The central bank remains silent on the removal of zeros amid market confusion.
The silence of the Central Bank of Iraq regarding the escalating news about changing the currency and removing three zeros from the dinar has left an information gap in one of the most sensitive monetary files, at a time when conflicting statements continue to come from officials, deputies and experts regarding a decision that the body authorized to issue the currency has not yet announced whether it has actually been taken, or is still under study, or what its implementation mechanisms are.
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The silence surrounding the issue has become even more sensitive after Communications Minister Mustafa Sand stated in a televised interview that the decision to change the currency and remove zeros had been "issued," just days after a member of the parliamentary finance committee spoke of a discussion regarding the proposal to remove zeros during a meeting that included the prime minister, the finance minister, and the central bank governor. The government spokesperson had denied on June 22 the existence of any official decision or proposal in this regard.
Despite the Central Bank continuing to publish its usual news and announcements, including announcements of financial auctions on Sunday, August 16, no clarification regarding the currency change or the removal of zeros appeared in its official data list until Monday morning.
Three economic experts, who spoke to Al-Mustaqila and asked not to be named, said that the absence of a clear statement from the bank left markets and citizens with questions that the monetary authority is supposed to answer before any decision of this magnitude is made.
The first expert said that the problem is no longer about agreeing or disagreeing about the feasibility of removing zeros, but rather about the “irresponsible statements” that preceded any official announcement, considering that they confused the market and left basic questions unanswered, including whether the designs of the new currency were completed, the size of the amounts that can be exchanged, whether the exchange will be in cash or through bank accounts, and how large sums of money will be dealt with.
He added that the uncertainty may push some savers to increase their demand for dollars, especially in a country where large amounts of money are still outside the banking system, and where a segment of the public does not trust banks to the degree that would allow them to suddenly transfer their cash savings to them.
The second expert said that the currency restructuring project is not new, and that it went through study phases within the Central Bank years ago, but he added that moving from study to implementation requires extensive arrangements that include designing the new denominations, contracting with international printing houses, preparing sites to receive, sort and destroy the old currency, preparing banks to open accounts and deal with exchange operations, as well as setting rules for funds that require disclosure of their source.
This is supported by what the Central Bank officially announced in 2022, when it said that restructuring the currency and removing zeros requires a law to be enacted by the House of Representatives, and that a draft law had been prepared years ago and needed amendments.
The Central Bank Law also stipulates that the bank alone has the right to issue currency, determine its denominations, standards, and designs, and make arrangements for its issuance, which makes the absence of its direct position more important than statements issued by other government entities.
The third expert said that dealing with funds of unknown origin does not necessarily require removing zeros, and suggested instead subjecting large cash blocks when they are introduced into the banking system to source verification procedures, and linking the purchase or transfer of ownership of large assets, such as real estate and cars, to anti-money laundering controls when transactions raise suspicious indicators.
The three experts, despite their disagreement on the feasibility of changing the currency, believe that the issue cannot tolerate fragmented media management, because removing zeros does not automatically increase the purchasing power of the dinar, but rather it is a renaming of the monetary unit that requires changing prices, salaries, debts and contracts in the same proportion if it is implemented properly.
The question that needs answering from the central bank remains simpler than the ongoing debate: **Was the decision to remove zeros actually made?**
If a change has been made, the market expects the entity responsible for the currency, not ministers, members of parliament, or social media platforms, to announce its timing, the mechanism of the exchange, its limits, the fate of funds outside banks, and the guarantees that prevent market disruption or harm to citizens' savings.
Changing the dinar currency and removing zeros: its advantages and disadvantages
From the lessons of management science and its applications in life, we have come across sayings and proverbs that are still remembered, including the saying of one of them: “If you want to catch fish, you do not have to dry up the river to catch what is in it, but you have to use the appropriate hook and the bait that attracts the fish in order to be a skilled fisherman, and to obtain what you want.” This saying is close and may be related to what is being circulated on social media these days, that the state is studying the issue of changing the dinar currency, coupled with removing zeros. The connection to that saying is what was mentioned in terms of reasons, which is to remove the stolen money from the corrupt for the benefit of the state and to deprive those who hoard ill-gotten gains by hiding, on the assumption that this process will prevent the corrupt from exchanging the stolen money in the form of cash, which is estimated at (5-10) trillion dinars, into the new dinar.
Although what was mentioned has not been confirmed, neither by the Central Bank of Iraq, which is the reference authority for managing and issuing currency, nor by the Council of Ministers, which is the executive authority of the country, nor by the legislative authority of the House of Representatives, and because the dinar is the national currency in which all citizens trade, reactions vary according to the conviction of individuals. Some support the idea of changing the currency for national reasons, the most important of which is that the change of the (Saddam) currency to the current currency was not done by a national decision, because it was done by the civil administrator (Paul Bremer) during the validity of the UN Security Council resolution related to the (liberation) of Iraq. And since more than 20 years have passed since its issuance and the departure of the occupation and the American presence, it is preferable for us to have a currency by our local national decision, far from all dictates. Some give a psychological dimension to changing the currency when they mention that its memory is linked to the tragedies of the occupation and the destruction and devastation it left behind. And some of the opponents raise the question, why is the change being done in such financial circumstances that it is going through and the surrounding political circumstances?
If the issue of change is serious, it is certainly not exclusively related to the confiscation of funds (buried here or there), but rather it has specific dimensions, because what is being discussed is linked to the removal of zeros, which means making a fundamental change in the monetary denominations, so that (1000) dinars becomes (1) dinar, making the denominations, in fils (250, 500), and in dinars (1, 5, 10, 25, 50), which is a change that they simplify by simply removing zeros. This requires reprinting and issuing (8) trillion of the issued banknotes, while maintaining the current monetary mass by converting it to approximately (100) billion dinars instead of 100 trillion. Regardless of the feasibility and reasons, it is one of the large operations, which takes months in printing and the implementation of the replacement, and requires a large technical apparatus in the Central Bank and its associated banks and institutions, and it certainly has costs related to feasibility and returns.
