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The Governor of the Central Bank, Ali Al-Alaq, commented today, Tuesday, on news reports about raising the exchange rate of the dollar to cover the financial deficit gap in the federal budget for 2026.
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Al-Alaq said in a brief press statement: "There is no change in the dollar exchange rate."
He added that "employees' salaries are fully secured."
Economic and political circles in the country are discussing expectations regarding the possibility of adjusting the dollar exchange rate to about 150,000 dinars per 100 dollars, in the event that the new government is formed and the 2026 budget is approved, as part of scenarios aimed at addressing the increasing financial deficit in the federal budget.
These expectations indicate that any change in the exchange rate may fall within the options for financial and economic reform, at a time when the public is awaiting the government’s upcoming decisions and their impact on the local market and price levels.
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The Governor of the Central Bank of Iraq, Ali Al-Alaq, confirmed on Tuesday that there is no intention to reduce the exchange rate of the dinar against the dollar. While denying the existence of any American embargo on Iraqi funds, he indicated that the banking reform file is receiving direct attention from Prime Minister Ali Al-Zubaidi.
Al-Alaq told a number of journalists, as reported by the Iraqi News Agency (INA), that “there is no intention to reduce the exchange rate of the dinar against the dollar, and we will help the government overcome the repercussions of any potential closure of the Strait of Hormuz by discounting treasury bonds and securing salaries,” noting that “the cash reserves are currently being invested in several countries, and there is no American embargo on Iraqi funds.”
He added that "the US Treasury and the Federal Reserve praise the role of the central bank," noting that "the central bank provides dollars to travelers and traders at the official rate."
He explained that "most banks have reached the stage of merger or liquidation, and only one or two banks remain that are unable to continue," stressing that "the banking reform file is receiving direct attention from the Prime Minister, and there is an expected meeting in the coming days with the Federal Reserve and the US Treasury Department."
He confirmed that he "directly oversees the banking reforms file, and the banks concerned and the consulting firm have made significant progress in implementing the reform requirements," noting that "a meeting is expected in the coming days that will bring together Oliver Wyman and the Central Bank of Iraq with the US Federal Reserve and the US Treasury Department."
He added: “The meeting will pave the way for the transition to dealing in other foreign currencies for banks that have completed all the required requirements and procedures,” noting that “there is no truth to what is being said about the Central Bank obstructing banking reforms, and our interest lies in the return of the deprived banks to activity as quickly as possible.”
He concluded by saying: "The media has a major role, and the international community is watching with interest what is being said by parliamentarians, analysts, and local media."
The number of licensed exchange companies in Iraq opens a wide door to questioning the Central Bank’s policy in managing the dollar market, and its role in directing financial activity within an economy that already suffers from weak productive sectors, a decline in the contribution of industry and agriculture, and an increased dependence on imports and foreign currency.
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The existence of approximately 166 exchange companies in Iraq does not seem to be a mere administrative figure, but rather an indicator of a broader economic choice: Has monetary policy in recent years aimed to regulate the actual needs of the market, or has it contributed to expanding the outlets for dealing in dollars, while the productive economy remained outside the circle of actual support? The report's original angle is based on questioning the licensing and supervision policy of the Central Bank, and whether the expansion in granting exchange licenses is an economic need or inflation in a sensitive sector linked to the dollar.
The dollar market is expanding
In a country heavily reliant on imports, exchange bureaus become an integral part of daily market activity. Traders need dollars, importers seek conversion services, and citizens monitor the exchange rate as a key factor influencing prices and purchasing power.
But the question that arises here is: Why is the money exchange sector becoming this large in an economy that is supposed to gradually move towards banks, electronic payments, and financing productive projects?
If the abundance of exchange companies reflects the market’s need for foreign currency, it reveals, in turn, a deeper flaw in the structure of the Iraqi economy, where trade, consumption, and imports are still more prominent than industry, agriculture, and real employment.
Where are the productive sectors?
Iraq's productive sectors, particularly industry and agriculture, have not experienced the same momentum as the dollar and currency exchange market. Factories suffer from inadequate financing, agriculture faces water, cost, and marketing crises, and the productive private sector remains unable to compete with the open import market.
Conversely, a vast sector of currency exchange and brokerage emerged, operating around the dollar and the market's demand for it. Herein lies the paradox: Should fiscal and monetary policies have focused on expanding the means of financing production, or on expanding the channels for buying and selling currency?
The central bank is not a ministry of industry or agriculture, but it possesses influential tools for guiding the banking and financial sector. When banks remain weak in project financing while money exchange and remittance activities expand, the question of monetary and regulatory policy priorities becomes legitimate.
Money exchange instead of banks
The large number of exchange companies may also reflect the weakening role of banks. Citizens and small business owners often find an exchange company a faster and easier outlet than a bank, whether for buying dollars or completing certain transactions related to remittances.
This reality puts the central bank before a fundamental question: Did it address the weakness of banks by strengthening them and pushing them to finance the economy, or did it allow exchange companies to fill the void?
In a healthy economy, a bank is supposed to be a channel for savings, financing, and investment. A currency exchange company, on the other hand, is a channel for currency services and transfers. When the latter expands at the expense of the former, the economy gradually transforms into a cash economy centered on the dollar rather than on production.
More complex oversight and greater risks
Each additional exchange company means a new outlet for cash transactions and a greater need for oversight, compliance, and auditing. This increases the burden on the central bank in monitoring the sources of funds, the movement of dollars, adherence to regulations, and the risks of the parallel market.
As the gap between the official rate and the market rate persists at different times, the question becomes more sensitive: Has this number of companies helped stabilize the exchange rate, or has it expanded the circle of intermediaries within the dollar market?
