Al-Alaq: We will witness a comprehensive digital transformation in the financial sector
The Governor of the Central Bank, Ali Al-Alaq, announced on Saturday that banks are close to being converted into smart platforms using artificial intelligence, noting that Iraq will witness a comprehensive digital transformation in the financial sector.
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He added that "this great work is accompanied by the work of the Central Bank, like other central banks, in thinking about having a digital currency under the supervision of the Central Bank. We are not talking about encrypted currencies that are outside the framework of central banks, but rather about a digital currency issued by the Central Bank, and this is a major work being done in the Central Bank in coordination with international and Arab organizations and specialized bodies, and directly with the Arab Monetary Fund."
He continued: "We believe that this trend will be the one that will be imposed in the near future, and this represents solutions to major economic, financial and social problems, and will also establish a strict framework for monitoring funds and limiting corruption, money laundering and financing terrorism, because all financial movements will be within a strict and transparent system that can monitor all financial operations, and at the same time facilitates its holders to conduct extensive operations even in other countries of the world."
He added: "We expect that young people will benefit, through the tools and human resources that we have, from these tools. Indeed, we are following that many young people are investing through these portfolios and tools in various fields outside Iraq, but some need to be careful and cautious because there is a lot of fraud that occurs, and we are working to prevent citizens from falling victim to any fraud."
Washington: We did not renew Iraq's exemption to buy electricity from Iran
US State Department spokesman said the Trump administration has not renewed waivers for Iraq to buy electricity from Iran.
The spokesman added that Washington will not allow Tehran any amount of economic or financial relief.
He stressed that "the president's maximum pressure campaign aims to end the Iranian nuclear threat, curtail its ballistic missile program, and prevent it from supporting terrorist groups ."
State Department spokeswoman Tammy Bruce said on Saturday that the United States is reviewing all existing sanctions waivers that provide Iran with any degree of economic support, and is urging the Iraqi government to end its dependence on Iranian energy sources as soon as possible.
On Friday, US Treasury Secretary Scott Besant said that making Iran bankrupt again would mark the beginning of a revised US sanctions policy.
In a related context, the Iraqi government spokesman, Bassem Al-Awadi, confirmed that Iraq has not been officially notified of the end of exemptions on imported Iranian gas, while he indicated that the government has developed scenarios to confront any developments related to the import of Iranian gas, according to what was reported by the Iraqi News Agency.
SOMO and the Central Bank face US pressures.. Iraqi oil is at the mercy of sanctions
Parliament downplays its impact and expresses readiness to confront any developments
The pace of economic warnings in Iraq is accelerating, regarding American measures that may affect the Central Bank of Iraq and the State Oil Marketing Organization (SOMO), amid increasing talk about the possibility of imposing new sanctions by Washington.
Experts believe that these sanctions, if implemented, may lead to widespread disruption in the Iraqi financial market, and directly affect its international banking transactions, in addition to obstructing oil exports, which are the main source of government revenues.
With the continuation of political and economic pressures, questions are increasing about Baghdad’s ability to deal with this challenge, and whether the government has alternative plans to mitigate the severity of the potential shock.
The warnings have arrived officially
and recently, a member of the Parliamentary Finance Committee, Mustafa Sand, revealed that Iraqi political forces have received direct threats from the US embassy, including imposing sanctions on the Central Bank of Iraq and the State Oil Marketing Organization (SOMO), in addition to prominent figures.
Sand added, in a television statement, that “the threats also included personal bank accounts, with the possibility of imposing a ban on them.”
In turn, energy expert Salah Al-Moussawi considered that "the potential sanctions on the Iraqi Oil Marketing Company (SOMO) are unjustified, as it has not committed any violation, whether according to international standards or American laws."
Al-Moussawi said in an interview with (Al-Mada) that "oil smuggling operations are carried out through well-known parties inside Iraq, as the oil is transported to the Iranian port of Bandar Abbas, and from there it is sold at low prices of up to $20 per barrel, or mixed with Iranian oil and sold with forged papers in global markets as Iraqi oil, but this is not done by SOMO."
