Head of the Iraqi Exchange Syndicate: 80% of the printed dinar is outside the economic cycle

According to Kurdistan Press, Zia Taei, head of the Iraqi Exchange Syndicate and Financial Intermediaries, told Rudaw media network on Sunday, September 6, 2026, that the problem of liquidity shortage in Iraq continues, because a large amount of money is kept by citizens in their homes.

He stated that the main reason for this situation is the problems in banks and the decline in people's trust in the banking system.Tai said that according to estimates, more than 90 trillion dinars are kept in citizens' homes, while the total amount of printed money in Iraq is about 120 trillion dinars; meaning that nearly 80 percent of the printed money is out of the economic cycle.

The head of the Iraqi Exchange Syndicate also referred to regional developments and said that efforts are underway to solve the problem of liquidity shortage, but regional tensions and the conflict between Iran and the United States have also directly affected Iraq's liquidity situation.

Regarding the decrease in oil exports and its impact on Iraq's revenues, he also said that the country has faced a decrease in oil exports over the past six months and expects the effects of this situation to remain at about 60 to 70 percent on the country's revenues in the next six months. According to Tai, Iraq needs about a year to fully return to normal.Tai also stated about the situation of the Iraqi currency market that the market is currently facing a kind of stagnation and stagnation, and the value of the dinar against the dollar is not only determined by supply and demand, but also by domestic and foreign political decisions.

The head of the Iraqi Exchange Syndicate finally emphasized that the process of sending dollars from the United States to Iraq is still ongoing, and this is positive for the Iraqi economy.