The real test is not the number of licensed companies, but their results: Did they reduce the cost of obtaining dollars? Did they reduce speculation? Did they enhance transparency? Did they move the market to an organized banking path? Or did they keep the economy revolving within the cycle of currency and imports?
Central Bank Responsibility
The Central Bank cannot be held solely responsible for the weakness of the productive sectors in Iraq. The crisis is also linked to successive governments, trade policies, corruption, weak infrastructure, declining investment, and the lack of effective protection for local products.
However, in the specific case of currency exchange, the central bank remains the authority that grants licenses, sets regulations, monitors compliance, and revokes licenses in cases of violation. Therefore, questioning it about this number is not a political attack, but a legitimate economic inquiry.
What criteria did the Central Bank adopt in granting licenses? Is there a study that determines the actual market need for this number? How many companies are actually active? How many companies have been subjected to penalties or warnings? And does the Central Bank have a plan to reduce fragmentation and shift financial activity towards banks and productive financing?
Dollar economy or production economy?
The danger of this figure lies in the fact that it reflects a broader trend within the Iraqi economy . The greater the need for dollars and currency exchange, the less focus there is on production. The more the money market expands, the less banks are able to finance projects. And the more imports remain the primary driver of the market, the more industry and agriculture remain outside the sphere of real influence.
Therefore, the question is not just about 166 exchange companies, but about an entire economic model: Does Iraq want an economy that manages the dollar, or an economy that produces, exports and employs?
The existence of 166 exchange companies in Iraq raises serious questions for the Central Bank and economic policy in general. While this number may reflect market demand, it could also indicate the expansion of the dollar economy at the expense of the productive economy.
While Iraq needs strong banks to finance industry, agriculture, and small and medium enterprises, the money exchange sector seems to have become more present in market life than the sectors that are supposed to create jobs and wealth.
The question that remains and awaits a clear answer is: Did the central bank expand the dollar market because it was an economic necessity, or did this expansion come at the expense of building a productive economy capable of reducing the need for the dollar in the first place?
Popular credit between bank deficits and the expansion of usurious loans
In the crowded commercial alleys of Baghdad, specifically in the Al-Shourja and Jamila markets, a parallel financial market is growing daily, far from the eyes of official institutions.
There, the citizen does not need complicated banking transactions, a guarantor, or a long wait to get money. A phone call or a recommendation from a local intermediary is enough to get an immediate cash loan, in exchange for high interest rates and conditions that may later turn into a social and psychological nightmare.
This phenomenon, popularly known as usurious loans, is no longer isolated or limited cases, but has transformed into an informal credit system that manages a large portion of cash liquidity outside of state control.
While official banks are unable to accommodate the poor and those with limited income, popular lending networks are expanding to fill the void, taking advantage of unemployment, high living costs and declining purchasing power.
Experts believe that the expansion of this market reflects a deep structural imbalance in the Iraqi financial system, where thousands of citizens find themselves forced to resort to loan sharks to cover expenses for treatment, marriage, rent, or even daily needs.
parallel economy
In this context, economic researcher Ahmed Eid confirms that Iraq has witnessed in recent years a remarkable expansion in what can be called the popular credit market, which is an informal financial system that arose as a result of structural imbalances in the banking sector, weak financial inclusion, and high rates of unemployment and poverty.
Eid adds to Shafaq News Agency that this market relies on lending networks outside official oversight, providing quick loans to citizens in exchange for high interest rates and harsh conditions, especially in commercial and popular areas such as Al-Shourja and Jamila.
According to observers, the ease of access to these loans compared to traditional banking procedures has made them the fastest option for vulnerable groups, despite the high cost that the borrower pays later.
Monthly interest is often imposed, which leads to the principal of the debt doubling within short periods, putting borrowers in a spiral that is difficult to escape.
Eid warns that the danger of this phenomenon lies not only in the economic aspect, but also in its social repercussions, as debts have turned into a source of psychological stress, family disintegration, and legal and tribal problems in many cases, especially with the inability of some borrowers to repay as a result of declining incomes and the absence of legal protection.
He points out that the expansion of informal lending reflects a real gap between citizens and formal banking institutions, which are still unable to meet the needs of the poor and those with limited income.
He stresses that addressing this phenomenon requires genuine banking reform, expanding microfinance tools, promoting financial inclusion, and imposing legal oversight on informal lending networks that now manage a large portion of cash liquidity outside the state's economic system.
financial exploitation
For her part, social researcher Ruqaya Salman warns of the worsening phenomenon of need and poverty among some families, and the accompanying dangerous recourse to usurious loans that drain family income and increase their social and psychological suffering.
Salman told Shafaq News Agency that the difficult economic conditions and high cost of living have driven many citizens to seek quick solutions, which has made some of them fall victim to usury and financial exploitation, stressing that this phenomenon has become a threat to the stability of families and their disintegration.
She believes that economic need has turned into an entry point for exploitation for many families, especially in light of the absence of effective social safety nets or microfinance programs capable of supporting vulnerable groups.
According to social activists, many borrowers start with a small loan to cover urgent needs, then find themselves forced to borrow again to pay off the accumulated interest.
Salman adds that need should not drive a person to doors that may further complicate their crisis, calling on the concerned authorities and civil society organizations to support needy families and provide job opportunities and real assistance that alleviates the severity of poverty and prevents the spread of usurious debts.
It was found that social solidarity and financial awareness represent the first line of defense to protect society from the effects of poverty and exploitation, pointing to the importance of spreading a culture of cooperation and small projects instead of relying on high-interest loans.
religious and moral dimension
For his part, cleric Sheikh Noor Al-Saadi believes that the issue of usury is one of the most serious and definitive prohibitions in Islamic law, noting that the narrations from the Ahl al-Bayt describe usury as “corrupting the economy and destroying social relations.”
