IRAQ IS PREPARING TO EXPORT ITS OIL VIA TÜRKIYE, JORDAN, EGYPT, AND SAUDI ARABIA… SYRIA IS ON HOLD
The Ministry of Foreign Affairs announced on Thursday plans for external oil connections with four countries: Turkey, Jordan, Egypt, and Saudi Arabia. It noted that work on the Kirkuk-Banias pipeline has been postponed due to the situation in Syria, as the ministry explained that the security situation in Syria prevents Iraq from taking actual steps to restore the pipeline.
The Undersecretary of the Ministry, Hisham Al-Alawi, said in a statement to the official agency, which was followed by the 964 network
, that “work on the Kirkuk-Banias pipeline has been postponed due to the security situation in Syria, which prevents us from taking actual steps in this direction,” indicating that “Iraq has several alternatives for external oil connections, including through Turkey and Jordan to Egypt, in addition to Saudi Arabia.”
He added that “the Iraqi government has worked over the past years to rehabilitate the oil export pipeline through Turkey, and there are talks with Jordan and Egypt,” noting that “Iraq has adopted the project to link the oil fields through Haditha, and discussions were about implementing a project to complete this link through Jordan to Egypt, but work on that has not started.”
MNT GOAT: Can Iraq End the Election Deadlock Soon?
Iraq remains stuck in a political deadlock, centered on whether former Prime Minister Nouri al-Maliki returns to power. His bid has deepened divisions within the Shiite Coordination Framework and drawn a stern warning from Washington regarding U.S.-Iraq relations.
Parliament has failed twice to convene sessions to elect a president and designate a prime minister, prolonging the government formation crisis.
The Maliki Factor in Political Paralysis
Disagreement over Maliki’s candidacy is the main cause of deadlock, not Kurdish infighting.
Sources indicate three proposed scenarios to end the standoff:
Persuade Maliki to withdraw in favor of a compromise candidate.
Move ahead with Maliki despite opposition (unlikely).
Extend the caretaker government while talks continue.
MNT GOAT warns that these scenarios are largely conversation pieces, with the real solution likely being the continuation of Mohammed Shia' Al Sudani for another term. Attempts to extend the caretaker government have been deemed unconstitutional, according to experts, highlighting the importance of a permanent solution to maintain political stability.
Central Bank of Iraq (CBI) Advances Banking Reforms
Despite political deadlock, the independent Central Bank of Iraq continues to implement major reforms:
Ali Al-Alaq, CBI Governor, revealed a “huge plan” to modernize Iraq’s banking sector over the coming years.
Citizens are urged not to rush to the market, despite temporary unofficial dollar price spikes.
The CBI maintains strong foreign reserves, ensuring the Iraqi dinar remains stable.
Key Initiatives:
Expansion of digital finance
Development of electronic payment systems (E-Passula, My Account projects)
Strengthening cooperation with Kurdistan Region
Improving transparency, efficiency, and public trust
MNT GOAT notes that progress continues in the banking sector despite election stalemates, signaling a gradual strengthening of Iraq’s financial infrastructure.
Kurdistan Region Cooperation
Masrour Barzani praised CBI reforms during meetings with Ali Al-Alaq and banking/digital wallet representatives.
Regional collaboration emphasizes active coordination between Baghdad and Erbil, ensuring reforms are implemented across Iraq.
SOMO’s Strategic Shift to Global Oil Trading
Iraq’s Oil Marketing Company (SOMO) is transitioning from traditional crude sales to global oil trading:
Objective: maximize revenue and take advantage of global market fluctuations.
Approach: proactively seek buyers and negotiate pricing strategies beyond traditional markets.
Potential Impact: could introduce other currencies for transactions and influence oil revenue streams.
MNT GOAT highlights that this is a strategic economic step, potentially strengthening Iraq’s fiscal position alongside CBI reforms.
Q&A Section
❓ Why is Iraq stuck in an election deadlock?
Disagreement over Nouri al-Maliki’s return as prime minister has blocked parliamentary sessions to elect a president and form a government.