The process of changing the currency is not strange, but rather it is practiced in many countries. Turkey is one of the countries in the region that carried out the change accompanied by the removal of zeros. However, it is common for such operations to take place in countries that have large inflation in their national currencies compared to exchange rates against foreign currencies, including the dollar. Iran and Syria may benefit from such a change, because the zeros in their countries cause confusion in calculations and in daily transactions and volume for people and institutions. Our country has not witnessed a surge in financial inflation, as the matter is still somewhat controlled, thanks to what the country receives from oil sales in dollars. According to official data, inflation is within reasonable limits, although it burdens those with limited and no income. Despite the security and political conditions that the region is witnessing, which caused a decrease in oil exports, the inflation rate (according to government data) is still within limits that have not exceeded (5%). Despite all that is said, it is certain that the decision-makers will have convincing and sufficient justifications for the change, if the matter actually becomes a decision.
People are anticipating events and raising several concerns. First, they argue that the change (if implemented openly) will encourage hoarders (whether their wealth is acquired legally or illegally) to quickly convert their cash into dollars, gold, real estate, or valuables. This, they contend, will generate demand that will drive up prices, potentially impacting people's livelihoods, especially given the prevalence of dollarization in the markets. The parallel (black) exchange rate remains at 1540 dinars, higher than the official rate of 1320 dinars for years. Second, they question what guarantees the state can access hidden funds without their owners (who are often deeply corrupt) or their associates rushing to release them by some means. Third, they believe that while the change may not directly affect ownership, it could create a sense of diminished returns for some groups. This is a psychological issue and is likely to affect those receiving social welfare payments, which will be reduced to 170 dinars, or those earning the minimum wage of 350 dinars after the removal of zeros. Fourth, they argue that certain sectors will be negatively impacted by the change, including... For example, the nominal price of issuing a share in Iraq, which is one dinar, will be worth (fils). Fifth, removing zeros will create accounting difficulties in historical comparison and may encourage corruption.
In conclusion, a decision of this kind, which is happening for the first time in the country’s history, requires careful consideration, review, and analysis in terms of cost, feasibility, returns, and impact on the struggling national economy and on public acceptance. It is also very important to anticipate early on what is expected in terms of money laundering operations and their repercussions on supply and demand, without neglecting the moral and psychological dimensions of those who trade in cash. We say all this if the news is certain or just predictions, without neglecting the best way for the hunter.
Government spokesperson: The Cabinet has not made any decision regarding the issue of removing zeros from the Iraqi currency.
Iraqi government spokesman Haider al-Aboudi confirmed on Monday that the issue of restricting weapons to the state is a sovereign Iraqi matter and there are no external dictates, while noting that the Council of Ministers has not made any decision regarding the issue of removing zeros from the Iraqi currency.
Al-Aboudi said in a televised interview monitored by Al-Mirbad that "what was raised about a plan to target the head of the Supreme Judicial Council is currently under investigation."
He added, on the other hand, that "the Prime Minister is giving special attention to the air defense file and has put in place the procedural and financial environment to implement its requirements."
He added that "the international coalition is in the process of accelerating its procedures in the context of ending its mission in Iraq at the end of next September."
Regarding the issue of restricting weapons, Al-Aboudi stressed that "the file of restricting weapons to the state is a sovereign Iraqi file that spared Iraq serious repercussions and no external dictates, and it is an indication of the Iraqi government's seriousness in completing the requirements of Iraqi sovereignty."
He pointed out that "Iraq was almost subjected to isolation because of the issue of restricting weapons, and the government's decisions are intended to spare Iraqis further repercussions."
He also indicated that "all formations within the Popular Mobilization Forces will be restructured and renamed within the same organization," while clarifying that "the arrest of Abbas Hussein al-Yaqubi was carried out pursuant to a judicial order."
Regarding the issue of removing zeros from the currency, Al-Aboudi stressed that "the Council of Ministers has not made a decision to remove zeros from the currency, nor has the Central Bank, and the matter requires legislation from the House of Representatives."
from Kurdish newsAl-Aboudi: The issue of weapons control is a sovereign one, and there is no decision from the Council of Ministers to remove zeros.
About the news
- Government spokesperson: The issue of restricting weapons to the state is a sovereign matter and there are no external dictates.
- Haider Al-Aboudi: The Cabinet has not made any decision regarding the issue of removing zeros from the currency.
- Al-Aboudi: What was raised about a plot to target the head of the Supreme Judicial Council is currently under investigation.
The government spokesman explained that the Prime Minister is giving special attention to the air defense file and has put in place the procedural and financial environment to implement its requirements. He added that "the international coalition is in the process of accelerating its procedures in the context of ending its mission in Iraq at the end of next September."
Regarding the issue of restricting weapons, Al-Aboudi stressed that "the file of restricting weapons to the state is a sovereign Iraqi file that spared Iraq serious repercussions and no external dictates, and it is an indication of the Iraqi government's seriousness in completing the requirements of Iraqi sovereignty."
He pointed out that "Iraq was almost subjected to isolation because of the issue of restricting weapons, and the government's decisions are intended to spare Iraqis further repercussions."
He pointed out that "all formations within the Popular Mobilization Forces will be restructured and renamed within the same organization," while explaining that "the arrest of Abbas Hussein Al-Yaqoubi was carried out pursuant to a judicial order."
After talk of removing zeros... why did the dollar rise in Iraq?
The exchange rate for 100 dollars in the Al-Kifah and Al-Harithiya exchanges reached 154,800 dinars, after it was around 151,000 dinars two days ago. This move came after the Minister of Communications, Mustafa Sand, spoke about finalizing the decision to change the Iraqi currency and remove its zeros .
In a televised interview followed by Al-Sa’a Network, Sand said, “The currency exchange process will push those who have hoarded money to disclose it, while other amounts will remain outside the exchange process, especially money that its owners cannot show,” estimating the amount of money that may not be returned for exchange at about 8 trillion dinars .
The rise of the dollar does not prove that the owners of these funds actually moved to it, but it draws attention to the effect of any talk about replacement before announcing its date and rules. Until the time of preparing the report, the Central Bank or the Cabinet had not issued a schedule that clarifies the period of trading of the two currencies, or audit controls, or mechanisms to protect the market from speculation .
