Sunday, October 11, 2026

USE THE IRAQI DINAR! Baghdad Launches a New Currency Push

Government policy to adopt the Iraqi dinar in transactions within Iraq

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On Saturday, October 10, 2026, Mazhar Muhammad Saleh, an advisor to Prime Minister Ali al-Zidi, revealed a government plan to adopt the Iraqi dinar for transactions within Iraq.

The video for this My FX Buddies blogpost is below here:


Saleh said in a statement followed by “Ultra Iraq” that “there is a governmental trend to adopt the Iraqi dinar in transactions within Iraq in accordance with the relevant legal provisions, which supports confidence in the national currency and regulates transactions in the market,” as he put it.

Saleh spoke about “government oversight measures” and considered them “a fundamental pillar for controlling markets and limiting unjustified price increases, and confronting monopoly, speculation and exploitation of citizens’ need for food and consumer goods,” stressing that “the continuation of oversight campaigns, strengthening institutional coordination, supporting local production, facilitating the flow of goods and holding violators accountable, represent important factors for protecting the consumer and enhancing market stability.”  

He pointed to "the importance of coordination between the concerned authorities to ensure the smooth flow of goods to the markets, in parallel with government measures aimed at facilitating trade and addressing obstacles facing the processing and distribution operations, which enhances market efficiency and contributes to price stability and the availability of basic materials," as well as "the importance of adhering to the applicable legislation that regulates financial and commercial transactions," indicating that "the integration of the work of commercial and regulatory bodies contributes to monitoring markets, detecting violations and applying legal measures against violators, which enhances fair competition and protects the purchasing power of citizens, especially those with limited income."

The advisor pointed out that "price stability is not achieved by monitoring alone, but requires its integration with economic and supply policies and procedures that facilitate commercial activity, in order to support living, economic and social stability in Iraq."

He also said that "effective oversight does not target legitimate business activity, but rather seeks to prevent monopolistic practices, price manipulation, and exploitation of economic conditions to achieve unjustified profits, while maintaining a balance between the rights of consumers and the interests of committed traders, and establishing a business environment based on transparency and fairness."

On October 7, 2026, the financial authorities in Iraq announced a reduction in the value of the dinar for the third time in six years, bringing it to 152,000 dinars per 100 dollars, for the currency sold to the public, or the "end user".

The Central Bank decided to adopt a new exchange rate for the dollar, according to a document issued by the bank, which stated: “With reference to the Cabinet’s decision taken in its twenty-second session on October 6, 2026, which included amending the exchange rates of the Iraqi dinar against the US dollar in a way that meets the relevant financial, economic and monetary requirements.”

He added: "Based on the provisions of the Central Bank of Iraq Law No. 56 of 2004, as amended, it was decided to adopt the following exchange rates:

  • The purchase price of the US dollar from the Ministry of Finance: (1500) dinars per dollar.
  • The selling price of the US dollar to banks: (1510) dinars per dollar.
  • The selling price of the US dollar to the public: (1520) dinars per dollar.

The Iraqi parliament hosted Prime Minister Ali al-Zaidi to "clarify the details and necessities related to changing the foreign currency exchange rate."

Al-Zaydi told the House of Representatives that "the government had three options: the first was to resort to mandatory savings and leave the employee to live on promises, the second was to distribute salaries every 45 days, and the third was to resort to borrowing and drown the country in debt, which it is already burdened with."

Al-Zaydi revealed that “the difference in the dollar exchange rate was previously taken over by speculators,” adding: “I took over the task when the size of the public debt was more than 208 trillion dinars, and the government is required to provide 10 trillion dinars monthly, and despite the crisis, we provided the salaries.”

Al-Zaydi pointed out that "in the coming days, good quantities of dollars will arrive and we will inject them into circulation."


Baghdad Residents Warn Government as Dinar Devaluation Hits Prices

Baghdad residents say Iraq's dinar devaluation is already raising food prices and worsening living conditions, as parliament blocs propose emergency measures and the Central Bank moves to protect traders.

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A man counts Iraqi dinars at a currency exchange market in Baghdad on Oct. 7, 2026. (AFP)

Baghdad residents are warning that Iraq's recent dinar devaluation is already pushing up the cost of basic goods and worsening living conditions, as political blocs in parliament propose emergency measures to contain the economic fallout from the new exchange rate.

Speaking to Kurdistan24 correspondent Shvan Jabari in Baghdad, several residents said the government's decision to raise the official value of the U.S. dollar against the Iraqi dinar had quickly translated into higher prices and growing frustration on the street.

Their comments came as Coordination Framework blocs in the Iraqi Parliament presented a series of proposals on Saturday aimed at easing the impact of the exchange-rate adjustment.

The proposals include reducing tuition fees at private universities and institutes by 15%, supplying construction materials at subsidized prices for six months, and establishing a fund intended to protect the dinar.

 

The measures follow Iraqi Prime Minister Ali Faleh al-Zaidi's late-night appearance before parliament from Thursday into Friday, during which lawmakers questioned the government over its handling of the currency adjustment and wider financial pressures.

Several Baghdad residents told Kurdistan24 that they understood the government was seeking ways to address Iraq's financial difficulties and secure salaries, but said ordinary citizens were paying the immediate price.

One resident said the decision had affected the entire market, with the cost of essential goods rising after the exchange-rate change.

He said that while the Prime Minister's intention may have been to address the fiscal crisis, the impact on households had been damaging.

Another resident said Iraqis had lived through repeated economic crises since 2003 and were familiar with periods of financial instability.

 

He argued that Prime Minister al-Zaidi was attempting to revive the country, but claimed people surrounding the government were undermining those efforts.

The resident blamed corrupt officials who had held positions of responsibility for much of Iraq's current economic situation.

At the same time, he said the consequences of the weaker dinar were already visible in everyday shopping.

According to him, a container of cooking oil had risen to 4,000 dinars, molasses to 3,000 dinars, while eggs had also become more expensive.

He warned that if the pressure on household budgets continued, public dissatisfaction could intensify and turn more directly against the government.

 

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Another Baghdad resident told Kurdistan24 that anger was already spreading across the Iraqi street and that people's living standards were deteriorating.

He said he believed the decision to increase the dollar exchange rate had not been sufficiently studied before implementation.

While the measure may benefit state finances, he argued, it has placed a disproportionate burden on poorer citizens and people whose incomes are fixed in dinars.

He also pointed to the closure of currency exchange offices as another sign of disruption following the decision.

The new exchange-rate structure took effect on Oct. 7 following approval by the Council of Ministers.

