications for the Global Reset
Pillar: Currency Confidence Equals Social Stability
When money fails, unrest follows.
Pillar: Isolation Increases Repricing Risk
Systems outside global settlement frameworks face sharper adjustments.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Reuters — “Iran protests erupt as currency slide fuels inflation anger”
Reuters — “Iran’s rial hits new lows amid sanctions pressure”
~~~~~~~~~~
Critical Minerals: The New Oil of the Global Reset
Green transition accelerates a new era of resource power politics
Overview
Critical minerals are replacing oil as the primary strategic resource in the global economy
China dominates rare earth production and processing, creating geopolitical leverage
Demand for lithium, cobalt, and nickel is accelerating sharply under net-zero mandates
Supply concentration and export controls are emerging as tools of state power
Key Developments
Global demand for lithium is projected to rise more than 400% by 2040, driven by EVs and renewable energy infrastructure
China controls approximately 60% of rare earth production and nearly 90% of global processing capacity
The United States remains fully import-dependent for several critical minerals
Export restrictions on minerals like gallium and germanium have already demonstrated economic shock potential
Australia has positioned itself as a strategic supplier, leveraging lithium and rare earth reserves through new alliances
Calls are growing for new governance frameworks to prevent exploitation, supply coercion, and inequality
Why It Matters
The global shift toward clean energy is not eliminating geopolitical competition — it is relabeling it. Critical minerals now underpin industrial power, military readiness, and technological leadership. Control over extraction and processing is becoming a decisive factor in global influence, echoing the oil-dominated power structures of the 20th century.
Without new governance models, the energy transition risks replicating the same imbalances it claims to solve — substituting carbon dependence with mineral dependence, and emissions inequality with extraction inequality.
Why It Matters to Foreign Currency Holders
Foreign currency holders are increasingly exposed to the geopolitical risks of mineral dependence. Nations controlling critical minerals can influence global trade pricing, reserve currency valuations, and access to high-demand technologies.
A disruption in supply chains—whether through export controls, trade disputes, or production bottlenecks—can ripple through global markets, affecting currency stability, inflation expectations, and purchasing power. Diversification in reserves, awareness of strategic mineral dependencies, and monitoring shifts in resource control are becoming essential for safeguarding value in a multipolar financial landscape.
Implications for the Global Reset
Pillar: Resource Control Drives Currency and Trade Power
Nations controlling strategic inputs gain leverage over settlement, trade terms, and capital flows.
Pillar: Supply Chains Are Becoming Monetary Infrastructure
Critical minerals are no longer commodities — they are embedded in currency stability, industrial policy, and sovereign resilience.
This is not just environmental policy — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Modern Diplomacy — “How Critical Minerals Became the New Oil”
International Energy Agency — “The Role of Critical Minerals in Clean Energy Transitions”
~~~~~~~~~~
Global Markets Mixed as Stocks Stall and Currency Pressure Builds
Year-end uncertainty exposes fragility beneath surface stability
Overview
Global equity markets ended the session mixed as investors weighed slowing momentum against policy uncertainty
Currency markets reflected ongoing pressure on the U.S. dollar, while risk-sensitive currencies remained volatile
Bond yields stayed elevated, reinforcing concerns over debt sustainability and fiscal stress
Precious metals pulled back from record highs, underscoring liquidity strain rather than demand collapse
Key Developments
U.S. equities softened in holiday-thinned trading as investors reassessed 2026 growth expectations
European and Asian markets showed uneven performance, signaling regional divergence rather than synchronized recovery
The U.S. dollar remained under pressure amid expectations of rate cuts and expanding deficits
Bond markets continued to reflect sensitivity to debt issuance and long-term fiscal positioning
Risk appetite weakened as traders prioritized balance-sheet preservation over upside exposure
Why It Matters
This market behavior reflects transition, not panic. Mixed performance across equities, currencies, and bonds suggests capital is repositioning rather than exiting. Liquidity is becoming selective, favoring assets with structural support while penalizing those dependent on leverage and sentiment.
Markets are no longer reacting to headlines alone — they are responding to policy credibility, debt trajectories, and system readiness. That shift marks a late-stage transition phase rather than a cyclical correction.
Why It Matters to Foreign Currency Holders
For foreign currency holders, mixed markets signal repricing risk, not immediate collapse. When currencies weaken alongside equities and bonds, it reflects uncertainty over long-term purchasing power rather than short-term volatility.
Currencies tied to high debt loads, fiscal expansion, or policy ambiguity face sustained pressure. Those supported by disciplined monetary policy, reserve diversification, and stable trade positioning gain relative durability as capital becomes more selective.
In reset terms, currencies are being evaluated on structure, not momentum.
Implications for the Global Reset
Pillar: Capital Selectivity Increases
Liquidity favors resilience over speculation as systems transition.
Pillar: Currency Credibility Replaces Growth Narratives
Markets price balance-sheet strength ahead of economic optimism.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Reuters — “Global markets slip as investors reassess growth and policy outlook”
Reuters — “Tenuous peace between Trump and $30 trillion U.S. bond market”
~~~~~~~~~~
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Thank you Dinar Recaps
Iraq Economic News and Points To Ponder Tuesday Morning 12-30-25
An Economic Expert Identifies 5 Pillars For Strengthening Iraq's Economic Power.
Time: 2025/12/19 21:22:08 Readings: 135 times {Economic: Al-Furat News} On Friday, economist Salah Nouri identified five key pillars for strengthening Iraq's economic power, stressing that the success of economic programs and the path to international development is linked to combating corruption in contracts and implementation.
An Economic Expert Identifies 5 Pillars For Strengthening Iraq's Economic Power.
Time: 2025/12/19 Readings: 135 times {Economic: Al-Furat News} On Friday, economist Salah Nouri identified five key pillars for strengthening Iraq's economic power, stressing that the success of economic programs and the path to international development is linked to combating corruption in contracts and implementation.
Nouri told Al-Furat News Agency that "economic strength lies in local production that competes with imported goods, especially agricultural and animal production," noting that "the Iraqi environment is historically an agricultural country and the elements of agricultural production can be provided, provided that the water problem is solved at the present time."
He added that "the second pillar depends on enhancing industrial production through public-private partnership contracts, as well as encouraging small and medium enterprises by supporting them with soft loans while ensuring the monitoring and regulation of these projects."
Nouri stressed "the importance of accelerating the completion of the electrical power infrastructure and utilizing the natural gas associated with oil extraction," while also calling for "reconsidering the size of the operational budget and streamlining spending, especially unjustified privileges in light of the financial crisis."
The economist stressed that "the success of these programs, in addition to the International Development Road project, depends primarily on combating corruption in contracting and implementation processes."
From... Ragheed https://alforatnews.iq/news/خبير-اقتصادي-يحدد-5-ركائز-لتعزيز-القوة-الاقتصادية-في-العراق
2026...Expectations And Surprises
Yasser Al-Mutawalli In just a few days, the clock will tick away, announcing the end of one year and the beginning of a new one. The year 2026 is just around the corner.
Experts' predictions are often based on indicators and signs of economic phenomena and the changes that occur to them. These predictions are often correct and accurate, and sometimes they intersect with unforeseen surprises.
According to the indicators shown to us, and within the economic framework that constitutes the specialization of this page and my professional interest, the general picture points to a future that promises a real breakthrough in achieving an important aspect of economic reform.
The current government has taken steps and made beginnings with a clear imprint, characterized by particular importance in launching a major development program that will restore the Iraqi economy to its former glory, strength, and status.
In the service sector, any observer can witness the realization of a number of service projects on the ground, without the trouble of evaluation or controversy, forming the nucleus of a primary infrastructure that we desperately need, in support of upcoming strategic projects, such as bridges and overpasses, paving of main and secondary streets, and others.
As for diversifying the economy and sources of funding, actual steps have begun, even if some of them are limited to initialing agreements with major international companies investing in the implementation of strategic projects, most notably the Development Road project, in addition to other promising projects.
Within the sub-sectors of economic reform, the banking sector is witnessing today a tireless effort to correct the course of banks, enabling them to provide the requirements of development, including meeting the needs of investment companies for advanced financial services.
In terms of international, regional and Arab economic relations, Iraq has opened up to extensive exchange and cooperation deals, reflecting the improvement in its economic position and its increasing involvement in its regional and international environment.
The above is but one aspect of many that cannot be fully addressed in this article. However, this achievement provides a solid foundation upon which the next government can build to continue the journey, adopt the important projects whose foundations have been laid, and ultimately achieve the desired economic reform and sustainable development.
I must also mention a crucial indicator upon which we can build a better future: human capital, the cornerstone of development and progress. Alongside this, the health sector has witnessed a significant victory, marked by the successful implementation of the health insurance program for the first time in our country, although we still need more hospitals and advanced medical services.
As for the surprises that may be imposed by international events and changes, they are naturally beyond our control, but the duty remains to deal with them in accordance with the interest of the country and its people.
