The Parliamentary Finance Committee announced on Sunday its decision to abandon the proposed borrowing law, stating that the draft is no longer necessary at this stage since its provisions will be integrated directly into the government’s upcoming 2027 general budget.
Committee Chairman Uday Awad stressed during an official statement that comprehensive banking reform has become an urgent priority under prevailing circumstances. He observed that neither state-run nor private lenders have actively contributed to solving the country’s financial crisis, despite private
banks possessing considerable potential through foreign correspondence and international relations. Awad explained that commercial banks have submitted reform initiatives for review with the Central Bank of Iraq. These proposals focus on adopting practices similar to Gulf banking institutions, such as
expanding loan facilities and ensuring deposit guarantees to restore citizen trust, noting that recurring coordination meetings are scheduled. Regarding the dollar controversy, Awad acknowledged that sanctions against specific banks reflect actual links to political factions. He emphasized the necessity of
shielding financial institutions from political interference, confirming that decisive remedies will yield tangible outcomes in the coming days.