 

Under the arrangement, the Finance Ministry buys dollars at 1,500 dinars per dollar, banks receive them at 1,510 dinars, and the selling rate to final beneficiaries is 1,520 dinars per dollar.

The previous official rate had been around 1,320 dinars to the dollar.

The adjustment has therefore weakened the official value of the dinar while giving the government more dinars for each dollar of oil revenue it converts.

The government has defended the policy as a response to severe fiscal pressure.

Prime Minister al-Zaidi told parliament that he took office with public debt exceeding 208 trillion dinars and that the state needs around 10 trillion dinars every month to cover its financial obligations.

He has also said that disruptions to oil exports and pressure surrounding the Strait of Hormuz have reduced government revenues.

His financial adviser, Mazhar Mohammed Saleh, has described the exchange-rate adjustment as a precautionary measure designed to protect fiscal and monetary stability and give Iraq greater room to absorb external shocks.

The Central Bank of Iraq has similarly said that the move is intended to safeguard financial stability and support domestic production.

On Saturday, the Central Bank issued another statement addressing concerns from traders whose import transfers had already been arranged before the new exchange rate took effect.

The bank said transfers eligible for execution before Oct. 7 should be completed at the previous rate and that traders should not be required to pay the difference created by the new exchange rate.

It instructed companies and traders affected by delays to contact the banks handling their transfers, noting that the necessary funds had already been provided for transactions approved before the change.

The Central Bank said it would follow up on any cases in which traders were asked to make additional payments and encouraged affected customers to file complaints through its designated platform or email system.

It also announced that it was working with banks and electronic payment companies to create a special foreign-trade card for small traders, intended to make financing imports easier under procedures to be set later.

The clarification comes as businesses and consumers remain concerned that higher dollar costs will continue feeding into retail prices.

Public criticism has also extended beyond Baghdad.

 

Najaf Friday preacher Sayyid Sadr al-Din al-Qubanchi on Friday called on the government to reconsider the devaluation, arguing that citizens should not carry the burden of Iraq's financial difficulties.

He proposed that, if the weaker dinar cannot be reversed, public employees should be paid in dollars to protect their purchasing power.

The Coordination Framework's proposals now add another political response to the growing controversy.

However, the supplied material does not specify how the proposed dinar-protection fund would operate, how the subsidies would be financed, or when any of the measures might take effect.

For residents speaking to Kurdistan24 in Baghdad, the concern is more immediate.

They say the debate over fiscal policy is already being felt in the price of food and daily necessities.

Their warning to the government is that the longer those pressures continue, the greater the risk that economic frustration will turn into broader public anger.




Disarmament is not free... New ministries and a rise in the dollar to cover additional expenses

The factions will manage "artificial intelligence" and tourism!

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The Coordination Framework was apparently surprised by the extent of the anger sparked by the decision to raise the dollar exchange rate.

According to Al-Mada, it began promoting the possibility of dismissing Ali al-Zaidi in an attempt to contain the public pressure.

Ironically, however, the decision was not a surprise within the Shiite alliance itself. According to informed sources, its constituent forces had agreed to raise the exchange rate before some of them found themselves facing the repercussions of a decision that now required political containment.

Since the end of last week, political and popular movements have been organizing demonstrations and protests against the measure, which has devalued the Iraqi dinar by about 15%.

In a late-night session of Parliament on Thursday, Prime Minister Ali al-Zaidi defended the decision, declaring himself solely responsible. However, this admission of responsibility, which appeared to be an attempt to end the controversy surrounding who made the decision, did not resolve the debate about its political motivations.

According to Ali al-Jurani, a member of the Hikma Movement, the dollar exchange rate increase originated from the Coordination Framework and received the approval of the heads of the political blocs and the State Administration Coalition.

Al-Mada newspaper revealed in a report published on June 11 that the economic plan being discussed among political forces is based on three tracks: changing the exchange rate, selling indebted institutions, and recovering funds from corrupt individuals. According to this information, the plan was discussed and approved during a meeting of the Shiite Alliance held that same month at the home of Ammar al-Hakim, leader of the Hikma Movement.

In this climate, the possibility of a vote of no confidence against the Prime Minister emerged. Falah al-Khafaji, a member of parliament from the State of Law Coalition, stated that several parliamentary blocs might move to withdraw confidence from al-Zaidi’s government if the decision to raise the exchange rate continues.

However, informed sources who spoke to Al-Mada believe that promoting the possibility of a no-confidence vote is also being used to try to absorb public anger and redirect attention to the fate of the government, rather than focusing the discussion on the decision itself and the parties that approved it.

Three options... but where is the austerity?

In Parliament, al-Zaidi explained that his government faced three unpalatable options to secure salaries and overcome the financial crisis: “forced savings and leaving employees to live on promises, distributing salaries every 45 days, or borrowing and plunging the country into debt.”

According to a statement from his media office, al-Zaidi said his government “took over the task with the economy under siege,” and that borrowing was not a suitable option given the size of the existing debt. He added that Iraq is going through “a dire situation and an undeclared siege” due to the war and the closure of the Strait of Hormuz, stressing that his government does not want to resort to further borrowing to avoid overburdening the economy.

In defending the adjustment of the exchange rate, al-Zaidi said that the difference in the previous dollar price “was being exploited by speculators,” emphasizing that the government is continuing its fight against corruption and that the economy must be treated with an “economic mindset.” He also announced that “good amounts”—estimated at more than $3 billion—of foreign currency will arrive in the coming days, confirming that the government will inject them into circulation.

 

But what sparked objections from economic experts was not only what the Prime Minister said, but what he did not address in his speech: reducing public spending, abolishing some privileges, reviewing salaries and positions, and investigating the areas of waste that drain public funds.



What should have been done before devaluing the dinar? An economist answers.

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What should have been done before devaluing the dinar? An economist answers.

Economic expert Nabil Al-Marsoumi stressed that reducing the exchange rate of the dinar against foreign currencies should not be the first option for addressing the financial deficit, warning against using it as a means to finance the deficit and compensate for the failure in financial, trade and investment policies, due to the resulting inflationary effects that affect the poor and vulnerable groups.

Al-Marsoumi said in a Facebook post, “There is nothing in the economy that is untouchable, and the exchange rate is not sacred, but reducing the exchange rate of the dinar against foreign currencies should not be the first line of defense, nor should it be a means to finance the deficit and failure in the performance of other policies (financial, trade, investment, etc.), and we should not resort to easy solutions that achieve a limited amount of money at the expense of harming the vulnerable and poor groups due to inflation, which is a tax without legislation.”

He added that "every reduction in the exchange rate reshapes the relationship between monetary authority and fiscal policy, as the reduction is a fiscal decision that turns the central bank into a revenue tool, not an independent monetary authority."