Al-Saadi confirms to Shafaq News Agency that the prohibition of usury is fixed and absolute, but he differentiates between the borrower who is in dire need and the exploitative lender, explaining that the sin may be lifted from the borrower in cases of extreme necessity, while the responsibility of the lender remains because he exploited people’s need and poverty.
He emphasizes that usury is not an economic or legitimate solution to crises, calling for the activation of alternatives based on interest-free loans and social solidarity.
Regarding the responsibility for confronting this phenomenon, Al-Saadi assigns integrated roles to merchants, religious figures, and the state, starting with the establishment of interest-free lending funds, passing through raising awareness of the dangers of usury, and ending with enacting strict laws that criminalize illegal popular loans and protect poor groups from exploitation.
Why do formal banks fail?
Despite the Central Bank of Iraq announcing financing initiatives and soft loans over the past years, a large segment of citizens remains far from the formal banking system, due to administrative complexities, weak trust in banks, guarantee requirements, and lengthy bureaucracy.
Experts say that Iraqi banks have not yet succeeded in building a flexible financing system that responds to the needs of low-income earners and those working in the informal sector, which has created a void that has been quickly filled by informal lending networks.
The widespread reliance on the cash economy in Iraq and the weakness of the banking culture have contributed to consolidating this pattern of transactions, turning popular markets into undeclared financing centers that manage a huge financial movement without tax or legal oversight.
Moreover, the effects of this phenomenon are not limited to financial losses, but extend to the social structure itself. According to observers, the accumulated debts have caused an escalation of family disputes and cases of family disintegration, as well as some creditors resorting to illegal methods of pressure and threats to collect money.
In some areas, debts have turned into tribal issues that may develop into complex disputes, especially with the absence of clear legal contracts or judicial protection for borrowers.
Economists also warn that the expansion of the parallel economy weakens the state’s ability to control the flow of liquidity and monitor financial activity, creating a fertile environment for money laundering and tax evasion and deepening the crisis of confidence between citizens and official institutions.
Wisdom Current Information
A conference call between Trump, al-Zaidi, and Barak within hours... and the first foreign visit to Washington
MP Ahmed Al-Saadi, from the Hikma Movement, revealed today, Monday (May 18, 2026), that a “group call” is expected to take place today or tomorrow, bringing together US President Donald Trump, his envoy to the region Tom Barrack, and Iraqi Prime Minister Ali Al-Zidi.
In an interview with journalist Hossam Al-Hajj, which was followed by 964 Network , Al-Saadi said, “It is hoped that today there will be a meeting via closed-circuit television, or a group call, between Trump’s envoy to the region, Tom Barrack, and US President Trump, with Prime Minister Ali Al-Zaidi,” noting that “Al-Zaidi’s first international stop will be the United States.”
Hours after Parliament granted confidence to Ali al-Zaidi’s government, the US-funded Alhurra TV revealed Washington’s explicit position, as a State Department spokesman confirmed that “Iraq has a choice to make” regarding the participation of armed factions, stressing that “Iranian-backed terrorist militias should have no role in state institutions, nor should Iraqi government funds be used to support them,” warning that Washington “will calibrate its approach to the new government on this basis.”
In the same context, a source in the Coordination Framework, who declined to reveal his identity to Al-Hurra, revealed that the United States had vetoed the participation of six armed factions with political wings in the next government, noting that this veto came through a message sent to a group of leaders of the Coordination Framework, without revealing the names of the factions concerned.
It is worth noting that the welcome for al-Zaidi’s appointment was extraordinary, starting from the countries of the surrounding region and reaching America, making al-Zaidi the first Iraqi prime minister to be invited to visit Washington even before his government was formed.
In contrast to Trump’s “veto” with his famous tweet against Maliki, Trump appeared to be strongly supportive of al-Zaidi, starting with a phone call, followed by a tweet supporting al-Zaidi on “Truth Social” (Trump’s preferred platform for his statements), and then a statement to the media about America’s support for al-Zaidi and its role in his reaching this assignment.
This American support was not without messages, as Trump confirmed in his tweet supporting al-Zaidi that he supports the formation of a new government “free from terrorism”, in a clear and understandable reference.
This comes in conjunction with numerous messages conveyed by Washington regarding the removal of factions and political entities that possess armed factions from sovereign ministries and the political scene, as well as leaks made by figures close to the Shiite coordination framework about American displeasure with Adnan Faihan’s appointment as Deputy Speaker of Parliament.
Al-Nahla Company for Financial Services, Electronic Payments, Blockchain, and Digital Technologies No.: Date: E-mail: info@bee.ig Greetings, **Subject: Granting of a License** Pursuant to the decision of this Bank’s Board of Directors No. (90) for the year 2026, and the provisions of Article (4) of the Central Bank of Iraq Law No. (56) for the year 2004 (as amended), and the Electronic Funds Payment Services Regulation No. (2) for the year 2024; and in view of your completion of the requirements for granting a license to electronic payment companies, it has been decided as follows: 1. To grant your company the final license, bearing No. (21) for the year 2026, to operate within Iraq in the capacity of an **Issuer, Processor, Acquirer, and Mobile Wallet Provider** for the management of domestic operations; subject to the provisions of the Central Bank of Iraq Law No. (56) for the year 2004 (as amended), the Anti-Money Laundering and Counter-Terrorist Financing Law No. (39) for the year 2015, the Electronic Funds Payment Services Regulation No. (2) for the year 2024, and the controls and instructions issued thereunder. 2. To approve the appointment of Mr. Hussein Saadi Waheeb to the position of **Managing Director** of the company, provided that he devotes himself full-time exclusively to this position and does not hold an executive or administrative role in any other company. 3. To provide this Bank with a Real-Time Gross Settlement (RTGS) payment notification in the amount of (10) million Dinars, representing the fees for granting the license. With appreciation. For: Dr. Dirgham Musa Jawad Director of Institutions Supervision
From Kurdish news channel8 news
Iraq's total revenue has fallen to 4 trillion dinars 8 hours ago
Mazhar Mohammed Saleh, a financial and economic adviser to the former Iraqi prime minister, told Channel 8 that the public finances are facing severe pressure and challenges of cash shortages, mainly due to the decline in oil revenues due to the US-Iran war.