Beyond that, it is the responsibility of the new and anticipated government to turn expectations into realities on the ground, so that the citizen may enjoy the bounty and wealth of his country. All we need is sound management of public funds, and the rest will happen automatically. https://alsabaah.iq/125679-.html
Experts: Liquidity Is Under Control, Reforms Are Necessary
Baghdad: Hussein Thagab and Imad Al-Imara Economic experts have downplayed concerns about financial risks threatening the reality of public spending in the country, stressing that what the state’s monthly liquidity is witnessing does not amount to a “financial gap” in the scientific and precise sense, but rather reflects mainly the effects of fluctuating crude oil prices in global markets, in addition to the limited non-oil resources.
They pointed out that the financial situation remains within manageable limits, but requires genuine structural reforms to prevent a recurrence of crises and enhance financial stability in the medium and long term. Experts believe that talk of a fiscal gap is often misunderstood, as a gap implies a persistent structural deficit between revenues and expenditures, whereas the current situation is linked to temporary fluctuations in monthly cash flows. These fluctuations stem from the nature of a rentier economy and its near-total dependence on oil, making public finances vulnerable to changes in global markets.
In this context, the Prime Minister's financial advisor, Dr. Mazhar Muhammad Salih, affirmed that the fluctuations in monthly liquidity cannot be classified as a genuine financial gap, but rather reflect temporary imbalances linked to the volatility of oil revenues and the weak contribution of non-oil revenues to financing the general budget.
In an interview with Al-Sabah newspaper, he explained that managing this situation requires a high degree of realism in financial decision-making and swift action, avoiding reactive or temporary solutions that could lead to deeper imbalances in the long run.
The Essence Of Financial Stability
Saleh pointed out that maintaining financial stability at this stage necessitates controlling and prioritizing operational spending to ensure it is directed towards the state's essential obligations, primarily salaries for employees and retirees, social safety nets, and critical service and security sectors. He emphasized that rationalizing or postponing some non-essential expenditures does not mean reducing the state's role, but rather aims to protect financial and social equilibrium and prevent financial pressures from spreading to broader segments of society.
He added that any financial solution must balance the requirements of monetary stability with the social dimension, warning that ill-considered decisions could create inflationary or social effects that would be difficult to contain later.
Maximizing Resources And Improving Tax Collection
The financial advisor emphasized that maximizing financial resources is a complementary approach to controlling spending. This can be achieved by improving the efficiency of tax collection and the collection of outstanding dues, along with developing tax administration and expanding the tax base without overburdening low-income earners. He explained that strengthening non-oil revenues has become a strategic necessity to reduce the vulnerability of public finances to oil price fluctuations.
He also indicated the possibility of resorting to domestic borrowing within carefully considered limits and using short-term instruments, provided that this does not lead to liquidity pressures or create inflationary waves. At the same time, he emphasized the importance of activating the investment of underutilized government assets and transforming them into productive resources, thereby contributing to supporting public finances and achieving sustainable revenues in the medium term.
Diagnosing The Structural Problem
For his part, financial expert Alaa al-Fahd explained that Iraq's financial problem has been identified for years and stems from the rentier nature of its economy and its excessive reliance on oil revenues, making the country highly vulnerable to any rise or fall in crude oil prices on global markets. He emphasized that this structural problem requires reforms that go beyond temporary or patchwork solutions.
Al-Fahd told Al-Sabah: “The current stage calls for adopting urgent and immediate reforms to deal with the current challenges, in addition to future strategic reforms aimed at diversifying the revenue basket and reducing dependence on oil, as well as reducing government spending as much as possible without affecting social or productive investment spending.”
Strategic Projects
As A Safety Valve
Al-Fahad pointed out that the major projects adopted by the government, including the Grand Faw Port and the Development Road project, as well as the revitalization of the agricultural and industrial sectors, represent a crucial pillar for mitigating the impact of any potential financial crisis. He explained that these projects not only provide direct revenues but also contribute to addressing chronic economic bottlenecks, creating job opportunities, and stimulating local production chains that enhance the added value of the national economy.
He added that investing in agriculture and industry represents a strategic option to transform the economy from a rentier, consumer-based economy to a productive one, thus ensuring more stable and less volatile sources of income.
Permanent Sources Of Revenue
The financial expert stressed that the current financial situation does not pose a direct threat to the country’s stability, but that the continuation of the situation as it is without radical treatment may lead to unacceptable confusion, in light of the one-sided economy, weak government coordination, and the disruption of many sectors that are supposed to be key drivers of growth and permanent sources of revenue.
He pointed out that the next government bears a double responsibility in finding real solutions to the problems of the economy, by adopting clear policies to move towards diversifying financial revenues, while avoiding resorting to unstudied internal or external debt, due to the future burdens it places on public finances.
Digital Transformation As A Reform Tool
Al-Fahad pointed out that automating taxes and customs, and transitioning to electronic collection systems, are pivotal reform tools for the next phase, given their role in increasing revenues, reducing waste and corruption, and improving financial transparency. He emphasized that these measures, along with activating productive sectors, can contribute to achieving sustainable financial and economic prosperity.
He concluded by emphasizing that the current financial situation is still under control, but managing the next phase requires courageous decisions and gradual and well-thought-out reforms, stressing that the search for real solutions is no longer an option, but an inevitable necessity to ensure economic and social stability in the country. https://alsabaah.iq/125458-.html
Experts: Iraq Achieves Financial Balance That Boosts Global Market Confidence
Economic Baghdad: Hussein Thagab and Imad Al-Imara Economic experts and specialists have downplayed the risks of Iraq’s internal and external public debt, stressing that its ratio is still within the safe international standard range, and that the strength of the foreign currency reserves has contributed to the stability of Iraq’s financial situation.
The opinions of experts and specialists in economic affairs were consistent with the assurances of the Prime Minister’s financial advisor, Dr. Mazhar Muhammad Saleh, who indicated that “only $3 billion of the remaining debts to the Paris Club will be settled by 2028, and that 47% of the internal debt remains within the investment portfolio of the Central Bank of Iraq, and is covered as cash liquidity or cash liabilities at a rate exceeding 100% in foreign currency thanks to the strength of Iraq’s foreign reserves.”
Debt Repayment Mechanism
Saleh told Al-Sabah: “There is an amount of less than $6 billion of external debt being withdrawn and spent on projects in the liberated areas, from loans provided by international development funds, all of which will also be paid in the current decade, in addition to an external debt of about $9 billion that will be paid gradually in the next decade.”
He explained that the federal general budget sets a precise mechanism for settling external debts and their due dates on an annual level with a high degree of regularity, which has made Iraq’s credit rating more stable at the B level during the last ten years.
He added that the external public debt does not exceed, in all circumstances, between 7 and 8% of the gross domestic product, which is within the safe international standard range that allows the public debt to the output to be 60%, noting that the fluctuations in the price of oil, the main resource for the general budget, between 2014 and recently, and other external factors, led to government borrowing from the local banking market, which led to an increase in the internal public debt to about 92 trillion Iraqi dinars.
Investment Portfolio
The government advisor explained that 47% of the internal debt remains within the investment portfolio of the Central Bank of Iraq, and it is covered as cash liquidity or cash liabilities at a rate of more than 100% in foreign currency thanks to the strength of Iraq’s foreign reserves. He stressed that the total internal and external public debt as a percentage of GDP remains within the safe international standard range and does not exceed 35% to 40% of the country’s GDP under any circumstances.
Saleh emphasized the positive role played by monetary policy in what is called “monetary adjustment”, by facilitating the acceptance of bonds, bills or treasury bills under which public finances borrowed through market operations and absorbing them within the investment portfolio of the Central Bank of Iraq at a rate of approximately 47%, which greatly increased the liquidity of the economy.
And The Expansion Of The Monetary Base.
Real Assets
Saleh pointed out that the public finances authority, sooner or later, must begin accepting a strict and joint reform program between it as the financial authority and in conjunction with the monetary authority to gradually extinguish the internal public debt by linking that debt and exchanging it for real, productive government assets, or those capable of becoming productive, that generate high-value chains that help diversify the national economy, extinguish the debt at the same time, and support sustainable development.
Saleh called for the adoption of an economic model for swapping public debt for real government assets, by undertaking the Equity Acquisition process and the productive operation of distressed real government assets and converting them into joint-stock companies in a major partnership model between the state and the private sector, explaining that in this way the public debt can be gradually exchanged for those shares tradable in the capital markets, and the negative financial shocks that generated and accumulated that debt can be transformed.
Towards A Productive Force.
Enhancing Production Capabilities
In the same context, Alaa Fahd, a member of the media team at the Central Bank of Iraq, stated that the issue of debt is not an exceptional case specific to Iraq alone, as even major countries like the United States have internal and external debts, and it is often considered the most frequently used financial tool.
In Economic Growth.
Fahd explained to Al-Sabah that borrowing is not a problem in itself when it is directed towards investment spending because it creates income and job opportunities and enhances production capabilities. He pointed out that the internal debt, which currently amounts to about 91 trillion dinars, can be dealt with in a considerable part because it is owed to government banks owned by the state, which makes it less dangerous. However, the continued reliance on borrowing is a warning bell that calls for serious treatment.