The discussion does not begin with the form of the new paper, but with the volume of cash circulating outside the state's ability to monitor it .
A mass that the state does not see
Member of Parliament’s Finance Committee, MP Jamal Kojar, said that the issue is not just about stolen money or cash stored in homes, adding: “There is no country that has a cash reserve of 113 trillion dinars, and what is in its possession does not exceed 20 trillion, and it does not know where the other reserve is,” indicating that “this is a disaster from a security, economic, financial and banking perspective . ”
This difference means that the state is not facing a limited issue related to a specific category, but rather a broad cash economy operating outside of banks. Among these funds are legitimate trade and family savings, in addition to funds whose owners may not be able to explain their sources. Therefore, the replacement process appears, on the surface, to be an opportunity to return part of the cash to official channels .
But this opportunity depends on whether banks and regulators are able to track the money as it enters, not just as its paper money is exchanged .
Betting on the new dinar
Economic expert Ziad Al-Hashemi believes that the plan could give the state more room to monitor illicit funds, explaining that "despite the reservations about this measure, it will ultimately help to a great extent in keeping money in the hands of the Central Bank and the government, and will prevent corruption funds from circulating within the economy through its back doors, and will leave room only for the legitimate dinar to move."
Al-Hashemi added that “those with large sums of money may try to buy assets during the transition period, but he links the impact of this to the seriousness of the auditing,” noting that “those with corrupt money may try to launder what can be laundered by buying assets, but this attempt will remain limited in impact as long as there is an audit of the sources of funds offered to buy tangible assets such as real estate.”
The expert does not rule out the possibility of resorting to the dollar or gold, but he believes that "this path will not be open without limits because the purchase of the dollar and gold will also remain limited due to the auditing requirements on the one hand and the limited supply of those assets on the other hand compared to the huge amount of corruption funds."
This interpretation places a heavy responsibility on the state, as the success of the replacement, according to this view, does not come from the new currency alone, but from the existence of auditing in banks, monitoring of large transactions, and rules that prevent the use of intermediaries to take the money out of the control process .
But it is precisely these conditions that, if absent, raise concerns among other experts about the timing of the move .
An economy that is not yet ready
Economic expert Ahmed Al-Hathal stressed that "removing zeros does not provide an economic solution in itself, because its motives are primarily psychological and organizational. As for the belief that this step will force corrupt individuals to reveal their money and disclose its sources, this is not true."
Al-Hathal pointed out that "a large part of commercial activity takes place outside of banks, but it is not necessarily illegal," adding that "about 50% of commercial activity in the market is not known to the government, yet it is legitimate activity practiced by traders and the private sector who own money and real estate; so should everyone be required to prove the sources of their money?"
The expert proposes a different order of the required steps, saying: "First, a database should be created, a structural reform of the economy should be carried out, governance should be established, the monetary system and the banking system should be developed, and then the currency should be adjusted; this is how the countries of the world operate."
Al-Hathal’s warning is not limited to auditing procedures, as he fears that implementing them without sufficient banking preparation will confuse the private sector, which is accustomed to dealing in cash, and push some of it away from banks, thus opening the door to fluctuations in the market and prices as the replacement approaches.
sensitive transition period
Financial and banking expert Abdullah Al-Bandar warned of the sensitivity of the transitional phase, saying that "the currency replacement period will be very delicate, because those with large fortunes are the most experienced in dealing with such transformations, at a time when a period of time must be given to complete the replacement process."
Al-Bandar linked the transitional phase to the possibility of some cash being transferred to assets, adding: “People’s money may be directed towards real estate, cars and investments, which will raise demand for them and drive their prices up significantly.”
Al-Bandar stressed that “this possibility requires prior preparation for the decision and in-depth studies,” explaining that “the rise in the price of the dollar or the increase in demand for real estate and gold are not an inevitable result of the replacement, but they are a possibility if the market enters a waiting phase without knowing the timing of implementation, its mechanisms and controls.”
This effect is not only visible in the accounts of traders and large holders of liquidity, because the citizen does not get a direct benefit from removing zeros unless prices stabilize and control tools improve .
What changes for the citizen?
For his part, MP Ahmed Al-Sharmani explained that “removing the zeros will not strengthen the economy or automatically revive the citizen; whoever receives 5 million dinars will receive 5,000 new dinars after the removal, without his purchasing power or living conditions changing.”
However, he believes that the potential benefit lies in tracking the movement of money, explaining that "the process may contribute to tracking stolen and hidden funds, as their owners may resort to using intermediaries or relatives and dividing the amounts to buy real estate, cars or gold, which is what the competent authorities are supposed to follow up on."
This argument confirms that changing the currency does not reveal the sources of funds on its own, but it may give the competent authorities an opportunity to monitor its movement, provided that they are prepared for monitoring before and during the exchange begins.
The experiences of other countries show that currency change works when it is part of a broader reform, not a replacement for it .
Experience, not a prescription
Türkiye removed six zeros from the lira on January 1, 2005, following a course of action aimed at reducing inflation, improving monetary stability, and enhancing policy predictability.
Zimbabwe removed 3 zeros in 2006, then 10 zeros in 2008, and 12 zeros in 2009, before moving to a multi-currency system. In Venezuela, 6 zeros were removed in October 2021, replacing one million sovereign bolivars with one digital bolivar.
These experiences do not make Iraq a copy of any country, but they confirm that removing zeros alone does not change the economy or reduce corruption. Its success is linked to people’s confidence in banks, the state’s ability to track illicit funds, and the clarity of instructions before the market enters a phase of anticipation and speculation.
With details of the replacement absent from official data, the success of the decision remains contingent on clearly announcing its regulatory rules and mechanisms, before hoarded funds move towards the dollar, gold, or other assets away from the state's sight.
Prime Minister's Advisor: Digital Dinar a promising project to enhance the efficiency of monetary policy
The Prime Minister's advisor, Mazhar Muhammad Salih, confirmed on Monday that the digital dinar is a promising strategic project and not an independent solution to the liquidity crisis. While he pointed out that paying salaries digitally enhances the speed of payments and reduces cash transactions, he indicated that the success of the digital dinar depends on expanding banking services and infrastructure.
