Iraqi PM Welcomes Deal to Reintegrate 7 Banks into External Channels, Paving Way for USD Re-eligibility

Iraqi Prime Minister Ali al-Zaidi on Saturday welcomed the understanding reached between the Central Bank of Iraq and the U.S. Treasury Department regarding the qualification of seven Iraqi banks to rejoin external correspondent banking channels, paving the way for their eligibility to deal in the U.S. dollar. Al-Zaidi described the agreement, in a post on X, as "an important step in the path of banking sector reform and strengthening its integration into the global financial system." He emphasized that qualifying these banks to deal in other currencies, and subsequently restoring their dollar eligibility after fulfilling compliance and governance requirements, confirms the success of the government's financial reform approach, enhancing confidence in the Iraqi banking sector and opening wider horizons for the national economy and investment. Al-Zaidi affirmed the continued support for financial and banking reforms, and the establishment of principles of transparency and governance, to serve Iraq's interests and enhance its economic standing regionally and internationally.