2026-03-09T09:34:37+00:00
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Shafaq
News- Baghdad
Government
banks in Iraq, including Rafidain and Rasheed, are facing a severe liquidity
shortage, with cash becoming increasingly scarce, an economic source told
Shafaq News on Monday.
Citing
security concerns, particularly the conflict involving the United States,
Israel, and Iran, depositors have increasingly withdrawn funds from government
banks, potentially threatening Iraq’s financial security and economic
stability.
“At some
Rafidain and Rasheed branches, customers are asked to wait or return later to
access their full funds, while others provide only partial amounts, postponing
the remainder,” the source explained, adding that these practices have affected
service quality and weakened public confidence in the government banking
sector.
The banks
also continue to face administrative and legal challenges. Over the past years,
modernization efforts have remained limited, with many relying heavily on
paper-based processes instead of electronic systems and modern banking
technology.
On
February 28, the United States and Israel carried out airstrikes on targets
inside Iran, including Tehran. The attacks caused significant damage and
civilian casualties and killed Iranian Supreme Leader Ali Khamenei along with
several senior Iranian Revolutionary Guard Corps (IRGC) commanders. Iran
responded with retaliatory actions affecting multiple countries in the region,
including Iraq, Israel, Jordan, Kuwait, Bahrain, Qatar, the United Arab
Emirates, and Saudi Arabia.