What exactly is the Central Bank of Iraq (CBI) waiting for?
This is no longer speculation. The evidence has been building steadily for months, and the situation has now escalated into a public cash crisis.
Let’s connect the dots.
Citizens Don’t Trust Banks… But That’s Not the Whole Story
In the November 4th Newsletter, an article titled “FINANCIAL EXPERT: PEOPLE DO NOT TRUST BANKS AND ARE STORING THEIR MONEY AT HOME” highlighted a growing problem: massive amounts of cash being stashed inside citizens’ homes.
At the time, mistrust in banks was cited as the primary reason.
But today, we know that explanation is only part of the truth.
The December 1st Currency Mechanism That Never Launched
November 20th Newsletter, which referenced the article: “IRAQ IS SET TO IMPLEMENT A NEW CURRENCY MECHANISM ON DECEMBER 1, 2025.”
That mechanism was not implemented.
Why?
National elections
Security instability
Ongoing issues with Iranian-backed militias
Financial systems not fully aligned
Once this mechanism is activated, there is no turning back.
According to a direct CBI contact, this implementation has now been moved to January 1, 2026 — a logical delay given the magnitude of the change.
The Cash Problem: Officially Acknowledged by the CBI
In the December 2nd Newsletter, another critical article appeared: “THE CENTRAL BANK WANTS TO SOLVE THE CASH PROBLEM.”
Key admissions by the CBI:
Certain denominations are not accepted by banks
Notes under 10,000 IQD are frequently rejected
250, 500, and 1,000 dinar notes are least traded
Damaged and worn bills are accumulating among citizens
Approximately 15 trillion dinars are withheld in homes
Banks and dealers were instructed to:
Accept all denominations
Accept torn or damaged bills
Stop discounting damaged notes
Yet… the problem persists.
Today’s Reality: This Is Now a Public Crisis
A recent article confirms escalation: “THE WORN-OUT CURRENCY IS A PROBLEM THAT IS WORSENING WITHOUT SOLUTIONS.”
Citizens are openly complaining.
“No one will take it from me,” said Zainab al-Khafaji, holding a torn 5,000 dinar note. “I don’t know who gave it to me… everyone refused it.”
This is no longer isolated.
This is systemic failure.
Why This Matters: 80% of Cash Is Out of Circulation
Estimates suggest that nearly 80% of Iraq’s physical currency is sitting:
In homes
In drawers
In bags
Completely outside the banking system
This has consequences:
Banks lack liquidity for loans
Cash flow stalls
Inflation appears artificially low
Commerce slows at street level
In short: 👉 Money exists, but it’s frozen.
Why Citizens Are Hoarding Cash (The Real Reason)
It’s not just mistrust.
It’s because:
Notes are damaged
Merchants refuse them
Banks historically rejected them
Citizens have nowhere to exchange them
So they do the only thing left: stash it at home.
The Only Viable Solution: What Must Happen Next
The evidence points to urgent, unavoidable action.
The CBI has only a few viable options — and they must happen very soon:
1️⃣ Implement the Project to Delete the Zeros
Introduce modernized, durable notes
Restore confidence in physical currency
2️⃣ Retrieve the Hoarded Cash
Pull damaged three-zero notes back into banks
Absorb trillions sitting idle in homes
3️⃣ Roll Out Smaller Denominations
Enable daily transactions
Support post-revaluation pricing
Fix the change problem at street level
4️⃣ Launch the Digital Dinar
Introduced alongside, not instead of, cash
Gradual transition
Cash remains for years
The Inflation Balancing Act
According to CBI contacts, this process requires extreme precision.
When large three-zero notes are withdrawn:
Monetary mass must be reduced
Target balance: ~1/3 of current supply
Inflation must remain low
This is not improvisation. This plan is fully designed and awaiting execution.
More Proof from the Streets
Another citizen complaint from the same article:
“I suffer from this problem every day,” said Omar Sami, a vegetable seller. “Customers get angry when I refuse worn currency… ‘What am I supposed to do with it?’”
This is what currency dysfunction looks like.
Featured Snippet: Why Are Smaller Denominations Critical?
Why does Iraq need smaller denominations now? Because worn-out large notes are being rejected, cash is hoarded at home, daily commerce is disrupted, and only a currency reform with modern lower denominations can restore circulation and confidence.