He stressed that the solution lies in diversifying non-oil revenues and not being satisfied with a single resource, in addition to enhancing electronic collection of taxes and customs, and opening the way for investments and partnerships with the private sector to reduce pressure on public finances, calling for the revitalization of stalled sectors such as agriculture, industry, transportation and communications, and negotiating with OPEC Plus to increase Iraq’s oil quota in line with its production capacity. https://alsabaah.iq/124145-.html
For current and reliable Iraqi news please visit: https://www.bondladyscorner.com
MilitiaMan: IQD News Update-Iraq's 2025 Reform Path to Global Integration
MilitiaMan: IQD News Update-Iraq's 2025 Reform Path to Global Integration
12-29-2025
The Crew: Samson, PompeyPeter, Petra, Daytrader, Sunkissed, GIGI and Militia Man
Follow MM on X == https://x.com/Slashn
Be sure to listen to full video for all the news……..
MilitiaMan: IQD News Update-Iraq's 2025 Reform Path to Global Integration
12-29-2025
The Crew: Samson, PompeyPeter, Petra, Daytrader, Sunkissed, GIGI and Militia Man
Follow MM on X == https://x.com/Slashn
Be sure to listen to full video for all the news……..
Seeds of Wisdom RV and Economics Updates Monday Evening 12-29-25
Good Afternoon Dinar Recaps,
Russia Escalates Pressure as Peace Talks Narrow and Territorial Demands Harden
Force warnings and Donbas withdrawal demands frame Moscow’s negotiating stance
Good Afternoon Dinar Recaps,
Russia Escalates Pressure as Peace Talks Narrow and Territorial Demands Harden
Force warnings and Donbas withdrawal demands frame Moscow’s negotiating stance
Overview
Russian President Vladimir Putin warned Russia will pursue its war objectives by force if peace negotiations stall
The Kremlin formally demanded Ukraine withdraw troops from remaining areas of Donbas as a condition for peace
Russia signaled no willingness to compromise on territory it currently occupies
Escalating rhetoric coincides with renewed U.S.-led diplomatic engagement involving President Donald Trump
Key Developments
Putin stated Ukraine is not moving quickly enough toward a peaceful settlement
The Kremlin warned Kyiv could lose additional territory if no agreement is reached
Russian forces claimed gains in Donetsk and Zaporizhzhia regions, which Ukraine disputes
Fighting continues in contested areas including Huliaipole, where Ukraine retains most control
Kremlin spokesman Dmitry Peskov said Ukraine must withdraw forces from Donbas to achieve peace
Russia claims sovereignty over Donbas, Zaporizhzhia, and Kherson despite international rejection
Putin and Trump are expected to hold another direct call as U.S.-led diplomacy continues
No direct talks between Putin and Zelenskiy are currently planned, according to the Kremlin
Why It Matters
Russia’s position signals diplomacy is being pursued under the explicit threat of further escalation. By coupling battlefield pressure with hardened territorial demands, Moscow is attempting to force negotiations toward its preferred end state before international momentum solidifies around a settlement framework.
This dual-track strategy — diplomacy paired with coercion — narrows the window for compromise and raises the stakes for all parties involved. As talks advance, public signaling has become an extension of negotiation tactics, not a precursor to de-escalation.
Why It Matters to Foreign Currency Holders
For foreign currency holders, Russia’s escalation posture sustains geopolitical risk premiums across global markets. Prolonged conflict keeps energy volatility elevated, disrupts trade corridors, and forces governments to prioritize defense spending over fiscal repair — weakening currency fundamentals over time.
Hardline territorial demands reduce near-term certainty, delaying capital reallocation and infrastructure investment. Currencies tied to extended conflict exposure face repricing risk, while those supported by energy security, disciplined monetary policy, and geopolitical stability gain relative resilience.
In reset terms, unresolved conflict does not collapse currencies — it postpones repricing clarity.
Implications for the Global Reset
Pillar: Peace Determines Timing, Not Direction
The global system will restructure regardless, but conflict delays capital normalization.
Pillar: Geopolitics Shapes Currency Risk Premiums
Territorial instability embeds long-term valuation pressure into exposed currencies.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Reuters — “Putin warns Russia will seize Ukraine’s goals by force without peace deal”
Reuters — “Kremlin demands Ukraine pull back from Donbas, Putin-Trump call expected soon”
Modern Diplomacy — “Putin Warns Russia Will Seize Ukraine’s Goals by Force Without Peace Deal”
Modern Diplomacy — “Kremlin Demands Ukraine Pull Back from Donbas, Putin-Trump Call Expected Soon”
~~~~~~~~~~
Russia–Ukraine Peace Talks Signal Coming Shift in Energy Settlement and Currency Repricing
Sanctions pressure, payment rails, and energy trade sit at the center of negotiations
Overview
Russia’s hardline negotiating stance is unfolding alongside active U.S.-led peace diplomacy
Energy settlement and sanctions relief are central — though unstated — components of any deal
The outcome directly impacts currency valuation, trade flows, and reserve strategies
Markets are positioning for structural repricing rather than short-term volatility
Key Developments
Russia continues to condition peace on territorial concessions while maintaining energy leverage
Western sanctions have restricted Russia’s access to dollar- and euro-based settlement systems
Energy exports have increasingly settled through alternative currencies and payment channels
Europe remains highly sensitive to energy security and price stability
Any durable peace framework would require phased sanctions adjustment or selective unwind
Energy settlement normalization would immediately alter trade balances and FX flows
Energy Settlement: The Hidden Core of Negotiations
Energy trade is the financial backbone of the conflict. Since sanctions intensified, Russia has rerouted oil and gas exports toward non-Western buyers, settling transactions in non-dollar currencies, barter arrangements, or hybrid payment structures. This has reduced dollar demand while reinforcing multipolar settlement channels.
A peace agreement would not instantly restore pre-war settlement norms. Instead, it would likely introduce tiered settlement frameworks, allowing energy to flow under controlled compliance structures. These frameworks would favor asset-backed trust, bilateral clearing, and regional currencies, not a full return to dollar dominance.
Sanctions Unwind: Gradual, Conditional, and Financially Strategic
Sanctions unwind is not binary. Any relief would be phased, conditional, and transaction-specific. Financial access would be restored selectively — beginning with energy, agriculture, and infrastructure — while broader capital markets remain restricted.
This creates a transition phase where legacy sanctions coexist with new settlement rails, accelerating adoption of alternative systems rather than reversing them. Once sanctions expose the fragility of single-currency dependence, reversal rarely restores old habits.
Currency Repricing: From Risk Premium to Infrastructure Reality
As conflict risk recedes, currencies begin repricing away from fear-driven premiums toward infrastructure readiness. Energy-importing currencies benefit from stabilized pricing, while exporting nations regain balance-sheet clarity.
Most importantly, the repricing is structural, not speculative. Currencies tied to efficient settlement, reliable energy access, and compliant payment systems gain durability. Those reliant on sanctions leverage or debt-financed subsidies face long-term valuation pressure.
Why It Matters
Peace changes the function of energy markets — from weaponized supply to balance-sheet anchor. It also shifts currencies from geopolitical instruments back toward economic tools. This transition forces markets to reprice based on settlement efficiency, reserve composition, and trade reliability, not rhetoric.
Why It Matters to Foreign Currency Holders
For foreign currency holders, energy settlement reform is a currency event. When energy trades move outside traditional dollar channels, reserve demand shifts. When sanctions unwind selectively, currencies exposed to energy flows reprice first.
Holders positioned in currencies backed by stable energy access, disciplined policy, and modern settlement infrastructure gain protection. Those exposed to prolonged subsidy burdens, volatile imports, or sanctions dependency face repricing risk as the system recalibrates.
Implications for the Global Reset
Pillar: Energy Determines Settlement Power
Control of energy flows increasingly determines currency relevance.
Pillar: Sanctions Accelerate Multipolar Finance
Restrictions force innovation — and innovation persists after relief.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Reuters — “Putin warns Russia will pursue war goals by force if peace talks stall”
Reuters — “West hits peak sanctions on Russia’s energy sector”
~~~~~~~~~~
BRICS Sell U.S. Debt as Dollar Faces Structural Pressures
Selloffs in Treasuries, reserve shifts, and a bearish dollar outlook signal evolving global finance
Overview
BRICS members — notably China, India, and Brazil — reduced their holdings of U.S. Treasury securities in October 2025
October reductions included China, India, and Brazil selling significant amounts of U.S. debt
These moves align with broader de-dollarization trends and diversification of reserves
Financial institutions, including JPMorgan, are forecasting continued pressure on the U.S. dollar in 2026
Key Developments
In October 2025, Treasury International Capital (TIC) data showed notable net foreign official outflows from U.S. securities, including from BRICS countries.
China, India, and Brazil were among the largest reductions in official U.S. debt holdings for that period.
JPMorgan’s Global FX Strategy team has expressed a net bearish outlook on the U.S. dollar in 2026, though not uniform across all currency pairs.
Part of this outlook stems from interest rate differentials: expectations that U.S. rate cuts could weaken the dollar versus the euro and yen.
Long-term BRICS reserve strategy increasingly includes diversification outside of dollar-centric assets.
Why It Matters
The shift in BRICS holdings reflects more than routine portfolio management — it embodies a gradual structural shift in reserve allocation and risk perception. Rather than dramatic one-off dumps, BRICS reductions are part of a steady diversification from dollar-denominated debt to other assets, including gold and non-USD instruments. This movement alters the composition of global reserve holdings and reduces dependency on the U.S. Treasury market as the primary stronghold of foreign official capital.