The decree proposed a set of urgent measures aimed at reducing public spending and maximizing public revenues, as follows:

First: Reducing public spending, which includes the following measures:

1. Reform the payroll system by limiting salaries paid to actual state employees and eliminating salaries granted by political decrees, even if this requires amending some existing laws. This reform includes reducing the salaries of special grades and eliminating the numerous privileges granted to them, replacing the funds allocated for their security details with personnel already assigned to security agencies, reducing the number of advisors in the Iraqi government, and adhering to a defined staffing structure based on the requirements of the public interest and the necessities of government work.

2. Reform the pension system and abolish pension payments for those who do not have at least 15 years of actual service, and limit the payment of pensions to the pension fund, and stop paying salaries from the general budget.

3. Reforming the system of subsidies and social protection salaries, and limiting them only to those who are entitled to them through new criteria set by the Ministry of Labor.

4. Cease funding the expenditures of economic units that have substantial self-generated resources and can, with improved management, cover their own expenses (oil, electricity, transportation, communications, religious endowments, etc.). Limit funding from the general budget to certain investment expenditures in Iraq's energy sector.

5. Reforming the food ration card system by purifying it and limiting it only to vulnerable groups in society, junior employees, and retirees. This will save large sums of money and close one of the major avenues for corruption in Iraq.

6. Stop spending money on fuel, maintenance, travel, furniture, miscellaneous expenses and other unnecessary expenditure items from the general budget, and limit spending on them to the self-funded budgets of economic units outside the scope of the general budget.

7. The parliament should issue a resolution obligating the government to refer every contract, agreement, or convention that entails significant and sustainable financial obligations for Iraq to the parliament, which should have the supreme authority to approve or reject it.

8. Addressing the bloated bureaucracy in state agencies and restricting appointments and contracts to the Civil Service Council, and not allowing all executive units, including self-financing units, to contract and appoint to fill government positions.

9. Organize all additional sources of income that the employee receives, so that they do not exceed the amount of the employee's average monthly salary.

10. Cancel all pension payments for:

  • Members of the dissolved Governing Council.

  • Members of the dissolved National Assembly.

  • Members of previous parliaments.

  • All former ministers and undersecretaries.

  • The three previous presidencies and their deputies.

11. Cancel all flights on state-owned private planes for officials.

12. Cancel all of the following:

  • Provincial councils.

  • Unnecessary departments affiliated with the Cabinet, such as the Scientific Complex and others.

13. Merging endowments into one ministry.

14. Review external support programs and reassess external financial contributions in accordance with the economic interests of Iraq, while setting an annual ceiling for external contributions that is commensurate with the financial situation of the state.

15. Control spending on government vehicles and stop purchasing new vehicles for two or three years, except in necessary cases, as well as adopting a system for rotating vehicles between government departments.

16. Regulating spending on experts and consultants, reviewing contracts of experts and consultants, and giving priority to national expertise and Iraqi universities before external contracting.

Second: Maximizing public revenues, which includes the following:

1. Cancel all exemptions granted to certain entities from customs duties, and tighten the controls granted to those who obtain investment licenses, in order to ensure that materials exempt from customs duties are imported for the purposes of implementing the project, and not for the purpose of reselling them again in the local market, as is currently happening, and therefore investment licenses are bought and sold at exorbitant prices.

2. Obliging the Kurdistan Region to operate the SKODA system so that this system includes all customs outlets in Iraq, while working to eliminate illegal outlets and crossing points that reduce the effectiveness of this system and restrict many of the customs duties that can be obtained as an important revenue to finance the general budget.

3. The tax system must be reformed and effectively applied to all companies operating in Iraq, both local and foreign, particularly those in the oil and telecommunications sectors, where profits reach several billion dollars. Tax administration must be improved by broadening the tax base, as the percentage of taxpayers in Iraq who are currently accountable for taxes is only 1%. Furthermore, tax accounting must be expedited for the 39 large taxpayers, of whom only two have been accounted for, while the others have remained unaccounted for for several years. These include prominent international companies such as PetroChina, Shell, and BP. Tax accounting should be based on the terms of their contracts, which stipulate a 35% tax on profits, rather than on Iraqi tax law, as is currently the case.

4. The need to collect visa fees from all visitors to Iraq, including religious events, without exception. This is an important source of non-oil revenues that could reach more than $4 billion annually if religious tourism were improved and regulated.

4. Imposing annual fees and taxes on foreign workers in Iraq of no less than one thousand dollars per worker. This would provide the budget with more than one billion dollars, and it would also contribute to the localization of jobs and create new job opportunities for Iraqis due to the increased cost of using foreign labor.

5. Imposing fees on all travelers leaving Iraq more than three times a year.

6. Expediting the settlement of accounts with public government companies to collect the public treasury profits, which amounted to more than two trillion dinars in 2024.

7. Improve the management of state-owned properties exceeding 100 trillion dinars, reorganize their revenues, and follow up on the process of selling or allocating them from 2003 onwards, and re-evaluate them again at prevailing market prices, because they were granted at symbolic prices, which involved a lot of waste of public money.

8. Accelerating the rehabilitation of the Kirkuk-Ceyhan pipeline, which has an export capacity of 750,000 barrels per day, after signing the agreement with Türkiye, which will add significant financial revenues to Iraq.

9. Forming a high-level committee to recover uncollected public funds, including:

  • Accumulated tax debt.

  • Non-performing loans in government banks.

  • Customs duties.

  • Rent allowances for state-owned properties.

  • Uncollected electricity bills.

10. Launching a national project for financial and tax digitization to link:

  • Taxes.

  • Customs.

  • Real estate.

  • Banks.

With the aim of reducing tax evasion and corruption and increasing non-oil revenues.




The Central Bank calls on merchants to visit their banks to execute outstanding transfers before October 7th.

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The Central Bank calls on merchants to visit their banks to execute outstanding transfers before October 7th.

The Central Bank of Iraq called on companies and merchants whose import financing transfers were due for execution before October 7, 2026, to contact their banks and confirm their processing.
In a statement received by the Iraqi News Agency (INA), the bank said, "The Central Bank of Iraq is monitoring banking transactions executed before and after the exchange rate adjustment and is verifying banks' compliance with applicable instructions and regulations to ensure the protection of the rights of merchants and customers."
The statement added, "The Central Bank calls on companies and merchants whose import financing transfers were due for execution before October 7, 2026, to contact their banks and confirm their processing, especially since the Central Bank has already replenished bank accounts to cover these transfers." The bank also emphasized its commitment to "monitoring any delays and ensuring that merchants are not charged exchange rate differences for transfers that were purchased and covered at the previous rate."
He noted that "in case of delays in implementation or demands for additional amounts, a complaint can be submitted through the Central Bank of Iraq's complaints platform or by sending an email to media.office@cbi.iq for follow-up with the relevant bank."
He added that "the Central Bank is working in coordination with banks and electronic payment companies to launch special foreign trade cards for small traders to facilitate the financing of their imports, according to the mechanisms and regulations set by the bank."

