Exclusive: US sends dollar shipment to Iraq but threatens sanctions over pro-Iran militias
Two dollar shipments arrived in Baghdad during the visit of US envoy Tom Barrack but Washington has indicated it could impose sanctions on Iraq
The video for this My FX Buddies Blogpost is below here:
Sources close to the Iraqi government, headed by Ali al-Zaidi, told Al-Araby Al-Jadeed on Wednesday that two shipments of dollars arrived in Baghdad coinciding with the visit of US envoy Tom Barrack to Iraq, as part of efforts to preserve the value of the Iraqi dinar, boost import operations, and secure employee salaries that were threatened during the past period due to the inability to export oil .
The sources, who preferred not to be named, said that "the two shipments arrived in Baghdad, coming from Washington after the dollar shipments stopped, which lasted for about four months as part of American pressure on Baghdad to implement a program and project to restrict weapons to the state and dismantle the Iranian-backed armed factions that are active in the country."
According to the same sources, the funds arriving in Baghdad are from Iraq's oil revenues deposited in the United States. Under a previous decision made during the 2003 US invasion of Iraq, Iraq's oil export revenues are deposited in the US Federal Reserve Bank as a safeguard against debts incurred during Saddam Hussein's regime, thus granting the funds immunity from prosecution. The United States regularly airlifted these funds to Iraq for the past two decades, but this practice ceased in recent months. This halt coincided with accusations that Tehran was exploiting the Iraqi financial system to evade sanctions, leading to a decline in the value of the Iraqi dinar on the parallel market, as well as problems in the private sector, disrupting import operations for traders and companies.
While the sources did not disclose the figures for the last two installments, they confirmed that they "will suffice Iraq for months." Last April, US State Department spokesman Tommy Pigott stated that the Iraqi government's failure to prevent attacks by militias and its provision of political, financial, and operational cover for them was negatively impacting US-Iraqi relations. He indicated that Washington expected the Iraqi government to take all necessary measures to immediately dismantle pro-Iranian militias in Iraq. This comment signaled a further deterioration in relations between Baghdad and Washington, prompting the latter to refrain from sending any dollar shipments to Baghdad.
US envoy to Iraq and Syria, Tom Barrack, arrived in Baghdad last Monday and held a series of meetings with Prime Minister Ali al-Zaidi and other Iraqi political leaders and government officials. He explicitly stated that his visit included conveying US President Donald Trump's support for al-Zaidi's government, which won a vote of confidence in parliament in mid-May but has yet to complete its cabinet due to political disagreements and the allocation of ministerial positions to armed factions.
Upon his arrival in Baghdad, Barrack wrote in a post on the X platform: “It is a pleasure and an honor to return to Baghdad, where I met with the outstanding team at the U.S. Embassy, led by Chargé d'Affaires Joshua Harris.” He added, “Today, I will meet with Prime Minister al-Zaidi to convey President Trump’s support for his government and to discuss our partnership in order to forge a new path for a strong U.S.-Iraqi relationship that is mutually beneficial.” According to sources close to the Iraqi government, the two dollar payments represent the economic backing for Iraq during the period of U.S. support for al-Zaidi’s government, which is contingent upon U.S. conditions. The envoy, Tom Barrack, told al-Zaidi that he must capitalize on Washington’s support and the international openness toward his government during this phase to resolve internal crises, including disarming the armed factions.
Following Barak's meeting with al-Zaidi, the statement issued by the US State Department appeared to be more of a set of political, economic, and security conditions that the Iraqi government must meet in exchange for US support and to avoid what one official described as "massive" sanctions, than a genuine agreement between the two countries. The statement was laden with broad demands, beginning with the disarmament of factions and employing, for the first time, terms like "dissolving armed groups and formations," along with a call to prevent threats to regional states emanating from Iraqi territory, and concluding with what resembled directives regarding the entry of US companies into Iraq.
Following the American statement, the office of Iraqi Prime Minister Ali al-Zaidi republished its contents identically to the American version, which included three parts in direct and explicit wording. The first part demanded that the government "implement plans for complete disarmament, dissolve all armed groups and formations operating outside the authority and control of the Iraqi state, confine weapons to the hands of the Iraqi state, and impose full sovereignty in a way that ensures Iraq is kept away from conflicts and that its territory is not used by any party to threaten regional peace."
According to official US and Iraqi announcements, Iraqi Prime Minister Ali al-Zaidi is scheduled to visit the White House in mid-July to discuss the future of this important relationship. However, sources who spoke to Al-Araby Al-Jadeed indicated that "al-Zaidi must continue working on the files agreed upon with Barak in the coming weeks leading up to his visit to Washington, in order to convey the latest developments regarding anti-corruption projects, in addition to the most prominent issue, which is restricting weapons to the state. Consequently, the coming weeks will witness many developments."
Al-Mustaqilla reveals: Washington demands the suspension of 8 Iraqi banks, and Barak hands over secret names to al-Zaidi.
Al-Mustaqilla News Agency – An informed source revealed to Al-Mustaqilla that US Special Envoy to Syria and Iraq, Tom Barrack, conveyed during his visit to Baghdad an explicit US request to Prime Minister Ali al-Zaidi to suspend at least eight Iraqi banks and take them out of service, following reports indicating their involvement in illegal activities in the foreign exchange market. The same source stated that the US side provided the Iraqi government with specific names, without disclosing them publicly.
Context: File open since 2023
This is not the first time Washington has pressured Baghdad on the banking sector. In July 2023, the US Treasury Department imposed sanctions on fourteen Iraqi banks for allegedly facilitating Iranian dollar transactions. The list was later expanded to include eight additional banks, among them Al-Huda Bank. Specialized reports indicate that 35 out of 72 banks operating in Iraq are now subject to varying degrees of US sanctions.
The Zaidi dilemma
Responding to the American request would mean a decision with direct economic and social repercussions: these banks serve depositors and finance commercial transactions. Ignoring it would complicate relations with Washington at a time when al-Zaidi is preparing to visit the country in July. Currently, al-Zaidi does not have the authority to shut down a bank without legal procedures determined by the Central Bank.
Frequently Asked Questions
Why is Washington demanding the closure of Iraqi banks?
Because of suspicions that they facilitate illegal dollar transfers that ultimately benefit Iran, which is subject to US sanctions.
Have the names of the eight banks been announced?
No. The names were handed over to the Iraqi government confidentially and have not been officially announced yet.
Iraq Approves Starlink License in Boost to Digital Transformation
The announcement came during a meeting in Baghdad, where the two sides discussed ways to strengthen strategic cooperation and expand partnerships between Iraq and the United States.
Iraqi Prime Minister Ali al-Zaidi and US Special Presidential Envoy to Iraq Tom Barrack on Tuesday welcomed Iraq's decision to approve an operating license for Starlink, paving the way for the satellite internet provider to offer high-speed internet services across the country.
The announcement came during a meeting in Baghdad, where the two sides discussed ways to strengthen strategic cooperation and expand partnerships between Iraq and the United States, according to a statement from the Prime Minister's Office (PMO).
Both officials praised the licensing decision, describing it as an important step toward advancing Iraq's digital infrastructure and accelerating the country's digital transformation. The move is expected to improve internet accessibility, particularly in remote and underserved areas where traditional broadband services remain limited.