Why the CBI Cannot Delay Much Longer
The CBI has stated it will not issue replacement notes under the current system.
That makes one thing clear:
👉 The currency swap-out is no longer optional. 👉 The urgency is real. 👉 This situation cannot persist into 2026 without consequences.
This feels less like preparation… and more like imminence.
Q&A Section
Is this cash problem real or exaggerated?
It is real, widespread, and now publicly acknowledged.
Are smaller denominations required before an RV?
Yes. Daily commerce cannot function post-RV without them.
Is this tied to the digital dinar?
Yes. Both are designed to roll out together.
Does this mean the RV is close?
It means the mechanics required for an RV are being forced into action.
Final Question for Readers
Having read the current RV Status, the cash crisis, and the CBI’s limited options…
NOW IN CRISIS MODE: ARE THE SMALLER DENOMINATIONS COMING?
What is the CBI waiting for?
Do you remember the article in my 11/4 Newsletter? It was titled “FINANCIAL EXPERT: PEOPLE DO NOT TRUST BANKS AND ARE STORING THEIR MONEY AT HOME.” We must tie in these articles to other articles from the recent past on this subject matter of stashed of currency in the homes. But is the ‘mistrust’ in the banking system the real cause of these stashes now at this time, or just part of issue? Let’s explore this today.
Then let’s tie this article to the article in my 11/20 Newsletter titled “IRAQ IS SET TO IMPLEMENT A NEW CURRENCY MECHANISM ON DECEMBER 1, 2025” . Do you remember it? Let’s take another look at now that we know much more since. But it did not get implemented on Dec 1st and so why? Could it be the elections and the issue with the Iranian militias? Remember once they implement this new currency mechanism there is no turning back. Everything must be in place for the financial entities to support it. My CBI contact has told me yesterday this date is now moved out until January 1, 2026. We should all understand why.
Here is the article again:
Also in my 12/2 Newsletter remember this article titled “THE CENTRAL BANK WANTS TO SOLVE THE CASH PROBLEM”? Central Bank of Iraq told us some types of currency, even less than 10,000 dinars, are not accepted from some banks, so the currency has accumulated among citizens. To solve this problem in the Central bank issued guidelines to private banks and currency dealers. The Central Bank of Iraq (CBI) has issued new guidelines and these institutions must deal with all types of Iraqi dinars, even worn out or damaged ones. Also the 250, 500 and 1000 Iraqi dinars are the least traded in the market, banks and currency dealers’ markets, and in some places are not accepted, so the small amount of money has accumulated among citizens. Today we also learn another reason why these notes are accumulating in their homes. It is because they are damaged and no one wants take the damaged notes.
The Central Bank of Iraq (CBI) had earlier said it had a shortage of cash, one of the reasons being the deterioration of the balance between the currencies, so they issued new guidelines and must deal with all types of Iraqi dinars. We were told about 15 trillion dinars are withheld by citizens. Economist Haider Sheikh said the central bank wants to solve the cash problem and eliminate the excuse of currency in transactions, so government offices and private banks have instructed to receive all kinds of money, because the money paid for salaries will not be in the market.
Previously, currency dealers and even some private banks accepted bills against the dollar at less than their value, but according to the new guidelines, bills will be accepted at the same value even if they are torn or old.
Okay, let’s keep going on this topic and tie in some more recent articles from the news this period of news.
In the following most recent article in today’s news, it becomes apparent that something is going to happen shortly to fix this issue or there is going to be more serious implications. Yes, it is now a crisis for the public. It is titled “THE WORN-OUT CURRENCY IS A PROBLEM THAT IS WORSENING WITHOUT SOLUTIONS.” We have read many articles about the stashes of cash in citizens homes and how this cash is needed in the banks for loans. This cash is nearly 80% of the currency mass in circulation. This could also be why Iraq is holding steady on inflation being so low, this cash is basically withdrawn from circulation. In this article we hear of complaints about the situation and I quote from it –
“No one will take it from me,” Zainab al-Khafaji (an employee) kept repeating as she wandered among the shops near Sayed al-Halib in the Mansour district, before we asked her: “What is it that no one will take from you?” She replied: “Five thousand dinars torn up and glued back together.” She added: “I don’t know who gave it to me when I was shopping, and I tried to buy something with it again, but everyone refused it.”