 

 

CBI protects pre-devaluation import transfers

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Iraqi traders should not be charged exchange-rate differences on import-financing transfers due for execution before October 7 that were purchased and covered at the old rate, the Central Bank of Iraq (CBI) said on Saturday.

The CBI urged companies and traders to check with their banks and confirm the transfers had been executed. It has already provided banks with the funds needed to cover those transfers and was monitoring any delays and compliance with “applicable instructions and regulations.”

Traders facing delays or demands for additional payments can file complaints through the CBI’s official complaints platform for follow-up with the banks concerned.

The CBI is also working with banks and electronic payment companies to introduce special foreign-trade cards for small traders to facilitate import financing under mechanisms and regulations set by the bank.

Iraq’s new exchange-rate structure took effect on October 7. Under the new structure, the CBI buys dollars from the Finance Ministry at 1,500 dinars, sells them to banks at 1,510, and sells cash dollars to the public at 1,520, while the previous end-user rate was 1,320 dinars per dollar. The bank said at the time that its foreign reserves guaranteed full and immediate coverage of external transfers used to finance trade, bank-card settlements, and cash dollar sales to travelers without restrictions.

"No differences on old remittances"

The Central Bank prohibits importers from bearing the burden of exchange rate changes and opens the door for complaints.

 

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The Central Bank prohibits importers from bearing the burden of exchange rate changes and opens the door for complaints.

 

The Central Bank directed companies, traders and import financiers on Saturday (October 10, 2026) to review their banks and ensure that the transfers due before October 7 are completed without charging them any exchange rate differences, warning non-compliant banks and providing a postal platform to receive complaints against those who are late, while announcing coordination to launch payment cards to facilitate their foreign trade.

The Central Bank stated in a statement received by 964 Network that it “is monitoring banking operations carried out before and after the exchange rate adjustment and is verifying that banks are complying with the applicable instructions and controls in order to ensure the protection of the rights of traders and customers.”

The bank called on “companies and traders whose import financing transfers were due for execution before 7/10/2026 to review their banks and ensure their execution, especially since the Central Bank had previously strengthened the banks’ accounts to cover those transfers, stressing that it would follow up on any delays and verify that traders were not charged exchange rate differences for transfers that had been proven to have been purchased and covered at the previous rate.”

He added that “in case of delay in implementation or demand for additional amounts, a complaint can be submitted through (the complaints platform of the Central Bank of Iraq) or an email can be sent to the email address (media.office@cbi.iq) to follow up with the bank concerned.”

He added, “The Central Bank is also working in coordination with banks and electronic payment companies to launch special foreign trade cards for small traders to facilitate the financing of their imports, according to the mechanisms and controls determined by the bank.”


An expert told Al-Mirbad: Raising the dollar exchange rate will save 20 trillion dinars for the budget, but it will increase poverty and raise prices.

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An expert told Al-Mirbad: Raising the dollar exchange rate will save 20 trillion dinars for the budget, but it will increase poverty and raise prices.

Economic and oil expert Faleh Al-Zubaidi stated that by raising the dollar exchange rate, the government chose the simplest solution: taking money from citizens' pockets to provide approximately 20 trillion dinars for the upcoming 2027 budget. He noted that the government had made some mistakes, including a financial deficit that necessitates an austerity budget. Speaking on the "Resources" program on Al-Mirbad, he pointed out that the largest budget in the history of the Iraqi state is the 2027 budget, which includes more than 100,000 new job positions. This comes amidst a financial deficit and uncertainty about when regional events will end and the Strait of Hormuz will reopen, further exacerbating the deficit. Consequently, the government resorted to raising the dollar exchange rate, leading to paralysis in the Iraqi economy and a rise in the general price level. The official increase in the dollar exchange rate is 16%, while the market will see prices rise many times that percentage. Prices in Iraq are "sticky," meaning they rise without falling and remain fixed in place.

Al-Zubaidi added that raising the price of the dollar against the dinar affects citizens with fixed incomes, meaning those with salaries. There are more than 8 million people who receive salaries, and these are the ones who are affected first and foremost, which will lead to an increase in the poverty rate. Now the Iraqi market is in recession because the merchant is in a fluctuating situation.

He pointed out that there were other solutions that the government should have taken, such as reducing expenses with an austerity budget, indicating that the decision was not thoroughly studied, and what many MPs are saying is an attempt by them to attract the emotions of citizens, while the heads of the blocs agree to the matter, and what happened is nothing but (media displays) in front of the people.

Al-Zubaidi pointed out that if the Strait of Hormuz were opened, oil exports would increase to more than 4 million barrels per day, thus covering the deficit. He added that he does not expect the price of a barrel of oil to increase; rather, it will decrease because the hedging price in the budget is $58, and Basra oil is sold at a very low price, cheaper than the global market price, because Iraq does not own oil tankers. Therefore, the oil is sold at the port, and anyone wishing to buy from Iraq must charter foreign tankers that come to Iraq and pay very high insurance premiums due to the risk of entering the waters of the Arabian Gulf.
[Link to the episode     in Arabic




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Minister of Finance: Digital transformation and modern systems are a fundamental pillar for enhancing transparency and reducing corruption.

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About the news

  • Finance Minister Faleh Sari chairs a meeting of the ministry's advisory board.
  • The meeting was attended by the Undersecretary, the Advisor to the Ministry, and the Directors General to discuss the paths of financial reform.
  • Discussion of accelerating digital transformation and automating work processes in line with the goals of the government program.

The meeting, according to a statement from the Ministry of Finance, a copy of which was received by Channel 8, stressed the importance of linking financial allocations to clear performance indicators and tangible results, and evaluating the performance of the ministry's formations based on the efficiency of project implementation and the achievement of financial and administrative targets.

  • The attendees discussed developing collection mechanisms and raising collection efficiency in the various departments of the ministry.
  • Diversifying income sources, maximizing non-oil revenues, and reducing dependence on oil revenues.
  • The importance of continuous training and developing the technical and professional capabilities of the staff.

The Minister of Finance affirmed that “accelerating digital transformation and adopting modern systems represent a fundamental pillar for simplifying procedures, enhancing transparency, and reducing waste and corruption,” stressing “the importance of continuous training and developing the technical and professional capabilities of the staff.”