Why It Matters to Foreign Currency Holders
For foreign currency holders, the selloff and diversification trend signal changing confidence dynamics in the dollar-centric system. If major trade and reserve partners allocate less to dollar assets, currency valuation becomes influenced not only by U.S. fundamentals but by global portfolio shifts, geopolitical positioning, and relative policy rates.
Pressure on the dollar increases the likelihood of shifted capital flows, rising yields on U.S. debt (if demand weakens), and greater currency volatility. Currencies tied to economies with rising trade integration or alternative settlement systems may gain attractiveness relative to USD-centric exposure.
This trend underscores that currency strength increasingly reflects reserve composition and settlement mechanisms, not just domestic policy.
Implications for the Global Reset
Pillar: Reserve Diversification Alters Dominance
As nations diversify away from U.S. debt, the dollar’s structural anchoring role weakens over time.
Pillar: Multipolar Liquidity Rebalancing
Global capital begins pricing not just macro fundamentals but geopolitical and institutional diversification paths.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
~~~~~~~~~~
Seeds of Wisdom Team RV Currency Facts Youtube and Rumble
Newshound's News Telegram Room Link
RV Facts with Proof Links Link
RV Updates Proof links - Facts Link
Follow the Gold/Silver Rate COMEX
Follow Fast Facts
Seeds of Wisdom Team™ Website
Thank you Dinar Recaps
Iraq Economic News and Points To Ponder Monday Evening 12-29-25
Iraq Ranks 29th Globally And Third In The Arab World Among The Banks With The Best Reserves
Banks Economy News – Baghdad Iraq ranked 29th globally out of 50 countries, and third in the Arab world, among the best central banks in terms of hard currency reserves, according to Visual Capitalist, a website specializing in markets, technology, energy and the global economy.
Iraq Ranks 29th Globally And Third In The Arab World Among The Banks With The Best Reserves
Banks Economy News – Baghdad Iraq ranked 29th globally out of 50 countries, and third in the Arab world, among the best central banks in terms of hard currency reserves, according to Visual Capitalist, a website specializing in markets, technology, energy and the global economy.
The website stated that the central bank's reserves serve as the state's financial shield, as they consist of foreign currencies, gold, and other liquid assets, and play a pivotal role in stabilizing currencies and overcoming financial crises, noting that the size of these reserves determines the resilience of economies in the face of shocks and their impact on global markets.
According to the report, Iraq ranked 29th globally in terms of the largest reserves of foreign currency and gold, with a total of $100.691 billion.
Globally, China topped the list with reserves of $3.456 trillion, followed by Japan in second place with $1.231 trillion, then the United States in third place with $910.037 billion, Switzerland in fourth place with $909.366 billion, followed by India in fifth place with $643.043 billion, and then Russia in sixth place with $597.217 billion.
In the Arab world, Saudi Arabia ranked first with reserves of $463.870 billion, followed by the UAE in second place with $237.931 billion, then Iraq in third place, Libya in fourth place with $92.894 billion, Algeria in fifth place with $83 billion, Qatar in sixth place with $53.987 billion, Kuwait in seventh place with $50.728 billion, while Egypt ranked eighth with $44.921 billion. https://economy-news.net/content.php?id=63970
Launch Of The Securities Commission's 2026–2028 Strategy To Transform Iraq Into A Regional Financial Center
Monday, December 29, 2025 | Economy Number of views: 152 Baghdad/ NINA / The Chairman of the Securities Commission, Faisal Al-Haimas, announced the imminent launch of the Commission's strategy for the years 2026-2028, a step aimed at transforming the Iraqi Stock Exchange into a leading regional financial center.
In a statement, Al-Haimas explained that "the new strategy is based on comprehensive digital transformation, diversifying investment instruments, deepening liquidity, attracting foreign investment, enhancing transparency, and protecting investors' rights."
He emphasized that "this strategy aligns with the government's direction towards economic reform and revitalizing the financial sector," noting that "the Commission will work to implement its phases according to well-studied timelines and in cooperation with local and international partners to ensure a qualitative leap in the performance of the Iraqi financial market." /End https://ninanews.com/Website/News/Details?key=1269088
Dollar Prices Jump, Exceeding 140,000 In Baghdad
Money and Business Economy News – Baghdad The exchange rate of the US dollar rose today, Monday, in the markets of the capital, Baghdad.
The dollar exchange rate rose at 1:00 PM in the Al-Kifah and Al-Harithiya exchanges in Baghdad to reach 144,400 dinars per 100 dollars, while it had reached 143,900 Iraqi dinars per 100 dinars earlier in the day.
Our correspondent noted that selling prices in currency exchange shops in local markets in Baghdad have increased, with the selling price reaching 145,000 dinars for 100 dollars, while the buying price recorded 144,000 dinars for 100 dollars.
https://economy-news.net/content.php?id=63971
Gold Prices Remain Stable In Iraqi Markets
Stock Exchange Gold prices in Iraqi markets remained relatively stable on Sunday, according to indicators from the Iraqi gold market, amid a lull in buying and selling activity.
As of 7:15 PM, the price of a gram of 21-karat gold was approximately 175,316 Iraqi dinars (equivalent to $121.83), while a mithqal (approximately 4.5 grams) of 21-karat gold reached 876,578 dinars.
uA gram of 22-karat gold was priced at around 183,664 dinars, while a gram of 24-karat gold reached approximately 200,361 dinars, and a gram of 18-karat gold was around 150,270 dinars.
On the international market, an ounce of gold was priced at approximately 6,231,913 Iraqi dinars (equivalent to $4,330.73), while an ounce of silver reached 103,394 dinars.
The market noted that the prices offered do not include drafting fees, with traders anticipating any changes that may occur in prices during the coming days due to fluctuations in global markets and the dollar exchange rate.
https://economy-news.net/content.php?id=63988
Oil Prices Rise; Brent Crude Reaches $61.97 Per Barrel
energy Oil prices rose by about 2% on Monday as investors awaited developments in talks between the U.S. and Ukrainian presidents regarding a potential agreement to end the war in Ukraine, amid concerns about possible disruptions to oil supplies in the Middle East.
Brent crude futures rose $1.33, or 2.2%, to $61.97 a barrel, while U.S. West Texas Intermediate crude futures climbed $1.31, or 2.3%, to $58.05 a barrel.
Both benchmarks had fallen by more than 2% on Friday, as investors worried about an impending global supply glut and the prospects for a peace deal in Ukraine ahead of talks earlier in the week between Ukrainian President Volodymyr Zelensky and U.S. President Donald Trump, according to Reuters. https://economy-news.net/content.php?id=63990
For current and reliable Iraqi news please visit: https://www.bondladyscorner.com
Top Trader Forecasts Gold & Silver for 2026 – and the Black Swan That Could Derail Markets
Top Trader Forecasts Gold & Silver for 2026 – and the Black Swan That Could Derail Markets
Miles Franklin Media: 12-28-2025
Michelle Makori, President & Editor-in-Chief, Miles Franklin Media, is joined by Gareth Soloway, Chief Market Strategist at Verified Investing, to break down what could become the true black swan of 2026. Soloway shares his 2026 forecast for gold, silver, palladium, platinum and more. He also gives his top trade of 2026. In this episode of The Real Story:
Why gold and silver surged to record highs in 2025 & what that signals next
Soloway’s call for $5,000 gold in early 2026
Top Trader Forecasts Gold & Silver for 2026 – and the Black Swan That Could Derail Markets
Miles Franklin Media: 12-28-2025
Michelle Makori, President & Editor-in-Chief, Miles Franklin Media, is joined by Gareth Soloway, Chief Market Strategist at Verified Investing, to break down what could become the true black swan of 2026. Soloway shares his 2026 forecast for gold, silver, palladium, platinum and more. He also gives his top trade of 2026. In this episode of The Real Story:
Why gold and silver surged to record highs in 2025 & what that signals next
Soloway’s call for $5,000 gold in early 2026
Why silver may see a sharp correction before its next leg higher
Bitcoin’s ETF-driven transformation into a macro trading asset
Why oil could be the most overlooked trade of 2026
How near-24/7 stock trading could turn markets into a casino
Coming Up
00:34 Introduction: Precious Metals Performance in 2025
03:09 Bitcoin's Performance & Future Outlook
13:23 Equity Market Predictions for 2026
17:00 Potential Black Swan Events in 2026
19:05 Impact of Japanese Rates on US Markets
20:57 Inflation & the Fed's Role
34:59 Gold's Future in 2026
38:32 Gold Price Predictions for 2026
41:05 Silver's Extraordinary Performance
42:37 Silver Market Dynamics
49:13 Platinum & Palladium Insights
50:35 Top Trade for 2026
56:44 Avoiding Tech Stocks in 2026
01:00:31 Market Emotions & Investor Psychology
01:01:30 Round-the-Clock Trading: A New Era
01:05:00 Final Thoughts & Personal Advice
Seeds of Wisdom RV and Economics Updates Monday Afternoon 12-29-25
Good Afternoon Dinar Recaps,
Key Watched Nations: Who Is Ready for the Global Financial Reset
Infrastructure, assets, and timing determine who moves first
Good Afternoon Dinar Recaps,
Key Watched Nations: Who Is Ready for the Global Financial Reset
Infrastructure, assets, and timing determine who moves first
Overview
The global reset will not occur uniformly across all countries
Readiness depends on infrastructure, reserves, governance, and political timing
Some nations are technically ready but politically constrained
Others are asset-rich but policy-limited
Quiet preparation often signals higher readiness than public declarations
Why This Series Matters
Most observers focus on headlines. Institutions focus on plumbing.
