Iraq is moving forward with major changes to its financial sector as officials seek to strengthen stability and modernize the country’s banking system. The Iraq banking reform program remains a key part of the government’s economic strategy and aims to improve confidence in financial institutions while supporting long-term growth.
Prime Minister Ali al-Zaidi reaffirmed the government’s commitment to banking reforms during an official ceremony in Baghdad on Sunday. His remarks came as Nizar Hussein formally assumed his role as Governor of the Central Bank of Iraq, replacing Ali Mohsen al-Alaq.
pment During the event, al-Zaidi stressed the importance of continuing reform efforts despite ongoing economic challenges. He said a stronger banking sector would help create a more stable financial environment and encourage investment across different industries.
Al-Zaidi urged financial institutions to keep pace with rapid technological changes occurring around the world. He emphasized the need to adopt international banking standards and implement policies that align with global financial practices. Officials believe these measures will help Iraq strengthen its position within the international financial community.
The prime minister also announced the appointment of former Central Bank Governor Ali Mohsen al-Alaq as an economic affairs advisor. He noted that al-Alaq’s experience would support ongoing efforts to improve economic management and advance important financial initiatives.
The Central Bank of Iraq has continued to push ahead with reforms introduced under its long-term strategy for the banking sector. Officials view these programs as essential for improving institutional performance and increasing the efficiency of banking operations throughout the country.
According to the Central Bank, Iraqi banks have continued to meet the requirements of the second stage of the reform process. this phase focuses on enhancing governance, strengthening compliance measures, and increasing transparency. Authorities believe these improvements will help build greater trust among investors and financial partners.
In addition, the Central Bank is working to finalize an agreement with an international auditing firm. However, the partnership would support banks that face restrictions in accessing global money transfer networks. Officials hope the process will help these institutions meet regulatory obligations and improve their international standing.
The auditing firm will review banks that successfully completed the first stage of the reform program. The examinations will verify compliance with international transfer regulations and assess whether institutions meet required standards. Authorities consider this step important for expanding access to global financial services.
The Iraq banking reform strategy represents a broader effort to modernize the country’s financial infrastructure. Policymakers aim to create a stronger banking environment that attracts investment, supports business activity, and improves economic resilience.
As reforms continue, officials remain focused on increasing transparency and strengthening oversight across the sector. Through the Iraq banking reform program, Iraq hopes to build a more competitive financial system and deepen its integration into the global economy.