MPs and experts: Government measures to control prices enhance market stability and protect purchasing power.

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Deputies, government advisors, and economic experts affirmed that regulating markets and combating monopolies and price manipulation requires the integration of regulatory and legislative measures with facilitating trade and imports and supporting local production, noting the importance of these steps in enhancing market stability and protecting citizens' purchasing power.

Member of the Parliamentary Committee on Economy and Trade, MP Hamed Al-Moussawi, said that protecting the Iraqi economy requires supporting government measures with legislation and laws that prevent monopolies and limit manipulation of food, medicine and commodity prices.

Al-Moussawi added that it is necessary to establish a national food and drug authority and grant it broad powers to control prices and monitor markets, noting that the draft law for the authority is in the House of Representatives and has been read for the first time.

He explained that the existence of a specialized institution would contribute to determining the actual need for the dollar and uncovering the practices in which some speculators and monopolists exploit exchange rate changes to achieve private gains.

For his part, the Prime Minister’s financial advisor, Mazhar Muhammad Saleh, affirmed that government oversight measures represent a fundamental pillar for controlling markets, curbing unjustified price increases, and confronting monopolies, speculation, and the exploitation of citizens’ need for basic commodities.

Saleh explained that the integration of the work of commercial and regulatory bodies contributes to monitoring violations and applying legal measures against violators, which enhances fair competition and protects purchasing power, especially for those with limited income.

He pointed to the importance of coordination between the concerned parties to ensure the smooth flow of goods and to address the obstacles facing preparation and distribution, stressing that effective oversight aims to prevent monopolistic practices and price manipulation, while preserving the rights of consumers and the interests of compliant traders.

He pointed to the importance of adhering to the applicable legislation, indicating that there is a governmental trend to adopt the Iraqi dinar in transactions within the country in accordance with the relevant legal provisions, which supports confidence in the national currency and regulates transactions in the market.

Saleh stressed that price stability is not achieved by monitoring alone, but requires its integration with economic and supply policies and procedures that facilitate commercial activity, in order to support living, economic and social stability.

For his part, Yahya Kamal Al-Bayati, an advisor in the Department of Private Sector Development at the Ministry of Trade, confirmed that the government has taken practical measures to achieve price stability and protect the consumer, including tightening control over markets, supporting the hypermarket project for food and construction goods, and allowing employees to buy dollars for personal purposes according to specific controls.

Al-Bayati said that tightening control through the competent authorities, especially the Directorate for Combating Organized Crime in the Ministry of Interior, along with activating the role of the Council for Competition Affairs and Prevention of Monopoly, would confront monopolistic practices and price manipulation.

He added that supporting the hypermarket project contributes to increasing competition and the supply of goods, as well as facilitating monitoring of prices, invoices and the movement of goods, which enhances market stability and protects the consumer.

For his part, economist Ahmed Abdel Rabbo stressed that monitoring markets and deploying oversight committees to follow up on violators contribute to reducing unjustified price increases and enhancing the stability of food and consumer markets.

Abdel Rabbo explained that achieving price stability requires ensuring the smooth flow of goods, facilitating customs procedures, monitoring supply chains, reducing transportation and storage costs, and enhancing the supply of basic commodities.

He pointed out the need to distinguish between price increases resulting from monopolies and commercial violations, and those related to actual increases in import, transportation and production costs, in order to avoid restricting legitimate business activity or affecting the movement of supply and processing.

He stressed the importance of striking a balance between consumer protection, ensuring fair competition, and preserving the freedom of commercial activity within the law, in order to enhance market stability and protect those with limited incomes from the pressures of living.

In addition, economist Ziad Al-Hashemi stressed that government measures aimed at controlling prices and reducing monopolies can achieve positive results when implemented within a clear and well-thought-out plan, in conjunction with facilitating foreign transfers for traders.

Al-Hashemi said that these measures should be accompanied by media campaigns to raise awareness among traders and dealers about the importance of adhering to prices and not exploiting the current circumstances to raise prices or monopolize goods and merchandise.

He added that coordinating with the Central Bank of Iraq to facilitate foreign transfers and reduce delays and additional auditing procedures would speed up the completion of transactions and enable traders to import their goods at lower costs.

He explained that facilitating foreign transfers may contribute to attracting a portion of the trade and remittance activity currently in the parallel market towards the official transfer platform, which would help traders complete their transactions faster and provide goods in local markets.

He pointed out that accelerating transfers and providing sufficient stock of goods and products can contribute to reducing opportunities for monopolies and selling goods at reasonable prices, stressing the importance of these measures in supporting market stability and protecting the purchasing power of citizens.




Government steps to regulate cash transactions and protect purchasing power

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Regulating the foreign exchange market and strengthening monetary stability are key to addressing fluctuations in the dollar's value. This is done in conjunction with measures aimed at facilitating trade financing through official channels, monitoring market activity, and maintaining stable prices for essential goods and the purchasing power of citizens. In this context, coordination between monetary policy, government measures, and supply control is crucial. This coordination contributes to regulating the dollar's movement, reducing the gap between the official and parallel market rates, and monitoring the impact of monetary changes on commercial activity and local markets.

Economic Vision

Academic and economic researcher, Dr. Kazem Eidan Shadeed, told Al-Sabah that addressing the effects of the high exchange rate in the parallel market requires an integrated economic vision based on strengthening confidence in the banking system, facilitating legitimate commercial transfers, and ensuring that dollars reach traders and importers according to clear and transparent controls. 

Shadid added, in an interview with Al-Sabah, that the real challenge lies in building a stable market that is not affected by rumors and speculation with every government measure or regional development, indicating that currency stability begins with the strength of the economy, the clarity of monetary policy, and the confidence of citizens and merchants in financial institutions.

The economic researcher pointed out that the rise in the exchange rate can extend to the prices of imported goods and affect the purchasing power of the citizen, noting that the continued gap between the official price and the market price calls for more integrated monetary and trade measures to maintain the stability of the exchange rate, because currency stability is one of the most important pillars of economic stability and attracting investment.

Shadid stressed that temporary solutions, such as injecting dollars, can calm the market for a short period, but they do not address the root of the problem. He emphasized the importance of implementing banking reforms, expanding the use of official financial channels, and increasing local production to reduce dependence on imports and preserve hard currency.

The spokesperson stressed the need for high coordination between monetary and fiscal policy, noting that the stability of the dollar does not depend on the central bank alone. He explained that coordination between monetary and fiscal policy ensures control of spending, improved management of foreign trade, and enhanced non-oil revenues, because currency stability is a shared, integrated economic responsibility.