He stressed that "the American sanctions should have targeted the real parties involved in oil smuggling, instead of imposing them on SOMO, which operates according to the laws."
Oil smuggling
A report by Reuters revealed leaked documents confirming the involvement of Iraqi parties in Iranian oil smuggling operations through the Oil Marketing Company (SOMO), as oil shipments were exported as Iraqi, although they were in fact Iranian, using tankers registered with different names and forged documents of origin.
For example, one such tanker, the Panama-flagged Remi, was heading to Malaysia in February 2023 carrying one million barrels of oil registered as Iraqi, while at the same time carrying a second certificate of origin issued by the National Iranian Oil Company.
According to former Foreign Minister Hoshyar Zebari, the US administration is seriously discussing imposing sanctions on the Central Bank of Iraq and the State Oil Marketing Organization (SOMO), which could cripple the Iraqi government’s ability to finance projects and pay employees’ salaries.
Zebari added in a televised interview that the US financial influence on Iraq poses a serious threat, stressing the need for the government to take urgent measures to avoid these risks, especially since SOMO may be a particular target.
Mitigating the impact of sanctions
However, a member of the parliamentary energy committee, Hatem Al-Saadi, downplayed the impact of potential sanctions on the flow of Iraqi oil to global markets, noting that they "will not affect the Iraqi economy, and the country's oil sector is capable of dealing with any developments that may arise in this file."
Al-Saadi told Al-Mada that "the government has alternatives and plans that enable it to continue exporting oil without affecting financial returns, and Iraq has extensive relations with various global markets, which makes it less vulnerable to negative effects."
He added that "SOMO plays a fundamental role in securing oil revenues, and that any international measures will not hinder its work in a way that may affect the national economy," stressing that "the government is closely following developments and taking the necessary measures to ensure the stability of the oil sector."
Reports had indicated that discussions had taken place within the Ministry of Oil regarding possible scenarios in the event that US sanctions are imposed on Iraqi oil exports, as the ministry, in coordination with the Ministry of Foreign Affairs, is examining the repercussions of these sanctions and the extent of their impact on the energy sector and the national economy.
Iraq's oil industry is seen as heavily dependent on foreign companies, with Baghdad seeking to raise its production to around 7 million barrels per day by 2027, making any potential sanctions a direct threat to these plans.
Regional oil companies seek agreements to resume oil exports.. and America is "interested" in reopening the Ceyhan pipeline
The global oil company, APIKUR, operating in the Kurdistan Region, seeks to sign clear agreements with Baghdad and Erbil that guarantee the payment of its past and future financial dues in preparation for the resumption of oil exports, as it confirmed that the United States is still very interested in reopening the Iraq-Turkey Ceyhan export pipeline from the Kurdistan Region’s fields.
In an interview with the K24 news website, translated by (Al-Mada), the spokesman for the APIKUR group, Miles Caggins, described the recent meeting in Baghdad as a step forward in discussing the resumption of oil exports from the Kurdistan Region, stressing the need for clear agreements and written guarantees.
Caggins said in a statement to the news website that the meeting allowed the member companies of the APIKUR group to directly convey their conditions to the federal government authorities in Baghdad and the Kurdistan Regional Government.
Among the main issues discussed in the meeting was the selection of an international consultant to evaluate the costs of oil production and export.
The APIKUR group has urged the Iraqi government to define the scope of the consultant’s work, his responsibilities, and the timetable for his activity. The Epicor Group provided the Ministry of Natural Resources of the Kurdistan Regional Government with a list of independent experts specialized in the assessment process.
The report indicated that other meetings are planned to establish agreements through which oil exports can be allowed to resume through the Iraq-Turkey Ceyhan export pipeline, which is a priority emphasized by Iraqi Prime Minister Mohammed Shia al-Sudani.
