Is JPMorgan pulling the rug out from under the Iraqi Central Bank?
Is JPMorgan pulling the rug out from under the Iraqi Central Bank?
8-19-2026
Information / Special..
Political researcher Hussein Al-Shalakh warned on Wednesday of the repercussions of bringing the American bank “JP Morgan” into managing financial transactions related to Iraq, considering that the move may represent a form of hegemony over the Iraqi economy and an undermining of the country’s sovereignty over its funds.
Al-Shalakh told Al-Maalouma that “Iraq does not currently have full sovereignty over its funds,” noting that “a delegation from Washington recently met with Prime Minister Ali al-Zaidi and discussed with him the JPMorgan Chase bank and the role it could play in the Iraqi financial system.”
He added that “JP Morgan will be an occupation of the Iraqi economy, because it will give it great power to control the movement of money and commercial transactions,” noting that “the expansion of the bank’s role may be reflected in the mechanisms of import, foreign trade and the movement of Iraqi money.”
Al-Shalakh explained that “JP Morgan will take full control of the import file, thus pulling the rug out from under the Central Bank of Iraq,” indicating that “Iraqi traders were previously able to conduct import operations through the official banking system, at the official exchange rate of 1320 dinars per dollar through the Central Bank of Iraq, which transfers the amounts to the supplying companies outside the country according to the approved procedures.”
He added that “JP Morgan’s involvement in managing these operations may transfer a large part of the movement of Iraqi funds to a new banking route,” considering that “the funds related to Iraqi oil revenues, even if they are freed from some restrictions related to the American financial system, may find themselves under the control of JP Morgan.”
Al-Shalakh revealed that “this path may lead to an increased dependence of Iraqi foreign trade on the bank to a point where Iraq may not be able to import anything except through JPMorgan, which he considered a direct threat to the country’s financial and economic independence.”
The political analyst believes that “the problem is not related to a specific bank as much as it is related to the weakness of the Iraqi financial system and the inability of successive governments to build a national banking system capable of managing funds and foreign trade away from external pressures and influences,” noting that “the continued dependence of the Iraqi economy on oil, along with the weakness of the banking sector and the absence of real economic reforms, have made the country more vulnerable to being affected by international financial decisions and procedures.”
Al-Shalakh pointed out that “the economic and financial situation in Iraq is a direct result of the nature of the governing system and the failure of successive governments to manage economic affairs over the past years,” stressing that “addressing the crisis requires building a strong and independent banking system, reforming financial institutions, and reducing dependence on oil, thereby enhancing the state’s ability to manage its resources and achieve genuine financial sovereignty.”
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