Iraq expands foreign transfer channels, adding new currencies

Shafaq News/ On Thursday, the Central Bank of Iraq (CBI) announced the expansion of external transfer channels for local banks, adding the Jordanian dinar and Saudi riyal alongside the US dollar.

The CBI announced that Iraqi banks can now finance trade with Turkiye in euros, previously limited to EU countries, along with transfers in US dollars, UAE dirhams, Chinese yuan, and Indian rupees. “This step is part of the bank's efforts to expand foreign trade financing options with various currencies and channels, and it has already started taking the necessary actions to meet banks' demands for these currencies” it explained.

Moreover, the bank noted that the expansion of external transfer channels will offer transactions at the official exchange rate, streamline transfers, involve more banks in foreign exchange, and strengthen Iraq’s economic ties with other countries. “This aligns with the bank’s efforts to meet the growing demand for foreign currencies based on Iraq's trade relations.”

"In 2024, the CBI smoothly transitioned from the electronic platform to directly accredited correspondent banks, achieving a significant shift in line with international banking practices, which has been widely praised,” it confirmed.