The Central Bank of Iraq Affirms Exchange Rate Stability and Achieves Lowest Inflation Levels in the Region

As 2025 draws to a close, CBI announced significant progress in its strategic objectives related to maintaining price stability. The inflation rate has fallen to historically low levels, the lowest in the region, supported by its monetary policies and well-considered measures despite current economic challenges.

In an official statement, CBI clarified that its Law No. (56) of 2004, particularly Article 1/4/A, clearly defines its core responsibilities in formulating and implementing monetary policy, including exchange rate policy. In this context, the Bank affirmed that it has no intention of adjusting the Iraqi dinar's exchange rate, in line with its central objective of ensuring price stability, an objective successfully achieved in the past period.

The statement emphasized that CBI continues to support exchange rate stability, bolstered by optimal levels of foreign currency and gold reserves. CBI affirmed its continued commitment to fulfilling all banks' requests for external financing in US dollars and other foreign currencies such as the Chinese yuan, Turkish lira, Indian rupee, and UAE dirham. It also confirmed the continuation of processing bank card settlements and personal transfers through MoneyGram and Western Union, in addition to cash sales for travel purposes. The bank emphasized that there is no pressure on current foreign reserves.

The statement clarified that any external statements or opinions regarding changes to the Iraqi dinar exchange rate do not reflect CBI's position and represent speculations aimed at disrupting the market, inciting speculation, and undermining the stability of the national economy.

 

Central Bank of Iraq

Media Office

November 24, 2025