Saleh told the Iraqi News Agency (INA): “The proposal to launch the digital Iraqi dinar is one of the ideas that deserves to be studied within the framework of Iraq’s move towards digital transformation and the development of the financial system. If the digital dinar is meant to be a digital currency issued by the Central Bank of Iraq and enjoys the same legal force as the paper dinar, then it could represent a modern tool to enhance the efficiency of monetary policy, improve liquidity management, and develop the government payments system, which is what most central banks in the world are working on today.”
He added that “a sovereign digital currency does not mean creating a new currency, but rather issuing a digital form of the Iraqi dinar, so that it becomes available for electronic trading through digital wallets and bank accounts, while its value remains equal to the paper dinar,” explaining that “the importance of the digital currency lies in reducing reliance on cash, lowering printing, transportation and protection costs, speeding up payment processes, enhancing financial inclusion, as well as reducing the unregulated cash economy and its associated tax evasion, money laundering and corruption.”
Saleh pointed out that “the digital dinar should not be blamed for addressing the cash liquidity crisis, as the crisis, if it exists, is primarily linked to structural economic and financial factors, including the structure of the general budget, the level of government spending, citizens’ confidence in the banking sector, the size of deposits, and monetary policy,” stressing that “the digital dinar is a means to improve the efficiency of cash management, and not an independent cure for macroeconomic imbalances.”
He continued: “The Central Bank of Iraq has made significant progress in the digital transformation process by expanding electronic payment systems, digital wallets, point-of-sale devices, and linking banks to modern settlement systems.” He pointed out that “these measures represent the foundation upon which future decisions can be made to issue a sovereign digital currency, but this requires completing the legal and legislative frameworks, strengthening cybersecurity, and providing a technological infrastructure capable of accommodating this transformation.”
He explained that “disbursing salaries to employees and retirees in digital form is technically possible, especially since a large segment of salaries are currently disbursed via bank cards linked to the localization of government salaries and pensions,” noting that “in the future, the possibility of depositing salaries directly into digital wallets or accounts linked to the digital dinar can be studied, which reduces the need for cash transactions, enhances the speed of payment execution, and limits the risks of transferring and handling money in cash.”
Saleh explained that "the success of this transformation depends on several requirements, most notably expanding the spread of banking services in all governorates, increasing the number of electronic payment devices and ATMs, improving the quality of communications and internet services, and raising the level of digital financial literacy among citizens, in order to ensure that society accepts these modern methods and uses them with confidence and security."
The Prime Minister’s advisor pointed out that “the launch of the digital Iraqi dinar represents a promising strategic project, but it is not a substitute for economic and financial reforms, rather it is part of them. Its success requires a more diversified economy, a more efficient banking sector, and disciplined financial policies, in addition to an integrated legal and technical framework. When these elements are available, the digital dinar can contribute to enhancing financial stability, improving liquidity management, and supporting the transition towards a more efficient and transparent digital economy, in line with modern global trends in managing monetary systems.”
The Governor of the Central Bank of Iraq receives his Iranian counterpart to discuss prospects for financial and banking cooperation.
The Governor of the Central Bank of Iraq, Mr. Nizar Nasser Hussein, received the Governor of the Central Bank of Iran, Mr. Abdolnasser Hemmati, at the bank's headquarters in Baghdad, in the presence of the Iranian Ambassador to Iraq, Mr. Mohammad Kazem Al-Sadegh, and their accompanying delegation.
During the meeting, an expanded discussion was held covering a range of financial and monetary issues of mutual interest to the two neighboring countries, as well as ways to strengthen bilateral banking relations to serve their shared economic interests.
The two sides also discussed mechanisms for settling financial dues and regulating trade exchanges in accordance with international governance, transparency, and compliance standards.The Governor of the Central Bank of Iraq affirmed the bank's commitment to developing and implementing best practices in regulatory and banking practices that ensure the stability of the local financial system and expand regional and international coordination, thereby contributing to the support and stability of the national economy.
For its part, the Iranian side expressed its country's aspiration to broaden the horizons of cooperation and joint coordination in the coming period.Baghdad - Media Office,
August 17, 2026
Zaidi and the Governor of the Central Bank of Iran discuss regional financial and monetary challenges
On Monday, Prime Minister Ali Faleh al-Zaidi and the Governor of the Central Bank of Iran, Abdolnaser Hemmati, discussed the financial and monetary challenges facing regional countries.
Al-Zaydi’s media office stated in a statement received by Shafaq News Agency that he received in Baghdad the Governor of the Central Bank of the Islamic Republic of Iran, in the presence of the Director of the Office of the Prime Minister, the Governor of the Central Bank of Iraq, a number of advisors, in addition to the Iranian Ambassador to Iraq.
The meeting included a review of the most prominent financial and monetary challenges facing the region's economies, in light of the current regional circumstances.
The Prime Minister affirmed that the government is working to make Iraq an arena for the interconnected economic and developmental interests of thecountries of the region, in a way that secures and supports efforts to consolidate stability and stop conflicts.
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Late-night meeting of the four presidencies to discuss three "serious" issues in Iraq
The four presidencies will hold an important meeting this evening, Monday, focusing on the issue of limiting weapons and options for confronting factions that refuse to disarm after the September 30 deadline.
According to an informed source who spoke to Shafaq News Agency, the meeting to be held between Prime Minister Ali al-Zubaidi, Speaker of Parliament Hebat al-Halbousi, President Nizar Amidi, and Head of the Supreme Judicial Council Faiq Zaidan will focus on two issues: first, restricting weapons, and second, continuing the fight against corruption and ensuring there are no red lines in pursuing any person accused of corruption, regardless of their governmental or political position.
The source explained that the meeting will also discuss the economic situation and the serious financial crisis that Iraq is going through due to the halt in its oil exports through the Strait of Hormuz, and possible solutions to confront the crisis in the coming period.
The issue of armed factions is one of the most sensitive issues facing the Iraqi government, with the approach of September 30, which the main political forces have set as the deadline for restricting weapons to official institutions.