Dollar market 

  For his part, Professor of International Economics Nawar Al-Saadi said that reducing the gap between the official and parallel exchange rates requires addressing the demand for dollars outside official channels, in addition to strengthening regulatory procedures and facilitating importers’ access to foreign currency through banks.

Al-Saadi explained in an interview with Al-Sabah that simplifying foreign transfer procedures, strengthening control over money laundering and currency smuggling, controlling border crossings, and reducing informal trade are important aspects of regulating the exchange market and directing demand towards official banking channels.

He added that the role of the central bank includes using monetary tools and monitoring liquidity and dollar flows, in parallel with the importance of controlling public spending, diversifying government revenues and reducing dependence on oil, in order to support long-term financial stability.

Al-Saadi pointed out that the stability of the exchange rate is linked to the availability of dollars to cover legitimate trade needs, enhancing confidence in the banking system, addressing financial and economic imbalances, in addition to monitoring the effects of exchange rate changes on commodity prices and the purchasing power of citizens.

narrowing the gap 

For his part, economist Dr. Diaa Al-Muhsin explained to Al-Sabah that assessing the impact of adjusting the exchange rate requires monitoring the movement of the official and parallel prices together, and distinguishing between the shrinking of the price gap and market stability, noting that the official selling price to the public rose to 1520 dinars per dollar, instead of 1320 dinars, as of October 7.

Al-Muhsin explained that the dollar prices in the parallel market vary according to the time and place of trading, which necessitates adopting average prices and comparing them over successive time periods to determine market trends more accurately.

To illustrate, Al-Muhsin offered a hypothetical example where the dollar's price in the parallel market was 1600 dinars before the adjustment and 1680 dinars after, compared to an increase in the official rate from 1320 to 1520 dinars. According to these illustrative figures, the difference between the two rates decreases from 280 dinars to 160 dinars per dollar.

He pointed out that the example illustrates the possibility of the price gap shrinking as a result of a greater increase in the official price, even with the assumed increase in the parallel price, stressing that these figures are illustrative and do not represent a final measurement of the actual market movement.

He added that monitoring average prices in the same markets before and after the adjustment, and observing trading activity for a sufficient period, helps in assessing market trends and their stability, in addition to monitoring the availability of dollars to finance trade through official channels.

 

Speculative activity

Regarding the impact of changing the price gap on speculative activity, Al-Muhsin explained that narrowing the difference between the official and parallel prices may limit the theoretical profit margin resulting from buying dollars at the official price and reselling them in the parallel market.

He explained that the results of dollar transactions vary depending on the timing of purchases and sales and price movements, as potential profits are affected by market trends, price differences, and trading-related costs. He emphasized that assessing the impact of these measures requires monitoring a range of indicators, including exchange rate stability, the extent of fluctuations in the parallel market, the availability of dollars to finance imports, and the impact of changes on the prices of essential commodities.

Dollar movement

For his part, economic researcher Haider Al-Sheikh said that adjusting the official exchange rate is linked to financial objectives that include increasing revenues, securing citizens' salaries, and reducing the deficit in the federal budget for 2027.

The Sheikh expected decisions and instructions to be issued by the Central Bank in the coming period, suggesting that they would contribute to reducing the price of the dollar in the parallel market to less than 1600 dinars per dollar.

The market movement during the next phase will depend on developments in supply and demand, the extent to which official channels are utilized in financing trade, as well as the impact of monetary and regulatory measures in regulating foreign currency trading.

 

Integration of procedures 

The importance of integrating monetary, financial and regulatory procedures in managing the exchange market is highlighted by promoting the use of official banking channels to finance trade, monitoring the movement of the dollar, and improving the effectiveness of market oversight.

At the same time, monitoring the prices and availability of basic commodities is an important indicator in assessing the impact of the exchange rate adjustment on citizens, in addition to monitoring the gap between the official and parallel prices and the trading trends in the market.

From this standpoint, monitoring the results of the measures during the next phase is linked to the extent of the development of the exchange rate movement, the ease with which traders obtain dollars to finance imports, and the stability of local prices, in a way that supports market regulation and protects the purchasing power of citizens.



Al-Araby Al-Jadeed reveals: Political forces secretly agreed to raise the dollar exchange rate in Iraq, then publicly disavowed it.

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A report published by Al-Araby Al-Jadeed newspaper, and followed up by the Independent Press Agency, revealed information indicating that the decision to raise the exchange rate of the US dollar from 1320 to 1520 dinars was not surprising to the Iraqi political forces, but rather it was discussed and agreed upon during meetings that preceded the official announcement, despite the issuance of subsequent political positions that expressed concern about its economic and social repercussions.

The newspaper quoted political sources as saying that the political forces had been aware of the decision to change the exchange rate for more than a month, noting that leaders in the coordination framework and other political alliances had been briefed on the details of the financial crisis and the options available to address it, before the decision was made.

According to sources who spoke to the newspaper, the recent meetings between Prime Minister Ali al-Zaidi and leaders of political forces witnessed discussions about the financial liquidity crisis and the difficulty of securing government expenditures, foremost among them the salaries of employees, retirees and beneficiaries of social assistance.

The sources added that the proposal to raise the dollar exchange rate was among the options presented to the political leadership, along with other measures to boost public revenues and address the financial deficit, stressing that the proposal was approved by the participants in those meetings, according to their account.

The newspaper noted that some political parties issued statements after the announcement of the decision, expressing their fear of rising prices and declining purchasing power, despite having prior knowledge of the discussions related to adjusting the exchange rate.

Al-Araby Al-Jadeed quoted its sources as explaining these positions as an attempt by some political forces to alleviate popular pressure and maintain their relationship with their popular bases, in light of the anger that the decision provoked within the markets and social circles.

In a related context, the report quoted Prime Minister Ali al-Zidi as saying, during his attendance at the House of Representatives on Thursday, that the government faced difficult financial choices, including mandatory savings, delaying the payment of salaries and borrowing, stressing that the public debt exceeded 208 trillion dinars, while the government needs to provide about 10 trillion dinars per month.

The newspaper also quoted Speaker of Parliament Hebat al-Halbousi as confirming that the decision to change the exchange rate is irreversible, and that the heads of the political blocs support the decision, in a statement reflecting the declared position of the parliament’s leadership regarding the continuation of the new exchange rate.

For his part, the Secretary of the Central Committee of the Iraqi Communist Party, Raed Fahmi, according to the report, considered that the decision was not taken unilaterally, but rather came in coordination with the political forces, criticizing its repercussions on the markets and the purchasing power of citizens.

The report also quoted an economist criticizing the decision, calling for addressing financial imbalances by reducing government spending and combating waste and corruption, instead of relying solely on adjusting the exchange rate.