The approval clears the way for Starlink, the satellite internet network developed by Elon Musk's SpaceX, to enter the Iraqi market and provide broadband connectivity through its constellation of low-Earth orbit satellites.
The meeting also highlighted the broader commitment of Baghdad and Washington to deepen cooperation in technology, investment, and economic development.
Starlink is a satellite internet service operated by Starlink Services, LLC, a wholly owned subsidiary of the US aerospace company SpaceX. Unlike conventional internet providers that rely on fiber-optic cables or cellular towers, Starlink delivers broadband internet through thousands of satellites orbiting the Earth at low altitude, enabling high-speed connectivity with lower latency.
The service has expanded rapidly across dozens of countries, providing internet access to households, businesses, emergency responders, and communities in remote locations. Iraq's approval of Starlink's operating license is expected to strengthen the country's digital infrastructure, support e-government initiatives, and improve connectivity for citizens and businesses nationwide.
The Prime Minister's advisor sets a date for the recovery of Iraqi oil.
- 17 Jun 17:11
The financial advisor to the Iraqi Prime Minister, Mazhar Muhammad Salih, stated on Wednesday that the return of Iraqi oil production and exports through the Strait of Hormuz to pre-war levels depends on the implementation of a package of technical and logistical requirements, foremost among them being the clearing of the vital waterway from sea mines.
Saleh told Al-Maalomah that “the Iraqi oil fields that were damaged as a result of the forced shutdown that exceeded three months need a period of time of about a month to be restarted,” noting that “this step remains conditional on the return of the international companies that left the fields during the military operations.”
He added that "the second challenge is securing the arrival of oil tankers to Iraqi ports," noting that this "is entirely dependent on the timeframe required to clear the Strait of Hormuz of mines to ensure the safety of maritime navigation and its return to its former state."
Saleh added that "the oil sector requires a complete rehabilitation of the infrastructure, pipeline networks, and ports to be fully prepared before the actual start of crude oil pumping operations."
He pointed out that "70 percent of Iraqi oil exports are allocated to East Asian markets," stressing that "official contracts are still in place and valid."
Saleh concluded his remarks by stressing that "the restoration of the Iraqi oil sector to its full production and export capacity will not happen suddenly, but will be subject to a gradual and well-thought-out timetable until the stage of full recovery is reached and cash flows for the country are secured."
Iraqi oil exports have shrunk by 90% following recent regional events and the Israeli-American war on Iran. This challenge has revealed a clear governmental failure due to the lack of alternatives and the failure to provide any other outlet for exporting Iraqi oil, on which the state relies as its primary source of revenue to fund its budget and public expenditures.
The central bank's foreign reserves declined by more than 1.7 trillion dinars in one week.
- 17 Jun 14:39
The Central Bank of Iraq revealed on Wednesday
a decline in its foreign reserves during the second quarter of this year.
A statement from the bank, received by Al-Maalomah News Agency, indicated that "reserves reached approximately 118.947 trillion dinars on May 28, compared to 120.675 trillion dinars on May 21, a decrease of 1.728 trillion dinars, or 1.43%, indicating a continued downward trend during May." The statement
added, "Reserves continued their decline on a monthly basis, recording approximately 127.152 trillion dinars in April, after standing at 130.443 trillion dinars in March, reflecting a gradual decrease in total reserve assets during the period from March to the end of May."
It also noted that "the value of gold included in official reserves reached approximately 32.973 trillion dinars, representing one of the most important hedging elements within the foreign reserves structure."
urgentThe coordination framework is discussing with al-Zaydi the completion of his government and the results of the visit by Trump's envoy.
According to a statement issued by the media office of the framework, a copy of which was received by Al-Furat News, the attendees listened to a presentation by the Prime Minister on the latest government procedures and files under follow-up. They also discussed the results and outcomes of the visit of US envoy Tom Barrack and the dialogues he held with the government, and emphasized the importance of protecting supreme national interests and strengthening Iraq’s foreign relations in a way that serves its stability and sovereignty.
The statement added, "The coordination framework also discussed the issue of completing the government cabinet, stressing the importance of expediting this process in order to enhance the efficiency of government performance and ensure the completion of the ministerial program requirements and meet the aspirations of citizens."
At the conclusion of the meeting, the Coordination Framework extended its deepest condolences to the Iraqi people and the Arab and Islamic nations on the occasion of the holy month of Muharram, recalling the great values of the revolution of Imam Hussein (peace be upon him) and what it represents of eternal meanings in reform, sacrifice, and defense of truth and justice.
The memorandum of understanding was officially signed by the presidents of the United States and Iran.
The Iranian Foreign Ministry announced that the text of the Memorandum of Understanding (MoU) was officially signed by US President Donald Trump and Iranian President Masoud Pezeshkian.
Western media outlets have published the final text of the Islamabad MoU between Iran and the United States.
**The Islamic Republic of Iran and the United States, jointly and in good faith, have agreed to the following:**
1. By signing this MoU, the Islamic Republic of Iran, the United States of America, and their respective allies in the current conflict declare an immediate and permanent cessation of hostilities on all fronts, including in Lebanon, and pledge not to initiate any war or military operations against each other from now on, to refrain from threatening or using force against each other, and to guarantee the territorial integrity and sovereignty of Lebanon. The final agreement will confirm the permanent cessation of hostilities on all fronts, including Lebanon, and the remaining provisions of this paragraph.
2. The Islamic Republic of Iran and the United States of America pledge to respect each other's sovereignty and territorial integrity.
3. The Islamic Republic of Iran and the United States of America undertake to conduct negotiations and reach a final agreement within a maximum period of sixty days, extendable by mutual consent.
4. Upon the signing of this Memorandum of Understanding, the United States of America will begin lifting its naval blockade and any interference or obstruction against the Islamic Republic of Iran, and will completely end the naval blockade within 30 days. During this period, shipping traffic will be
proportionate to the volume of traffic established by the Islamic Republic of Iran before the war. The United States of America also undertakes to withdraw its military forces from the area surrounding the Islamic Republic within 30 days of the final agreement.
5. By signing this Memorandum of Understanding, the Islamic Republic of Iran will exert its utmost efforts to ensure the safe passage of commercial vessels, free of charge, for a period of sixty days only, from the Persian Gulf to the Sea of Oman and vice versa. Shipping traffic will commence immediately, and given the necessity for the Islamic Republic of Iran to remove technical and military obstacles and clear mines, these will be established within 30 days. The Islamic Republic of Iran will discuss with the Sultanate of Oman the future management and maritime services in the Strait of Hormuz, in accordance with applicable international law and the sovereign rights of the coastal states of the Strait of Hormuz. They will also exchange views with other coastal states of the Persian Gulf.
The United States, together with its regional partners, commits to developing a final, mutually agreed-upon program for the reconstruction and economic development of the Islamic Republic of Iran, providing at least $300 billion. The implementation mechanism for this program will be finalized within sixty days as part of the final agreement. All necessary approvals, permits, and authorizations for related financial transactions will be provided by the United States.
7. The United States of America commits to ending all types of sanctions imposed on the Islamic Republic of Iran, including UN Security Council resolutions, IAEA Board of Governors resolutions, and all unilateral US sanctions, both primary and secondary, according to an agreed timetable as part of the final agreement. The Islamic Republic of Iran and the United States of America recognize the fundamental importance of ending the aforementioned sanctions and express their intention to address these issues immediately in negotiations to reach a mutually agreed understanding on them.