In September 2024, Iraq and the United States agreed to end the military mission of the US-led international coalition against ISIS in Iraq, as part of a phased plan to move the security relationship between the two countries from the framework of the coalition to a bilateral partnership.
On Sunday, the State of Law coalition, led by Nouri al-Maliki, submitted a proposal to separate the date of the withdrawal of US forces from Iraq from the issue of disarming the factions, within the framework of a vision that is still "under study".
Regarding the fight against corruption, a campaign of arrests was launched in Iraq in late June, targeting political officials, members of parliament, and businessmen, as part of a campaign called "Operation Dawn," which Prime Minister Ali al-Zubaidi described as the "first phase" of broader measures to recover public funds, while tasking oversight bodies with receiving any indications related to cases of corruption or negligence in state institutions.
On the financial level, Iraq is experiencing a serious financial crisis, which has resulted in the delay in paying the salaries of a number of Iraqi state employees for the month of July, amidst accumulated living expenses and increasing economic pressures that have begun to be clearly reflected in the Iraqi markets.
The coordination framework is exploring ways to restrict weapons "through dialogue" and condemns the Erbil attack.
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The Coordination Framework condemned on Monday evening the attack on the residence of the Prime Minister of the Kurdistan Region in Erbil, while stressing the need to restrict weapons to the state through dialogue and understandings.
The media office of the framework stated in a statement received by Shafaq News Agency that the leaders of the framework held their regular meeting No. 289 this evening at the office of the leader of the Wisdom Movement, Ammar al-Hakim, to discuss the latest developments on the local and foreign scenes, in the presence of the Prime Minister, Ali al-Zubaidi.
During the meeting, service, economic, security and stability issues were discussed. The attendees also assessed the situation in the region and the world to develop mechanisms for dealing with emergencies and to capitalize on the relative calm that the region is witnessing.
The coordination framework conducted a quick assessment of the 100-day period that will end in the government's term on Friday.
The participants discussed the issue of restricting weapons to the state as a "national demand" and working to achieve it through dialogue and understanding, coinciding with the end of the international coalition's mission.
The Coordination Framework condemned the terrorist attack on the headquarters of Kurdistan Region Prime Minister Masrour Barzani.
Exclusive: Iraq nears agreement with German company to transport its oil through the Strait of Hormuz with Iranian approval
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An Iraqi government source revealed on Monday that the State Oil Marketing Company (SOMO) is conducting intensive negotiations with American and German oil transport companies in an attempt to secure the passage of Iraqi crude through the Strait of Hormuz, taking advantage of Iranian approval for the passage of tankers flying the Iraqi flag amid the disruptions to shipping in the waterway.
The source told Shafaq News Agency that "Iraq is seeking to capitalize on Iran's approval for Iraqi-flagged oil tankers to cross the border to deliver crude oil to global markets," indicating that "SOMO has held talks with two companies specializing in global oil transport, one American and the other German."
He explained that "the American company refused to raise the Iraqi flag on its tankers, which is a basic condition set by Baghdad to ensure the safe passage of oil through the strait, and therefore no agreement has been reached with it so far."
According to the source, "the German company has agreed to raise the Iraqi flag on its tankers while transporting crude oil from Iraqi ports and passing through Hormuz to global markets," noting that "Iraqi oil will not be subject, according to understandings with the Iranian side, to any financial fees for passage."
However, the source pointed to another obstacle related to the American side, saying that Baghdad “needs American approval or authorization to complete the transit arrangements,” predicting that it would be obtained soon, in light of the American sanctions imposed on parties linked to Iranian navigation and insurance mechanisms in the Strait of Hormuz.
The United States imposed sanctions on July 29 on companies and tankers linked to Iran, including entities that Washington said were using insurance and shipping services to collect revenue from ships crossing the strait, further complicating insurance and financial transactions related to transit.
The government source pointed out that the deadline set by Prime Minister Ali Faleh al-Zaidi for the Ministry of Oil to find solutions to the crude oil export crisis "may be extended for a second week," explaining that reaching final arrangements with shipping companies "is not easy," as the companies are demanding higher transportation fees and additional insurance guarantees commensurate with the level of risks in the strait.
On Monday, Al-Zaidi gave the Ministry of Oil a week to show tangible results in addressing the export crisis, and directed it to contract with international companies to market and sell oil, and to develop alternative export outlets, in light of the decline in exports due to the Hormuz crisis.
The new negotiations come after an official Iraqi move towards Washington and Tehran to obtain arrangements that would ensure the continuous passage of oil tankers, while Iraq's exports in July amounted to about 49 million barrels, more than 30 million barrels of which passed through the Strait of Hormuz, according to data from the Ministry of Oil.
Security risks and high insurance costs remain major obstacles to restoring Iraqi exports to normal levels. Shipping companies have refrained from sending tankers to Basra ports despite the significant discounts offered by SOMO to buyers. Ship tracking data from earlier in August showed a sharp decline in shipping traffic through the Strait of Hormuz, as ship owners remained hesitant to enter the region due to the risk of being targeted.
In a sign of the difficult situation, Totsa, the trading arm of Total Energies, recently offered Basra crude for loading from locations outside the Strait of Hormuz, as buyers continue to be reluctant to send tankers to Iraq’s southern ports because of security risks.
MILITARY STUFF:
Urgent directive to evacuate Popular Mobilization Forces headquarters in Diyala after the detection of unidentified aircraft
A security source reported early Tuesday that urgent directives had been issued to evacuate the headquarters of the Popular Mobilization Forces in Diyala Governorate, after an unidentified aircraft was spotted flying in the governorate's skies.
The source told Shafaq News Agency that the directives were issued as a precautionary measure, following the detection of unidentified aircraft movements in the skies of Diyala, without the identity of the detected aircraft being clear so far.
The Houthis reveal they targeted a Saudi military vessel: it burned completely.
Houthi military spokesman Yahya Saree revealed on Monday that their forces attacked a Saudi military landing ship and four escort boats in the Red Sea with ballistic missiles.
According to Reuters, Saree explained that "the targeting took place off the coast of Mocha, with a number of ballistic missiles. The hit was accurate and direct, and the operation led to the ship burning completely, with a number of boats sinking and the rest burning."