Do you see that this is a crisis situation now? Why else would there be so many articles on this subject matter in the few months if not a crisis? Did you read just a few of the complaints?
Okay, so if no one will take these worn-out notes then what do the citizens do with them? They stash them at home and soon they pile up, as they have done. It is obvious that newer modernized polymer notes are in order and will not wear out so much. But is this the direction the CBI is really going in the first place? Is the goal not to go digital? But remember too that the CBI told us that cash is not going completely away for many years after this move to digital. Oh…. but there are solutions! The citizens must feel comfortable in any change and this must be handled carefully. I see a few things that are going to happen in the VERY near future and have to happen VERY SOON:
Suck in these damaged notes stashes from the homes back into the banks.
Implement the digital dinar, said to occur at the same time as the newer lower denomination roll outs.
In doing these monetary operations my CBI contact told me there must be a balance necessary to keep inflation low. In other words, I was told that when they suck in the larger three zero notes, especially the damaged ones, they must balance them out so as to keep the monetary mass as 1/3 of what it is today. This is going to be tricky and will take much planning. This is however all planned out and just waiting for execution of the plan.
Here is yet another complaint from the article and I quote –
“Omar Sami (a vegetable seller) says: “I suffer from this problem every day, whether when taking money from customers or returning the change to them.He added that many shoppers get angry when he refuses to take or return worn currency, and the most common phrase is: “What am I going to do with it?” or “It’s not working, exchange it.”
These worn-out notes are becoming a crisis because the CBI has told us they are not going to issue newer notes and we all know why. This makes the urgency of the currency swap out imperative that it happen VERY SOON. I can even imminent.
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Having read my RV Status for this period when do you think the RV will happen?
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Their words not mine…..No Rumors, No Hype, No Opinions ,,,,,
THE FINANCIAL PAIN HAS REACHED ITS PEAK, AND IMPLEMENTING REFORMS NOW IS MERELY A PUBLICITY STUNT FOR THE SUDANESE – EXPERT
Following the Economic Council’s decision on Monday to reduce government spending and maximize revenues, during a meeting chaired by Prime Minister Mohammed Shia al-Sudani, economist Ziad al-Hashemi said that the caretaker government’s presentation of a financial reform plan at the last minute aims to whitewash its reputation in its final days.
He hopes this announcement will encourage political parties to reappoint al-Sudani for a second term and give him the opportunity to implement this plan.
Al-Hashemi expressed surprise at what is happening in Iraq, noting that governments around the world present their financial plans at the beginning of their formation to address financial errors, improve the quality of spending, maximize returns, and formulate their financial policies in a systematic and disciplined manner.
He emphasized that the financial pain has reached the core of the government, and only harsh and painful measures that harm the citizen above all others will suffice.
(After the axe has fallen) The Iraqi government is playing for time and trying to score last points in its favor, and is proposing a financial reform plan to reduce spending and increase revenues!
Governments around the world, at the beginning of their formation, present their financial plan to address financial errors, improve the quality of spending, maximize returns, and formulate their financial policy in a systematic and disciplined manner, but what is happening in Iraq is something else entirely!
For the past four years, the Iraqi government’s program has been based on expanding spending through a highly politicized budget, which has inflated salaries and subsidies, piled up government employees beyond the needs and capacity of state institutions, magnified the financial deficit and accumulated debts, and allowed corruption to operate freely!
All of this happened at a time when Iraq’s financial revenues from oil sales and other sources were decreasing, yet that government paid no attention to either internal warnings or international reports, all of which were sounding the alarm in the face of that government and warning it of the dangers of inflated spending in light of deteriorating revenue, but there was no response!
After the opportunities for reform were lost and the financial problem grew dangerously during the past years, the government now appears at the end of its lifespan with a financial reform plan after the financial pain reached the government’s core and nothing but harsh and painful treatments that harm the citizen before anyone else will work for it!
It is unclear how the caretaker government will implement its financial plan, as it is a government stripped of powers and does not have enough time to implement all those major reform measures. Who will implement, who will commit, and who will set the timelines for implementation, and we are on the verge of forming a new government!
It is highly likely that this government wants to whitewash its reputation in its final days by announcing the financial reform plan, perhaps as a way to encourage political parties to reappoint the current Prime Minister and give him the opportunity to implement his reform plan!
