CBI Governor: About 80% of Iraqi currency is Held Outside the Banking System

PUKMEDIA

CBI building.

Governor of the Central Bank of Iraq (CBI), Dr Ali al-Alaq, announced that around 80% of Iraqi currency is held outside the banking system.

Speaking to Al Sabah newspaper, Alaq emphasised that the 2025 Banking Reform Document marks a strategic step towards strengthening confidence in the country’s banking sector and addressing existing shortcomings.

He also revealed that around 80% of Iraqi currency is held outside the banking system, mostly in private homes, due to a lack of public trust in banks.

Alaq explained that the reform plan aims to modernise Iraqi banks in line with international standards and to foster partnerships with global financial institutions.

According to the Governor, only 10% of banks have voiced reservations about the plan, while 10 banks are currently undergoing liquidation after failing to return customer deposits.



PUKMEDIA