Revenue has reached 4 trillion "Total revenue has dropped to 4 trillion dinars monthly, while the government needs 8 trillion dinars monthly to cover salaries, pensions and social welfare," he said.
Delayed arrival of dollars The Sudanese adviser believes that the reason for the accumulation of cash in Iraq was due to the closure of the Strait of Hormuz and reduced trade movements, as well as logistical problems, delayed arrival of dollars, which is the money for oil sales from the United States.
Domestic debt as a solution "The government has several options, including domestic debt or deposits from major banks such as Rafidain, Rashid and TBI. It can even resort to foreign debt to cover the deficit and guarantee salaries," he said.
Government advisor: Iraq's natural resources are estimated at $16 trillion
The financial advisor to the Prime Minister, Mazhar Muhammad Saleh, stressed the importance of activating sovereign wealth funds as a strategic tool to revive and diversify the national economy, in conjunction with Iraq’s continued reliance on oil revenues as a primary source of funding for the general budget, and in light of the ongoing fluctuations in oil prices and the financial challenges facing the country.
Saleh said in a press statement followed by Al-Furat News that the government program that was recently approved by the House of Representatives indicated the importance of sovereign wealth funds and working to establish a generation fund by investing available unexploited national assets, indicating that estimates indicate that the next stage will be an appropriate opportunity to launch or expand the work of sovereign wealth and investment funds, benefiting from the reinvestment of natural resources that Iraq abounds in, as it is one of the richest countries in the world in natural resources and occupies the ninth international ranking in natural resources, whose current market value is estimated at more than 16 trillion US dollars, which allows for the conversion of the returns on investing these resources into financial surpluses and sustainable revenues during the coming years, within the strong economic policy adopted by the current government.
He added that the sovereign wealth fund is not just a "savings account," but rather an investment institution that aims to invest a portion of the state's revenues in productive projects, both domestic and foreign, that generate long-term returns and provide protection for the national economy from future crises and global financial fluctuations. He pointed out that the Iraqi economy still depends almost entirely on oil, and oil revenues constitute the largest share of the general budget, making the country vulnerable to any sharp decline in global prices or geopolitical crises affecting the energy market.
He pointed to the growing importance of sovereign wealth funds in financing vital sectors such as industry, agriculture, renewable energy, infrastructure, transportation and logistics, in addition to technology and communications, as well as supporting the private sector and creating new job opportunities, especially with the growing youth workforce within what is known as the “demographic dividend,” where young people are expected to constitute about 60% of Iraq’s population in the next few years.
He added that the experiences of the Gulf countries, especially Saudi Arabia and the UAE, as well as Norway, can be cited, which, through their sovereign wealth funds, have been able to transform oil surpluses into huge global investments that generate sustainable profits for future generations. He pointed out that Gulf investment funds are among the most prominent regional models that have expanded their investments within their countries and abroad, and have contributed to supporting economic diversification plans and reducing dependence on oil.
Saleh explained that Iraq has moved in recent years to establish the beginnings of development and investment funds aimed at attracting foreign capital and stimulating major projects, in an attempt to create a more stable economic environment. The government has also adopted a policy of providing sovereign guarantees to support private sector projects and investment, a step that may pave the way for expanding the role of investment funds in the future.
He stressed that the success of any sovereign wealth fund in Iraq remains contingent on the existence of an independent management with the highest levels of governance and transparency, because the absence of sound oversight may turn these funds into tools for short-term government spending, instead of being investment institutions that achieve long-term strategic returns.
He explained that improving the investment environment, banking reform, and developing economic legislation are key factors to ensure the success of the Iraqi experience, especially in light of the move towards establishing the “Generations Fund” which was included in the government program and was recently approved by the House of Representatives, in addition to the local market’s need for productive projects capable of driving the economy and reducing dependence on imports.
Saleh concluded by noting that, in light of global economic shifts and the challenges related to energy markets and trade routes, Iraq has a real opportunity to transform its future oil surpluses into a sustainable economic base if they are invested according to a long-term vision focused on development and production. He stressed that the country’s success in building a sovereign wealth fund that is transparent and independent could constitute a pivotal turning point in the Iraqi economy, and open the door to a new phase based on diversifying sources of income and enhancing financial stability for future generations.
Iraq enters a phase of economic emergency: A financial stability council is formed to address the collapse in oil prices and liquidity.
At a time when economic pressures are intertwined with regional turmoil that has directly affected oil and trade flows, Iraq has moved to establish the Financial Stability Board as the highest coordinating framework between fiscal and monetary policy, in an attempt to readjust the management of the economy at a stage described as one of the most sensitive in recent years.
This step comes as the Iraqi economy faces severe repercussions from the volatility of energy markets and the disruption of some export routes, which led to significant losses in oil revenues during previous periods, resulting in a widespread decline in exports compared to normal rates, which was reflected in public liquidity and the state’s ability to meet its obligations, especially with the budget’s dependence on oil at a rate of nearly 90%.
In this context, the oil minister revealed that Iraq used to export about 93 million barrels per month through the Strait of Hormuz, but regional tensions led to a sharp decline in exports during April to only about 10 million barrels, reflecting the direct impact of geopolitical crises on one of the most important sources of revenue in the country.
