The Central Bank of Iraq (CBI) has launched a new lending initiative worth IQD 1.2 trillion (approximately $916 million) aimed at supporting key sectors of the economy while also boosting liquidity within the country’s banking system.
According to reports, the program is based on Central Bank Law No. 56 of 2004, as amended, and focuses primarily on the education and veterinary medicine sectors.
Under the initiative, financing will be available for a range of educational projects, including private schools, specialized vocational institutes, and other related facilities. However, applicants must first obtain the necessary approvals from the Ministry of Education and other relevant government authorities before receiving funding.
The veterinary medicine sector will also benefit from the program. Funding will be provided for veterinary pharmaceutical and vaccine manufacturing facilities, veterinary hospitals, clinics, laboratories, and businesses involved in producing veterinary equipment and supplies. These projects will require approval from the Ministry of Agriculture and other relevant agencies.
The initiative was outlined in an official document issued by the Central Bank’s Banking Supervision Department and distributed to all licensed banks operating in Iraq.
The move reflects the Central Bank’s ongoing efforts to support economic development by directing financing toward sectors considered important for long-term growth. The education component is expected to help expand training and educational infrastructure, while the veterinary medicine component aims to strengthen animal health services, pharmaceutical production, and agricultural support industries.
In addition to encouraging investment in these sectors, the program is also designed to increase lending activity and improve liquidity across Iraq’s banking sector, providing banks with additional opportunities to finance productive projects.
The initiative represents another step in Iraq’s broader efforts to diversify economic activity, support private-sector development, and improve essential services through targeted financial programs.
