The Central Bank of Iraq (CBI) is continuing its banking sector reform programme in coordination with consulting firm Oliver Wyman, with officials expecting further progress in the coming period, including deeper integration with the international financial system.
Speaking during a discussion with economic specialists, CBI Governor Nizar Nasser Hussein said international confidence in Iraq’s central bank remains strong. He emphasized that the bank is strengthening internal oversight and implementing precautionary measures aimed at enhancing the stability and resilience of financial and banking institutions.
Hussein also sought to reassure depositors, stating that the majority of deposits within Iraq’s banking sector are guaranteed. He noted that the CBI would intervene within its legal authority if any financial imbalance or shortfall emerged and stressed that the bank possesses sufficient reserves, financial tools and contingency plans to manage potential crises.
Regarding monetary conditions, the governor revealed that the total amount of currency issued for circulation currently stands at approximately 107 trillion Iraqi dinars (about $81.7 billion). He added that a planned currency exchange programme would help determine the actual volume of money circulating in the economy.
Hussein highlighted the government’s commitment to a development strategy that places the private sector at the center of economic growth. He said this approach is guiding current economic policy and supports efforts to diversify economic activity beyond the public sector.
As part of these efforts, the CBI is preparing to launch new lending initiatives aimed at supporting investment, financing vital projects and strengthening the role of private-sector enterprises in the national economy.
The governor also stressed the importance of responsible media coverage in supporting economic and banking reforms, improving Iraq’s international image and enhancing confidence among investors and financial institutions.
The latest comments reflect Iraq’s broader efforts to modernize its banking sector, attract investment and strengthen financial stability while expanding links with global financial markets.
