The "Digital Dinar" Under the Microscope: Will it Rescue the Salary Crisis or Open the Door to New Risks?

The move towards adopting a "Digital Dinar" as a solution to the employee salary funding crisis in Iraq is sparking widespread economic debate, amid warnings of potential financial and monetary risks. Economic experts argue that the economic contraction and the significant rise in internal debt make this option a risk that could weaken monetary authorities' control over liquidity and negatively impact the national currency's value. Specialists also stress the need for a comprehensive legislative and regulatory infrastructure before transitioning to a digital system to mitigate the risks of illegal financial activities.