These data raise questions about the nature of the political consensus that preceded the announcement of the decision, and the extent to which political forces share responsibility for its consequences, especially with the continued fears of rising prices of goods and services and the widening gap between the official dollar exchange rate and its prices in the parallel market.

Despite what the newspaper reported about prior political approvals, this information is based on accounts from sources and statements relayed in the report, and does not in itself constitute documented proof of the approval of all political parties.

Amid government assurances regarding the need to secure salaries and address the financial crisis, and warnings about the impact of the dinar's devaluation on citizens' livelihoods, the decision to raise the exchange rate remains a subject of economic and political debate regarding its actual cost and the distribution of responsibility for making it.



Abdul Rahman Al-Mashhadani: Economic reform requires political and security stability first.

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Economic expert Abdul Rahman Al-Mashhadani said that the decision to raise the value of the US dollar exchange rate against the Iraqi dinar has a number of positives as well as negative effects, stressing that economic change and reform requires political and security stability that precedes and supports economic reform, and “this does not exist.”

Al-Mashhadani explained to Al-Mustaqilla that the speed and surprise of the decision were among its advantages, as it reduced the costs that citizens might have borne amidst the back-and-forth, as happened in 2020 when the draft budget was leaked as early as September, and the Central Bank made the decision to change it on December 19th. Parliamentarians continued to announce their opposition and collect signatures to prevent its inclusion in the 2021 budget. Finally, at the end of March 2023, the decision was quietly passed as if nothing had happened, which caused significant losses for the bank and for merchants.

He pointed out that, theoretically, the decision would save the government 16.5 trillion, if their predictions and ability to export 4 million barrels were accurate, noting that this is almost impossible.

He added that, practically speaking, the government will gain less than five trillion dinars from changing the exchange rate because it is obligated to pay oil companies in dollars and receive oil in return, which is accounted for in the budget. The government is also obligated to pay interest and installments on its external debt in dollars, in addition to its foreign purchases and contracts and its international financial obligations. Therefore, it will not receive more than half of its oil revenues at best. This is in addition to the government's extensive purchases in Iraqi dinars, which will bear the cost of the exchange rate increase just like any other citizen.

Al-Mashhadani explained that this difference, resulting from the change in the exchange rate, will lead to social problems represented by a decrease in real incomes. The size of the vulnerable group or class whose salaries are less than 750,000 dinars will increase, and they will be among the downtrodden classes. This will result in a portion of the revenues achieved being diverted to support these groups, at least half of the amount achieved. Therefore, what remains, even if it is 10 trillion, is a month’s salary that is not commensurate with the size of the damage it causes.

He continued, saying that the rebound exceeds the size of the change. For example, the dinar fell by 13%, but the market moved by more than 20%. This means that if the price of a liter of imported oil was 3,000 dinars before the change, the new price should be 3,390, but we find it in the market at 4,000 dinars because the merchant added an additional 20% commission due to uncertainty in the procedures. Furthermore, Iraq has stopped dealing in small denomination currency.

He stressed that any devaluation of the dinar would mean a decrease in the real income of those with fixed incomes by more than double the rate of change, i.e., 30-40%. This would pose a risk within families, potentially leading to crime and theft.

Al-Mashhadani stated that this change, in light of the inability to control the borders and smuggling, will not achieve anything in terms of talk about supporting the national economy and supporting agriculture and industry.

He stressed that the exchange rate should not be manipulated in this way. Those who want to support local products should first provide support to Iraqi factories and protect them from competition from neighboring countries' products, and only then should the exchange rate be changed.


A demonstration in Karbala demands the cancellation of the decision to amend the exchange rate.

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A number of residents of the holy city of Karbala organized a popular demonstration on Saturday to protest the recent decision to change the exchange rate of the dollar, stressing that the decision has direct economic and livelihood repercussions for Iraqi citizens.
The protesters called on the Council of Representatives and the province's representatives to intervene urgently to reverse the decision and restore the exchange rate to its previous level, pointing out that this change is eroding the purchasing power of their salaries and limited incomes.
For his part, Raed Al-Da'mi, a representative of the demonstrators, stressed the importance of a clear and explicit stance from the Prime Minister's office and the Council of Representatives to reconsider this decision, which he described as "unfair" to the Iraqi people, especially the poor and those with limited incomes.
In the context of parliamentary engagement, Karbala MP Ibtisam Al-Hilali announced on Saturday her "absolute solidarity with the demands of the demonstrators," confirming that the province's representatives were surprised by the hastily made decision and intend to oppose it and convey all demands to the relevant authorities.
For his part, the legal advisor to the office of the House of Representatives in Karbala, human rights lawyer Abbas Al-Qanbar, confirmed in a press statement to (Al-Mustaqilla) on Saturday that “the office is open to receive citizens’ complaints and to ensure that all demands of the demonstration are faithfully conveyed to the representatives of the governorate to take the necessary measures.”











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Iraqi PM to visit Saudi Arabia, Kuwait

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Iraqi Prime Minister Ali Al-Zaidi is expected to begin a Gulf tour on Wednesday, October 14, with visits to Saudi Arabia and Kuwait, a government source told Shafaq News.

The source said Al-Zaidi would discuss shared security and economic issues with Gulf officials, as well as regional developments and their impact on security and economic conditions.

During the tour, Al-Zaidi is expected to reaffirm Iraq’s rejection of any attacks launched from its territory against Gulf or other regional states and stress that his government would hold accountable any party involved in such cross-border operations, according to the source.

The trip comes after Al-Zaidi canceled a planned visit to Riyadh in July amid rapidly escalating regional security developments.



Iraq Parliament Set to Vote on Remaining Cabinet Posts Monday

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At a Glance

  • Iraqi lawmakers are expected to vote on remaining cabinet positions on Monday, October 12.
  • Dilan Ghafoor says the session date has been communicated, although the parliamentary agenda is not yet set.
  • Channel8 information indicates the KDP continues to nominate Rebaz Hamlan for construction and housing minister.
  • The vote follows delays linked to concerns over unrest after the dinar exchange rate adjustment.

Iraq’s Council of Representatives is expected to vote on candidates for the remaining cabinet positions on Monday, October 12, according to lawmaker Dilan Ghafoor, as Prime Minister Ali Faleh al-Zaidi continues efforts to complete his government.


Key Statements and Focus Area

  • Parliamentary Session: “We have received information that Monday, October 12, has been designated for the Council’s session to vote on ministerial candidates.” — Dilan Ghafoor
  • KDP Nomination: The Kurdistan Democratic Party continues to nominate Rebaz Hamlan for the Ministry of Construction and Housing, according to information received by Channel8.
  • Focus Area: The pending parliamentary vote on candidates for Iraq’s unfilled cabinet positions.