The minister also indicated that Iraq intends to cooperate with OPEC to boost production and increase export capacity, aiming to reach 5 million barrels per day, stressing that the government is focusing on attracting foreign companies, developing infrastructure and raising the efficiency of technical personnel, with a clear emphasis on combating corruption and not tolerating incompetent people in the oil sector.
These developments place public finances under double pressure: declining revenues on the one hand, and rising operating obligations on the other, which has led to the search for a higher institutional framework to manage economic balances.
In contrast, the establishment of the Financial Stability Board came as a regulatory response aimed at unifying decision-making between the Ministry of Finance and the Central Bank, controlling liquidity management, controlling inflation, and regulating public spending, within a single vision that reduces the fragmentation of economic policies.
Prime Minister Ali Faleh al-Zaidi chaired the first meeting of the Financial Stability Council on Saturday evening, hours after directing the establishment of the council during the first session of the Council of Ministers.
The council includes the Minister of Finance and the Governor of the Central Bank of Iraq.
A government statement quoted Al-Zaydi as stressing the importance of achieving financial stability due to its developmental and economic effects, and emphasizing the need for high-level coordination between the Ministry of Finance and the Central Bank.
Al-Zaydi pointed to the importance of making financial decisions that support economic stability and reflect positively on government development, service and economic plans.
The economic advisor to the Prime Minister, Mazhar Muhammad Saleh, confirmed that the formation of the council “represents an important institutional step to enhance coordination between fiscal and monetary policy, and to develop and implement an integrated national strategy for financial stability.”
Saleh added during his interview with “Al-Eqtisad News” that the main goal is to “maintain the stability of the general price level and ensure the stability of citizens’ living standards, in addition to supporting the sustainability of economic development and enhancing confidence in the national economy.”
He explained that the establishment of the council, based on the government program approved by Parliament on May 14, “reflects a proactive governmental approach to dealing with internal and external economic and financial changes, and is not a response to a direct financial crisis, but rather a preventive framework to confront potential challenges and enhance the economy’s ability to withstand shocks, especially in light of geopolitical tensions and regional crises that affect financial markets, trade, and energy.”
He explained that “coordination between the Ministry of Finance and the Central Bank through the Council would contribute to unifying policies and procedures related to liquidity management, controlling inflation rates, regulating public spending, and achieving a balance between monetary stability and the requirements of economic growth, thereby enhancing long-term financial stability and reducing short-term risks.”
He added that the council is expected to discuss key issues including “public debt management, exchange rate stability, monitoring inflation rates, enhancing the safety of the banking sector, following up on financial reforms, in addition to assessing the repercussions of global and regional economic developments on the national economy, in order to ensure the protection of economic gains and the achievement of development goals and macroeconomic stability in the country.”
In a related context, MP Ali Faisal Al-Fayyad, from the Reconstruction and Development Coalition, indicated that “the government program that was voted on by Parliament includes important treatments and solutions for the crises, foremost among them the financial crisis,” stressing that “the government and Parliament are moving towards implementing those treatments,” in an indication of the existence of a political consensus on the need to support the economic reform path.
These developments come in a highly sensitive economic environment, as Iraq is almost entirely dependent on oil as its main source of revenue, while the majority of its exports pass through maritime routes that have experienced disruptions that have affected the volume of trade and increased transportation and insurance costs.
The data also indicates that Iraq faced a sharp decline in its oil exports during periods of tension, which revealed the fragility of relying solely on one resource, and highlighted the need for more flexible financial instruments and coordination among higher economic institutions.
In light of this, the Financial Stability Board appears to be an attempt to re-engineer economic decision-making in Iraq, by raising the level of coordination to a higher framework, capable of managing shocks instead of merely reacting late, at a stage that requires a more harmonious financial and monetary response to confront internal and external challenges together.
Al-Sari: The country faces financial challenges in light of changes related to energy markets and the decline in oil exports.
Finance Minister Faleh al-Sari affirmed on Monday that the country faces financial challenges due to fluctuations in energy markets and declining oil exports. He emphasized the need for legislation and amendments to support reform efforts and strengthen the state's capabilities. According to a ministry statement carried by the official news agency, al-Sari met with Speaker of Parliament Haibat al-Halbousi to discuss several issues related to financial and administrative reform.
The statement quoted al-Sari as saying that the country faces increasing financial challenges due to changes in energy markets and declining oil exports, resulting in reduced revenues. This necessitates concerted efforts and support for measures that ensure the state's financial obligations are met.
Al-Sari also pointed to the need for legislation and amendments to several laws to support financial reform and enhance the state's ability to address economic challenges. For his part, al-Halbousi affirmed Parliament's support for the Finance Ministry's steps to implement financial reforms and its backing of government efforts to address the complex financial situation facing the country.
Amidi discusses with the Economic Council ways to enhance investment opportunities and support projects in the country
President Nizar Amidi received Ibrahim al-Masoudi al-Baghdadi, head of the Iraqi Economic Council, and his accompanying delegation at the Peace Palace in Baghdad on Monday, on the occasion of his assumption of the presidency.
The Presidential Media Office stated in a press release received by the Video News Agency that the visiting delegation offered their congratulations to the President. During the meeting, they discussed the general economic situation in the country and ways to enhance investment opportunities and develop infrastructure.
The statement added that the President emphasized the need to support major development projects to contribute to strengthening economic stability and improving the living conditions and services for all citizens in the various governorates.
Amidi stressed the importance of diversifying national income sources and not relying solely on oil revenues, as well as supporting the private sector and creating a suitable environment for investment and sustainable development by providing the necessary facilities for business and coordinating efforts among official institutions to advance the economy.
