Baghdad: The Central Bank of Iraq has announced a series of strategic decisions following an extraordinary session of its Board of Directors. This meeting was focused on evaluating current economic and financial conditions and reviewing key macroeconomic indicators.

According to National Iraqi News Agency, the Central Bank emphasized its constitutional and legal responsibility to protect monetary and financial stability in Iraq. The Board's extraordinary session involved a thorough assessment of the banking system's liquidity, developments in money supply, and the Central Bank's foreign currency requirements. The discussion also extended to financial stability indicators, foreign trade, and payment flows.

The Central Bank's reserves reportedly cover 12 months of imports, indicating a strong position to manage potential economic developments. The Bank is prepared to take timely measures to maintain market stability and bolster confidence in the banking sector. The Board identified the strength of foreign reserves and financial buffers as a critical factor in managing monetary policy and addressing potential economic fluctuations.

The session also explored alternatives to secure salaries and essential expenditures, ensuring the regular fulfillment of state financial obligations and supporting citizens' economic and living standards. This move aims to enhance confidence in Iraq's fiscal and monetary policies and maintain normal economic activity.

Additionally, the Central Bank is committed to enhancing the liquidity of the banking system, supporting banks in meeting the needs of citizens and the private sector efficiently. This effort aligns with the objective of strengthening the banking sector's role in supporting economic activity and financing productive and service sectors.

The Council emphasized the importance of maintaining the smooth flow of external financial transfers, essential for covering import operations and international payments. This initiative supports the private sector's capacity to meet market needs and maintain stable supply levels in local markets.