This series tracks countries where financial architecture is already aligned — even if public action has not yet occurred.
🇻🇳 Vietnam — Quietly Ready, Strategically Patient
Deeply embedded in global manufacturing supply chains
Conservative monetary policy and disciplined reserve management
Rapid growth in digital and cashless payment rails
Strategy favors smooth transition over disruptive reform
Status: Technically ready, deliberately quiet
🇮🇶 Iraq — Technically Ready, Politically Timed
Core banking and payment systems upgraded and compliant
Strong oil revenues support reserves and balance-of-payments strength
Settlement and reporting infrastructure largely complete
Political coordination remains the gating factor
Status: Infrastructure complete, execution paced
🇻🇪 Venezuela — Asset-Rich, Policy-Constrained
One of the world’s largest oil reserves
Significant gold holdings despite economic turmoil
Currency credibility damaged by years of mismanagement
Any reset participation depends on policy overhaul and governance reform
Status: Assets present, credibility rebuilding required
🇮🇷 Iran — Sanctioned but Structurally Aligned
Energy-rich with strong domestic production capacity
Alternative trade and settlement channels already in use
Reduced dependence on Western banking systems
Sanctions limit integration, not internal readiness
Status: Operationally adaptive, externally restricted
🇷🇺 Russia — De-Dollarized, Resource-Anchored
Large gold reserves and commodity backing
Settlement systems increasingly routed outside dollar rails
Accelerated adoption of alternative payment mechanisms
Strategic focus on sovereignty over integration
Status: Actively transitioned, geopolitically isolated
🇨🇳 China — System Builder, Not First Mover
Advanced digital currency infrastructure
Large gold reserves and trade dominance
Prefers control, testing, and phased rollout
Avoids triggering instability through sudden shifts
Status: Technically advanced, strategically restrained
🇧🇷 Brazil — Aligned, Cooperative, and Adaptive
Strong participation in BRICS initiatives
Commodity-backed economic strength
Improving digital payment and settlement systems
Favors multilateral coordination
Status: Ready through alignment, not leadership
🇺🇸 United States — Structurally Ready, Strategically Constrained
Most advanced financial infrastructure globally
Deep debt limits monetary flexibility
Must manage transition without triggering loss of confidence
Focused on control of timing rather than speed
Status: Ready but constrained by reserve-currency role
🇪🇺 European Union — Technically Advanced, Politically Fragmented
Modern payment rails and regulatory frameworks
Uneven debt and growth across member states
Consensus governance slows decisive action
Likely to follow coordinated global moves
Status: Operationally ready, institutionally slow
Why It Matters
The reset will favor countries that:
Built infrastructure quietly
Anchored value with assets
Modernized settlement rails
Managed timing carefully
Countries that confuse noise with readiness risk volatility.
Implications for the Global Reset
Pillar: Readiness Is Uneven
The reset unfolds in stages, not a single moment.Pillar: Infrastructure Beats Rhetoric
Payment rails, reserves, and settlement systems determine who moves first.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
International Monetary Fund — “Country Financial and Monetary Profiles”
Bank for International Settlements — “Global Payment System Modernization”
~~~~~~~~~~
Silver’s Record Break and Sharp Reversal: What Volatility Means for Reset Assets
Structural demand, speculative spikes, and market mechanics collide in historic silver moves
Overview
Silver prices hit all-time highs above $80 per ounce late in December 2025 before sharply retracing
The rally was quickly followed by a steep pullback as profit-taking, margin requirement increases, and rapid repositioning hit markets.
This pattern reflects deeper forces in silver — supply constraints, industrial demand, speculative leverage, and macro positioning, not just transient safe-haven flows.
The swing in prices highlights how precious metals behave at the intersection of monetary stress and real demand needs — a key signal in the global reset landscape.
Key Developments
Parabolic Rally to Record Levels
Silver climbed dramatically in 2025, driven by a blend of geopolitical uncertainty, expectations of U.S. interest rate cuts, tight physical supply, and industrial demand.
Spot prices reached all-time highs near $80 per ounce (and intraday peaks reported above $83), far exceeding historical norms
Tight inventories, export restrictions, and foundational supply deficits contributed to the surge.
Sudden Pullback and Volatility
After the record surge, profit-taking and risk reduction triggered a sharp decline in prices.
Exchanges responded by raising margin requirements, putting pressure on leveraged positions and amplifying the selloff.
Sharp intraday falls — including double-digit percentage retreats — underscored the fragile balance between speculative positioning and real demand pressures.
Underlying Forces Driving the Move
Structural supply deficits and declining inventories created real scarcity pressures beyond typical safe-haven behaviors.
Industrial demand — especially for technology, solar, EVs, and data centers — added a parallel consumption narrative.
Macro drivers, including weakening currencies and rate expectations, enhanced precious metals appeal.
Why It Matters
Silver’s late-year ascent and dramatic reversal underscore how volatile hybrid assets — those with both industrial demand and monetary characteristics — behave under pressure.
Drivers of the Rally
Structural supply deficits: global demand, particularly for industrial uses like solar, AI, and electrification, remains tight and outpaces mining increases.
Safe-haven rotation: geopolitical uncertainty, anticipated interest rate cuts, and concerns about currency debasement pushed investors toward hard assets.
Speculative momentum: record prices attracted a wave of leveraged and retail traders, inflating a self-fulfilling surge in futures markets.
Mechanics of the Fall
Margin hikes by exchanges quickly escalated holding costs, forcing leveraged longs to reduce exposure.
Profit-taking at extreme levels occurred as technical conditions became overbought, exacerbating sell-offs.
Paper markets reacted faster than physical demand, illustrating how liquidity stress can overwhelm fundamental price drivers.
Why It Matters to Foreign Currency Holders
For foreign currency holders, silver’s volatility is more than a commodity story — it is a signal of shifting risk perception and repricing dynamics within asset markets.
Volatility reveals liquidity fragility: When leveraged players dominate, market repricing can occur swiftly and deeply, influencing expectations for other monetary and near-money assets.
Safe-haven rotation intersects with macro stress: Silver’s rally correlates with expectations of lower real yields and currency debasement — themes also central to currency repricing risk.
Industrial demand embeds fundamentals: Unlike gold, silver’s pricing captures both value storage and real economic utility, making it a more sensitive early indicator of systemic stress.
Silver’s run and subsequent correction suggest that markets are actively testing the boundaries between store-of-value demand and industrial scarcity, a dynamic that will increasingly shape how currencies and alternative assets are valued in reset scenarios.
Implications for the Global Reset
Pillar: Dual-Role Assets Lead Signals
Assets that combine monetary and industrial demand — like silver — can signal stress earlier than pure stores of value, highlighting where liquidity and leverage intersect with real demand.
Pillar: Market Mechanics Matter More Than Narratives
Margin costs, exchange interventions, and liquidity conditions can drive faster price adjustments than long-term structural narratives alone.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Financial Times — “Silver price tumbles as record-breaking rally goes into reverse”
PV Magazine USA — “Silver hits record high of $83.62 an ounce”
~~~~~~~~~~
Seeds of Wisdom Team RV Currency Facts Youtube and Rumble
Newshound's News Telegram Room Link
RV Facts with Proof Links Link
RV Updates Proof links - Facts Link
Follow the Gold/Silver Rate COMEX
Follow Fast Facts
Seeds of Wisdom Team™ Website
Thank you Dinar Recaps
Iraq Economic News and Points To Ponder Monday Afternoon 12-29-25
The Economic Risk Map That The World Has Drawn Up For Iraq During The Year 2025
Economy 22-12-2025, | 602 Deep Structural Imbalances Baghdad Today – Baghdad In the assessments of international institutions regarding Iraq's situation in 2025, it is not viewed as an economy heading towards a single, specific crisis, but rather as a system living on a delicate balance: a state that finances itself from a single resource, consumes most of its revenue on current expenditures, postpones the development of a productive economy, and is then surprised to find that shocks do not come in isolation, but rather as simultaneous waves linked to oil prices, production decisions, water scarcity, youth employment, and investor confidence
The Economic Risk Map That The World Has Drawn Up For Iraq During The Year 2025
Economy 22-12-2025, | 602 Deep Structural Imbalances Baghdad Today – Baghdad In the assessments of international institutions regarding Iraq's situation in 2025, it is not viewed as an economy heading towards a single, specific crisis, but rather as a system living on a delicate balance: a state that finances itself from a single resource, consumes most of its revenue on current expenditures, postpones the development of a productive economy, and is then surprised to find that shocks do not come in isolation, but rather as simultaneous waves linked to oil prices, production decisions, water scarcity, youth employment, and investor confidence.
This is why reports repeatedly describe the situation as one of deep structural imbalances that cannot be remedied by temporary abundance or masked by circumstantial improvements.
