Central Bank of Iraq explores use of Chinese and Emirati currencies in foreign trade

BAGHDAD, September 13 — In a statement released by the Central Bank today, it was revealed that its governor, Ali Mohsen Al-Alaq, discussed the possibility of using Chinese and Emirati currencies in Iraq’s foreign trade with Assistant Secretary for Terrorist Financing and Financial Crimes at the U.S. Department of the Treasury, Elizabeth Rosenberg.

This discussion comes two days after Iraqi Prime Minister Mohammed Shiaa’ Al-Sudani mentioned an Iranian proposal to finance imports through the Beijing currency.

The Central Bank’s statement, received by 964, read as follows:

His Excellency Ali Mohsen Al-Alaq, the Governor of the Central Bank of Iraq, received the Assistant U.S. Secretary of the Treasury, Elizabeth Rosenberg, along with her accompanying delegation.

During the meeting, bilateral relations were discussed, and the measures taken by the Central Bank of Iraq in combating money laundering and financing terrorism were deliberated upon. The meeting also reaffirmed the ongoing support provided by the U.S. Treasury and joint efforts to enhance transparency, integrity, and the implementation of international compliance instructions in the Iraqi banking system.

The two parties discussed the follow-up on the outcomes and results of previous meetings between the Central Bank of Iraq on one side and the U.S. Treasury and the U.S. Federal Reserve on the other. Additionally, they explored the possibility of providing technical support in the field of financing foreign trade through reliable banking channels, enabling legitimate foreign trade financing using various currencies, including the Euro, the Chinese Yuan, and the Emirati Dirham. Furthermore, they discussed regulating trade with the Republic of Turkey.

The U.S. Treasury commended the efforts and steps taken by the Central Bank of Iraq in contracting with international auditing firms to ensure the accuracy and transparency of procedures.”