❓ Are proposals to extend al-Sudani’s term constitutional?
No. Experts confirm that the 2005 Iraqi Constitution does not allow extending a caretaker government beyond its term.
❓ What banking reforms is the CBI implementing?
Digital finance expansion
Electronic payment system rollout (E-Passula, My Account)
Strengthened Baghdad-Erbil cooperation
Maintaining dinar stability and foreign reserves
❓ How is SOMO changing its oil strategy?
SOMO is moving toward global oil trading, negotiating prices and buyers internationally, aiming to maximize revenues rather than relying solely on traditional buyers.
Featured Snippet Summary
Iraq’s election deadlock is primarily caused by Nouri al-Maliki’s potential return.
Proposals to extend caretaker government are unconstitutional.
The CBI continues banking reforms under Ali Al-Alaq, maintaining dinar stability.
Kurdistan Region collaborates closely with Baghdad for sector modernization.
SOMO shifts to global oil trading, maximizing revenue and expanding market reach.
Stay Updated on Iraq Dinar & Political Developments
In the recent article titled “IRAQ’S MALIKI STANDOFF: THREE EXITS, NO EASY WAY OUT” Iraq’s political deadlock now turns on a single question: does Nouri al-Maliki come back? His bid to return to power has pushed the government formation crisis into a more volatile phase, deepening divisions inside the Shiite Coordination Framework and drawing an unusually blunt warning from Washington.
For the second time, parliament failed to convene a session to elect a president and designate a prime minister. This time, the collapse was driven not by Kurdish infighting, but by disagreement over Maliki’s candidacy, according to sources inside the Coordination Framework, the Shiite coalition entitled to nominate the next government. It has been nearly two weeks already after President Donald Trump warned that Maliki’s return would have consequences for U.S.-Iraq relations, Shiite leaders remain deadlocked.
A Framework official told Alhurra that three scenarios are now under discussion to end the deadlock. Please go read the article in full in the Articles Section of today’s Newsletter for details of each of these solutions. Note that I believe none of these scenarios will work and are just conversation and not real solutions. There is in FACT only one solution and that is to give al-Sudani yet another term. I believe that in the end he will be nominated and appointed for yet another term.
I find it ironic that they are thinking about an option to extend al-Sudani term for another year, giving them time to work out solutions to the election deadlock. But is this even doable? Is it constitutional? In the article titled “OUTSIDE THE CONSTITUTION”: AN EXPERT REFUTES THE PROPOSAL TO EXTEND THE CARETAKER GOVERNMENT” a source within the coordination framework revealed to Shafaq News Agency that caretaker Prime Minister Mohammed Shia al-Sudani had received a proposal to extend his government’s term for one year with specific powers, with the aim of finding a way out of the political deadlock. Aa legal expert confirmed on Thursday that “the 2005 Iraqi constitution contains no provision allowing the extension of a caretaker government”, considering any attempt in this direction to be a departure from the principle of the rotation of power.
As investors we do not want this extension as we want a permanent solution and the political side to be able to quickly work these issue out. This is called ‘stability’. It is not bad to have a deadlock but for how long? This shows the democratic principles at work.
What else is in the Iraqi news?
We all should know that even during the election deadlock and amidst all the ongoing saga associated with it, the independent Central Bank is still moving forward with reforms in the background. Today I have some more very good news in this direction.
In article titled “IRAQ HAS ‘HUGE PLAN’ TO TRANSFORM BANKING SECTOR, SAYS CBI GOVERNOR” we read that Ali al-Alaq told The New Region that citizens must not“rush to the market” amid a rise in unofficial dollar prices, insisting that the Central Bank is maintaining foreign reserves “at a very good level.”
