Iraq considers currency overhaul to expose looted funds
"The decision will be made in the coming period, and it is hoped that the procedures will begin during 2027," a source in the Iraqi Prime Ministry.
The Iraqi government is contemplating a currency overhaul that would reduce the value of the dinar by three zeros, aiming to simplify transactions and bring funds stolen through corruption under government control, according to Iraqi Communications Minister Mustafa Sanad. Sanad made this announcement to local media, stating, "There is a political decision regarding removing zeros from the national currency."
A source within the Iraqi Prime Minister's office, speaking on condition of anonymity, revealed to The Media Line that the decision will be finalized in the near future, with procedures expected to commence in 2027. The Central Bank of Iraq, however, remains cautious, asserting in an official statement that no decision has been made to issue a new currency or alter denominations. The new currency, if implemented, would undergo several legal and regulatory stages before being introduced.
The US dollar is currently worth 1,320 Iraqi dinars on the official exchange rate, but 1,530 dinars on the black market. Iraq's currency is perceived as overvalued, with high salaries in the hundreds of thousands or millions of dinars and expensive housing units costing billions of dinars. Observers and politicians view this potential move as part of a broader anti-corruption campaign, which has already unearthed trillions of dinars in hidden assets of some politicians.
If approved, these confiscated funds would lose value once converted to the new currency, potentially leading to further discoveries or confiscations.
Written by urgent.news from Jerusalem Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