The member companies of the APICORP group called for the conclusion of transparent and fair agreements regarding future financial payments, in addition to settling and paying the debts due for invoices amounting to $1 billion.
Caggins, an APICORP spokesman, said: “We need written guarantees and we have proposed solutions,” noting that “APICOR is open to receiving financial payments, whether through the companies selling their allocations of produced oil, or through cash payments through escrow accounts to ensure that the amounts due are paid on time.”
He stressed the need for “financial agreements not to be affected by political aspects and atmospheres.”
While Turkey announced that the Iraq-Turkey Ceyhan pipeline is ready for operation following inspections, the APICORP group stressed the need for agreements between Baghdad and Erbil to allow exports to resume.
The APICORP spokesperson highlighted the strategic importance of oil exports from both the Kurdistan Region and southern Iraq, stressing that a stable energy sector would strengthen the country’s economic and security position.
He also reiterated that APICORP has no oversight role over exports, which are the responsibility of the State Oil Marketing Organization (SOMO) and the Iraqi Ministry of Oil.
Caggins added that the United States remains very interested in reopening the export pipeline, and that the Trump administration is discussing the matter with the previous administration. Given the important development, and the humanitarian and military assistance that the United States provides to Iraq, APICORP calls on the Iraqi authorities to treat American and other foreign oil companies fairly, especially those operating in the Kurdistan Region.
“The only obstacle to resuming oil exports is the need for clear agreements,” Caggins stressed, noting that “a simple three-page document could solve the problem and allow exports to resume according to standard commercial procedures and practices.”
While negotiations on this matter continue, the Epicor Group expressed its readiness to meet again and reach an agreement that benefits all parties.
Oil exports from the Kurdistan Region’s fields via the Iraq-Turkey-Ceyhan pipeline were halted on March 23, 2023, following a ruling by the International Chamber of Commerce in Paris in favor of Baghdad against Turkey for facilitating oil exports between 2014 and 2018 without the approval of the federal government. Turkey must pay Iraq $1.5 billion in outstanding amounts, according to the court ruling, which Turkey refused to implement and closed the pipeline.
Reports indicated that the chronic closure of the Ceyhan export pipeline has caused significant losses to both Baghdad and Erbil, as it has halted crude oil exports at a rate of 450,000 barrels per day, a figure that represents 0.5% of global market supplies.
Until further notice.. Parliament postpones its session
The Media Department of the Council of Representatives announced today, Saturday, the postponement of the parliamentary session until further notice.
The media department of the House of Representatives stated in a statement received by / Al-Maalouma / that “Parliament postponed its session until further notice due to the lack of a legal quorum.”
It is noteworthy that the State of Law and Al-Sadiqoun parliamentary blocs have announced a boycott of the sessions of the House of Representatives until the Popular Mobilization Law is included in its regulations.
Sudanese advisor: The upcoming digital currency is easy to trade and does not differ in exchange rate
Iraq, Finland Discuss Strengthening Economic and Investment Ties
Ambassador Mohammed Hussein Bahr Aluloom, Undersecretary of the Iraqi Foreign Ministry for Bilateral Relations, met in Helsinki with Jarno Syrjälä, Under-Secretary of State for International Trade of Finland, to discuss ways to enhance economic, trade, and investment cooperation between the two countries.
Ambassador Bahr Aluloom highlighted Iraq's economic progress, emphasizing security stability and an improved business environment, which have made Iraq an attractive destination for foreign investments. He cited the United Kingdom's decision to lower travel warnings to Iraq as an example of international confidence in Iraq's progress. The Ambassador also encouraged Finnish companies to invest in strategic projects, particularly the Development Road and the energy sector.
Under-Secretary Syrjälä welcomed Iraq's economic reforms, acknowledging their role in enhancing the investment climate. He expressed Finnish companies' interest in returning to the Iraqi market.