ERBIL, Kurdistan Region of Iraq – Central Bank of Iraq (CBI) Governor Ali al-Alaq told The New Region on Wednesday that Baghdad has a “huge plan” to change the banking sector in the next few years, reassuring the Iraqi population that the value of the Iraqi dinar compared to the US dollar is under control. Alaq urged the Iraqi people to “calm down” and not to “rush to the market,” amid a recent soaring rise in unofficial dollar prices, going from around 1,420 dinars per $1 in the black market to 1,570, before settling around 1,500. In comparison, the CBI has set the value at 1,300 dinars per $1.
This week, the CBI governor and the prime minister al-Sudani met with the head of the KRG Barzani. Based on explaining this ‘huge’ banking reform plan and the reforms already accomplished the KRG praised the CBI work. We read about this meeting in the article titled “MASROUR BARZANI PRAISES AL-ALAQ’S MEASURES TO IMPROVE THE BANKING SYSTEM IN IRAQ”
On Tuesday, the Prime Minister of the Kurdistan Region, Masrour Barzani, held an expanded meeting with the Governor of the Central Bank of Iraq, Ali Al-Alaq, and officials and representatives of a number of banks and digital wallet companies participating in the (My Account) and (E-Passula) projects. The Prime Minister expressed his gratitude to the Governor of the Central Bank and his team for the facilities, great cooperation, and high coordination with the regional government, and for their support of the reform steps in the field of developing the banking sector, praising the reforms led by the Governor of the Central Bank with the aim of activating and improving the banking system throughout Iraq.
This week there was also more good news (big news) about increased projected oil revenues and strategic moves in this direction. We can read the news in article titled “SOMO IS MOVING TOWARDS GLOBAL OIL TRADING”. The Iraqi Oil Marketing Company (SOMO) is moving towards a qualitative shift in its operations, from simply selling crude oil through traditional outlets to entering the field of trading in global oil markets. The company’s management described this move as aiming to maximize revenues and seize opportunities in a rapidly fluctuating market, while oil experts warned of the risks of this step if the appropriate institutional and legal environment is not prepared for it.
The Director General of the Oil Marketing Company, Ali Nizar Al-Shatri, told Al-Sabah that the company is currently studying mechanisms for transitioning from the traditional sales model to a trading model, in line with Iraq’s economic interests, noting that this approach comes within a vision aimed at maximizing oil revenues and not limiting marketing operations to Iraqi ports only.
In other words, as I see it, they are no long going to just receive customers who need oil but are going to reach out and find customers who need the oil and the products generated from it. They are going to reach out globally instead of just sitting waiting for business to come to them. This could have ramifications of using other currencies to purchase the oil and bargaining on price to get the highest price available based on local demands not just oil market prices.
The Iraqi Oil Marketing Company (SOMO) is moving towards a qualitative shift in its operations, from simply selling crude oil through traditional outlets to entering the field of trading in global oil markets. The company’s management described this move as aiming to maximize revenues and seize opportunities in a rapidly fluctuating market, while oil experts warned of the risks of this step if the appropriate institutional and legal environment is not prepared for it.
The Director General of the Oil Marketing Company, Ali Nizar Al-Shatri, told Al-Sabah that the company is currently studying mechanisms for transitioning from the traditional sales model to a trading model, in line with Iraq’s economic interests, noting that this approach comes within a vision aimed at maximizing oil revenues and not limiting marketing operations to Iraqi ports only.
Al-Shatri explained that the company seeks to enter into positive partnerships with reputable international companies that have extensive experience in the field of oil trading, indicating that the latest of these moves was the negotiation with the global company “ExxonMobil”, to enter into an advanced commercial partnership that contributes to developing the staff of “SOMO”, and building a marketing and commercial arm capable of interacting with the changes of the global market and seizing the available opportunities.
He pointed out that global oil markets suffer from clear weaknesses in some of their joints, but SOMO is working to invest in the available strengths through these partnerships, enabling it to move from the role of seller to a more effective player in the international oil trading system.
Conversely, experts believe that this shift, despite its importance, requires extreme caution and well-considered measures. Oil expert Yahya Nasser Al-Aqabi emphasized that SOMO’s transition from traditional sales to trading in global markets is not merely an administrative step, but a sovereign decision with significant implications for state revenues and financial sustainability.