But in any case, the next government, whether the current prime minister is reappointed or someone else is appointed, will face a difficult financial test that will force it to implement more harsh and painful measures, in which financial austerity may be the order of the day for the next four years!
STATUS OF THE RV: Keep the Champagne Cold… For Now
If I were you, I would keep the champagne in the fridge 🍾. The show is not over until the fat lady sings… and yes, she hasn’t stepped on stage yet.
We are now in mid-December, and while the Central Bank of Iraq (CBI)could still move forward with removing the zeros in preparation for a January release, timing remains flexible. Remember:
It does not have to happen on January 1st
January has 31 days
Plans can shift:
Zeros removed early January
Public release late January
There are multiple paths, not a single fixed date.
Early 2026 vs. Early 2025: What the Evidence Suggests
Contrary to emotional hype, there is more evidence than not pointing toward early 2026 as the window for fully normalizing the dinar and returning it to FOREX trading.
This does not mean inactivity in 2025. On the contrary:
2025 appears to be the final execution year
Structural reforms, budgets, salaries, customs, and reserves are being finalized
The foundation must be unshakable before a global-facing currency event
Political Noise vs. Reality on the Ground
Much of today’s Iraqi news revolves around:
Elections
Government seating
Competing political opinions
Be cautious.
Many economists and former parliament members offering commentary:
Live insulated lives of privilege
Are disconnected from everyday Iraqi citizens
Have historically benefited from corruption and bribery
Serve elite interests rather than constitutional reform
This disconnect has been one of Iraq’s longest-running problems.
Corruption Exposure: Iraq & the United States in Parallel
We are witnessing a firestorm of corruption exposure, not only in Iraq but also in the United States.
This exposure is necessary.
Under a Trump-led U.S. administration:
Cooperation with Iraq increases
Economic sovereignty becomes the goal
U.S. companies gain opportunity while Iraq advances
This is part of a global financial reset — but not the globalist version.
🚫 Not control 🚫 Not surveillance 🚫 Not digital enslavement
✅ Freedom ✅ Individual wealth ✅ Prosperity and abundance
If an RV occurs, it will be under leadership aligned with sovereignty, not globalism.
Political Theater: Who Really Matters?
Recent article: “AL-ABADI RETURNS AGAIN… AL-MALIKI CONCEDED THE PREMIERSHIP TO US”
Behind the scenes:
Al-Sudani seeks a second term
Al-Maliki does not want the position
Support is floated for Haider al-Abadi
Reality check:
Al-Maliki’s coalition performed poorly
His influence is exaggerated
Iraq does not move forward under figures tied to the past
For investors and reform-watchers, Al-Sudani remains the key figure. There is no other leader currently positioned to continue Iraq’s reform trajectory.
A New Financial Plan: Not a Stunt — A Signal
Article: “THE FINANCIAL PAIN HAS REACHED ITS PEAK…”
Some critics label Al-Sudani’s reforms as “publicity stunts.” That assessment ignores reality.
This is the exact timing when leaders:
Outline next-term economic strategy
Signal seriousness to parliament
Build momentum for continuity
Like Trump, Al-Sudani has a record of delivering.
Cabinet Approval: Reforms Are Already Moving
Another article confirms: “THE CABINET APPROVES REDUCING EXPENDITURES AND MAXIMIZING REVENUES”
Actions include:
Equalizing salaries
Cutting unnecessary spending
Exposing corrupt allocations
Ending elite privileges
This isn’t theory. This is execution.
A New Financial Roadmap for Iraq
Article: “A NEW FINANCIAL ROADMAP FOR IRAQ”
Key highlights:
Reforming salary structures
Eliminating senior privilege abuse
Enforcing financial justice
Protecting social stability
Ensuring long-term budget sustainability
This article is long, detailed, and critical. It confirms Iraq is moving from:
crisis management → sustainable development planning
Sound familiar? It should.
Featured Snippet: What’s Really Happening?
Is Iraq undergoing a financial reset? Yes. Iraq is actively restructuring salaries, cutting elite privileges, modernizing revenue streams, protecting reserves, and aligning government, CBI, and parliament toward long-term economic stability.
Diversification: The End of Oil Dependency
The CBI openly acknowledged:
Oil price fluctuations impact reserves
Liquidity withdrawals affect markets
Over-reliance on oil is unsustainable
This is why Iraq is pushing:
Development Road Project
Customs & tariffs
Logistics corridors
Private sector growth
These systems will eventually rival oil revenues.
