Iraq’s economic reform roadmap received international attention after the International Monetary Fund (IMF) issued a new statement. The IMF noted that Iraq preserved domestic stability despite regional tensions affecting nearby countries.
According to the IMF, Iraq has kept inflation rates modest. The organization credited this achievement to solid fiscal and monetary policy efforts. However, it warned that more reforms are still needed.
The IMF urged Iraq to increase its non-oil income. This move would reduce reliance on oil revenues, which remain unstable due to global price changes. The report also called on Iraq to reduce its public wage bill, which takes up a large part of the national budget.
In addition, the IMF advised Iraq to review its 2025 spending plans, including current and investment expenses. Better planning can help improve public services and manage budget deficits more effectively.
One of the key reforms involves the retirement system. The IMF said raising the retirement age is both urgent and essential. This step could reduce pressure on the pension system and allow more people to stay in the workforce longer.
The IMF also praised the Central Bank of Iraq (CBI) for moving to a new trade finance system. This change helped reduce the difference between official exchange rates and parallel market rates.
The CBI also continues working on banking sector reforms. It has explored policy options to improve private banks and support the broader economy.
Together, Iraq’s economic reform roadmap these updates highlight progress under Iraq’s economic reform roadmap. While Iraq has taken important steps, the IMF stressed the need for faster reforms and better long-term planning.
Experts say Iraq can benefit from strong leadership and clear policies. These are needed to build a strong, fair, and lasting economy. Iraq kept prices low and stable. The IMF said Iraq should find new ways to make money and fix the pension system.