Meanwhile, two sources in the Yemeni government told Reuters earlier on Monday that the Houthis attacked a ship in the Bab al-Mandab Strait with six missiles.
The two sources added that the ship had been out of service for more than a year for maintenance, and it is believed to have been empty at the time of the attack.
The port of Mocha is located near the Bab al-Mandab Strait, which connects the Red Sea to the Gulf of Aden and is one of the most important shipping lanes for global maritime trade.
Since July 20, 2026, tensions have escalated in the Red Sea and the Gulf of Aden, with the Houthis announcing a "maritime blockade" on ships linked to Saudi Arabia, Yemen's neighbor.
Saudi Arabia also announced the formation of a maritime defense alliance to protect freedom of navigation in the Bab al-Mandab Strait, which includes countries such as the United States, Yemen, Kuwait, Oman, Jordan, Sudan, Morocco, Maldives, Bangladesh and New Zealand.
Tehran gives Washington a "deadline" and decides to shift from "defense to offense".
An Iranian official stated on Monday that his country has set a deadline for the United States to implement the memorandum of understanding, while emphasizing that Tehran will not wait for the naval blockade to continue indefinitely.
The official, as quoted by Reuters, said: "We will not wait for the United States to continue the naval blockade indefinitely."
He added: The United States and countries in the region will be informed of the timeframe set by Iran through intermediaries.
He pointed out that: All Iranian agencies will be on high alert to escalate tensions in the Strait of Hormuz and the region if diplomacy fails, and Tehran has set a deadline of a few weeks for the United States to fully implement the memorandum of understanding.
He stated that "pressuring the United States or relying on mediators to reach a permanent agreement is not realistic," explaining that "Iran has decided to completely shift its policy from defensive to offensive."
Trump reveals "secret" contact with the Revolutionary Guard: Iranians are good gamblers
US President Donald Trump confirmed on Monday that he does not have a specific timetable regarding Iran, noting that there is a secret channel of communication with officials in the Iranian Revolutionary Guard.
Trump told Fox News, "I'm not in a hurry with Iran, but they should raise the white flag and surrender," describing the Iranian side as "a good gambler, but one that is breathing its last."
Trump's remarks come as news emerges that both the Iranian and American sides have agreed to extend the declared truce between them, coinciding with the expiration of the time limit specified in the memorandum of understanding concluded last June.
The United States and Iran had reached the “Islamabad Understanding” after months of military confrontation that erupted on February 28, which led to a cessation of hostilities and the establishment of a 60-day truce.
No final official announcement has yet been made regarding the extension of the truce or the details of the new agreement.
Iranian Foreign Ministry spokesman Ismail Baghaei confirmed earlier on Monday that the memorandum of understanding with the United States does not include anything that specifies a 60-day deadline, stressing that Tehran "does not accept being put under time pressure" and that it acts in accordance with what it sees as consistent with its national interests.
Abbas al-Yaqubi handed over to the Popular Mobilization Forces security.
The Popular Mobilization Forces announced on Monday evening that they had received Abbas al-Yaqubi, a leader in the al-Nujaba Movement, after his arrest on charges of targeting American interests in Iraq.
The media officer of the Popular Mobilization Forces, Muhannad Al-Aqabi, said in a statement followed by “Ultra Iraq”, “The intelligence officer of the Baghdad Belt, Abbas Al-Yaqoubi, was handed over to the General Directorate of Security of the Popular Mobilization Forces to follow up on his legal procedures with the judiciary”, adding: “Anything with the judiciary will not be lost, God willing.”
Government spokesman Haider al-Aboudi commented this evening, August 17, on the arrest of Abbas al-Yaqubi, a leader in the al-Nujaba Movement and an official in the Popular Mobilization Forces, stressing that Ali al-Zaidi’s government will deal with those who refuse to “monopolize weapons” in this way.
Al-Aboudi said in statements followed by “Ultra Iraq” that “the issue of restricting weapons to the state has spared Iraq serious repercussions,” indicating that “the government will deal with those who refuse to restrict weapons to the state in accordance with the law.”
Al-Aboudi added that the arrest of Abbas Hussein Al-Yaqoubi, the intelligence official in the Al-Nujaba Movement, "was carried out under a judicial order," stressing at the same time that "the file of restricting weapons to the state is a sovereign Iraqi file and there are no external dictates in it."
Al-Aboudi also said that "restricting weapons to the state is an indication of the Iraqi government's seriousness in completing the requirements of Iraqi sovereignty," noting that "Iraq was almost subjected to isolation because of the weapons restriction issue, and the government's decisions come to spare Iraqis further repercussions."
Al-Aboudi explained in the same context that "the international coalition is in the process of accelerating its procedures in the context of ending its mission in Iraq at the end of next September," and he also confirmed that the Prime Minister "is giving special attention to the air defense file, and has put in place the procedural and financial environment to implement its requirements."
Barak condemns the Iranian attack on Barzani and affirms Washington's support for al-Zaidi.
Barak stated in a post on the “X” platform, which was followed by the “Al-Sa’a” network: “We strongly condemn the attack that targeted our trusted Kurdish friend and partner, the Prime Minister of the Kurdistan Region, Masrour Barzani, and his office in Erbil .”
Barak explained that "such an attack on our trusted Kurdish allies is unacceptable and poses a direct threat to regional stability. We will not tolerate or allow these hostile acts ."
He affirmed "full support for Prime Minister Ali al-Zaidi's leadership in restoring Iraq's full sovereignty and ensuring that all weapons and security forces remain under the authority of the Iraqi state
Barak: We will not tolerate attacks on Barzani and we support al-Zaidi in restoring Iraq's sovereignty.
Tom Barrack, the special envoy of US President Donald Trump to Iraq, vowed not to tolerate the "attack" on the office of Kurdistan Regional Government Prime Minister Masrour Barzani, stressing support for Federal Prime Minister Ali al-Zaidi in "restoring Iraq's sovereignty."
Barak wrote on his official X account, "We strongly condemn the attack on our esteemed Kurdish friend and partner, the Prime Minister of the Kurdistan Regional Government, and his office in Erbil."