Mohsen Al-Humaid and the Minister of Trade discuss enhancing investment and strengthening international economic relations.
The President of the International Chamber of Commerce - Iraq (ICC), Engineer Mohsen Al-Humaid, discussed with the Minister of Trade, Mustafa Nizar Al-Ani, ways to enhance the reality of investment in Iraq and strengthen its international economic and trade relations in a way that contributes to supporting the national economy, in the presence of the President of the Federation of Iraqi Chambers of Commerce, Amer Al-Fahdawi.
Al-Humaid said during the meeting: Iraq represents a large labor market with promising investment opportunities in various sectors, pointing to the importance of attracting international efforts and the advanced technology and capital it possesses that are capable of contributing to supporting economic development and driving the investment process.
He added that the International Chamber of Commerce – Iraq (ICC) is working to create a more open business environment and provide the necessary facilities to enhance economic partnerships with global institutions and companies, in line with the state’s directions to develop the investment reality and stimulate trade.
For his part, Minister of Trade Mustafa Al-Ani welcomed Al-Hamid and Al-Fahdawi, stressing the ministry’s keenness to support initiatives that contribute to expanding economic cooperation with the private sector and international trade organizations, and to work on enhancing confidence in the Iraqi investment environment and opening new horizons for trade and investment cooperation.
"I saw your determination to improve the situation."
Muqtada al-Sadr breaks his self-imposed isolation and contacts al-Zaydi: Congratulations on forming the government, and I entrust you with the sovereignty.
On Sunday (May 17, 2026), Muqtada al-Sadr, the leader of the Sadrist movement, made a phone call to Prime Minister Ali Faleh al-Zubaidi, during which he congratulated him on the formation of the government.
In a statement seen by 964 Network , Sadr’s private office said that Sadr congratulated al-Zidi on forming the government and urged him to preserve the country’s sovereignty and improve the service situation, praising what he described as his enthusiasm, determination and insistence on improving the Iraqi situation.
The statement added that Al-Sadr stressed during the call the need to stand firmly against corruption, preserve the country’s resources, and ensure a decent life for the Iraqi people by improving services, meeting needs, and preserving rights.
The leader of the Sadrist Movement, Muqtada al-Sadr, announced his complete retirement from political life and the closure of all the movement's institutions in a statement he published in late August 2022 amidst a severe political crisis. This was followed by his decision to withdraw from public life, including from the public sphere, due to the actions of some of his followers and the armed clashes in the Green Zone prior to the formation of the al-Sudani government.
Hours after Parliament granted confidence to Ali al-Zaidi’s government, the US-funded Alhurra TV revealed Washington’s explicit position, as a State Department spokesman confirmed that “Iraq has a choice to make” regarding the participation of armed factions, stressing that “Iranian-backed terrorist militias should have no role in state institutions, nor should Iraqi government funds be used to support them,” warning that Washington “will calibrate its approach to the new government on this basis.”
In the same context, a source in the Coordination Framework, who declined to reveal his identity to Al-Hurra, revealed that the United States had vetoed the participation of six armed factions with political wings in the next government, noting that this veto came through a message sent to a group of leaders of the Coordination Framework, without revealing the names of the factions concerned.
It is worth noting that the welcome for al-Zaidi’s appointment was extraordinary, starting from the countries of the surrounding region and reaching America, making al-Zaidi the first Iraqi prime minister to be invited to visit Washington even before his government was formed.
In contrast to Trump’s “veto” with his famous tweet against Maliki, Trump appeared to be strongly supportive of al-Zaidi, starting with a phone call, followed by a tweet supporting al-Zaidi on “Truth Social” (Trump’s preferred platform for his statements), and then a statement to the media about America’s support for al-Zaidi and its role in his reaching this assignment.
This American support was not without messages, as Trump confirmed in his tweet supporting al-Zaidi that he supports the formation of a new government “free from terrorism”, in a clear and understandable reference.
This comes in conjunction with numerous messages conveyed by Washington regarding the removal of factions and political entities that possess armed factions from sovereign ministries and the political scene, as well as leaks made by figures close to the Shiite coordination framework about American displeasure with Adnan Faihan’s appointment as Deputy Speaker of Parliament.
Maliki visits Zaidi to stress cooperation despite complaints over confidence vote
State of Law Coalition leader Nouri al-Maliki visited Prime Minister Ali al-Zaidi on Sunday, with both sides stressing the need for political cooperation to complete the government lineup — even as Maliki’s coalition continued to accuse parliament leadership of manipulating the confidence vote that approved the cabinet days earlier.
Zaidi’s office said the meeting addressed the overall situation in the country and the importance of “unifying positions and visions to support the government, back it, and implement its program and plans.” Both sides emphasized the need to combine efforts among national political forces “to complete the government formation and enable it to perform its role in order to overcome current challenges.”
The visit came hours after State of Law lawmaker Yousef al-Kalabi accused parliamentary leadership of using its authority “to confiscate the votes of lawmakers” during Thursday’s cabinet vote, describing events as “a clear betrayal and an insult to the council.” On Saturday, Hisham al-Rikabi, head of media for Maliki, accused Parliament Speaker Haibat al-Halbousi of procedural violations that caused interior ministry nominee Lt. Gen. Qassem Atta to fail despite receiving what he claims was majority support.
Parliament approved 14 ministers Thursday during a session attended by 266 lawmakers. Confidence was withheld from nominees for planning, culture, higher education, interior and construction and housing, while voting on defense, labor, migration and youth and sports ministries was postponed pending further political agreements.