Al-Aqabi explained that the current sales model adopted by SOMO is based on selling oil from Iraqi ports at prices linked to global indicators, with relatively limited exposure to risks, while entering the field of trading represents a completely different activity, requiring independent institutions with strict systems and expert management capable of dealing with price fluctuations and market risks.
He added that SOMO, as a company affiliated with the Ministry of Oil, may not currently possess all the institutional capabilities necessary to undertake this type of complex activity, warning that any ill-considered step could be fraught with risks. He cited the experiences of oil-producing countries and national oil companies belonging to OPEC member states, where success was achieved when independent commercial arms were established under clear oversight and professional management.
Al-Aqabi stressed the need for any such transformation to be gradual and deliberate, starting with limited steps whose results are carefully evaluated, before moving to a wider scope. He pointed out that any serious project in this direction needs financial and administrative independence, and a complete separation between political decision-making and commercial activity, warning that ambitions not supported by building strong institutions may turn from a tool for maximizing revenues into a gateway to losses.
For his part, oil expert Kovind Shirwani warned of the risks of SOMO entering the oil speculation market, especially with regard to forward contracts, considering that this step could constitute a major gamble for a government company suffering from red tape and bureaucracy.
Sherwani explained that speculative activity is mostly suitable for private trading companies, or speculators who have high flexibility in decision-making, even if they do not have great financial efficiency, but the entry of a large government institution like “SOMO” into this field requires double caution, especially in light of the current indicators that point to a relative weakness in the global oil market.
He stressed that any move towards trading must be preceded by comprehensive preparation and a careful study of potential risks, in order to avoid exposing oil revenues, which form the backbone of the Iraqi budget, to unforeseen fluctuations.
While this step represents a legitimate ambition to maximize state resources, its success remains contingent on Iraq’s ability to build flexible, independent oil institutions governed by strict governance systems that ensure revenue protection and financial sustainability, away from reckless adventures.
The dollar exchange rate at the Central Bank is fixed and will not change.
Fluctuations in the parallel market are caused by some traders seeking dollars outside official channels.
The CBI continues to inject dollars into the system to meet legitimate demand.
There is no official currency market outside the Central Bank; all other transactions are considered black market or unofficial.
Al-Alaq emphasized:
“The price set by the Central Bank for the US dollar is fixed and does not change, but the developments in import mechanisms have prompted some traders to turn to the black market to buy dollars. These traders will soon return to official channels.”
Why the Parallel Market Spikes Occur
MNT GOAT explains that temporary fluctuations are orchestrated “hiccups” rather than signs of systemic instability:
The CBI controls the exchange rate with a 2% allowable fluctuation around the official rate (e.g., 1320 ± 26 dinars).
Parallel market spikes are short-lived and often triggered by transitional CBI policies, not external shocks.
Policies are rolled out gradually to prevent sudden crashes or destabilization.
From Dollar to Dinar: Recent CBI Policy Shift
The CBI is slowly reducing reliance on the dollar, particularly in payments to contractors in the oil sector:
Payments to oil company contractors are being converted from USD to dinar.
This major policy change will have long-term ripple effects on the economy.
Short-term “hiccups” in the parallel market are expected and managed.
MNT GOAT reassures readers that ample reserves and gold backing exist to prevent crashes or devaluation during these transitions.
Iranian Influence & Devaluation Rumors
Some reports suggest Iran-backed political actors in Iraq are promoting devaluation to exploit financial loopholes.
MNT GOAT warns:
Attempts to push for a large devaluation are illogical
and contrary to the CBI’s monetary policy.
Massive shifts in the currency rate could harm Iraq’s economic recovery rather than solve liquidity issues.
Knee-jerk reactions to minor market hiccups only fuel instability, benefiting black-market traders.
Q&A Section
❓ Is the Iraqi dinar being devalued?
No. The Central Bank of Iraq has confirmed that the official exchange rate remains fixed and stable.
❓ Why does the parallel market fluctuate?