According to information received by Channel8, the KDP has also nominated Bangen Rekani for the post of deputy prime minister. Hamlan previously failed to secure enough votes during the parliamentary session on May 14, when lawmakers approved al-Zaidi’s government in part.

Fourteen ministers received parliamentary approval at that session, while candidates for other positions failed to obtain the required votes. The remaining nominations include portfolios covering higher education, defense, interior, construction and housing, youth and sports, planning, migration and displacement, tourism, culture, and transportation.

The vote to complete the cabinet had been scheduled for Thursday but did not take place amid concerns about possible unrest following the government’s adjustment of the Iraqi dinar’s exchange rate.

FYI

The formation of Iraq’s federal government requires parliamentary approval of ministerial nominees. When candidates fail to secure the necessary votes, the relevant portfolios can remain unfilled while political parties continue negotiations over nominations and the distribution of government positions.

The proposed addition of new ministries, including a Ministry of Artificial Intelligence, has also been discussed as part of broader deliberations over the government’s structure. The final cabinet lineup will depend on the nominations presented and the decisions made by parliament.



Fuad Hussein discusses regional developments with Tom Barrack

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About the news

  • Foreign Minister Fuad Hussein meets with US Presidential Special Envoy for Iraq and Syria Tom Barrack in Istanbul.
  • The two sides discussed bilateral relations between Iraq and the United States of America at the current stage.
  • The research will examine the end of the mission of the international coalition forces in Iraq and the prospects for cooperation between the two countries during the next phase.

Foreign Minister Fuad Hussein met on Saturday with US Presidential Special Envoy for Iraq and Syria, Ambassador Tom Barrack, in Istanbul, Turkey, and the meeting addressed developments in the region.

  • The meeting addressed developments in the region, the ongoing conflicts and their impact on security and stability in Iraq and the countries of the region.
  • Discussing the financial and economic situation in Iraq and developments related to the exchange rate of the Iraqi dinar.

Both sides stressed the importance of continued communication, consultation, and holding joint meetings, which contribute to strengthening bilateral relations and exchanging views on issues of common interest.

 

 

Trump advisor: We are working well with Kurdistan

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US President's Advisor on Trade and Industry, Peter Navarro, confirmed on Saturday, October 10, 2026, that the United States is working well with Kurdistan, noting the potential for economic opportunities in the vital minerals sector.

Navarro's remarks came during a press conference at the White House, in response to a question from a Kurdistan 24 correspondent regarding the role of the Kurdistan Region in economic relations between Washington and Baghdad, and the mechanisms that might encourage American companies to invest within the region.

 

Navarro said, "We are working well with Kurdistan," noting that he is not an expert on the region's affairs, but he believes it possesses potential in the field of vital minerals, in addition to the importance of its location in international geopolitical calculations.

 

The American advisor explained that his immediate priority during the briefing was the issue of national industry in the United States, and how to attract factories to the country through tariffs and tax reductions.


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A struggle over Iraqi secrets: The Popular Mobilization Forces demand access to sovereign databases.

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A struggle over Iraqi secrets: The Popular Mobilization Forces demand access to sovereign databases.

Iraqi security sources revealed escalating disputes between the Popular Mobilization Forces and government intelligence agencies, following requests submitted by the organization to obtain powers that would allow direct access to sovereign databases containing information on millions of Iraqis .

According to a report published by “Eram News”, and followed by “Al-Sa’a” network, “the requests include databases of the unified national card, electronic passports and criminal records, at a time when security agencies expressed reservations about granting the Popular Mobilization Forces direct powers to access this information.”

The sources said that "technical committees affiliated with the Popular Mobilization Forces and the Intelligence and Information Directorate submitted letters to the Prime Minister's office, the Ministry of Interior, and the National Security Service, requesting that the organization's systems be linked to government databases, or that authorized personnel be granted the ability to inquire directly from them."

According to the sources, the agency justified its requests by citing "the need to expedite the verification of the identities of wanted individuals and the examination of the security records of its members and suspects, as well as bypassing the paperwork procedures that delay the implementation of joint operations."

In contrast, security agencies, including the Ministry of Interior, National Security and Intelligence, expressed reservations regarding data protection, cybersecurity and the limits of legal powers, amid fears that sensitive information might slip outside the scope of central control .

" Backdoors" to access information

According to the report, the dispute was not limited to official requests, as sources spoke of "a parallel track used by parties linked to the Popular Mobilization Forces intelligence to obtain information from some nationality, passport, criminal evidence, and other security institutions."

The sources said that "this route relies on employees and liaison officers to obtain data related to civil and criminal records and travel movements outside of the official mechanisms approved for the exchange of information between institutions."

These allegations have raised objections within security agencies and concerns about the potential use of information in prosecutions that are not subject to the required judicial procedures, while the report did not provide independent evidence to prove that unofficial access to the databases had taken place .

Arrests reopen the issue of powers

The revelation of the dispute coincides with the expansion of the activities of the Popular Mobilization Forces' intelligence and information unit, which announced on October 4 the arrest of 45 people during operations it carried out in 12 governorates .

According to a statement by the commission, the arrests included 23 people accused of being linked to the banned Baath Party, 6 for leaking information related to state security, 5 for organized crime, 4 for terrorism, and 7 for being linked to movements described by the commission as "deviant," stressing that the operations were carried out with proper judicial warrants .

According to security sources, the report revealed "disagreements regarding the mechanisms for implementing some operations and the limits of jurisdiction," noting that "information gathering and raids sometimes begin independently before coordinating with the security agencies responsible for the targeted areas."

She added that "some detainees are initially transferred to facilities belonging to the Popular Mobilization Forces to complete the initial procedures before being referred to the competent authorities, without providing documented details about the duration of detention or individual cases."

Who has the right of access?

The file places the issue of protecting personal data and the limits of security powers at the heart of the dispute, as the National Card Law No. 3 of 2016 regulates the handling of civil data, electronic procedures, and the entities authorized to access it .

Strategic expert Mohammed Youssef Al-Nour believes that "the issue goes beyond the traditional competition between security institutions to the question of determining who possesses the information, the mechanisms for using it, and monitoring it."

Al-Nour warned that “granting military formations with political and organizational ties broad powers to access civil and security records could lead to a disruption of the oversight system, while he believed that proving the use of unofficial channels to obtain information would reveal gaps in the protection of sovereign databases.”

He called for "legally defining powers and subjecting access to information to centralized control, regardless of which security agency requests it."