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MP Hussein Ali announced on Monday a serious parliamentary determination to avoid a repeat of the scenario that disrupted parliamentary sessions in the previous session. He emphasized that the House of Representatives has successfully completed the reading and passage of 16 laws so far, focusing on strategic legislation related to oil and communications. Ali told Al-Maalouma, "The House of Representatives is working intensively to activate its legislative role and avoid the obstacles and political gridlock that led to the disruption of sessions in the past." He explained that "Parliament is moving steadily to compensate for previous delays."
He added that "the House has so far managed to complete the reading and proceed with the legal procedures for 16 diverse laws affecting various sectors," noting that "parliamentary focus is currently on resolving contentious laws that have been stalled for years."
Ali continued, "There is a concerted parliamentary effort to pass the postponed oil and gas law, the communications and information technology law, as well as a package of other laws that are of paramount importance in regulating the country's economic resources and infrastructure."
Al-Jurani told Al-Mirbad: The oil and gas law is at the top of the priorities for the next stage, and preserving Basra's rights is essential.
Member of Parliament’s Oil and Gas Committee, MP Qaisar Al-Jurani, confirmed in a statement to Al-Mirbad that enacting the Oil and Gas Law will be among the top priorities of the next stage, after years of delay and political disputes.
Al-Jurani told Al-Mirbad that the law represents the cornerstone for regulating the relationship between the federal government and the producing governorates, in addition to guaranteeing the rights of the Iraqi people to manage their national wealth.
He added that the committee is working to pass the law in a way that achieves justice for all parties and preserves the rights of Basra, as it is the largest oil-producing governorate in Iraq.
Political consensus paves the way for the passage of the oil and gas law.
The Iraqi Parliament is preparing to introduce the draft oil and gas law in the coming period, amid indications of a political consensus among most blocs to pass it. MP Adel al-Mahalawi, from the Progress Bloc, told Al-Sabah newspaper that the law will be presented to Parliament soon after political understandings are reached.
He explained that Prime Minister Ali al-Zubaidi has expressed his willingness to cooperate in finalizing legislation with an economic dimension. He clarified that the law is considered one of the most anticipated pieces of legislation, as it regulates the relationship between the federal government and the oil-producing provinces and contributes to supporting the budget and boosting revenues.
Al-Mahalawi added that some technical and political disagreements still exist, but they are resolvable through national consensus. He also noted Parliament's intention to introduce a set of service and economic laws in the coming period in coordination with the government.
Coordination framework: Agreement to finalize the remaining cabinet positions after the holiday
On Monday, Uday Abdul-Hadi, a member of the Coordination Framework, revealed that an agreement has been reached to finalize the remaining ministerial appointments in Ali al-Zaidi's government immediately after the Eid al-Adha holiday. He noted that changes to some of the ministerial nominees are possible. Speaking to Al-Maalouma, Abdul-Hadi said, "There are meetings and discussions taking place between the Coordination Framework and other political forces, both Sunni and Kurdish, to reach an understanding regarding the post-Eid al-Adha period, specifically regarding the vote on the remaining ministerial positions in al-Zaidi's government." He added, "There is an agreement to hold a decisive session on this matter," explaining that "changing some of the ministerial nominees is possible, but the final decision rests with the political blocs whose appointments remain pending, awaiting the post-Eid al-Adha session, whether for the Interior, Culture, Planning, or other ministries." He pointed out that “understandings are what determine all paths between the political forces,” stressing that “everyone agrees on the necessity of resolving the cabinet formation issue, because this will give the government greater flexibility in carrying out its duties, especially in light of the financial and economic challenges and the nature of developments in the region.”
The Iraqi ministries that will be run by acting ministers until ministers are elected:
sooooooooo Ali Z the New Prime Minister will be the Minister of Interior and Defense by proxy until the position is filled.
Al-Hamami: An important political formation headed by Al-Maliki will be announced soon.
link Former MP Arif al-Hamami revealed on Monday that a significant political formation is emerging on the Iraqi scene, headed by Nouri al-Maliki, and may be announced in the near future. Al-Hamami told Al-Maalouma that "the political landscape in Iraq needs adjustments to ensure it follows the right path to serve all components, far removed from the language of circumvention, manipulation, and attempts to disregard the entitlements of political forces and movements." He added that "a significant political formation is emerging in the near future, headed by al-Maliki," noting that "al-Maliki is determined to continue protecting the political process." He explained that "the results of the vote on Ali al-Zaidi's government revealed many truths," emphasizing that "this necessitates a series of measures to ensure that the political process proceeds in an Iraqi manner, free from external agendas." He concluded by saying that "the coming period will be full of important decisions that will strengthen citizens' confidence in the political process."
Khalil: Petraeus's meetings indicate the arrangement of new American moves in the region
link Former MP Mahma Khalil confirmed on Monday that the recent movements and meetings of retired US General David Petraeus reveal Washington’s moves to rearrange the deployment of its military forces in the Middle East.
Khalil told Al-Maalomah News Agency that "the repeated statements by prominent American security and military figures regarding Iraq, Iran, and the region cannot be separated from the recent field movements of the American occupation in the Middle East."
He added that "Washington is striving to maintain its eroding strategic influence by repositioning its forces and strengthening its military presence at some bases within the region."
He explained that “Petraeus’s moves reflect the extent of administrative and security concern in Washington about the accelerating regional changes, and its continuous attempts to redraw the map of influence in a way that serves only its interests,” indicating that “Iraq represents the cornerstone in these moves and within the context of difficult balances.”
He indicated that "any suspicious American moves within the region will be met with widespread political and popular rejection, especially with the escalating national demands to end the complete foreign military presence on Iraqi soil."
Petraeus arrived in Iraq last Saturday, coinciding with the new government taking office, and met separately in Baghdad with the head of the Supreme Judicial Council, Faiq Zaidan, and the Speaker of Parliament, Hebat al-Halbousi.
