Iraq sovereign funds Finance Ministry strongly denied claims that public banks used citizen deposits in recent withdrawals. Instead, the ministry confirmed it used only sovereign funds to support operational needs. These actions followed all financial procedures set by the national budget.
Meanwhile, the ministry responded after lawmakers and media reports spread accusations about misuse of public savings. In fact, some critics on social media even compared Iraq’s situation to global banking crises. These comparisons caused public concern over the country’s financial system.
To clarify, Iraq sovereign funds officials explained that they temporarily allocated these funds to meet short-term government expenses. Moreover, they used legal and administrative guidelines to manage the process. Importantly, the Finance Ministry ensured that these actions did not affect personal savings in any way.
Currently, state-run banks—Al-Rafidain and Al-Rasheed—continue to function normally. They pay salaries, fund public projects, and fulfill commitments to their clients. Additionally, the ministry confirmed that these banks still hold strong financial positions.
Notably, Al-Rafidain Bank holds 9 trillion Iraqi dinars in legal reserves with the Central Bank. These reserves help maintain liquidity and protect the financial system. Furthermore, a recent document shows that Al-Rafidain holds over 8.5 trillion dinars in total reserves. Officials confirmed that all of these reserves remain intact.
Meanwhile, the Central Bank enforces strict rules to regulate Iraq’s banking sector. These rules protect the system from risk and promote transparency. As a result, the Finance Ministry emphasized that Iraq’s banking structure operates under a different legal system than banks that failed abroad.
Therefore, the ministry rejected all claims about accessing private deposits. It described these rumors as inaccurate and politically motivated. Consequently, officials urged media outlets to report facts and avoid spreading panic.
In conclusion, Iraq’s Finance Ministry confirmed that it used only its own sovereign funds. Officials repeated that Iraq sovereign funds remain safe and follow legal standards. Finally, the government promised to continue protecting public trust and financial stability.