Iraq discusses reforms with IMF to support economy

The International Monetary Fund. Photo: AP Baghdad (IraqiNews.com) – Iraqi Minister of Finance, Falih Sari, and officials from the International Monetary Fund (IMF) discussed a reform path designed to enhance financial sustainability and support the Iraqi economy. According to a statement released by the Iraqi Finance Ministry, Sari and IMF representatives wrapped up their discussions in Amman, Jordan, after making progress in negotiations for a reform program that the international organization will support in the coming years. The reform program aims to improve the performance of Iraq’s public finances. It also aims to provide a clear monetary framework to sustain monetary policies, increase their effectiveness, and have a more favorable influence on economic activity. The discussions covered plans to develop the banking sector—including both state-owned and private banks—and enhance efforts to combat money laundering and terrorism financing. According to Sari, the talks centered on developing a medium-term reform program for the coming three years with the goal of improving fiscal sustainability and strengthening the Iraqi economy’s ability to face potential challenges. Sari indicated that expert-level conversations will continue in the near future to develop a joint document between Iraq and the IMF. The document will provide a framework for budgetary changes and a timeline for implementation over the next three years.