Dangerous Dependence On Oil
The most consistent observation in the 2025 reports is that oil continues to dictate the pace of a nation's economy before it dictates the pace of the market. When a country's revenues are so tied to a highly volatile market, any change in prices or production levels can shift it from a position of substantial spending to one of strain in a short period. This dependence not only signifies financial vulnerability but also means that policy itself becomes a recurring crisis management exercise, adapting to the ever-changing oil price landscape.
Public Finances Under Constant Pressure
Reports link the fragility of oil revenues to the structure of public spending. The issue is not simply whether or not there is a deficit, but rather the composition of the budget: salaries, pensions, subsidies, and transfers, compared to productive investment that is insufficient to transform the economy. In this context, there is a recurring warning about the inflation of current spending at the expense of development spending, which makes the state less resilient in the event of an oil shock or an emergency.
An Undiversified Economy And A Sluggish Private Sector
Conversely, reports indicate that the non-oil sector is operating below its potential, and that years of relative stability have not automatically translated into rapid and sustainable growth. They add that the private sector remains constrained by chronic factors: bureaucracy, limited access to finance, weak competition, unstable policies, and state dominance over broad economic sectors. Without a clear regulatory environment and a vibrant financial market, private investment remains too weak to become a major engine of job creation.
Finance And Banking: A Hurdle That Delays Investment
One of the most frequent findings in the reports is that the financial system is not playing its full role in driving the economy. When credit to the private sector is limited, and when confidence in the financial system remains insufficient, small and medium-sized enterprises (SMEs) become trapped between operating costs and difficulty accessing finance, which weakens expansion and innovation and reduces opportunities for creating stable jobs.
A Dysfunctional Labor Market And High Youth Unemployment
From a labor market perspective, reports highlight the expansion of the informal economy as a large but precarious employment sector. Informal jobs mean less protection, lower productivity, a limited tax base, and ultimately, a state that spends more to manage the consequences of unemployment rather than investing in preventing it. While public sector opportunities remain the most attractive, the state's capacity to absorb them is diminishing as wages inflate, leaving the youth gap open to increasingly complex social and economic possibilities.
Corruption And Governance: A Hidden Cost That Consumes The State
International reports treat corruption and governance as economic indicators, not merely ethical considerations. Corruption increases project costs, weakens competition, deters investment, and diverts public spending toward lower output at a higher cost. Simultaneously, poor governance undermines the ability of institutions to enforce fair and transparent rules, which directly impacts market confidence and capital willingness to invest.
Increased External Risks
Reports do not view Iraq as an isolated economy, but rather as a country that is quickly exposed to global shocks due to its dependence on oil. A slowdown in the global economy, geopolitical and trade instability, or changes in demand all translate into an immediate impact on revenues. And when domestic obligations are fixed and substantial, the margin for maneuver in the face of any revenue decline becomes very limited.
Water And Climate: The Danger That Became Economic
By 2025, the water issue had shifted from the realm of environmental concerns to that of economic ones. Water scarcity, agricultural decline, and internal migration are placing long-term pressure on cities, services, and the labor market, presenting the state with a costly dilemma: either significant investments in adaptation and resource management, or accumulating social and economic costs year after year. With the increasing complexity of the water situation in upstream countries, water has become a source of both external and internal pressure simultaneously.
2025 Summary: Improvement Is Reversible If Reforms Remain Delayed
The recurring theme in international reports is that improved revenues alone do not build resilience. If a country remains dependent on oil, consumes most of its resources on current expenditures, leaves the private sector without adequate funding and a clear competitive environment, and faces water scarcity as a recurring shock, then any oil, political, or security shock will push the economy back into a state of tension.
According to economist Ziad al-Hashemi , international reports during 2025 do not speak of a temporary crisis, but rather of structural risks in the Iraqi economic model, and that any improvement in revenues will remain fragile and susceptible to reversal with the first oil, political or security shock unless deep economic reforms are implemented.
Source: Baghdad Today + X website + Agencies https://baghdadtoday.news/289543-2025.html
The Numbers Are Reassuring... But Are The Reserves Sufficient To Protect The Dinar?… The Shocking Truth: The Danger Lies Not In The Market, But In The State Itself.
Baghdad Today – Baghdad While the parallel market is testing the limits of monetary policy, the Prime Minister's financial advisor, Mazhar Muhammad Salih , offered explicit reassurance: the official exchange rate will remain at 1,320 dinars, and the recent fluctuations are merely "short-term noise." But behind this apparent calm lies a larger question concerning the state's ability to bolster its resources without jeopardizing monetary stability.
Economist Ahmed Abdel Rabbo interprets Saleh’s statements as part of a broader strategy; in his view, price stability is not merely a financial option but a political signal that the incoming government will not approach adjusting the exchange rate in its first year, in recognition of the magnitude of the inflationary impact that any step in this direction could have.
Abdel Rabbo tells Baghdad Today that the real challenge lies not in the exchange rate but in the revenue structure itself. He explains that Iraq loses billions of dollars annually through weak customs procedures, a paper-based tax system, and massive import flows that keep the demand for dollars high.
In his view, increasing revenue requires less of a change in the exchange rate and more of a complete customs reform, a shift to electronic tax collection, and linking tax databases to foreign trade, banks, and border crossings.
What Abdel Rabbo points out aligns with part of Mazhar Saleh's vision: strong foreign reserves provide cover for the official exchange rate, and inflation, which has fallen to 2.5%, reflects the success of monetary policy in stabilizing prices. However, without addressing the loopholes in tax collection, evasion, and invoice manipulation, the parallel market will remain capable of generating speculative waves whenever a rumor or incomplete information emerges.
Abdel Rabbo also believes that part of the pressure on the dollar is a result of an economic structure that relies on consumer imports, which makes supporting agriculture, food industries, building materials and medicines not only a development option, but also an indirect monetary policy that reduces the need for the dollar and improves the balance of payments.
In light of this scenario, the equation for stability seems clear: protecting the dinar is not achieved by changing the price, but by reforming the economy from the bottom up.
What Saleh said about the stability of the reserves provides the necessary cover, but what Abd Rabbo is proposing represents the long road that cannot be avoided if the state wants a stable exchange rate that is not shaken by "temporary noise". Source: Baghdad Today + Agencies https://baghdadtoday.news/288554-.html
Central Bank Reserves: Gold Rises, Investments Decline By 5 Trillion Dinars
Source: Alsumaria News 1,229 views Alsumaria News– The economist revealed the economy, Nabil Al-Marsoumi On Sunday, details emerged regarding the latest official data on foreign reserves.
Central Bank of Iraq He confirmed that it had reached levels close to $98.2 billion.
Al-Marsoumi stated in a blog post on his social media account that the foreign reserves of Central Bank of Iraq As of September 30, 2025, it reached $98.155 billion,” based on official figures.
He explained that the total figure mentioned is equivalent to 127.601 trillion dinars, distributed as follows: "Gold 27.552 trillion dinars, investments 98.308 trillion dinars, and cash reserves at the Central Bank 1.741 trillion dinars."
The economist pointed out that "compared to the end of last April, gold reserves increased by approximately 5 trillion dinars, while investments decreased by more than 5 trillion dinars during the same period."
Regarding investments, Al-Marsoumi said they "include investments in US Treasury bonds, British bonds, bonds of other countries, and the purchase of sukuk (Islamic bonds)."Development Bank Islamic investment involves placing deposits in various banks, which are highly liquid and low-risk investments. LINK
For current and reliable Iraqi news please visit: https://www.bondladyscorner.com
“Tidbits From TNT” Monday 12-29-2025
TNT:
Tishwash: Sudani: Our relationship with countries in the region and the world is based on economic partnerships.
Prime Minister Mohammed Shia Al-Sudani affirmed that Iraq’s relations with the countries of the region and the world are based on economic partnerships.
He added that Iraq's relations with countries in the region and the world are based on economic partnerships, given Iraq's geostrategic location and its vast natural and human resources. He emphasized the importance of the relationship with the United States within the economic framework, given its companies and technology, from which Iraq can benefit from its experience.
He explained that Iraq and Syria have great opportunities to improve the economic situation, including the Kirkuk-Banias oil export pipeline.
TNT:
Tishwash: Sudani: Our relationship with countries in the region and the world is based on economic partnerships.
Prime Minister Mohammed Shia Al-Sudani affirmed that Iraq’s relations with the countries of the region and the world are based on economic partnerships.
He added that Iraq's relations with countries in the region and the world are based on economic partnerships, given Iraq's geostrategic location and its vast natural and human resources. He emphasized the importance of the relationship with the United States within the economic framework, given its companies and technology, from which Iraq can benefit from its experience.
He explained that Iraq and Syria have great opportunities to improve the economic situation, including the Kirkuk-Banias oil export pipeline. link
Tishwash: The Sudanese government directs the release of a new batch of payments owed to contractors.
Prime Minister Mohammed Shia al-Sudani directed on Sunday the release of a new batch of payments for completed work as part of a series of payments to Iraqi contractors.
The office of Prime Minister Mohammed Shia al-Sudani said in a statement received by Al-Ghad Press that he chaired a meeting on Sunday regarding the contractual obligations of contractors, in the presence of the Undersecretary of the Ministry of Planning and the head of the Contractors Union.