Parallel market spikes are caused by traders bypassing official channels and are short-term, unofficial phenomena.
❓ Does the CBI have enough reserves?
Yes. The CBI has sufficient gold and foreign currency reserves to support the dinar and prevent market crashes.
❓ How is the CBI reducing reliance on the dollar?
Recent policies convert payments to contractors in the oil sector from USD to Iraqi dinars, gradually transitioning the economy while preventing destabilization.
Featured Snippet Summary (Google Discover Ready)
CBI Governor Ali Al-Alaq confirms no dinar devaluation.
Dollar exchange rate is fixed and stable.
Parallel market fluctuations are temporary and due to trader activity.
The CBI has
ample reserves and gold backing the dinar.
Gradual policies transition Iraq from USD to dinar payments to strengthen the domestic currency.
What does the CBI have to say about all this talk of a massive devaluation of the Iraqi dinar?
As this last article about the massive devaluation just was published, this next article came out quickly from the CBI and is titled “IMPORTANT CLARIFICATION FROM THE CENTRAL BANK OF IRAQ REGARDING THE DOLLAR”.The Governor of the Central Bank of Iraq, Ali Al-Alaq, confirmed on Tuesday that the exchange rate of the dollar is stable and will not change, noting that the Central Bank does not suffer from any problem with gold and foreign currency reserves, and that they are continuing to inject dollars .
Then another article to back up this first one titled “CENTRAL BANK GOVERNOR: THE DOLLAR EXCHANGE RATE IS FIXED AND WILL NOT CHANGE”.The Governor of the Central Bank of Iraq, Ali Al-Alaq, attributed the fluctuation of the “parallel market” and the rise in the dollar exchange rate to the dealings of some traders, stressing that the dollar exchange rate at the Central Bank is fixed and will not change.
Al-Alaq said regarding the fluctuation against the dinar: “The price set by the Central Bank for the US dollar is fixed and does not change, but the developments that have occurred in the import mechanisms have prompted some traders to turn to the black market to buy dollars.” Al-Alaq added: “These traders will soon return to the official channels to obtain currency, and thus the price will return to its normal level, especially since the Central Bank does not suffer from any problem with gold and foreign currency reserves, and continues to inject dollars, so we have not faced any obstacles in this regard.”
Then al-Alaq, the governor of the CBI said, “We do not have an official currency market (outside the Central Bank), there is only a black market, while the only source of dollars is the Central Bank. As for the dollars circulating in the markets, they are the surplus that is traded among citizens, because the Central Bank does not provide dollars for unofficial or illegal transactions”
I wanted to clarify this news of the suggested devaluation by the Iranian influencers in Iraq to show you just what measures they will go through to destroy Iraq. They will look at every hiccup to use as their excuse to burn-down the economy. This is the fight, the uphill battle to save the Iraqi economy. You cannot make such huge shifts in the currency rate when these hiccups occur, as these politicians suggest. It is not logical and will do more harm than good in the overall monetary policy.
These hiccups are predictable as the CBI is constantly, but slowly, moving away from the dollar to the dinar. Remember too what new policy the CBI just announced. (See my 02/10 Newsletter). In it I showed you the news titled “FROM DOLLAR TO DINAR… EXCHANGE RATE POLICY CONFUSES OIL COMPANIES AND THREATENS THEIR EMPLOYEES!” and how the Central Bank of Iraq’s decision to convert payments to contractors working with oil companies from US dollars to Iraqi dinars. Yes, this was a HUGE move and is going to have rippling effects but knee-jerk reactions are not necessary and things will settle down in time. WOW! WOW! WOW!
I need all my readers to realize that the CBI still is not fully in control of the exchange rate and as the parallel market does still exists, it has its own rate to circumvent the ‘official’ CBI rate. The CBI must control it within a 2% more or less fluctuation of the ‘official’ rate. It is needed and we have heard this from the IMF in many of the consultation sessions with Iraq. So 2% of 1320 is 26 thus 1294-1346 range.