8. The Islamic Republic of Iran reaffirms that it will not produce or acquire nuclear weapons. The Islamic Republic of Iran and the United States of America have agreed to resolve the issue of enriched material stockpiles through a mutually agreed mechanism and according to the timetable outlined in paragraph 7, at a minimum through on-site dilution under the auspices of the IAEA. The two sides also agree to discuss the issue of enrichment and other mutually agreed issues related to the nuclear needs of the Islamic Republic of Iran, on the basis of a satisfactory framework to be agreed upon in the final agreement.
The final agreement will reaffirm the provisions of this section. The Islamic Republic of Iran and the United States of America recognize the fundamental importance of the aforementioned nuclear issues and express their intention to address these issues immediately in negotiations in order to reach a mutually agreeable solution.
9. The Islamic Republic of Iran and the United States of America agree to maintain the status quo until a final agreement is reached. The Islamic Republic of Iran will maintain the status quo regarding its nuclear program, and the United States will not impose any new sanctions on Iran or deploy additional military forces in the region.
10. The United States of America undertakes, immediately upon the signing of this Memorandum of Understanding and until the sanctions are lifted, to issue Treasury bills for the export of Iranian crude oil, petrochemical products and derivatives, and all related services, including banking, insurance, transportation, etc.
11. The United States of America undertakes to make all restricted or frozen funds and assets of the Islamic Republic of Iran fully available for use through the implementation of this Memorandum of Understanding. The United States of America and the Islamic Republic of Iran mutually agree on procedures for releasing these funds during negotiations. These funds, whether held in the primary account or transferred, must be
fully usable for payment to any end beneficiary designated by the Central Bank of the Islamic Republic of Iran. The United States undertakes to issue all necessary approvals and authorizations in this regard.
21. The Islamic Republic of Iran and the United States of America agree to establish an enforcement mechanism to monitor the successful implementation of this Memorandum of Understanding and future compliance with the final agreement.
31. Following the signing of this Memorandum of Understanding and subject to the implementation of paragraphs 1, 4, 5, 10, and 11 thereof and the continued implementation of these measures, the Islamic Republic of Iran and the United States of America will commence negotiations on the final agreement with respect to the remaining paragraphs exclusively.
41. The final agreement will be approved by a binding resolution of the United Nations Security Council.
◇ (Signed) on behalf of the Government of the Islamic Republic of Iran.
Date
◇ (Signed) on behalf of the Government of the United States .
Date
◇ (Signed) in the presence of the mediator
on behalf of the Government of the Islamic Republic of Pakistan.
The Minister of Finance directs the disbursement of dues to contractors in five governorates as part of the first batch.
Finance Minister Faleh Al-Sari directed on Wednesday (June 17, 2026) that the dues of contractors in a number of governorates be disbursed as a first batch.
The ministry stated in a statement received by “Baghdad Today” that “Minister of Finance Faleh Al-Sari has ordered the disbursement of the dues of contractors in the governorates of Basra, Diwaniyah, Najaf, Babylon and Maysan, as part of the first batch of financial dues, with the dues of the other governorates to be disbursed successively and regularly.”
She added that “the head of the Iraqi and Arab Contractors Union, Ali Fakher Al-Sanafi, appreciated the serious approach of Prime Minister Ali Falih Al-Zaidi and Finance Minister Falih Al-Sari in working to disburse the contractors’ outstanding dues that have been delayed for years. He also appreciated the efforts of MP Ali Shaddad for his role in following up on this file, which is related to the progress of Iraq’s economy.”
The ministry noted that “Al-Sanafi explained that adopting the disbursement mechanism in the form of successive and regular installments contributes to settling the issue of dues gradually, and enhances the stability of the work of contracting companies in various governorates.”
She noted that “Al-Sanafi confirmed that the Minister of Finance’s directive came during the meeting that brought them together today, indicating that releasing these dues represents an important step in the process of addressing the outstanding financial dues of contractors.”
Final signing at the White House... Al-Zaidi to launch a "second Iraq" in mid-July
Barak's plan: Baghdad as the heart of a "new Middle East"
Ali al-Zaidi is close to setting a political precedent that could make him one of the fastest Iraqi prime ministers to reach the White House after assuming office. His anticipated visit to Washington in mid-July is not seen as a mere protocol visit, but rather as an attempt to inaugurate a new phase in the relationship between Baghdad and Washington, more than two decades after the 2003 regime change in Iraq.
Political assessments suggest that the visit represents an opportunity to restructure the relationship between the two countries on different foundations, transcending the legacy of past years and opening the door to broader cooperation on energy, economic, and security issues. However, according to observers, this path will not be without obstacles, given the continued influence of Iran and armed factions in the Iraqi landscape.
The Iraqi government announced last Monday that al-Zaidi would visit Washington in mid-July at the invitation of US President Donald Trump, shortly after US envoy Tom Barrack's visit to Baghdad, which was accompanied by leaks that sparked widespread interest regarding issues of weapons, corruption, and the future relationship between the two sides. Academic and political analyst Mohammed Naanaa believes that Tom Barrack's meeting with al-Zaidi was a crucial step in preparing for the anticipated visit.
Naanaa told Al-Mada that the details of the visit were discussed during the meeting, including the issues mentioned in the Prime Minister's office statement. These issues pertain to the complete disarmament of Iraqis, the consolidation of all armed groups under the command of the Commander-in-Chief of the Armed Forces, the expansion of the American presence in Iraq, particularly for companies operating in the southern oil fields, and the granting of significant licenses to Starlink. He added that these indicators, in his opinion, reflect an Iraqi alignment with the American vision for the future of the relationship between the two countries. He considers al-Zaidi's visit to be pivotal and the culmination of a series of contacts, dialogues, and reciprocal visits led by Barrack and the US Chargé d'Affaires in Baghdad, leading to what he describes as "the final signing of the new relationship between the two sides." But Naanaa believes this path will not be without its challenges. He argues that any stability Tehran achieves will prompt it to revitalize its influence within Iraq, and that armed factions may return to exert greater pressure on the power structure, either directly or through their political representatives in parliament and the government. The researcher emphasizes that Iraq should consider what it stands to gain from this burgeoning relationship, which is expected to culminate in the White House meeting on July 15. He stresses the importance of securing clear American support in three key sectors: banking, energy, and defense. According to Naanaa, Baghdad needs American assistance in acquiring air defense systems to protect the country, and support that will help liberalize the Iraqi monetary system, reduce exchange rate volatility, and mitigate the impact of the parallel dollar on citizens' livelihoods. Furthermore, assistance is needed to resolve the gas import crisis for electricity generation through alternative solutions, including floating power platforms. The issues of weapons and sovereignty were also discussed. During their recent meeting in Baghdad, al-Zaidi and Barak emphasized the importance of building a strong and mutually beneficial Iraqi-American partnership.
According to the official statement, the two sides discussed a shared vision for building a "brighter, terrorism-free" future, implementing plans for complete disarmament, dissolving all armed groups and formations operating outside the authority of the state, and ensuring that weapons are solely in the hands of the state and that full sovereignty is established.
They also stressed the need to keep Iraq out of regional conflicts and prevent its territory from being used by any party to threaten security and stability in the region, emphasizing the urgent need to fully achieve these goals.