CBI & Monetary Policy: Institutions in Tandem
Article: “MONETARY POLICY INDICATORS CONFIRM THE CENTRAL BANK WILL BE FIRST IN 2025”
This confirms:
CBI independence
Institutional cooperation
Monetary stability as priority
Citizens as the end beneficiaries
True growth happens when money circulates, not when corruption traps it at the top.
Liquidity, Reserves & the 2026 Budget
Article: “THERE IS NO LIQUIDITY CRISIS”
Facts:
Iraq holds ~$115 billion in reserves
Spending discipline is intentional
Budget planning is medium-term and strategic
Key takeaway:
The challenge is not how much is spent, but how well it is spent.
That statement alone separates responsible governance from reckless systems.
Q&A Section
Is Iraq facing a real financial crisis?
No. Iraq is managing reserves responsibly amid fluctuating oil prices.
Does this delay the RV?
No. It strengthens the foundation required for a sustainable RV.
Why talk about 2026 so much?
Because normalization, FOREX trading, and long-term stability require completed systems — not shortcuts.
Is this part of a global reset?
Yes, but one focused on sovereignty and prosperity, not control.
If I were you, I would keep the champagne in the frig. The show is not over until the fat lady at the circus sings….. lol.. lol..
It is mid-December and the CBI may still go ahead with removing the zeros in time for a January release or in January. Oh… but remember it does not have to happen exactly on January 1st as there are thirty-one days in the month. They could also change the plan and remove the zeros in early January and release in late January. There are options.
There is much more evidence than not that everything is pointing to early 2026 for them to normalize the dinar and place it back on FOREX to trade. Today we put together yet more evidence.
The news today is also about the election and the progress of getting the new government seated. Again, there is some propaganda as many of the economists and former parliament members give their ‘opinion’ on the situation in Iraq. Remember that these people are isolated from reality as they live in luxury in Iraq and do not often go out to the streets to see how the citizens actually live. They feel privileged. They are paid off and take bribes to do the dirty work of the elite globalist.
They are not patriotic or constitutionalists even though they pretend a lot. Their pockets are full of slush fund money. Yes, their overall attitude has been part of the problem all along with politicians just living in luxury off the system, surviving in their own sewers of reality and really do not care much about the people in their districts they are supposed to represent.
So, there is a firestorm of political corruption being exposed in the U.S. and in Iraq. Remember that this corruption had to be exposed so that under the Trump administration they finally could work closely with Iraq and move that country forward in the meantime U.S. companies getting a piece of the pie. Remember also this is all part of the reset in the financial system of the world. NO! This is not the globalist idea of their sinister reset, as theirs means more control over you through your money. This coming reset is about freedom, individual weatlh with prosperity and abundance for everyone. There will be prosperity for both the U.S. and Iraq. If you notice how Trump is working his deals, he mostly wants both parties to succeed. If we are going to get this RV is will be under the Trump administration.
In the news today we find the article titled “AL-ABADI RETURNS AGAIN… HIS BLOC: AL-MALIKI CONCEDED THE PREMIERSHIP TO US – BEHIND THE SCENES OF THE FRAMEWORK MEETING”. The Coordination Framework meeting discussed extensively the issue of deciding on a candidate for the position of the next Prime Minister.
The spokesman for the Victory Coalition, Salam al-Zubaidi, revealed on Tuesday the details of yesterday’s coordination framework meeting, indicating that al-Sudani is still clinging to the second term, but al-Maliki has no desire to assume the position of Prime Minister, and he supports the nomination of Haider al-Abadi for the position. I have to say who the hell cares what al-Maliki wants. His coalition got the least votes of all the large coalitions.
I don’t know why the news even pumps what this idiot al-Maliki thinks. As far as I am concerned this ‘peanut-head’ should be locked up. He is a swamp rat. I still firmly believe that al-Sudani will get a second term, and we just have to go through the motions. For our investment this of course is who we want in power. I do not believe there is any other leader in Iraq that can do the job that al-Sudani has done for Iraq so far and will continue his progress. This means RV…
A NEW FINANCIAL PLAN INITIATIVE
So here we go some positive news for al-Sudani. The article is titled “THE FINANCIAL PAIN HAS REACHED ITS PEAK, AND IMPLEMENTING REFORMS NOW IS MERELY A PUBLICITY STUNT FOR THE SUDANESE – EXPERT”.