It is noted that the US administration, through statements by its former and current military leaders, is attempting to push through new plans to prolong the stay of its forces in Iraqi bases under various pretexts and justifications.
Trump announces postponement of military attack on Iran that was scheduled for tomorrow
US President Donald Trump said on Monday that the leaders of Qatar, Saudi Arabia and the UAE asked him to hold off on a planned military attack against Iran, indicating that the operation was scheduled for tomorrow before being stopped.
Trump explained that “serious” negotiations are currently underway regarding the Iranian issue, noting that the leaders of the three Gulf states see the possibility of reaching an acceptable agreement that guarantees that Iran will not possess any nuclear weapons.
He added that he had instructed the US Department of Defense (the Pentagon) not to carry out the planned strike, while keeping forces ready to launch a large-scale attack if an agreement could not be reached.
Fars News Agency: Tehran has the right to declare its sovereignty over the internet cables in the Strait.
The Iranian news agency Fars reported, in a report titled "A $10 Trillion Treasure at the Bottom of the Strait of Hormuz," that all fiber optic cables at the bottom of the strait will be under absolute Iranian sovereignty.
The report stated that after Iran regained full control of the Strait of Hormuz in execution of its sovereign rights in its territorial waters, a new legal and technical question arises: the extent to which Iran has the legitimacy to impose its sovereignty over the fiber optic cables that pass through the bottom and under the surface of this vital passage.
According to Fars News Agency, the 1982 United Nations Convention on the Law of the Sea grants Iran full sovereignty over the seabed and subsoil within 12 nautical miles of its coast. Given that the Strait of Hormuz is only 21 nautical miles wide, its entire waters, seabed, and airspace fall within the territorial waters of Iran and Oman. There is not a single centimeter of free water or exclusive economic zone within the Strait of Hormuz. Therefore, Iran's legal team argues that the fixed cables running along the seabed of the Strait of Hormuz do not fall under the concept of "transit passage" for ships and aircraft, but rather constitute permanent use of the seabed subject to Iranian permits and oversight.
According to this interpretation, every kilometer of international internet cables (Google, Microsoft, Amazon, Meta, and others) laid on the seabed of the Strait of Hormuz would require Iranian authorization, becoming subject to technical and security oversight and the payment of sovereign fees, similar to how other countries handle technology infrastructure crossing their territories. Furthermore, Iranian legal approaches encourage consideration of additional fees for services such as navigational safety, marine environmental protection, and linking foreign maintenance companies with local workers under Iranian sovereignty.
In practical terms, the analysis published by the Fars News Agency in its report entitled: “A $10 Trillion Treasure at the Bottom of the Strait of Hormuz” indicates that Iran, as the coastal state that manages the Strait of Hormuz, can treat the submarine cables as it treats any property that touches its sovereignty, and turn this digital infrastructure into a strategic tool for economic and international negotiation, while emphasizing that any continuation of the operation of these cables requires the approval of the Iranian government and the signing of cooperation and maintenance agreements within the rules of its regulation.
The Iranian stock exchange will resume trading next Tuesday.
Iran's state news agency quoted a senior official as saying on Saturday that Iran will reopen its stock market on Tuesday after suspending it during the conflict with the United States and Israel.
Hamid Yari, deputy supervisor of the Stock Exchange and Securities Organization, said, "The suspension of stock market activities since the beginning of the war was aimed at protecting shareholders' assets, preventing panic trading, and allowing for more transparent pricing conditions."
He added, "Now, with the reopening of the stock market, we will see a full resumption of all sectors of the capital market."
Iran's financial markets will reopen after 80 days of closure, a spokesman for the Sulaimani currency market said.
Opening of financial markets after 80 days
Iran's financial markets will reopen today after 80 days in an attempt to normalize financial transactions and regulate trade. Iran's stock markets will reopen on Tuesday, Deputy Chairman of the Iranian Monetary Exchange Organization Hamid Yari said yesterday. He noted that the suspension of activities since the beginning of the conflict was to protect the assets of shareholders and prevent the destruction of the assets of traders and foreign exchange offices.
Facilitation for businessmen in the region
Jabar Goran, spokesman of the Sulaimani currency market, said the opening of the Tehran Stock Exchange will facilitate traders and dealers in the currency market. He explained that in the past, the closure of the stock exchange and the lack of internet connection had created major problems, so that importers and exporters of Iran and the Middle East could not easily organize their payment system, so they had to use Iranian SIM cards.
Affects the value of the Iranian currency and remittances
The spokesman of the Sulaimani currency market said that the opening of Iranian financial markets will better enable the remittance payment system. He stressed that the normalization of these transactions will have a direct impact on the value of the Iranian currency and may raise the value of the currency against the dollar, which will affect Kurdistan markets, which have strong trade relations with Iran.
The Pentagon is preparing a list of targets for strikes against Iran.
CNN, citing informed sources, reported that the Pentagon has prepared a list of targets for strikes on Iran in the event that US President Donald Trump orders new attacks on the country .
The network's report stated: "The Pentagon has prepared a series of plans for military targets in case Trump ultimately decides to approve new strikes ."
She noted that the Pentagon considers Iranian energy facilities and infrastructure elements as potential targets .
According to the network, Trump discussed next steps regarding Tehran with senior administration officials on Sunday after returning from
According to the network, Trump discussed next steps regarding Tehran with senior administration officials on Sunday after returning from China. The meeting, held at his golf club in Virginia, was attended by Vice President J.D. Vance, CIA Director John Ratcliffe, and Special Envoy Steve Witkopf .
The channel did not provide details about the content of the meeting, but indicated that Trump was disappointed by the ongoing blockade of the Strait of Hormuz and its impact on global oil prices.
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