Iraq at the heart of a new Middle East.
Former diplomat Ghazi Faisal, however, views the visit from a broader perspective that transcends the bilateral relationship between Baghdad and Washington.
He tells Al-Mada that the new American initiative, which emerged after Tom Barrack was assigned the Iraq portfolio, is based on major strategic projects, including strengthening coordination and economic integration between Iraq and Syria, ultimately aiming to build a nucleus of regional cooperation that may later include Cairo, Amman, and Beirut, in addition to Baghdad and Damascus.
Faisal believes the region is facing a new phase, especially after what he calls the "historic agreement" to resolve long-standing crises with Iran dating back to 1979. He considers this agreement a precursor to a new Middle East map based on development rather than wars and conflicts.
He adds that Iraq is at the heart of these transformations, and that al-Zaidi's visit could be a starting point for the country's transition from the security, political, and economic chaos that has accompanied the post-2003 era to building a truly democratic state.
He emphasizes that the visit could lay the foundation for deeper economic and investment relations, because, as he describes it, investment is what creates jobs and stimulates the economy, while currently, about 75% of the budget goes to salaries at the expense of development and investment.
Faisal also expects the United States to support Iraq's efforts to combat corruption within ministries, banks, and companies, and to pursue networks involved in smuggling and money laundering.
He points out that the environment created by armed factions and financial corruption in recent years has driven companies and investors to leave Iraq or freeze their projects, which necessitates providing new security and political guarantees to restore confidence in the Iraqi economy.
The visit
he concludes, represents an opportunity to review the mistakes made by Washington and Iraqi political parties over the past two decades, and to move Iraq from a failing and declining state to a more stable one, better able to integrate into its regional environment. According to political sources who spoke to Al-Mada, Tom Barrack only arrived in Baghdad after Washington received initial positive signals regarding several demands it had previously conveyed to the Iraqi government. The sources describe Barrack's visit as pivotal in the course of Iraqi-American relations, considering it the foundation for a new phase, distinct from the period following 2003, based on clear commitments and mutual interests. The most prominent American demands, according to these sources, include the disarmament of all armed factions without exception, preventing their participation in the government, and completing the integration of the Popular Mobilization Forces (PMF) into official security institutions after removing leaders affiliated with armed factions. The sources indicate that these issues are still under discussion and have not yet been definitively resolved.
The American demands also include closing more than ten banks accused of smuggling dollars and involvement in money laundering, restructuring other financial institutions, expanding anti-corruption measures, and opening the door to broad American and Gulf investments.
According to sources, Washington links the success of these measures to the influx of major investments that Baghdad needs in the energy, infrastructure, and services sectors.
If these conditions are not met, Barak informed Iraqi officials, according to the same sources, that "all options are open," and that the United States will act in accordance with its interests.
Compared to his predecessors
, if the visit takes place as scheduled, al-Zaidi will be one of the fastest Iraqi prime ministers to reach the White House.
Only Nouri al-Maliki rivals him in this regard, having visited Washington four times during two terms, with his first visit coming just two months after assuming the premiership. In contrast, Mohammed Shia al-Sudani waited about 17 months before meeting former US President Joe Biden, amid American reservations and internal complications.
For
his part, Ahmed al-Yassiri, an Iraqi political analyst residing in Australia, believes that focusing on the speed or timing of the visit does not reflect its true importance.
He tells Al-Mada that al-Zaidi did not request the visit, but rather received an invitation from the US administration. Therefore, linking its significance to the time elapsed since his assumption of office is inaccurate.
He adds that the visit's true importance lies in providing the Iraqi political system with American backing during a sensitive regional period, and in restructuring the relationship between Baghdad and Washington amidst the ongoing transformations in the region, particularly concerning the Iranian issue and the redrawing of security and political alliances.
Al-Yassiri, who also heads the Arab-Australian Center for Strategic Studies, believes the visit will also exert internal pressure on the Iraqi government to present a realistic program regarding investment and the entry of American companies, in addition to ensuring the continued flow of Iraqi funds and preventing the country from being exposed to the risks of US sanctions.
He emphasizes that these issues will shape the features of the next phase, regardless of al-Zaidi's ability to achieve quick results or immediate breakthroughs.
Political support or practical results?
Munqith Dagher, Middle East and North Africa director and a member of the board of directors of Gallup International, views the visit as more of a message of political support than an exceptional event.
He tells Al-Mada that the visit carries a ceremonial dimension for al-Zaidi and represents an American attempt to demonstrate its support for the Iraqi Prime Minister, especially since Washington—in his estimation—played a key role in his rise to power through Tom Barrack. Dagher believes the timing might have been better had it been delayed slightly, but he acknowledges that American motives dictated the visit's timing. He adds that it wouldn't be a negative development if al-Zaidi succeeds in using the opportunity to raise important Iraqi issues and secure greater American support on vital matters.
He concludes by saying that the true measure of the visit will depend on its actual outcomes: will it remain within the realm of protocol and political messaging, or will it become a starting point for genuine progress on the outstanding issues between Baghdad and Washington?
Iraq Approves Starlink License in Boost to Digital Transformation
The announcement came during a meeting in Baghdad, where the two sides discussed ways to strengthen strategic cooperation and expand partnerships between Iraq and the United States.
Iraqi Prime Minister Ali al-Zaidi and US Special Presidential Envoy to Iraq Tom Barrack on Tuesday welcomed Iraq's decision to approve an operating license for Starlink, paving the way for the satellite internet provider to offer high-speed internet services across the country.
The announcement came during a meeting in Baghdad, where the two sides discussed ways to strengthen strategic cooperation and expand partnerships between Iraq and the United States, according to a statement from the Prime Minister's Office (PMO).
Both officials praised the licensing decision, describing it as an important step toward advancing Iraq's digital infrastructure and accelerating the country's digital transformation. The move is expected to improve internet accessibility, particularly in remote and underserved areas where traditional broadband services remain limited.
The approval clears the way for Starlink, the satellite internet network developed by Elon Musk's SpaceX, to enter the Iraqi market and provide broadband connectivity through its constellation of low-Earth orbit satellites.
The meeting also highlighted the broader commitment of Baghdad and Washington to deepen cooperation in technology, investment, and economic development.
Starlink is a satellite internet service operated by Starlink Services, LLC, a wholly owned subsidiary of the US aerospace company SpaceX. Unlike conventional internet providers that rely on fiber-optic cables or cellular towers, Starlink delivers broadband internet through thousands of satellites orbiting the Earth at low altitude, enabling high-speed connectivity with lower latency.
The service has expanded rapidly across dozens of countries, providing internet access to households, businesses, emergency responders, and communities in remote locations. Iraq's approval of Starlink's operating license is expected to strengthen the country's digital infrastructure, support e-government initiatives, and improve connectivity for citizens and businesses nationwide.
The Prime Minister's advisor sets a date for the recovery of Iraqi oil.
- 17 Jun 17:11
The financial advisor to the Iraqi Prime Minister, Mazhar Muhammad Salih, stated on Wednesday that the return of Iraqi oil production and exports through the Strait of Hormuz to pre-war levels depends on the implementation of a package of technical and logistical requirements, foremost among them being the clearing of the vital waterway from sea mines.
Saleh told Al-Maalomah that “the Iraqi oil fields that were damaged as a result of the forced shutdown that exceeded three months need a period of time of about a month to be restarted,” noting that “this step remains conditional on the return of the international companies that left the fields during the military operations.”