I wouldn’t exactly call it a “publicity stunt” as it does have merit and al-Sudani usually delivers on his promises. Remember this is typical to announce your plans for the next term of office at this time and so the author is being a bit harsh in the title.
Following the Economic Council’s decision on Monday to reduce government spending and maximize revenues, during a meeting chaired by Prime Minister Mohammed Shia al-Sudani, economist Ziad al-Hashemi said that the caretaker government’s presentation of a financial reform plan at the last minute aims to whitewash its reputation in its final days. He hopes this announcement will encourage political parties to reappoint al-Sudani for a second term and give him the opportunity to implement this plan.
Like president Trump, al-Sudani also makes good on his promises once elected. So this plan is see as the Iraqi government playing for time and trying to score last points in its favor with it’s proposing a financial reform plan to reduce spending and increase revenues!
Then we can already see movement on this new financial reform plan of al-Sudani in the recent article titled “THE CABINET APPROVES {REDUCING EXPENDITURES AND MAXIMIZING REVENUES}”.You can read about more details on his new plan that I mentioned in the last paragraph above. Oh… al-Sudani is not even elected and yet he is still working tirelessly to help the Iraqi people. Does this guy remind you of Trump or what? Yes, he is equalizing salaries, cutting unnecessary expenditures and exposing corruption spending.
Sound familiar? His Cabinet yesterday approved the recommendations issued by the Ministerial Council for the Economy regarding reducing expenditures and maximizing revenues, as part of the al-Sudani’s new economic and financial reform program.
Then also in another recent article titled “A NEW FINANCIAL ROADMAP FOR IRAQ: THE SUDANESE GOVERNMENT BEGINS REFORMING SALARIES AND BENEFITS.”
We read about the movement of al-Sudani’s new financial reform plan described as bold and unprecedented, the government of Prime Minister Mohammed Shia al-Sudani is moving towards redrawing the financial map of Iraq by opening one of the most sensitive and complex files: the file of salaries and senior privileges in the state. Oh boy does this sound familiar.
This could be headlines in the news in America under president Trump.
In the article it says and I quote “the government is putting forward a reform vision aimed at streamlining spending and controlling operational expenses, with a focus on ending special privileges for presidencies and senior ranks, in an attempt to achieve financial justice, protect social stability, and ensure the sustainability of the general budget”
This article is VERY LONG but I encourage everyone to read it and absorb it. This new financial plan to cut expenditure and clean up this government is going to be the topic for a long time in al-Sudani’s next term.
Hey something is going on here…. Did you figure it out yet? Could this all be part of the ‘reset’ in action.
DIVERSIFY, DIVERSIFY, DIVERSIFY
In this next article I am not going to dwell on this issue of diversification. We all should be aware of the need for Iraq to generate many more sources of income to support the economy besides oil revenues (petro-dollar). “THE CENTRAL BANK OF IRAQ ACKNOWLEDGES THE CRISIS: OIL PRICES AND LIQUIDITY WITHDRAWALS HAVE AFFECTED “CASH RESERVES”.The Central Bank of Iraq confirmed on Wednesday that the decline in oil prices and the withdrawal of liquidity from the markets are two factors that negatively affect Iraq’s hard currency reserves. We all should know that
“Iraq’s reserves are closely linked to the size of oil revenues, which makes them vulnerable to fluctuations in global oil prices. Also, the monetary sterilization carried out by the Central Bank to withdraw liquidity from the market has a negative impact, due to the need to utilize foreign reserves.” How many more of these oil cycles does Iraq have to deal with before their measures take effect and begin producing real revenues as “oil prices fell from $81 for the second quarter of 2024 to $69 for the same quarter of 2025, and consequently reserves decreased from 142.69 trillion dinars to 126.16 trillion dinars for the same period.”
Yes, it is just a matter of time before these measures put in place like the Development Road Project, Customs and Tariffs and other projects begin working together and in harmony to generate the jobs and revenues rivaling the oil revenues. Remember too that the oil revenues are doubling. Sorry but I have to compare this Iraq future progress to what is happening in the U.S. too, as the Trump administration is working hard to put in place tariffs and reign in financial corruption that will soon pay off big too. He is reforming the U.S. financial system and years from now it too will look entirely different. Don’t forget also that like al-Sudani with the Iranian threat, Trump is also slowly reforming the “political system” in the U.S. from the swamp rats. The same old is not going to be the same old anymore….