The parallel market would have to operate ‘unofficially’ and illegally from 1294- 1346 range which is does in between orchestrated hiccups. The higher temporary spikes are caused by CBI policy and don’t just happen, get it?
These policies are being rolled out slowly as not to cause a sudden crash. Note that the CBI rolls out yet another policy to curb the parallel market even more then a short-lived spike. Then the CBI lets it settle down before the next stage. Since the CBI has told us the have plenty of reserves and even gold to back up the dinar there is no worry of a crash during these hiccups.
“OUTSIDE THE CONSTITUTION”: AN EXPERT REFUTES THE PROPOSAL TO EXTEND THE CARETAKER GOVERNMENT.
A legal expert confirmed on Thursday that the 2005 Iraqi constitution contains no provision allowing the extension of a caretaker government, considering any attempt in this direction to be a departure from the principle of the rotation of power.
Earlier, a source within the coordination framework revealed to Shafaq News Agency that caretaker Prime Minister Mohammed Shia al-Sudani had received a proposal to extend his government’s term for one year with specific powers, with the aim of finding a way out of the political deadlock.
According to the source, the proposal will be discussed with the framework leaders in upcoming meetings, amid expectations of differing positions between those who support and those who reject it.
Legal expert Salem Hawas told Shafaq News Agency that “the constitution is completely devoid of any provision that permits the extension of a caretaker government,” explaining that this government is “temporary and restricted by necessity and does not have full authority,” and that its continuation is “exclusively linked to the completion of constitutional requirements, not to political agreements or circumstantial desires.”
He added that “the House of Representatives does not have the authority to extend the term of the executive authority beyond the constitutional terms, because that would be considered an indirect amendment to the constitution,” noting that “the President
of the Republic cannot create a term not stipulated, and the Council of Ministers does not extend its own term.”
He added that “the Federal Supreme Court’s role is interpretive and supervisory, not constructive, and it does not have the power to create a new mandate.”
Hawas stressed that “any extension means the continuation of a government with limited powers, which keeps essential decisions, appointments and major contracts subject to constitutional challenge,” stressing that “turning a temporary necessity into a permanent reality deepens the vacuum and does not solve it, and directly clashes with the principle of the rotation of power within specific periods that do not accept disruption or circumvention.”
Al-Sudani had resigned last Sunday (February 8) from his membership in the House of Representatives, after winning the last parliamentary elections that took place in October 2025, and obtaining more than 92,000 votes personally,
while his alliance as a whole achieved more than 400,000 votes, with 46 seats.
Al-Maliki reiterated his commitment to running for the position of Prime Minister in the next government, despite American rejection of this, stressing that the selection of the Prime Minister is a national matter subject to the will of the people and constitutional institutions.
It is worth noting that the US State Department revealed to Shafaq News Agency last Thursday a firm and strongly worded stance regarding the upcoming political alliances map in Iraq, stressing that the US administration is prepared to use “a full range of tools” to ensure the implementation of President Donald Trump’s vision regarding the Iraqi file and to prevent Maliki from running for the position of Prime Minister of Iraq.
As reported by Bloomberg News last Tuesday, Washington informed Iraqi officials in recent days that it might reduce Iraq’s access to oil export revenues if Nouri al-Maliki is appointed prime minister, given the United States’ view of him as being close to Iran, which has increased the pressure on the coordination framework, according to observers.
🧨 Iraq’s Maliki Standoff: Three Exits, No Easy Way Out
Iraq continues to face a deep political deadlock over whether former Prime Minister Nouri al-Maliki returns to power.
This deadlock has blocked essential decisions, including the election of a president, leaving the country in a fragile state both politically and economically.
The Political Deadlock Explained
Maliki’s nomination has intensified divisions within the Shiite Coordination Framework and created tension with Washington. U.S. officials have warned that support may be withdrawn if Maliki assumes power.
Three potential paths are under discussion:
Persuade Maliki to withdraw in favor of a compromise candidate.
Push ahead with Maliki despite opposition (unlikely to secure enough votes).
Extend the caretaker government while negotiations continue.
