Iraqi Planning Ministry Explores "Dollar Journey" in Iraqi Economy
The Ministry of Planning has hosted a consultative session on the "Journey of the Dollar in the Iraqi Economy: Between Monetary Policy and the Market."
Organised by the Department of Economic and Financial Policies, the session brought together department heads and staff to analyse the sources, flows, and impact of foreign currency-primarily the US dollar-on Iraq's economy.
Fatima Mohsen Mohammed, Head of the Macroeconomics Division in the Economic Policy and Modelling Department, explained that oil exports account for approximately 95% of Iraq's foreign currency inflows and more than 90% of state revenues. Other sources include:
Remittances from Iraqis abroad (2-3%)
Non-oil exports, such as dates, sulfur, phosphates, and basic agricultural and industrial goods (1%)
Foreign investments and international aid, including loans, grants, and support from institutions like the IMF and World Bank (variable)
Religious tourism, which contributes 1-2%
Airlines, transport, and services sectors, which currently have minimal dollar inflow impact
The discussion also examined the stages and mechanisms by which dollars enter Iraq and the interaction between monetary policy and market dynamics in influencing those flows.
(Source: Ministry of Planning)
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