Next I wanted to present this recent article in that it is good that the author Samir Al-Nassiri is also recognizes and is giving credit for the past four year reform progress in Iraq to the CBI in the article titled “MONETARY POLICY INDICATORS CONFIRM THE CENTRAL BANK WILL BE FIRST IN 2025”. Remember that the GOI does not work alone and needs the continued support of the Central Bank just as the Central Bank needs the continued support of the GOI.
They must work in tandem along with the parliament to pass any needed bills to get the job done. This statement by al-Nassiri stuck me as very important in his article today and I quote – “In countries that adopt an institutionally managed economic system, each institution retains its independence and authority to manage economic affairs according to the methodology and philosophy that aims to achieve economic stability and the well-being of society.”
I especially liked what al-Nassiri had to say because true economic growth is all about serving the citizens and keeping the money flowing. With corruption the money is either taken out of the system or much of it flows to the top and stays confined. The economy thus is deprived of the capital needed for opportunities and fulfilling dreams.
Here we go yet another recent article on the same topic of monetary policy titled “SALEH’S STATEMENT: THERE IS NO LIQUIDITY CRISIS, AND THE GOVERNMENT IS PROCEEDING WITH PREPARING THE 2026 BUDGET.” Saleh is not talking about the stashes of cash kept from the banks so much as he is talking about preserving the CBI reserves. With $115 billion in reserves this is liquidity to be used for emergency situations that may crop up due to dropping oil prices once the budget is set.
The Prime Minister’s financial advisor, Mazhar Muhammad Saleh, said in a press statement that “governments usually resort to spending cuts when faced with pressures resulting from fluctuations in revenues or high current obligations, especially in rentier economies dependent on a single resource such as oil.” There are many other articles out there in the news telling the citizens there is a financial crisis. Is this really a financial crisis?
Saleh explained that “these measures come in light of fluctuating oil prices and increasing spending requirements, which necessitates discipline in managing liquidity.” In other words it should be a normal practice and not get pressured into over spending and borrowing money. You can’t just throw money at a problem and expect it to go away. Is this now what the democrats in the U.S. tend to do in a crisis instead of working to solve the root cause. Iraq does not want to follow this practice.
Regarding the preparation of the draft federal general budget law for 2026, he indicated that “the financial authority and the government have made significant progress in preparing it within the medium-term framework of fiscal policy,” expecting that “the draft will focus on achieving a balance between fiscal sustainability and development requirements.” Enough said on how they are thinking in Iraq on managing responsible spending. You can go read the rest of the article. It gives us a real good idea on how the government plans to spend money and overall manage the economy.
To me this last paragraph in the article is profound and I quote – He stressed that “the real challenge lies not in the size of the spending itself, but in its quality and efficiency, and in the ability of public finances to gradually move from the logic of crisis management to the logic of sustainable development planning.” Let’s look at how the democrats in the US tend to run the government when they are in control. Is it not all just crisis management, yet one crisis after another and let’s just throw money at it hoping it will solve it. Is this responsible spending? Is this responsible governance? I hope this is sinking in today?
AL-ABADI RETURNS AGAIN… HIS BLOC: AL-MALIKI CONCEDED THE PREMIERSHIP TO US
BEHIND THE SCENES OF THE FRAMEWORK MEETING
The spokesman for the Victory Coalition, Salam al-Zubaidi, revealed on Tuesday the details of yesterday’s coordination framework meeting, indicating that al-Sudani is still clinging to the second term, but al-Maliki has no desire to assume the position of Prime Minister, and he supports the nomination of Haider al-Abadi for the position.
The Coordination Framework meeting discussed extensively the issue of deciding on a candidate for the position of the next Prime Minister.
Sudani is clinging to a second term, but Maliki has no desire to assume the position of Prime Minister and supports the nomination of Haider al-Abadi for the premiership.
The coordinating framework did not reach a final agreement on a single candidate, because the constitutional timelines gave the framework some leeway until the council convenes and its leadership and the presidency of the republic are elected, and the framework is keen not to exceed the constitutional deadlines.