Barak said, "This aggression against our trusted Kurdish allies is unacceptable and poses a direct threat to the stability of the region," vowing that
"these hostile acts will not be tolerated."
Barak added, "We will not condone or tolerate these hostile acts. We fully support Prime Minister Ali al-Zaidi's leadership in restoring full sovereignty to Iraq and ensuring that all weapons and security forces are under the authority of the Iraqi state."
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Hezbollah Brigades announce the Islamic Resistance's conditions for regulating the use of weapons.
Iraq demands an official stance from Iran regarding the Erbil bombing, and Araqchi expresses surprise.
Iraqi Foreign Minister Fuad Hussein demanded on Monday evening that his Iranian counterpart, Abbas Araqchi, take an official stance regarding the bombing of the residence of Kurdistan Regional Government Prime Minister Masrour Barzani, while the latter expressed his "surprise" at this attack, stressing that he had no information about it.
A statement from the media office of the Minister of Foreign Affairs, received by Shafaq News Agency, stated that the latter made a telephone call to the Iranian Foreign Minister to discuss the attack that targeted the residence of the Prime Minister of the Kurdistan Region, and his personal office, Masrour Barzani, by “Hadid 110” drones.
Hussein stressed that previous attacks were justified by the Iranian government on the grounds that there were Iranian opposition parties or factions in the region, but the latest attack directly targeted the headquarters of the head of the regional government, making it a dangerous precedent that could increase tension and threaten stability in the region.
The Foreign Minister condemned this unjustified targeting and requested clarification of the official Iranian position on the attack, stressing that such actions represent a dangerous escalation that will have negative repercussions on the security of Iraq and the stability of the region.
For his part, Minister Abbas Araqchi expressed his surprise at the occurrence of such an attack, explaining that he had no information indicating that the attacks were launched from Iranian territory.
He stressed that there was no justification for such actions, given the positive and strong relations between the Iranian government and the Kurdistan Regional Government, especially with the two main parties in the region.
Fouad Hussein called on the Iranian side to issue an official statement clarifying the position of the Islamic Republic of Iran regarding the attack and the parties or reasons behind it.
For his part, Minister Araqchi affirmed his country’s rejection of anything that would fuel escalation and destabilize the situation, and promised to issue an official statement clarifying the Iranian government’s position on the incident.
Earlier today, the Counter-Terrorism Service in the Kurdistan Region announced that the office of Prime Minister Masrour Barzani in Erbil was targeted by an Iranian drone.
Al-Sadr calls on the Revolutionary Guard not to strike Iraqi territory: We will not accept targeting any party.
The leader of the Shiite National Movement, Muqtada al-Sadr, commented on Monday evening on the targeting of the office of the Prime Minister of the Kurdistan Region, Masrour Barzani, in Erbil by a drone, demanding that Iran not strike Iraq.
Al-Sadr said in a tweet received by Shafaq News Agency, “If Iraq is struck by enemy marches, this is an honorable thing, but striking Iraqi lands by marches of our brothers in Iran is sad, especially if it is by Iraqi officials, even if it is in Baghdad, Kurdistan, or any part of holy Iraq,” as he put it.
He added: "The brothers in the Revolutionary Guard should not strike Iraqi territory, as this is the very embodiment of the enemies' gloating. I ask God to protect the region from wars and to protect our beloved Iraq from all dangers, no matter where they originate."
Earlier today, the Counter-Terrorism Service in the Kurdistan Region announced that the office of Prime Minister Masrour Barzani in Erbil was targeted by an Iranian drone.
Iraqi Foreign Minister Fuad Hussein called on his Iranian counterpart Abbas Araqchi on Monday evening for an official stance regarding the bombing of the residence of Kurdistan Regional Government Prime Minister Masrour Barzani, while the latter expressed his "surprise" at this attack, stressing that he had no information about it.
Hussein stressed that previous attacks were justified by the Iranian government on the grounds that there were Iranian opposition parties or factions in the region, but the latest attack directly targeted the headquarters of the head of the regional government, making it a dangerous precedent that could increase tension and threaten stability in the region.
As confirmed by Shafaq News, the four presidencies held a meeting and renewed their call for the restriction of weapons.
On Monday, the four presidencies held a meeting at Baghdad Palace, attended by President Nizar Amidi, Prime Minister Ali Faleh al-Zaidi, Speaker of Parliament Hebat al-Halbousi, and Chief Justice Faiq Zaidan, to discuss the general situation in the country and its developments, in addition to regional developments.
According to a statement received by Shafaq News Agency, the attendees affirmed their support for the government's efforts in implementing its ministerial program in a way that meets the citizens' requirements for improving living conditions and services, enhancing security and stability throughout the country, and ensuring the improvement of the performance of state institutions and meeting the needs of citizens.
The participants discussed ways to strengthen the economic situation in the country and confront current challenges, particularly those related to the decline in the country’s imports as a result of the repercussions of the war in the region and the closure of the Strait of Hormuz, stressing the importance of diversifying national income sources, enhancing non-oil revenues, and raising the level of financial management in a way thatstrengthens the abilit y of the Iraqi economy to face crises.
The statement reiterated the need to restrict weapons to the state and to adhere to this principle as a basis for consolidating state authority and the rule of law, especially after the start of the withdrawal of international coalition forces from Iraq, stressing the importance of strengthening and developing the capabilities of the Iraqi armed forces in all their formations and enabling them to perform their duties in protecting the country and preserving the security of citizens.
The presidencies affirmed their continued commitment to combating administrative and financial corruption, strengthening measures to protect public funds and hold those involved in corruption cases accountable. They also discussed the government's proposed draft law on recovering funds and the importance of proceeding with the necessary measures to help recover public funds and strengthen the integrity and anti-corruption system.
The participants also stressed the importance of strengthening the legislative and oversight role of the House of Representatives and expediting the approval of priority draft laws, especially those laws directly related to citizens’ requirements and their living and service needs, in order to support the reform process and improve the performance of state institutions.
The presidencies pointed to the importance of continuing cooperation and coordination between the presidencies and the various state institutions to finalize the completion of the cabinet as soon as possible, in order to strengthen the work of the government and enable it to perform its duties in an integrated manner, and to proceed with the implementation of its program and plans and to respond effectively to national obligations.
