Double salaries are straining the budget; an economist warns against printing money and calls for urgent austerity measures.
Double salaries are straining the budget; an economist warns against printing money and calls for urgent austerity measures.
5-24-2026
Information / Baghdad –
Economic expert Hashim al-Haboubi warned the government on Sunday of the dangers of continuing to print local currency, stressing that it will deplete the country’s strategic reserves of gold and hard currency. He called for the implementation of an urgent package of financial reforms, spearheaded by strict government austerity measures.
Al-Haboubi told the Information Agency that “printing local currency will have dire consequences, primarily a decline in the purchasing power of the Iraqi dinar against foreign currencies, especially the dollar.”
He added that “this step will deplete sovereign reserves, which currently stand at approximately 147 tons of gold and $114 billion, in addition to funds deposited with the US Federal Reserve.” He urged the government to “implement a strict austerity policy, beginning with eliminating unnecessary expenditures.”
He explained that “the state treasury spends 142 billion dinars monthly on the Presidency, in addition to the presence of more than 300 advisors in the Prime Minister’s office – figures that strain the country’s budget.”
He emphasized that “the first steps toward genuine reform lie in unifying the salary system and preventing dual employment.”
Al-Haboubi pointed out that “there are more than 20,000 people receiving multiple salaries per month, and some even receive up to nine salaries simultaneously.”
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