He added that "the second challenge is securing the arrival of oil tankers to Iraqi ports," noting that this "is entirely dependent on the timeframe required to clear the Strait of Hormuz of mines to ensure the safety of maritime navigation and its return to its former state."
Saleh added that "the oil sector requires a complete rehabilitation of the infrastructure, pipeline networks, and ports to be fully prepared before the actual start of crude oil pumping operations."
He pointed out that "70 percent of Iraqi oil exports are allocated to East Asian markets," stressing that "official contracts are still in place and valid."
Saleh concluded his remarks by stressing that "the restoration of the Iraqi oil sector to its full production and export capacity will not happen suddenly, but will be subject to a gradual and well-thought-out timetable until the stage of full recovery is reached and cash flows for the country are secured."
Iraqi oil exports have shrunk by 90% following recent regional events and the Israeli-American war on Iran. This challenge has revealed a clear governmental failure due to the lack of alternatives and the failure to provide any other outlet for exporting Iraqi oil, on which the state relies as its primary source of revenue to fund its budget and public expenditures.
The central bank's foreign reserves declined by more than 1.7 trillion dinars in one week.
- 17 Jun 14:39
The Central Bank of Iraq revealed on Wednesday
a decline in its foreign reserves during the second quarter of this year.
A statement from the bank, received by Al-Maalomah News Agency, indicated that "reserves reached approximately 118.947 trillion dinars on May 28, compared to 120.675 trillion dinars on May 21, a decrease of 1.728 trillion dinars, or 1.43%, indicating a continued downward trend during May." The statement
added, "Reserves continued their decline on a monthly basis, recording approximately 127.152 trillion dinars in April, after standing at 130.443 trillion dinars in March, reflecting a gradual decrease in total reserve assets during the period from March to the end of May."
It also noted that "the value of gold included in official reserves reached approximately 32.973 trillion dinars, representing one of the most important hedging elements within the foreign reserves structure."
urgentThe coordination framework is discussing with al-Zaydi the completion of his government and the results of the visit by Trump's envoy.
According to a statement issued by the media office of the framework, a copy of which was received by Al-Furat News, the attendees listened to a presentation by the Prime Minister on the latest government procedures and files under follow-up. They also discussed the results and outcomes of the visit of US envoy Tom Barrack and the dialogues he held with the government, and emphasized the importance of protecting supreme national interests and strengthening Iraq’s foreign relations in a way that serves its stability and sovereignty.
The statement added, "The coordination framework also discussed the issue of completing the government cabinet, stressing the importance of expediting this process in order to enhance the efficiency of government performance and ensure the completion of the ministerial program requirements and meet the aspirations of citizens."
At the conclusion of the meeting, the Coordination Framework extended its deepest condolences to the Iraqi people and the Arab and Islamic nations on the occasion of the holy month of Muharram, recalling the great values of the revolution of Imam Hussein (peace be upon him) and what it represents of eternal meanings in reform, sacrifice, and defense of truth and justice.
Want to Support My FX Buddies?
ThanksSupport My FX Buddies
BuyMeACoffee CashApp:$tishwash
https://paypal.me/tishwash
.jpeg)
The memorandum of understanding was officially signed by the presidents of the United States and Iran.
The Iranian Foreign Ministry announced that the text of the Memorandum of Understanding (MoU) was officially signed by US President Donald Trump and Iranian President Masoud Pezeshkian.
Western media outlets have published the final text of the Islamabad MoU between Iran and the United States.
**The Islamic Republic of Iran and the United States, jointly and in good faith, have agreed to the following:**
1. By signing this MoU, the Islamic Republic of Iran, the United States of America, and their respective allies in the current conflict declare an immediate and permanent cessation of hostilities on all fronts, including in Lebanon, and pledge not to initiate any war or military operations against each other from now on, to refrain from threatening or using force against each other, and to guarantee the territorial integrity and sovereignty of Lebanon. The final agreement will confirm the permanent cessation of hostilities on all fronts, including Lebanon, and the remaining provisions of this paragraph.
2. The Islamic Republic of Iran and the United States of America pledge to respect each other's sovereignty and territorial integrity.
3. The Islamic Republic of Iran and the United States of America undertake to conduct negotiations and reach a final agreement within a maximum period of sixty days, extendable by mutual consent.
4. Upon the signing of this Memorandum of Understanding, the United States of America will begin lifting its naval blockade and any interference or obstruction against the Islamic Republic of Iran, and will completely end the naval blockade within 30 days. During this period, shipping traffic will be
proportionate to the volume of traffic established by the Islamic Republic of Iran before the war. The United States of America also undertakes to withdraw its military forces from the area surrounding the Islamic Republic within 30 days of the final agreement.
5. By signing this Memorandum of Understanding, the Islamic Republic of Iran will exert its utmost efforts to ensure the safe passage of commercial vessels, free of charge, for a period of sixty days only, from the Persian Gulf to the Sea of Oman and vice versa. Shipping traffic will commence immediately, and given the necessity for the Islamic Republic of Iran to remove technical and military obstacles and clear mines, these will be established within 30 days. The Islamic Republic of Iran will discuss with the Sultanate of Oman the future management and maritime services in the Strait of Hormuz, in accordance with applicable international law and the sovereign rights of the coastal states of the Strait of Hormuz. They will also exchange views with other coastal states of the Persian Gulf.
The United States, together with its regional partners, commits to developing a final, mutually agreed-upon program for the reconstruction and economic development of the Islamic Republic of Iran, providing at least $300 billion. The implementation mechanism for this program will be finalized within sixty days as part of the final agreement. All necessary approvals, permits, and authorizations for related financial transactions will be provided by the United States.
7. The United States of America commits to ending all types of sanctions imposed on the Islamic Republic of Iran, including UN Security Council resolutions, IAEA Board of Governors resolutions, and all unilateral US sanctions, both primary and secondary, according to an agreed timetable as part of the final agreement. The Islamic Republic of Iran and the United States of America recognize the fundamental importance of ending the aforementioned sanctions and express their intention to address these issues immediately in negotiations to reach a mutually agreed understanding on them.
8. The Islamic Republic of Iran reaffirms that it will not produce or acquire nuclear weapons. The Islamic Republic of Iran and the United States of America have agreed to resolve the issue of enriched material stockpiles through a mutually agreed mechanism and according to the timetable outlined in paragraph 7, at a minimum through on-site dilution under the auspices of the IAEA. The two sides also agree to discuss the issue of enrichment and other mutually agreed issues related to the nuclear needs of the Islamic Republic of Iran, on the basis of a satisfactory framework to be agreed upon in the final agreement.
The final agreement will reaffirm the provisions of this section. The Islamic Republic of Iran and the United States of America recognize the fundamental importance of the aforementioned nuclear issues and express their intention to address these issues immediately in negotiations in order to reach a mutually agreeable solution.
9. The Islamic Republic of Iran and the United States of America agree to maintain the status quo until a final agreement is reached. The Islamic Republic of Iran will maintain the status quo regarding its nuclear program, and the United States will not impose any new sanctions on Iran or deploy additional military forces in the region.
10. The United States of America undertakes, immediately upon the signing of this Memorandum of Understanding and until the sanctions are lifted, to issue Treasury bills for the export of Iranian crude oil, petrochemical products and derivatives, and all related services, including banking, insurance, transportation, etc.