The two sides agreed to develop practical mechanisms to strengthen cooperation, including a delegation of Finnish companies visiting Iraq to explore investment opportunities in renewable energy, electricity, digital transformation, and artificial intelligence.
Trump hints at imminent event in Iran: I hope to make a peace deal with them
US President Donald Trump expressed his hope on Friday evening to conclude a peace agreement with Iran that would prevent them from possessing a nuclear weapon, stressing that "something will happen with them very soon."
Trump added in statements he made at the White House that "the United States is in the final moments of negotiations with Iran, and that he hopes that military intervention will not be necessary."
"We have a situation with Iran, something is going to happen very, very soon," Trump continued. "You'll be talking about it soon, I think."
He expressed his hope for reaching a peace agreement, saying: “I am not speaking from a position of strength or weakness, I am just saying that I would rather see a peace agreement than the other option, but the other option will solve the problem,” without further clarifying what he meant by the other option.
Trump had said earlier in an interview with Fox Business that aired on Friday that he wanted to negotiate a nuclear deal with Iran and that he had sent a letter to the Iranian leadership last Wednesday proposing talks with Tehran, which the West fears is rapidly approaching the ability to make nuclear weapons.
"I think they want to get that message across. The other alternative is that we do something, because we cannot allow another nuclear weapon," he continued.
Asked whether he had sent the message to Iranian Supreme Leader Ayatollah Ali Khamenei, Trump replied, "Yes."
"There are two ways to deal with Iran: militarily or make a deal, and I prefer making a deal because I'm not looking to hurt Iran. They're a great people," Trump said.
Last month, Trump reimposed a policy of “maximum pressure” on Iran, including efforts to cut off its oil exports to zero. But he also said in February that he wanted to strike a deal with Iran that would prevent it from developing a nuclear weapon.
Parliamentary Oil Committee rules out passing oil and gas law during current session
The Parliamentary Oil and Gas Committee confirmed today, Friday, that there are disagreements over the management of resources, which led to the obstruction of passing the Oil and Gas Law, while it ruled out passing it in the current electoral cycle.
"The oil and gas law has been a demand since 2007, but attempts to legislate it have failed due to political differences and lack of agreement with the Kurdistan Region," said Bassem Naghmish Al-Gharibawi, a member of the parliamentary oil and gas committee,
in an interview with the Iraqi News Agency, followed by "Al-Eqtisad News." He explained that "the law was part of the current ministerial program, and it was supposed to be legislated during this parliamentary session, as committees were formed since 2023 to discuss it, and two drafts were presented: the first from the federal government and the second from the region, and joint committees were formed to hold meetings between the two parties."
He pointed out that "most of the technical issues were agreed upon, but the differences focused on administrative aspects, powers, and representation of the region and governorates in the Federal Oil Council, in addition to how to manage and distribute resources, as well as previous and current rights."
He explained that "the parliamentary oil committee has made intensive efforts with the leaders of the political blocs to clarify the importance of enacting the law, as it regulates the oil wealth that fully funds the state, and contributes to resolving the disputes between the federal government and the region, which contributes to achieving political and economic stability."
He added that "the most prominent point of disagreement between Baghdad and Erbil is related to oil resources and the region's commitment to the decisions issued by the Federal Court and the International Court," noting that "this law is one of the laws that complement the constitution."
Despite all the attempts, Al-Gharibawi stressed that "the committees that were formed were unable to reach a political consensus, which makes passing the law during this electoral cycle an unexpected matter."
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Iraq tightens border security as Syria clashes escalate
Iraq has reinforced its military presence along the Syrian border following violent clashes between Syrian security forces and armed groups loyal to ousted President Bashar al-Assad, the Iraqi Border Guard Command revealed on Friday.
The command said its units are intensifying security measures along the Iraqi-Syrian border, conducting round-the-clock patrols and bolstering defenses with an advanced fortification system.
The border remains stable, with no recorded infiltration attempts or security threats.
