MN Iraq News
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Warnings of Liquidity Crisis Threatening Salaries Amid Calls for Urgent Economic Solutions
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Warnings of Liquidity Crisis Threatening Salaries Amid Calls for Urgent Economic Solutions

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MN Iraq News Editorial Team
Aug 20, 2026 1 min read
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mniraq - Economic experts have issued serious warnings of a severe liquidity crisis that could strike the Iraqi economy, threatening the government's ability to secure salaries for employees and retirees in the coming months. Economic expert Ahmed Al-Tamimi confirmed that the widening gap between revenues and expenditures threatens market contraction and a sharp decline in purchasing power. He warned that delayed salaries would lead to forced stagnation affecting commercial and service sectors, undermining confidence in financial policies. To support financial stability, experts proposed four urgent solutions:

  • Securing sustainable funding sources for salaries, isolated from oil fluctuations.
  • Reprioritizing spending and strictly limiting financial waste.
  • Activating non-oil revenues to provide the treasury with stable income.
  • Adopting a transparent financial policy to offer genuine reassurances to the market and the public.