Baghdad: The International Monetary Fund (IMF) has praised the Iraqi government for maintaining internal stability amidst regional tensions and commended its management of economic and monetary affairs during the current phase.

According to National Iraqi News Agency, a recent IMF report highlighted that Iraq’s inflation rate remains low, demonstrating stability in the local market and the effectiveness of current economic policies. The report underscored the necessity for substantial fiscal reforms to enhance non-oil revenues, aiming for long-term financial sustainability and reducing the country’s dependence on oil as its primary income source.

The IMF also acknowledged the Central Bank of Iraq’s successful full transition to a new trade financing system, which enhances transparency and improves commercial operations efficiency. Moreover, the report noted that the Central Bank is exploring reform options to strengthen the private banking sector, a move expected to develop the financial system and expand the role of private banks in economic development.

Additionally, the IMF expressed approval of the progress made in implementing Iraq’s national anti-corruption strategy. This progress has positively impacted the country’s Corruption Perceptions Index, marking a significant step toward building greater confidence in Iraq’s investment and administrative environment.