Implications: The longer the deadlock persists, the deeper Iraq’s political paralysis becomes — risking diplomatic, economic, and governance instability.
💬 Masrour Barzani Praises CBI Banking Reforms
Meanwhile, Masrour Barzani has publicly commended Ali Mohsen Al-Alaq, Governor of the Central Bank of Iraq, for efforts to modernize Iraq’s banking sector.
Strengthening public trust in the financial system
Barzani emphasized cooperation between Baghdad and the Kurdistan Region to implement these reforms effectively, signaling progress in Iraq’s financial modernization despite political deadlock.
📉 MNT GOAT Analysis: Is Maliki Blocking Iraq’s Future?
MNT GOAT continues to highlight that the stalemate is largely tied to Maliki’s nomination, which has frozen the government formation process.
Key insights:
Signals suggest Maliki may be pushed toward withdrawing.
This could allow Parliament to elect a president and restart the government formation process.
Once the presidential election is certified, the largest bloc’s nominee — likely Mohammed Shia' Al Sudani — may move forward to form a new government.
The broader narrative often links this potential breakthrough to geopolitical shifts, including reduced Iranian influence and external pressure to unblock Iraq’s political future.
Why This Matters for Iraq
Political Deadlock: Prevents decision-making and delays reform initiatives.
Economic Risk: Stalled government formation can impact budgets, currency stability, and foreign investment.
Banking Reform: Positive signals from the CBI and Kurdistan cooperation show that financial modernization continues even amid political uncertainty.
Q&A Section (SEO Optimized for Featured Snippets)
❓ What is causing Iraq’s political deadlock?
The nomination of Nouri al-Maliki for prime minister has divided the Shiite Coordination Framework and blocked presidential election and government formation.
❓ What are the possible paths to resolve the deadlock?
Maliki withdraws in favor of a compromise candidate.
Proceed with Maliki despite opposition.
Extend the caretaker government while talks continue.
❓ How is the banking system improving despite political issues?
Masrour Barzani praised the CBI under Ali Al-Alaq for digital finance expansion, reduced cash reliance, and greater transparency.
❓ What could happen after a Maliki withdrawal?
Parliament could elect a president, allowing the largest bloc’s nominee (likely Mohammed Shia al-Sudani) to form a government, potentially stabilizing political and economic conditions.
Featured Snippet Summary
Iraq remains deadlocked over Nouri al-Maliki’s nomination.
Three exit strategies are being considered to resolve the standoff.
Masrour Barzani praised CBI Governor Ali Al-Alaq for banking modernization.
MNT GOAT suggests Maliki may withdraw, clearing the way for government formation.
Progress in digital finance and transparency continues despite political paralysis.
Stay Informed on Iraq Dinar & Political Developments
🧨 IRAQ’S MALIKI STANDOFF: THREE EXITS, NO EASY WAY OUT
Iraq remains stuck in a deep political deadlock over whether former PM Nouri al‑Maliki returns to power, blocking key decisions like electing a president.
Maliki’s nomination has sharpened divisions inside the ruling Shiite Coordination Framework and put Iraq in a standoff with Washington, which has warned it may withdraw support if he returns.
Three possible paths out are discussed:
Persuading Maliki to withdraw for a compromise figure.
Pushing ahead with him despite opposition (unlikely to get enough votes).
Extending the caretaker government while talks continue.
The longer this continues, the more Iraq’s political paralysis deepens, with real diplomatic and economic risks if unresolved.
💬 MASROUR BARZANI PRAISES AL‑ALAQ’S MEASURES TO IMPROVE THE BANKING SYSTEM IN IRAQ
While I didn’t find the exact blog text online, related reporting shows the general theme:
Masrour Barzani, Prime Minister of the Kurdistan Regional Government, publicly praised the efforts of Ali Mohsen Al‑Alaq, Governor of the Central Bank of Iraq, to reform and modernize Iraq’s banking system.
Discussions focused on expanding digital finance, reducing reliance on cash, and boosting transparency and economic efficiency.