11. The United States of America undertakes to make all restricted or frozen funds and assets of the Islamic Republic of Iran fully available for use through the implementation of this Memorandum of Understanding. The United States of America and the Islamic Republic of Iran mutually agree on procedures for releasing these funds during negotiations. These funds, whether held in the primary account or transferred, must be
fully usable for payment to any end beneficiary designated by the Central Bank of the Islamic Republic of Iran. The United States undertakes to issue all necessary approvals and authorizations in this regard.
21. The Islamic Republic of Iran and the United States of America agree to establish an enforcement mechanism to monitor the successful implementation of this Memorandum of Understanding and future compliance with the final agreement.
31. Following the signing of this Memorandum of Understanding and subject to the implementation of paragraphs 1, 4, 5, 10, and 11 thereof and the continued implementation of these measures, the Islamic Republic of Iran and the United States of America will commence negotiations on the final agreement with respect to the remaining paragraphs exclusively.
41. The final agreement will be approved by a binding resolution of the United Nations Security Council.
◇ (Signed) on behalf of the Government of the Islamic Republic of Iran.
Date
◇ (Signed) on behalf of the Government of the United States .
Date
◇ (Signed) in the presence of the mediator
on behalf of the Government of the Islamic Republic of Pakistan.
The Minister of Finance directs the disbursement of dues to contractors in five governorates as part of the first batch.
Finance Minister Faleh Al-Sari directed on Wednesday (June 17, 2026) that the dues of contractors in a number of governorates be disbursed as a first batch.
The ministry stated in a statement received by “Baghdad Today” that “Minister of Finance Faleh Al-Sari has ordered the disbursement of the dues of contractors in the governorates of Basra, Diwaniyah, Najaf, Babylon and Maysan, as part of the first batch of financial dues, with the dues of the other governorates to be disbursed successively and regularly.”
She added that “the head of the Iraqi and Arab Contractors Union, Ali Fakher Al-Sanafi, appreciated the serious approach of Prime Minister Ali Falih Al-Zaidi and Finance Minister Falih Al-Sari in working to disburse the contractors’ outstanding dues that have been delayed for years. He also appreciated the efforts of MP Ali Shaddad for his role in following up on this file, which is related to the progress of Iraq’s economy.”
The ministry noted that “Al-Sanafi explained that adopting the disbursement mechanism in the form of successive and regular installments contributes to settling the issue of dues gradually, and enhances the stability of the work of contracting companies in various governorates.”
She noted that “Al-Sanafi confirmed that the Minister of Finance’s directive came during the meeting that brought them together today, indicating that releasing these dues represents an important step in the process of addressing the outstanding financial dues of contractors.”
Final signing at the White House... Al-Zaidi to launch a "second Iraq" in mid-July
Barak's plan: Baghdad as the heart of a "new Middle East"
Ali al-Zaidi is close to setting a political precedent that could make him one of the fastest Iraqi prime ministers to reach the White House after assuming office. His anticipated visit to Washington in mid-July is not seen as a mere protocol visit, but rather as an attempt to inaugurate a new phase in the relationship between Baghdad and Washington, more than two decades after the 2003 regime change in Iraq.
Political assessments suggest that the visit represents an opportunity to restructure the relationship between the two countries on different foundations, transcending the legacy of past years and opening the door to broader cooperation on energy, economic, and security issues. However, according to observers, this path will not be without obstacles, given the continued influence of Iran and armed factions in the Iraqi landscape.
The Iraqi government announced last Monday that al-Zaidi would visit Washington in mid-July at the invitation of US President Donald Trump, shortly after US envoy Tom Barrack's visit to Baghdad, which was accompanied by leaks that sparked widespread interest regarding issues of weapons, corruption, and the future relationship between the two sides. Academic and political analyst Mohammed Naanaa believes that Tom Barrack's meeting with al-Zaidi was a crucial step in preparing for the anticipated visit.
Naanaa told Al-Mada that the details of the visit were discussed during the meeting, including the issues mentioned in the Prime Minister's office statement. These issues pertain to the complete disarmament of Iraqis, the consolidation of all armed groups under the command of the Commander-in-Chief of the Armed Forces, the expansion of the American presence in Iraq, particularly for companies operating in the southern oil fields, and the granting of significant licenses to Starlink. He added that these indicators, in his opinion, reflect an Iraqi alignment with the American vision for the future of the relationship between the two countries. He considers al-Zaidi's visit to be pivotal and the culmination of a series of contacts, dialogues, and reciprocal visits led by Barrack and the US Chargé d'Affaires in Baghdad, leading to what he describes as "the final signing of the new relationship between the two sides." But Naanaa believes this path will not be without its challenges. He argues that any stability Tehran achieves will prompt it to revitalize its influence within Iraq, and that armed factions may return to exert greater pressure on the power structure, either directly or through their political representatives in parliament and the government. The researcher emphasizes that Iraq should consider what it stands to gain from this burgeoning relationship, which is expected to culminate in the White House meeting on July 15. He stresses the importance of securing clear American support in three key sectors: banking, energy, and defense. According to Naanaa, Baghdad needs American assistance in acquiring air defense systems to protect the country, and support that will help liberalize the Iraqi monetary system, reduce exchange rate volatility, and mitigate the impact of the parallel dollar on citizens' livelihoods. Furthermore, assistance is needed to resolve the gas import crisis for electricity generation through alternative solutions, including floating power platforms. The issues of weapons and sovereignty were also discussed. During their recent meeting in Baghdad, al-Zaidi and Barak emphasized the importance of building a strong and mutually beneficial Iraqi-American partnership.
According to the official statement, the two sides discussed a shared vision for building a "brighter, terrorism-free" future, implementing plans for complete disarmament, dissolving all armed groups and formations operating outside the authority of the state, and ensuring that weapons are solely in the hands of the state and that full sovereignty is established.
They also stressed the need to keep Iraq out of regional conflicts and prevent its territory from being used by any party to threaten security and stability in the region, emphasizing the urgent need to fully achieve these goals.
Iraq at the heart of a new Middle East.
Former diplomat Ghazi Faisal, however, views the visit from a broader perspective that transcends the bilateral relationship between Baghdad and Washington.
He tells Al-Mada that the new American initiative, which emerged after Tom Barrack was assigned the Iraq portfolio, is based on major strategic projects, including strengthening coordination and economic integration between Iraq and Syria, ultimately aiming to build a nucleus of regional cooperation that may later include Cairo, Amman, and Beirut, in addition to Baghdad and Damascus.
Faisal believes the region is facing a new phase, especially after what he calls the "historic agreement" to resolve long-standing crises with Iran dating back to 1979. He considers this agreement a precursor to a new Middle East map based on development rather than wars and conflicts.
He adds that Iraq is at the heart of these transformations, and that al-Zaidi's visit could be a starting point for the country's transition from the security, political, and economic chaos that has accompanied the post-2003 era to building a truly democratic state.
He emphasizes that the visit could lay the foundation for deeper economic and investment relations, because, as he describes it, investment is what creates jobs and stimulates the economy, while currently, about 75% of the budget goes to salaries at the expense of development and investment.
Faisal also expects the United States to support Iraq's efforts to combat corruption within ministries, banks, and companies, and to pursue networks involved in smuggling and money laundering.