The move comes as violence escalated in Syria’s Latakia province. The Syrian Observatory for Human Rights reported on Friday that more than 70 people were killed in the clashes.
Notably, the Iraqi-Syrian border, spanning approximately 610 kilometers with 300 kilometers in Nineveh and 320 kilometers in Al-Anbar, remains a critical area. It has long been a route for terrorist infiltration, smuggling operations, and illicit activities, including the trafficking of drugs, weapons, and fighters.
Israel is waiting for the green light
Iraqis anxiously await final moments... Trump threatens war against Iran
The rising tensions have put Iraq in a very delicate position, as the government fears that the country could turn into a proxy war zone, especially with the presence of American military bases and strong Iranian influence inside its territory. With the escalation of hostile statements, fears are growing that Baghdad will pay the price for any confrontation between the two sides, whether by targeting American forces inside the country or through military strikes targeting armed factions supported by Tehran.
Trump's Message to Iran: Direct Warning or Last Chance?
In a move that reflects the escalation of tensions, the Washington Post revealed a direct message sent by Trump to Iranian Supreme Leader Ali Khamenei, which contained a clear threat to use military force if Tehran did not respond to Washington's demands regarding its nuclear file.
The message included a dual tone between enticement and intimidation, as Trump indicated that Iran still has the opportunity to negotiate, but if it refuses, the military option will be "very terrifying" for it, according to what the newspaper reported.
US escalation and worrying Israeli moves
Trump did not stop at his message to Tehran, but repeated his threats during a press conference, where he stressed that "Iran is facing something very serious in the near future." This escalation has raised speculation about whether Washington is preparing for an actual military strike, or is merely a pressure card to push Tehran to the negotiating table.
At the same time, a report by The Guardian revealed moves led by Israeli Prime Minister Benjamin Netanyahu to pressure the Trump administration to support military operations against Iranian nuclear facilities. According to the report, Israel is presenting Washington with two options: either carry out the strike itself, or give Tel Aviv the green light to act alone.
Iraq between US pressure and alliance with Tehran
In light of this tense scene, any military escalation between Washington and Tehran could make Iraq a major arena for conflict, especially with the presence of US forces inside its territory, and the presence of armed factions supported by Iran that could enter the confrontation line. This scenario brings to mind the events of 2020, when tensions escalated after the killing of the commander of the Iranian Quds Force, Qassem Soleimani, in a US raid near Baghdad airport, which led to violent reactions inside Iraq.
Politically, the potential escalation puts the Iraqi government in a difficult predicament, as it faces internal pressure from pro-Iranian political forces demanding the expulsion of US forces, while Washington may pressure Baghdad to take a tougher stance against Tehran. This situation could lead to an internal political crisis that further complicates the Iraqi scene.
Economically, Iraq is heavily dependent on trade with Iran, both in energy and food commodities. Any military escalation or new sanctions on Tehran could directly impact the Iraqi economy, potentially leading to higher prices and increasing pressure on the Iraqi government, which is already suffering from financial crises.
Escalation scenarios: Where is the confrontation heading?
If Iran continues to refuse to negotiate on US terms, it may find itself under increasing pressure, either through economic sanctions or through preemptive military operations that could target its nuclear facilities.
But military escalation carries significant risks. Any American or Israeli strike against Iran could trigger retaliation, whether by targeting American bases in Iraq or escalating attacks by Tehran-backed militias.
In return, if Iran agrees to sit at the negotiating table, it may seek international guarantees in exchange for reducing its nuclear activities, which may constitute an opportunity to ease the economic sanctions imposed on it.
Iraq in the eye of the storm.. Can it avoid confrontation?
The current situation puts Iraq in an unenviable position, as it faces security, political and economic challenges that could affect its internal stability. As pressures mount, the question remains: Will Iraq succeed in avoiding the repercussions of the confrontation between Washington and Tehran, or will it pay the highest price in this potential conflict?
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