Regarding regional conditions, the participants stressed the need to work towards ending the crises in the region and reducing the tensions surrounding it, and to support dialogue and diplomacy in addressing and resolving disputes peacefully. They reiterated Iraq's position rejecting the use of its territory to attack any party or to launch any hostile acts from its territory, and emphasized the rejection of making Iraq's land an arena for settling scores and regional and international conflicts, in order to preserve Iraq's sovereignty, security and stability and to spare its people the repercussions of the surrounding crises.
It is worth noting that a political source informed Shafaq News Agency on Monday morning that the four presidencies will hold an important meeting this evening focusing on the issue of restricting weapons and options for confronting factions that refuse to disarm after the September 30 deadline.
According to the source, the meeting will also discuss the economic situation and the serious financial crisis that Iraq is going through due to the halt in its oil exports through the Strait of Hormuz, and possible solutions to confront the crisis in the coming period.
The issue of armed factions is one of the most sensitive issues facing the Iraqi government, with the approach of September 30, which the main political forces have set as the deadline for restricting weapons to official institutions.
In September 2024, Iraq and the United States agreed to end the military mission of the US-led international coalition against ISIS in Iraq, as part of a phased plan to move the security relationship between the two countries from the framework of the coalition to a bilateral partnership.
On Sunday, the State of Law coalition, led by Nouri al-Maliki, submitted a proposal to separate the date of the withdrawal of US forces from Iraq from the issue of disarming the factions, within the framework of a vision that is still "under study".
Regarding the fight against corruption, a campaign of arrests was launched in Iraq in late June, targeting political officials, members of parliament, and businessmen, as part of a campaign called "Operation Dawn," which Prime Minister Ali al-Zubaidi described as the "first phase" of broader measures to recover public funds, while tasking oversight bodies with receiving any indications related to cases of corruption or negligence in state institutions.
On the financial level, Iraq is experiencing a serious financial crisis, which has resulted in the delay in paying the salaries of a number of Iraqi state employees for the month of July, amidst accumulated living expenses and increasing economic pressures that have begun to be clearly reflected in the Iraqi markets.
Iraqi Prime Minister Ali al-Zaidi: I will not back down from restricting weapons even if it costs me my life
As Iraq gets closer to resolving the weapons file, the cost of confrontations rises. Today, the four presidencies stressed the necessity of committing to confining weapons in order to consolidate the authority of the state and the law. The government confirmed that it will deal with those who refuse to hand them over in accordance with the law, but 0:07
without rushing into harsh measures. The statements came after Prime Minister Ali al-Zaidi drew a red line against any attempt to retreat. More than 0:17
110 days after being tasked with forming the government, al-Zaidi chose to raise the ceiling of his positions to the maximum, confirming that he will not back down from confining weapons 0:24
even if it costs him his life. 0:30
He had previously directed the preparation of a draft law to confine weapons to the hands of the state. But the question is: Did al-Zaidi’s statement come out of nowhere? It does not 0:37
seem so. Al-Arabiya sources revealed a plot by armed factions to assassinate the head of the Supreme Judicial Council, Faiq Zaidan, using drones. 0:46
The plot is directly linked to the two files of confining weapons and fighting corruption, which prompted the Iraqi authorities 0:56
to tighten security protection around Zaidan. Another question: Why was Faiq Zaidan targeted in the first place? The head of the Supreme Judicial Council 1:04
himself entered the weapons-confinement issue. He worked to persuade a number of factions to hand over their weapons to the state, and he repeatedly warned 1:13
that the anti-terrorism law would be applied to anyone who refuses to hand over weapons. In parallel, the judiciary, 1:22
in cooperation with al-Zaidi’s government, is leading a campaign to combat corruption. Al-Arabiya sources also revealed that one of the factions refusing to hand over weapons 1:31
is behind the plot to target Zaidan. The two factions that refuse to hand over weapons are Kata’ib Hezbollah 1:40
and Harakat al-Nujaba. In a related development, an Iraqi security source confirmed the arrest of Abbas Hussein after a raid on his house in Dhi Qar. Abbas Hussein 1:47
is a leader in the Popular Mobilization Forces and the head of the reconnaissance unit in Harakat al-Nujaba.
Forty years ago, the British magazine The Economist launched a strange index for measuring the value of currencies around the world — not in dollars or gold, 0:12
but by the price of a Big Mac sandwich sold by the fast-food chain McDonald’s. The idea is simple: the sandwich itself is sold in more than 0:21
100 countries, yet its price varies significantly from one country to another. This difference can 0:29
reveal a lot about the value of currencies and purchasing power in those countries. Let’s take the United States 0:35
and Switzerland as an example. In the United States, a Big Mac costs $6.22. But if 0:43
we move to Switzerland, the price rises to the equivalent of more than $9. That means the amount that buys a burger sandwich in America is not 0:53
enough to buy a full burger in Switzerland. Here the index shows that the Swiss franc is overvalued 1:00
by about 45% relative to its supposed value. In Taiwan, the story is completely the opposite. 1:07
The same amount, after conversion into Taiwanese dollars, is enough to buy about two and a half burgers, which 1:14
indicates that its currency is undervalued. This difference is not due to the price of the Big Mac alone, 1:20
because the cost of producing it certainly varies from one economy to another. In Switzerland, for example, beef costs 1:28
more than two and a half times what it costs in Taiwan, while rents exceed three 1:35
times their counterparts. The value of the index is not limited to comparing the prices of fast-food meals only; it is based on a broad economic concept 1:44
known as purchasing power parity — that is, comparing the value of currencies according to what 1:52
they can actually buy in goods and services. The Big Mac sandwich was chosen because it relies 1:59
on more than 60 ingredients and its price is affected by salaries, rents, electricity, taxes, 2:07
as well as food prices. According to the index, the difference between the local price and the exchange rate in the markets can reveal whether 2:16
a currency is overvalued or undervalued. The Big Mac Index is distinguished by providing 2:24
a simple way to understand a complex economic idea, but it does not offer a perfect measure of currency values, 2:32
because wages, rents, taxes, and production costs differ from one country to another.