He points out that the environment created by armed factions and financial corruption in recent years has driven companies and investors to leave Iraq or freeze their projects, which necessitates providing new security and political guarantees to restore confidence in the Iraqi economy.
The visit
he concludes, represents an opportunity to review the mistakes made by Washington and Iraqi political parties over the past two decades, and to move Iraq from a failing and declining state to a more stable one, better able to integrate into its regional environment. According to political sources who spoke to Al-Mada, Tom Barrack only arrived in Baghdad after Washington received initial positive signals regarding several demands it had previously conveyed to the Iraqi government. The sources describe Barrack's visit as pivotal in the course of Iraqi-American relations, considering it the foundation for a new phase, distinct from the period following 2003, based on clear commitments and mutual interests. The most prominent American demands, according to these sources, include the disarmament of all armed factions without exception, preventing their participation in the government, and completing the integration of the Popular Mobilization Forces (PMF) into official security institutions after removing leaders affiliated with armed factions. The sources indicate that these issues are still under discussion and have not yet been definitively resolved.
The American demands also include closing more than ten banks accused of smuggling dollars and involvement in money laundering, restructuring other financial institutions, expanding anti-corruption measures, and opening the door to broad American and Gulf investments.
According to sources, Washington links the success of these measures to the influx of major investments that Baghdad needs in the energy, infrastructure, and services sectors.
If these conditions are not met, Barak informed Iraqi officials, according to the same sources, that "all options are open," and that the United States will act in accordance with its interests.
Compared to his predecessors
, if the visit takes place as scheduled, al-Zaidi will be one of the fastest Iraqi prime ministers to reach the White House.
Only Nouri al-Maliki rivals him in this regard, having visited Washington four times during two terms, with his first visit coming just two months after assuming the premiership. In contrast, Mohammed Shia al-Sudani waited about 17 months before meeting former US President Joe Biden, amid American reservations and internal complications.
For
his part, Ahmed al-Yassiri, an Iraqi political analyst residing in Australia, believes that focusing on the speed or timing of the visit does not reflect its true importance.
He tells Al-Mada that al-Zaidi did not request the visit, but rather received an invitation from the US administration. Therefore, linking its significance to the time elapsed since his assumption of office is inaccurate.
He adds that the visit's true importance lies in providing the Iraqi political system with American backing during a sensitive regional period, and in restructuring the relationship between Baghdad and Washington amidst the ongoing transformations in the region, particularly concerning the Iranian issue and the redrawing of security and political alliances.
Al-Yassiri, who also heads the Arab-Australian Center for Strategic Studies, believes the visit will also exert internal pressure on the Iraqi government to present a realistic program regarding investment and the entry of American companies, in addition to ensuring the continued flow of Iraqi funds and preventing the country from being exposed to the risks of US sanctions.
He emphasizes that these issues will shape the features of the next phase, regardless of al-Zaidi's ability to achieve quick results or immediate breakthroughs.
Political support or practical results?
Munqith Dagher, Middle East and North Africa director and a member of the board of directors of Gallup International, views the visit as more of a message of political support than an exceptional event.
He tells Al-Mada that the visit carries a ceremonial dimension for al-Zaidi and represents an American attempt to demonstrate its support for the Iraqi Prime Minister, especially since Washington—in his estimation—played a key role in his rise to power through Tom Barrack. Dagher believes the timing might have been better had it been delayed slightly, but he acknowledges that American motives dictated the visit's timing. He adds that it wouldn't be a negative development if al-Zaidi succeeds in using the opportunity to raise important Iraqi issues and secure greater American support on vital matters.
He concludes by saying that the true measure of the visit will depend on its actual outcomes: will it remain within the realm of protocol and political messaging, or will it become a starting point for genuine progress on the outstanding issues between Baghdad and Washington?
The head of the Iraqi Trade Bank emphasizes the importance of partnership with professional media and continuing to raise public awareness.
The Chairman of the Board of Directors of the Trade Bank of Iraq (TBI), Bilal Al-Hamdani, emphasized on Wednesday the importance of partnership with professional media outlets. He noted that regular meetings are held with journalists and media professionals to provide them with accurate economic information, contributing to public awareness, reducing the spread of misinformation, and protecting public opinion from rumors.
In a statement received by Mawazin News, the bank said, "The Chairman of the Board of Directors of the Trade Bank of Iraq (TBI), Bilal Al-Hamdani, met today with a group of journalists, media professionals, and economic experts, in the presence of the bank's Vice Chairman, Sabah Al-Saadi, to discuss the role of economic media and the importance of strengthening communication between financial institutions and professional media outlets."
Al-Hamdani praised "constructive criticism and a free press," stressing that "there is no objection to constructive criticism and the importance of continuing to educate citizens."
He added that "the meeting included several interventions, with journalist Abbas Aboud calling for support for professional media platforms to contribute to raising economic awareness and educating citizens, while journalist Naseer Al-Awam emphasized the importance of opening the bank's doors to the local press and strengthening cooperation with them."
For their part, the press delegation indicated that "Iraq needs more management and planning," noting "the importance of continuously disseminating instructions and decisions, given the bank's high level of public trust." Journalists affirmed that TBI's experience is a successful banking model and that they had presented this assessment to the Prime Minister, praising the bank's high level of public confidence.
Several economic journalists explained that "economic challenges require a professional media discourse," indicating that "the impact of a professional journalist in conveying facts can be more effective than traditional media campaigns by institutions."
It is worth noting that the meeting was attended by representatives from the Iraqi Media Network and the Iraqi Journalists Syndicate, along with a number of newspaper editors, media professionals, and those interested in economic affairs, in a move aimed at strengthening the partnership between the banking sector and professional media.
Iraq's reserves are slipping... Has the "financial cushion" entered a danger zone?
Independent/- Official data issued by the Central Bank of Iraq indicates a significant decline in the level of foreign reserves during the second quarter of 2026, amid continued pressure on external liquidity and fluctuations in financial factors related to global markets.
According to the data, foreign reserves on May 28 amounted to about 118.947 trillion dinars, compared to 120.675 trillion dinars on May 21, reflecting a weekly decrease of 1.728 trillion dinars and a decline rate of 1.43%, which indicates the continuation of the downward trend during the month of May.
On a monthly basis, the figures showed that the reserve recorded about 127.152 trillion dinars in April, after it was at 130.443 trillion dinars in March, reflecting a gradual decline over a period of three consecutive months, which raises questions about the dynamics of reserve management at this stage.
Gold as a hedging element
The data showed that the value of gold included in the official reserves amounted to about 32.973 trillion dinars, remaining one of the most prominent components of hedging within the structure of foreign reserves, in light of the fluctuations witnessed by currency prices and global markets.
Economic reading
This decline in reserves reflects a range of potential factors, including:
- Changes in foreign exchange flows
- Managing external liquidity and settling state obligations
- Oil price fluctuations and their impact on dollar revenues
- Global financial market conditions and exchange rates
Although reserve levels remain within relatively high ranges compared to previous years, the continued downward trend may constitute a signal that warrants close monitoring, especially given the Iraqi economy's heavy reliance on oil revenues.
Mobilization, general amnesty, and anti-monopoly measures top the list of legislation.