According to the statement, the meeting included a review of the details of contractual obligations, their amounts, and the sums due to contractors implementing projects for all ministries and governorates, in order to guarantee the rights of contracting companies and support the stability of the construction sector, which is one of the most important drivers of the national economy.
Al-Sudani directed the release of a new batch of payments for completed work as part of a series of payments to Iraqi contractors, stressing the government's commitment to monitoring projects and their implementation phases and ensuring the payment of financial dues to contractors, in order to move forward with infrastructure and service projects link
************
Tishwash: Parliamentary division precedes swearing-in session; vote on parliamentary speaker enters a phase of controversy.
A parliamentary source revealed on Monday that there is a clear division within the Iraqi parliament, ahead of the swearing-in session, regarding the election of the parliament's leadership.
The source told Shafaq News Agency that "a number of MPs from political blocs, especially within the coordination framework, do not intend to abide by the directives of the heads of blocs and parties regarding voting on the candidates for Speaker of Parliament and his deputies, which threatens an undisciplined vote during the session."
He added that "the division is not limited to the House of Representatives, but also extends to the National Political Council and the Coordination Framework, where positions regarding the position of Speaker of Parliament are divided between a group that supports Hebat al-Halbousi, and another that supports Muthanna al-Samarrai."
The source indicated that the disputes also extend to the position of First Deputy Speaker of Parliament, particularly within the coordination framework, as the following are competing for the position: Yasser Al-Maliki, candidate of the State of Law Coalition; Adnan Faihan, candidate of Asaib Ahl Al-Haq and current Governor of Babylon and winner in the elections; Mohsen Al-Mandalawi; and Ahmed Al-Asadi, candidate of the Reconstruction and Development Coalition and current Minister of Labor and Social Affairs.
He explained that "the competition for the position of second deputy speaker of parliament is limited to two candidates, namely Shakhwan Abdullah from the Kurdistan Democratic Party, and Ribwar Karim from the Position Bloc," indicating that "the majority of the deputies of the political blocs tend to renew confidence in Shakhwan Abdullah to assume the position."
The Iraqi parliament is scheduled to hold its first session on Monday, its sixth session, which includes two items on its agenda: the first is the swearing-in of the new members, and the second is the election of the Speaker of Parliament and his two deputies, according to a statement issued by the parliament’s media department.
The Presidency of the House of Representatives consists of a Speaker and two Deputy Speakers, who manage the legislative sessions and organize the work of the Council. According to the political traditions followed after 2003, the position of Speaker of Parliament is allocated to the Sunni component, the First Deputy Speaker to the Shiite component, and the Second Deputy Speaker to the Kurdish component.
update later link
Mot: They are cute and harmless but they are loud, incredibly expensive to keep and absolutely untrainable.
They are cute and harmless but they are loud, incredibly expensive to keep and absolutely untrainable.
The other is a kangaroo. I don't really know much about kangaroos.
Mot: . Start the new year off right…
Seeds of Wisdom RV and Economics Updates Monday Morning 12-29-25
Good Morning Dinar Recaps,
Iraq — Technically Ready, Politically Timed
Infrastructure aligned, reforms staged, execution dependent on stability
Good Morning Dinar Recaps,
Iraq — Technically Ready, Politically Timed
Infrastructure aligned, reforms staged, execution dependent on stability
Overview
Iraq has completed most technical requirements for modern banking and payments
Monetary and settlement infrastructure is largely in place
Currency reform is paced deliberately to align with political stability
Timing, not capability, is the gating factor
Key Developments
Banking system upgrades have aligned Iraq with international compliance standards
Payment rails and settlement mechanisms have been modernized and tested
Foreign reserve management has improved, supporting monetary credibility
Oil revenue continues to anchor fiscal capacity and balance-of-payments strength
Political coordination remains the primary variable influencing execution timing
Gradual reform sequencing is favored over abrupt currency actions
Why It Matters
Iraq’s position illustrates a core truth of financial resets: technical readiness does not equal political readiness. The systems can be prepared, tested, and compliant, but execution depends on governance stability and coordinated policy decisions. Iraq’s measured approach reduces the risk of disruption while preserving the option to act when conditions align.
Why It Matters to Foreign Currency Holders
For foreign currency holders, Iraq represents a case where infrastructure readiness precedes visible change. This creates extended periods of anticipation followed by decisive movement. Watching political alignment, regulatory clarity, and fiscal coordination matters more than tracking technical milestones already achieved.
Implications for the Global Reset
Pillar: Infrastructure First, Policy Follows
Systems are built quietly before public currency actions occur.Pillar: Timing Protects Stability
Deliberate sequencing reduces volatility during transition.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
International Monetary Fund — “Republic of Iraq: Financial Sector and Monetary Policy Overview”
Bank for International Settlements — “Payment System Modernization and Cross-Border Settlement”
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Vietnam — Quietly Ready, Strategically Patient
Why disciplined preparation matters more than dramatic moves
Overview
Vietnam is among the most structurally prepared emerging economies
Readiness has been built through manufacturing depth, trade integration, and monetary discipline
Digital payment infrastructure is expanding rapidly without destabilizing reforms
Vietnam’s strategy prioritizes stability, timing, and system alignment
Key Developments
Vietnam is deeply embedded in global manufacturing supply chains
Monetary policy remains conservative and stability-focused
Foreign reserves have been managed prudently relative to growth
Digital and cashless payment systems continue to scale nationally
Trade relationships are diversified across major economic blocs
Policy direction favors readiness without disruption
Why It Matters
Vietnam demonstrates how financial transitions occur without chaos. Instead of forcing currency shocks or public realignments, Vietnam has quietly aligned its infrastructure, reserves, and trade relationships. This approach reduces volatility while preserving flexibility when broader global shifts accelerate.
Why It Matters to Foreign Currency Holders
For foreign currency holders, Vietnam illustrates that system readiness does not require headlines. Countries that modernize payment rails, maintain disciplined monetary policy, and integrate deeply into global trade are positioned to adapt smoothly during global resets. Quiet preparation often outperforms reactive policy shifts when currencies realign.
Implications for the Global Reset
Pillar: Stability Before Repricing
Countries that build quietly reduce shock risk during transition.Pillar: Infrastructure Signals Readiness
Payments, reserves, and trade alignment matter more than rhetoric.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
~~~~~~~~~~
Ukraine Peace Talks Reach Advanced Stage After Trump–Zelensky Meeting
Multi-hour Florida summit signals nearing resolution while key obstacles remain
Overview
Ukrainian President Volodymyr Zelensky and U.S. President Donald Trump report substantial progress toward a negotiated peace agreement
Negotiators claim 90–95% of a proposed 20-point peace framework is agreed
U.S.–Ukraine security guarantees are described as fully settled
Final outcomes hinge on unresolved territorial, nuclear, and ceasefire issue
Key Developments
Zelensky confirmed that approximately 90% of the 20-point peace plan is finalized
Trump stated negotiators have resolved roughly 95% of the issues required to end the war
U.S.–Ukraine security guarantees were described as “100% agreed” and a critical milestone
Trump suggested clarity on success or failure would emerge within weeks
Trump conducted a two-hour phone call with Russian President Vladimir Putin prior to the meeting and planned follow-up discussions
Negotiating teams are expected to reconvene in the coming weeks, potentially with European leaders present
Outstanding Obstacles
Territorial Disputes: The status of the Donbas region remains the most contentious issue, with Trump warning Ukraine may face further losses if talks stall
Zaporizhzhia Nuclear Power Plant: The U.S. proposed a joint operational framework involving Russia, which Zelensky has rejected
Ceasefire Conditions: Zelensky insists a national referendum is required for any territorial concessions, while Russia has not yet agreed to a ceasefire to enable such a vote
Why It Matters
This negotiation phase represents more than a bilateral peace effort — it reflects broader geopolitical recalibration. A resolution to the Ukraine conflict would reduce systemic risk across energy markets, sovereign debt exposure, and European financial stability. The pace and structure of the deal signal that global powers are prioritizing managed outcomes over prolonged uncertainty.
Why It Matters to Foreign Currency Holders
For foreign currency holders, progress toward a Ukraine peace agreement directly impacts risk premiums, currency valuation, and capital flows. Prolonged conflict forces governments to fund defense, energy subsidies, and reconstruction through debt expansion, which weakens currency credibility over time. A credible path to peace reduces these pressures and shifts focus toward fiscal normalization.
Peace also stabilizes Europe’s energy outlook. Lower geopolitical risk in Eastern Europe reduces volatility in energy pricing, which directly affects inflation, trade balances, and central bank policy across multiple currencies. When inflation pressure eases, currencies tied to disciplined monetary policy regain relative strength.
Most importantly, conflict resolution allows global capital to move from defensive positioning into restructuring mode. Investors begin repricing currencies based on infrastructure readiness, trade integration, and settlement efficiency rather than wartime uncertainty. Currencies backed by stable governance, secure energy access, and modern payment systems gain durability, while those reliant on emergency funding and prolonged instability face repricing risk.
In reset terms, peace does not trigger revaluation — it removes the final obstacle that allows revaluation mechanics to proceed.
Implications for the Global Reset
Pillar: Conflict Resolution Enables Financial Repricing
Large-scale geopolitical conflicts delay capital reallocation. Peace unlocks restructuring across trade, energy, and currency markets.
