DINAR REVALUATION

Tuesday, June 17, 2025

Banking expert: The success of the economy requires national cooperation between the government and the Central Bank.

Banking expert: The success of the economy requires national cooperation between the government and the Central Bank.

Banking expert Dr. Nabil Al-Abadi emphasized that "Iraq's economic future begins with reforming its financial system, and this represents the most important step toward building a modern, diversified, and stable Iraqi economy."

Al-Abadi said in a statement seen by Al-Masry on Tuesday, "Economic success requires national cooperation between the government, the Central Bank, banks, the private sector, and the international community."

He explained that "success in this path will have a tremendous multiplier effect on all aspects of the Iraqi economy, as it has contributed to attracting investment, revitalizing the private sector, creating jobs, integrating the informal economy, and combating corruption."

He explained that "the overall strategic importance of this approach lies in supporting economic diversification, as Iraq's economic vision to move away from oil cannot be implemented without a strong banking system that directs funding toward productive sectors—agriculture, industry, tourism, and technology—and contributes to attracting foreign direct investment. link

🇮🇶⚔️ How the War Between Israel and Iran Affects the Revaluation of the Iraqi Dinar

🇮🇶⚔️ How the War Between Israel and Iran Affects the Revaluation of the Iraqi Dinar

The ongoing or potential war between Israel and Iran can have indirect but serious consequences on the revaluation of the Iraqi dinar (IQD). Here’s how:

1. Regional Instability

Iraq sits in a geopolitically sensitive location, between Iran and Western-allied nations like the U.S. and Israel. A war in the region increases political and economic uncertainty, which weakens international confidence in Iraq's economic reform process.

Direct impact: Foreign investors and institutions may delay or cancel investments in Iraq.
Result: The potential for a dinar revaluation gets postponed, since currency revaluation requires a stable and credible economic environment.

2. Oil Market Disruptions

Iraq is heavily dependent on oil exports for over 90% of its revenue. A war in the region can impact Iraq in two ways:

Positive scenario: If Iranian oil exports are disrupted, global oil prices rise—benefiting Iraq financially.
Negative scenario: If Iraq’s own infrastructure is affected (e.g., through militia attacks or airstrikes), its oil output may drop, hurting its economy.

📌 In both cases, economic uncertainty increases , making it difficult to implement or plan for a currency revaluation.

3. Central Bank Strategy

The Central Bank of Iraq (CBI) needs financial stability, strong foreign reserves, and investor confidence to proceed with a dinar revaluation. In times of war or geopolitical crisis, the CBI is likely to:

Delay any planned revaluation.
Focus instead on protecting reserves and exchange rate stability.

4. Geopolitical Pressures

Iraq maintains relations with both Iran and the U.S. A conflict between these powers could:

Force Iraq to take sides, risking sanctions or domestic unrest.
Complicate its internal politics, especially with Iran-backed militias operating in the country.

Such internal and external pressure reduces the government's ability to implement economic and monetary reforms, which are essential for any credible dinar revaluation.

📉 Conclusion

The war between Israel and Iran does not directly devalue or revalue the Iraqi dinar, but it creates regional instability that delays or derails the revaluation process. For a successful revaluation, Iraq needs:

A stable government
Consistent oil revenue
Investor confidence
And a peaceful regional environment

All of these are threatened by a broader Middle East conflict.

ARIEL: Iraqi Dinar Update – Strategic Summary @DINARREVALUATION #iraqidinar #iqd #iraq

Parliamentary Finance: The government is determined to prepare the financial budget schedules.

Parliamentary Finance: The government is determined to prepare the financial budget schedules.

The Parliamentary Finance Committee confirmed on Thursday that the government is working on preparing budget schedules that are in line with the country's financial reality.

Committee member Atwan Al-Atwani said in a statement followed by Lakma News that "the committee discussed with the Prime Minister the preparation of the budget, and stressed the need for it to arrive before the end of the year to give legal status to government spending, both operational and investment."

He added, "The government is determined to prepare budget schedules in line with the current financial reality, given the increase in operating spending and the need for investment spending to finance projects. We look forward to the budget being presented to the House of Representatives in the coming days."

Al-Atwani pointed out that "the government is keen to secure salaries despite the annual financial deficit," noting that "the government is taking serious steps to provide alternatives to financing the budget other than oil to ensure additional resources." link

MNT GOAT: They are going to use Iraq as a hinge pin for a resetting of other currencies to a “level playing field”

Mnt Goat

The cash in the banks will help create liquidity to finance the economic growth, the growth they need to show a rate of their dinar above a dollar. ...

I keep telling you the value is already in the dinar...If you go back to 1990 it was over $3 and...look at all the progress since. But the standards for currency valuations have changed. Basel I-IV changed all of it.

Why isn’t it at least at $3 now?

...this is not how the IMF and the U.S. look at their economy today. Yes, today is not the past!

They are going to use Iraq as a hinge pin for a resetting of other currencies to a “level playing field”. ;This is where the new “baskets of currencies” come from.

Yes, there will be many groupings of currencies to create new pegs. These currencies will support each other. These will be major trading partners

Dinar exchange rates: after the strikes! against Iran!! #iraqidinar #iqd #iraqidinarinvestor

MP: SIX MONTHS HAVE PASSED AND THE BUDGET SCHEDULES HAVE NOT YET REACHED PARLIAMENT

MP: SIX MONTHS HAVE PASSED AND THE BUDGET SCHEDULES HAVE NOT YET REACHED PARLIAMENT

Member of Parliament Yasser Hashem expressed his surprise on Wednesday at the government’s delay in submitting detailed schedules for the 2025 general budget law to Parliament, despite six months having passed since the beginning of the year. He stressed that “there is no justification for this delay.”

Hashem told Al-Maalouma News Agency, “The 2025 budget schedules should have reached the House of Representatives earlier this year, especially after the adoption of the three-year budget to overcome annual financial complications.”

He added that “the delay in submitting the schedules reflects a flaw in the government’s performance and directly impacts the work of ministries and institutions that rely on the operating budget,” noting that “many projects and financial commitments are on hold pending the approval of these schedules.”

Hashem continued, saying, “Despite the passage of half a year, the government is still late in submitting detailed schedules without offering convincing explanations,” stressing that “the negligence lies with the executive authorities, not with Parliament, which cannot proceed without receiving the necessary data from the government.”