CBI: Developing Iraq’s Financial Markets Is Now a Strategic Priority
Iraq’s financial authorities say strengthening the country’s financial markets is no longer optional—it’s a strategic priority needed to support economic stability, attract investment, and push long-term growth.
During a conference in Baghdad on the future of Iraq’s financial markets, Central Bank Governor Ali Mohsen Al-Allaq explained that the world is changing fast. Technology, global finance, and new economic trends are moving so quickly that old economic models can’t keep up anymore. He said Iraq needs institutions that can adapt, innovate, and use modern digital tools to improve transparency, boost banking services, and bring in investors.
Al-Allaq highlighted the central bank’s recent achievements in keeping monetary stability and supporting the national economy. One major step has been activating the local debt market. In cooperation with the Ministry of Finance, the Iraqi Securities Commission, and the Iraq Stock Exchange, government bond issuances have contributed around IQD 5 trillion each year (about USD 3.8 billion) over the past two years—covering more than half of the country’s budget financing needs.
The Central Bank said that Iraq will need to keep expanding financing tools, improving transparency, and keeping pace with global digital developments to ensure that economic growth continues in a stable and sustainable way.
CBI’s Full Message: A Clear Push Toward Modern Financial Markets
The Central Bank of Iraq shared a detailed statement during the “Future of Financial Markets in Iraq” conference. Here’s the core message in simple terms:
- The global economy is going through major changes. Technology, finance, and policy are all shifting at the same time, creating a new reality that requires quick adaptation.
- Iraq can’t rely on old approaches anymore. The country needs financial institutions that respond fast and think ahead.
- The digital revolution over the past 20 years has opened huge opportunities—digital trading, better transparency, improved banking services, and new technology-driven investments.
- Strong financial markets today are measured by how well they handle change, manage shocks, and turn savings into productive investments—not just by natural resources.
- For Iraq, developing modern financial markets isn’t just a reform project—it’s essential for keeping up with the rest of the world.
- Government bonds have become a crucial tool for supporting the federal budget. Over the last two years, they’ve brought in an average of 5 trillion dinars a year and covered more than half of budget financing needs.
- The Central Bank says the next steps must focus on transparency, more financing tools, and full alignment with global digital transformation. These changes, the bank believes, will help Iraq achieve long-term economic growth and increase investment across the country.
