The closure of Iraqi airspace will not impact Iraq dollar transfers, according to the country’s Finance Committee in parliament. Despite growing tensions in the region, Iraqi officials remain confident that oil revenues will keep flowing into the country through existing financial systems.
Committee member Moein Al-Kadhimi offered details about the process. He explained that Iraq’s oil export earnings go first to an account at the US Federal Reserve. Afterward, the Central Bank of Iraq uses this money to pay for imports by sending it to countries that supply goods to both the public and private sectors.
Al-Kadhimi stressed that the movement of funds does not depend on physical travel or flights. “Iraq dollar transfers occur through electronic remittance, not cash on planes,” he clarified. Therefore, the ongoing suspension of air traffic has no direct effect on the financial system.
In addition, Al-Kadhimi pointed out that $1 to $2 billion in physical cash still enters Iraq regularly. These shipments continue to support liquidity inside the country. As a result, daily transactions and cash demands remain stable for the population.
Moreover, the government has taken steps to ensure that employee salaries will not face delays. “There is no risk to monthly payments,” Al-Kadhimi said. “Cash flow is steady, and salaries will arrive on time.”
This statement came shortly after the Iraqi Civil Aviation Authority extended the nationwide closure of airspace. The move followed a sharp rise in military conflict between Israel and Iran. For safety reasons, both inbound and outbound flights were grounded across the country.
However, government sources want to reassure citizens. Even though planes cannot fly in or out, digital infrastructure still allows Iraq dollar transfers to proceed without disruption. Officials believe that the current setup is resilient enough to withstand temporary closures or delays in air travel.
Furthermore, Iraq’s central banking system has diversified its methods of money delivery. Instead of relying on one path, the government now uses several countries and channels to import necessary goods and send out payments. This flexibility reduces dependence on any single route.
In summary, Iraq continues to receive oil payments and conduct Iraq dollar transfers normally. Despite the closure of airspace, financial activities stay on course without interruptions.