Shaimaa Rashid
The House of Representatives is preparing to resume its sessions at the beginning of next July, after the end of the legislative holiday, and its agenda includes a package of important files and laws, most notably the draft law on the Popular Mobilization Forces and the amendment of the general amnesty law, as well as the amendment of the competition and anti-monopoly law, in conjunction with parliamentary confirmations to postpone the 2026 budget to 2027, in light of data indicating that it is not possible to approve it during the current year.
Budget transfer
Member of Parliament’s Human Rights Committee, MP Wahda Al-Jumaili, told Al-Sabah: “It is certain that the 2026 budget will be postponed to 2027, and there are a number of indicators that confirm there is no budget for the current year.”
Al-Jumaili added that "the House of Representatives will resume its legislative sessions at the beginning of next July, and there will be several files on the table of the Council," indicating that "among the most prominent of these files is amending the general amnesty law, in a way that contributes to including a larger number of innocent people in this law."
Popular Mobilization Forces Law
Member of the Parliamentary Security and Defense Committee, MP Ahmed Al-Khazali, told Al-Sabah: “The Sadiqun bloc will lead a parliamentary signature campaign after the end of the legislative recess of the House of Representatives, in order to include the draft law on the Popular Mobilization Forces in the agenda of the upcoming sessions.”
Al-Khazali said: “This law represents justice for an important and struggling segment that once presented the most wonderful epics of heroism and struggle in order to preserve the land of Iraq and its sovereignty,” describing the law as “one of the very important laws that should be among the priorities of the House of Representatives after the legislative recess.”
He pointed out that "we are strongly seeking to collect the necessary signatures and include the draft law in the Council's agenda, so that it will be among the files presented in the first sessions after the resumption of legislative work," noting that "the draft law was prepared during the fifth parliamentary session, and includes 78 legal articles, and needs to make some amendments before proceeding to vote on it."
Al-Khazali added that "these parliamentary moves come within the framework of the political blocs' preparations for a new legislative phase after the end of the holiday, amid trends to resolve a number of pending laws and files that affect broad segments, most notably the laws related to security and human rights institutions."
National entitlement
For her part, Member of Parliament, MP Raja Fadel Aziz, stressed in an interview with Al-Sabah that “the enactment of the Service and Retirement Law for the Popular Mobilization Forces is a national and moral entitlement, and is no longer an option that can be postponed, because it includes a guarantee of the full legal rights of the Popular Mobilization Forces fighters.”
She added, “Doing justice to this segment is a national duty, especially after the great sacrifices made by the sons of the Popular Mobilization Forces in confronting terrorism and defending Iraq, its land and its people,” indicating that “the continued postponement of the law is unacceptable and does not correspond to the magnitude of the sacrifices made by the fighters in an important stage of the country’s history.”
Aziz explained that "the law would regulate aspects related to service and retirement, and guarantee the rights of affiliates in a clear legal manner," stressing that "the next stage requires a serious parliamentary stance to proceed with approving the law and not keep this file subject to postponement."
Postponed legislation
For his part, Member of Parliament’s Legal Committee, Muhammad al-Khafaji, explained in an interview with Al-Sabah that “Parliament is preparing, after the end of the legislative holiday, to resume its work on a number of postponed and important laws, including the Arbitration Law, which dates back to the previous parliamentary session and has not yet been voted on.”
Al-Khafaji pointed out that "the agenda will also include a discussion of the traffic law, given its direct impact on the lives of citizens and the regulation of traffic, as well as the law to replace custodial sentences with fines – describing it as a sensitive and important law – due to its connection with legal and humanitarian reforms in the judicial system."
He pointed out that "there is a trend to discuss other laws, including granting long-term leave to employees that may extend for more than five years," stressing that "these laws require careful study to ensure a balance between the requirements of public service and the rights of employees."
Competition and the prevention of monopolies
Meanwhile, the government is moving towards strengthening the role of the "Competition and Anti-Monopoly Council" in formulating economic policies and monitoring the impact of government decisions on the markets, after the Cabinet approved the first draft amendment to the Competition and Anti-Monopoly Law No. (14) of 2010 and referred it to the House of Representatives to complete the legislative procedures.
Muhannad Khalif Mahmoud, Director of the Legal Department at the Competition and Anti-Monopoly Council, told Al-Sabah: “The amendment came after reviewing a number of legal texts and discussing them with three bodies in the State Council, especially since there are paragraphs that the Council needs to develop its work and enhance its supervisory and regulatory role in the market.”
He added that "one of the most prominent proposed amendments is to grant the council an advisory role in economic decisions that affect the markets, especially those related to protecting the national product and other economic measures," stressing that "the council has a broad database and continuously monitors the movement of markets and various economic sectors, which makes it able to assess the effects of those decisions on competition and prices."
Mahmoud explained that "some of the existing laws grant the Ministries of Trade and Industry the authority to make certain economic decisions after the approval of the Council of Ministers and in emergency circumstances," noting that "the Council demands that its opinion be taken into account before issuing those decisions due to its field experience and its continuous monitoring of the market situation."
He pointed out that "the amendment also includes addressing the issue of economic concentration," noting that "the current law allows concentration to reach 50 percent, while the new amendment seeks to reduce this percentage in a way that limits economic dominance and opens the way for a larger number of companies to compete and operate within the Iraqi market
The Central Bank imposes new financial restrictions on electronic payment cards.
The Central Bank imposes new financial restrictions on electronic payment cards.
An economic expert revealed a contradiction in the Central Bank's new instructions regarding electronic payment cards, arguing that while some provisions support financial inclusion, others undermine it. Expert Ahmed Hadhil stated that the Central Bank has allowed a maximum monthly balance of 20 million dinars for prepaid cards, requiring disclosure of the income source. He added that the same instructions limit transfers between cards issued by the same company within Iraq to 500,000 dinars per transaction and set a monthly transfer limit of only 2 million dinars. He also noted that the Central Bank has imposed restrictions on card usage outside Iraq, limiting daily withdrawals to 150,000 dinars, daily shopping to 500,000 dinars, and monthly shopping to 5 million dinars. Hadhil explained that these restrictions are merely an attempt to force the public to use banking systems and open bank accounts.
He pointed out that the banking sector needs restructuring due to widespread public reluctance to deposit funds, stemming from the complex and tedious bureaucratic procedures associated with banking transactions. Furthermore, state account data for April showed that Iraq recorded total revenues of 31.163 trillion dinars, compared to actual expenditures of 37.835 trillion dinars. This reflects the continued heavy reliance on oil revenues to finance government spending, amidst a widening budget gap between revenues and expenditures. According to the report issued by the Accounting Department at the Ministry of Finance, oil revenues amounted to 26.121 trillion dinars, constituting 84 percent of total revenues, while non-oil revenues reached approximately 5.041 trillion dinars, representing 16 percent of total public revenues.
The report also indicated that actual expenditures up to April totaled 37.835 trillion dinars, distributed as follows: 36.444 trillion dinars for current expenditures and 1.391 trillion dinars for investment expenditures. The report continued, “Employee compensation accounted for the largest share of current spending, amounting to 20.484 trillion dinars, followed by social welfare expenditures of 9.233 trillion dinars, while debt service amounted to about 2.868 trillion dinars, in addition to allocating 2.625 trillion dinars for grants, subsidies and other expenses, while commodity requirements remained stable at 1.074 trillion dinars.”
No comments:
Post a Comment