Pillar: Security Guarantees Anchor Stability
Formalized security frameworks reduce uncertainty premiums embedded in global markets.
This is not just politics — it’s global finance restructuring before our eyes.
Seeds of Wisdom Team
Newshounds News™ Exclusive
Sources
Reuters — “Zelenskiy meets Trump in Florida to discuss Ukraine peace plan”
CNN — “Takeaways from Trump’s meeting with Zelensky in Florida”
~~~~~~~~~~
🌱 A Message to Our Currency Holders🌱
If you’ve been holding foreign currency for many years, you were not foolish.
You were not wrong to believe the global financial system would change.
What failed was not your patience — it was the information you were given.
For years, dates, rumors, and personalities replaced facts, structure, and proof. “This week” predictions created cycles of hope and disappointment that were never based on how currencies actually change.
That is not your failure.
Our mission here is different: • No dates • No rates • No hype • No gurus
Instead, we focus on:
• Verifiable developments • Institutional evidence
• Global financial structure • Where countries actually sit in the process
Currency value changes only come after sovereignty, trade, banking, settlement systems, and fiscal coordination are in place. History and institutions confirm this sequence.
You will see silence. You will see denials. That is not delay — that is discipline.
Protect your identity. Organize your documents. Verify everything.
Never hand your discernment to anyone who cannot show proof.
You deserve truth — not timelines.
Seeds of Wisdom Team Newshounds News
~~~~~~~~~~
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Iraq Economic News and Points To Ponder Monday Morning 12-29-25
Beneath The Feet Of Iraqis: A Treasure Capable Of Transforming The Country's Economy... Job Opportunities And Huge Returns Await Activation
A disrupted strategic resource Baghdad Today – Baghdad With every attempt to predict the future of the Iraqi economy, silica emerges as a more postponed issue than a neglected one. This material, used in the manufacture of advanced glass, fibers, and solar cells, is now widely integrated into the global supply chain, yet in Iraq it remains in the stage of "geological existence" rather than "economic presence."
Beneath The Feet Of Iraqis: A Treasure Capable Of Transforming The Country's Economy... Job Opportunities And Huge Returns Await Activation
A disrupted strategic resource Baghdad Today – Baghdad With every attempt to predict the future of the Iraqi economy, silica emerges as a more postponed issue than a neglected one. This material, used in the manufacture of advanced glass, fibers, and solar cells, is now widely integrated into the global supply chain, yet in Iraq it remains in the stage of "geological existence" rather than "economic presence."
Huge Reserves
Iraqi geological data indicates that the country possesses approximately 350 million tons of high-purity silica sand, distributed in the western desert and large areas of Anbar, with an average purity ranging between 95% and 99%, a percentage considered among the highest in the Middle East.
However, current extraction operations do not exceed 50,000-70,000 tons per year, while any sustainable processing industry needs a minimum of 500,000-1 million tons per year to enter commercial production, which effectively puts the sector outside the economic cycle.
A Different Governmental Vision
Mohammed Othman Al-Khalidi, a member of the Reconstruction and Development Alliance, confirmed to Baghdad Today that “the government has reinstated silica among the strategic priority files, with the intention of actually introducing it in 2026, as part of reactivating 16 important economic files.”
Al-Khalidi points out that the new investment map aims to shift the economy from dependence on oil — which currently accounts for more than 92% of revenues — to a broader model based on mineral resources and manufacturing industries.
Obstacles Hindering A Promising Sector
Analysis of the silica situation in Iraq reveals five key factors hindering investment:
Geographical distance: Most deposits are 250-350 km away from industrial centers.
Lack of specialized factories: There are no facilities for processing or manufacturing silica.
Unsupportive mining legislation.
Transportation costs range between $14 and $22 per ton.
A technological gap exists in the production of high-purity silica for the solar industries.
A Rapidly Growing Global Market, And Iraq Is Out Of The Picture.
The global silica market was valued at $22 billion in 2024, with projections indicating it will reach $32 billion by 2030, driven by the expansion of the glass and solar energy industries.
Although Iraq possesses larger reserves than some producing countries, its production remains at marginal levels.
Economic estimates indicate that silica could become a sustainable resource, significantly boosting the Iraqi budget, if incorporated into manufacturing industries. While selling the raw material yields limited returns, manufacturing completely alters the equation.
Manufacturing 1 million tons annually can generate revenues ranging from
$400 to $900 million per year, depending on the type of industry.If Iraq expands to produce 2-3 million tons, with most of it being processed, potential revenues will rise to between $1.5-2 billion annually within a decade.
If these figures are realized, silica could become one of the most important non-oil resources in Iraq in the coming years.
2026: Will It Be A Pivotal Year?
The inclusion of silica as a government priority makes next year a test of the seriousness of the economic transformation. The transition from a geological resource to an advanced industry requires a suitable legal environment, new infrastructure, and international partnerships capable of introducing advanced technology.
If the state manages to provide these requirements, silica could become the first real success story in the path of diversifying the national economy, instead of remaining one of the resources that experts know about… but the market does not feel. https://baghdadtoday.news/288533-.html
The Most Important Resource In Iraq Is Oil, "Outside The Calculations"... When Will It Be Transformed Into A Real Lever For The Economy?
Economy 10-12-2025, | 727 A true force for growth Baghdad Today – Baghdad In his latest analysis of the World Bank's 2025 report, economist Ziad al-Hashemi presents a starkly different picture of Iraq's "wealth." According to the report, the most important resource is not oil or fleeting financial surpluses, but rather "its people and its young generation."
However, as al-Hashemi comments, this wealth is currently managed with minimal vision and maximum waste, to the point that Iraq has become one of the most fragile countries in terms of human capital development, despite its vast financial resources.
The World Bank report, as cited by Al-Hashemi, argues that decades of political conflict, instability, and government mismanagement have hampered human capital development, thereby diminishing opportunities for economic growth.
The report indicates that Iraq's youth have lost "tens of billions of dollars" in potential earnings over the past years—amounts that could have been realized had they benefited from a quality education system, an effective healthcare system, and a productive labor market. In other words, Iraq has not only lost potential revenue but also the opportunity to accumulate expertise and skills that could have transformed its economy.
Fragility, as described by Al-Hashemi based on the report, is not a detail confined to a single sector.
According to this analysis, Iraq is among the most fragile countries in terms of education, training, health, and food security, with wide gaps at every stage of life: from early childhood, through school and working years, to old age.
A child enters school without adequate nutrition or structured early education, then a student receives a deteriorating education in overcrowded schools and universities, then a young person faces high unemployment or low-productivity jobs, then a worker ages without a robust pension system and health protection… a whole series of successive gaps, culminating in a less productive, more fragile, and less resilient society.
On paper, the picture is different. Al-Hashemi points to the existence of national plans such as the "National Development Plan 2023–2027," but notes that implementation is repeatedly hampered by "the lack of ongoing reforms, mismanagement, the absence of effective governance, and insufficient funding."
Plans are written, but the institutions meant to translate them into programs, policies, and tangible results remain trapped in bureaucracy, political infighting, and shifting priorities with each new government.
In this context, Al-Hashemi puts his finger on the heart of the problem: the weakness of government institutions and their inability to translate strategies into tangible results remains the greatest challenge facing any serious human capital investment project.
Institutions run on the basis of patronage and favoritism, rather than competence and accountability, tend to produce networks of rent-seeking jobs more than effective education, training, and healthcare programs.
The result is an economy increasingly reliant on government appointments and the absorption of young people into low-productivity jobs, instead of channeling them into a private sector capable of creating added value and sustainable employment opportunities.
However, Al-Hashemi does not view the issue as a hopeless case, but rather as an opportunity that still exists if it is treated as a national priority. He emphasizes that "Iraq has no option but to develop its human capital and invest in its youth," through a comprehensive approach that includes improving education, strengthening the healthcare system, expanding social protection, and opening the door for the private sector to create real job opportunities for young people, coupled with training and skills development.
Without this, new generations will remain trapped in the same cycle: studies that do not translate into skills, followed by a long search for a government job, or work in fields that do not match their qualifications.
Al-Hashemi also reminds us that "investing in people is the most important path towards sustainable economic growth and long-term prosperity," and that investing in human capital "is not a luxury, but rather a prerequisite for survival and advancement.
" Countries that have built a solid economic standing have not done so solely through natural resources, but also by cultivating a broad base of trained and capable individuals, able to innovate, adapt, and withstand shocks. "A country with trained and capable human capital," he says, "is often an economically resilient country, capable of withstanding crises and confidently progressing towards development and advancement."
In conclusion, Al-Hashemi links all these observations to a direct political question, albeit phrased in a calm economic manner: Will the next government take clear and tangible steps to invest in Iraqi human capital, or will the decline continue and it join its predecessors who neglected this issue and left young people stuck between waiting for government appointments or being drawn into unsuitable work?
Between an international report that raises its voice and warnings from local experts, Iraq's economic future seems to hinge on a practical answer to this question, not on more speeches and unimplemented programs. Source: Baghdad Today + X website https://baghdadtoday.news/288780-.html
For current and reliable Iraqi news please visit: https://www.bondladyscorner.com