Barzani reaffirmed commitment to digital payment systems and financial reform, welcoming the Central Bank’s role in strengthening the sector and restoring public trust.
They emphasized cooperation between the Kurdistan Region and Baghdad to implement these reforms effectively.
📉 MNT GOAT: Is Nouri al‑Maliki’s Return Blocking Iraq’s Future?
This aligns with a recurring MNT GOAT theme from similar posts on that blog:
Iraq’s political stalemate is being blamed on Nouri al‑Maliki’s nomination, which has frozen the government‑formation process.
According to MNT GOAT analyses, recent signals suggest Maliki is being pushed toward withdrawing his nomination, clearing the way for Parliament to elect a president and restart governance.
Once the presidential election is certified, the largest bloc’s nominee (likely Mohammed Shia al‑Sudani) may move forward to form a government.
The narrative often links this political breakthrough to broader geopolitical shifts, including reduced Iranian influence and pressure from external actors to unblock Iraq’s political future.
IRAQ HAS ‘HUGE PLAN’ TO TRANSFORM BANKING SECTOR, SAYS CBI GOVERNOR
Ali al-Alaq told The New Region that citizens must not “rush to the market” amid a rise in unofficial dollar prices, insisting that the Central Bank is maintaining foreign reserves “at a very good level.”
ERBIL, Kurdistan Region of Iraq – Central Bank of Iraq (CBI) Governor Ali al-Alaq told The New Region on Wednesday that Baghdad has a “huge plan” to change the banking sector in the next few years, reassuring the Iraqi population that the value of the Iraqi dinar compared to the US dollar is under control.
Alaq urged the Iraqi people to “calm down” and not to “rush to the market,” amid a recent soaring rise in unofficial dollar prices, going from around 1,420 dinars per $1 in the black market to 1,570, before settling around 1,500. In comparison, the CBI has set the value at 1,300 dinars per $1.
The fluctuations have created uncertainty and unrest in the Iraqi market, with several videos circulating on social media showing people rushing to currency exchange centers across the country. In response to a question by The New Region regarding a potential problem with the Iraqi dinar’s value, Alaq asserted, “not at all.”
“We have foreign reserves at a very good level,” Alaq said, reassuring that “we are not in a position that we cannot respond to these demands on the American dollars” as Baghdad has purchased large quantities of gold.
The interview came during the launch event of the Kurdistan Regional Government’s (KRG) e-Psule initiative, a platform that will allow users to pay their utility bills electronically through several wallets and banks that have participated in the program.
“It won’t change everything, but it will change something for sure.”
“Especially, like, when you offer new tools for people, new technology, easy to use and you will save money, you will save time, … I think you will attract more and more people,” the CBI governor said, lauding Kurdistan Region Prime Minister Masrour Barzani’s “vision” and “will” toward a cashless economy for the Region.
Speaking to Iraq’s broader strides toward a better banking sector, Alaq said that Baghdad and Erbil are in “close coordination,” adding that “the plan we have, really, it’s a huge plan. It will change the whole sector.”
“We expect that in two or three years we will see a totally different sector,” he stressed. “I think one of the biggest plans within the country in general. So, we are very optimistic about the plan.”
In late September, CBI announced a plan to end cash payments in government institutions by July 2026, as part of a nationwide shift to electronic payments.
“Iraq will completely eliminate cash transactions in state institutions and other facilities by July of next year,” Dhurgham Musa, director of supervision over non-banking financial institutions at CBI, told the state newspaper in September.
The plan is being carried out under the direct supervision of Prime Minister Mohammed Shia’ al-Sudani and other government ministries, according to Musa, adding that trillions of dinars have already been paid electronically and the interior ministry has completely halted the use of cash.
In the recent article titled “IRAQ’S MALIKI STANDOFF: THREE EXITS, NO EASY WAY OUT” 
In article titled “IRAQ HAS ‘HUGE PLAN’ TO TRANSFORM BANKING SECTOR, SAYS CBI GOVERNOR” we read that 