The latest coordination framework statement carries political messages to Sunni leaders about the need to make their choice in the session.
Iraq Dinar RV Update: Key Developments Driving the Revaluation Narrative
As the year comes to a close, conversations around the Iraqi Dinar revaluation (RV) continue to intensify. Recent discussions highlight major banking reforms, White Paper implementation, bond processing updates, and political shifts that many believe are laying the groundwork for a significant monetary change.
While no one can claim to know exact timing, the convergence of economic reform, digitization, and sovereignty measures suggests Iraq is entering a decisive phase.
Disclaimer (MarkZ): Please consider everything on this call as my opinion. People who take notes do not catch everything, and it’s best to watch the video so that you get everything in context. Be sure to consult a professional for any financial decisions.
Bond Updates & RV Expectations
A recent bond update indicates that processing is still ongoing, with expectations remaining that completion could happen at any time, although delays of a few days are still possible. Importantly, there is no negative news—only confirmation that systems are actively moving forward.
This aligns with long-standing expectations that bond completions and currency value changes
Iraq’s Banking Reforms: The Core of the White Paper Strategy
Monetary Policy Indicators Signal Completion
Statements from Iraqi leadership confirm that:
Banking and monetary reforms spanning 2023–2025 are effectively completed
The reforms are specifically designed to lift the purchasing power of the dinar
Remaining banking adjustments are expected to conclude
within this month
This supports the narrative that Iraq is no longer “planning reforms”—they are executing the final stages.
Digital Transformation: Ports, Customs & Currency Control
Iraq is rapidly modernizing its infrastructure:
Digital customs systems to track goods and improve tax collection
Sonar and networking technologies at ports
Full tracking of boats, trucks, planes, and trains
Reduction of black-market dollar leakage
These measures are essential for currency stability and international trust, both prerequisites for any meaningful RV.
Is Iraq Implementing a QFS-Style System?
Many observers note similarities between Iraq’s reforms and what’s often referred to as QFS-style financial architecture, including:
Real-time tracking of funds
Transparent customs processing
Digitized banking oversight
Reduced corruption through automation
Whether labeled QFS or not, the outcome is the same: a controlled, transparent financial ecosystem.
HCL Law, Sovereignty & Political Signals
The discussion surrounding the Hydrocarbon Law (HCL) remains critical. Many believe:
The HCL must be implemented with an accurate rate in place
Parliamentary action before year-end strongly suggests immediate economic intent
Statements from Prime Minister Sudani reinforce urgency—not delays until 2026
Additionally, Iraq is actively:
Reducing Iranian influence
Strengthening ties with Gulf nations
Preparing to export electricity in the future
All signs point toward economic independence and stability.
RV Timing: January 2025 or Earlier?
While January 2nd is often mentioned as a logical starting point for monetary changes, no one can confirm exact timing.
However:
New fiscal years historically align with currency adjustments
Banking reforms are reportedly completing now
Political and infrastructure readiness is accelerating
Many hoped for a “Christmas RV,” but logic suggests the start of a new year remains a strong window.
Featured Snippet: Quick Summary
Is Iraq preparing for a Dinar revaluation? Yes. Iraq has completed major banking reforms, digitized customs and ports, strengthened monetary policy from 2023–2025, reduced foreign influence, and modernized its financial system—all key prerequisites for a currency value adjustment.
Q&A Section
Will the Vietnamese Dong RV happen at the same time as the Dinar?
Most believe they will move together, although exact coordination remains unconfirmed.
Does Iraq need a new rate before passing the HCL?
Many experts believe so, as revenue calculations depend on an accurate currency valuation.
Is Forex showing the dinar at $4.81 real?
Unverified rates appear periodically and should not be considered official until confirmed by central banks.
Is RV guaranteed?
No financial event is guaranteed. All information discussed is opinion-based and speculative.
Mindset Matters During the Waiting Period
Community discussions remind us:
Patience is essential
Humor helps during uncertainty
Positive attitude doesn’t change reality—but it helps us navigate it
As one member joked:
“The RV is happening at continental drift speed.”
Final Thoughts
Iraq’s progress is no longer theoretical. Digital infrastructure, banking transparency, sovereign control, and completed monetary reforms all suggest the country is positioning itself for a historic shift.
Whether the RV happens tomorrow or months from now, the foundation appears stronger than ever.
