๐ฎ๐ถ๐ธ Iraq's Economy Hits a New Milestone: Inflation, Exchange Rate Now Stable — Says Gov’t Advisor!
Unemployment Falls, Dinar Holds Strong, and Price Stability Hits 10-Year High!
๐ฐ Source: Economy News – Baghdad
๐️ Speaker: Mazhar Mohammed Saleh – Financial Advisor to the Iraqi Prime Minister
๐ Main Highlights
๐ Inflation in Check
For the first time in Iraq’s modern history, inflation is under control, staying below 3% for three straight years. That’s within what economists call the “natural range.”
๐ Stable Exchange Rate = Stronger Dinar
The official rate of 1,320 IQD per USD has remained solid, with minimal impact from the black market. This has helped stabilize the pricing system across the country.
๐ Unemployment Drops
National unemployment dropped from 17% to 14% — a sign that Iraq’s economic reforms are creating real jobs.
๐พ Gov’t Spending That Shields Citizens
25% of Iraq’s budget now goes toward supporting citizens
This includes agriculture, food & medicine baskets, fuel & electricity subsidies, and tax exemptions
This equates to 13% of the country’s GDP — aimed directly at fighting inflation
๐ฌ Smart Trade Policy in Action
Iraq is using price defense tactics: expanding state-run stores offering consumer and construction goods at stable, cooperative prices
This has helped keep domestic inflation low
๐ฆ Unexpected Outcome: Exports Up
Because Iraq's prices are so stable, some food and consumer goods are now being exported, benefiting neighboring countries — a new development
for Iraq’s trade scene.
๐ฐ Cash Income Rises Nationwide
Saleh says the "price boom" is boosting Iraq’s real income, reflecting economic growth in the pockets of everyday Iraqis.
๐ก Why This Matters
✅ Iraq is entering a new economic phase of growth with stability
✅ Monetary & fiscal policy are aligned and working
✅ Inflation and unemployment are both down — a rare combo
✅ Iraqi dinar remains strong, maintaining purchasing power
✅ This is a foundation for bigger financial reforms, possibly including a revaluation or digital transition
๐ฃ️ “This is a remarkable development, unprecedented in the past ten years.” – Mazhar Saleh
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