Iraq debates removing three zeros from dinar as government denies plan

BAGHDAD, Iraq — A long-discussed project to remove three zeros from the Iraqi dinar remains on the Central Bank's agenda without being implemented, fueling renewed public debate. Government spokesman Haydar al-Abbadi said on June 22, 2026 that there is no official intention to redenominate the currency or strip three zeros from it. Former Central Bank Governor Ali al-Allaq stated in 2024 that the project was still on the table. Economist Ahmed Eid argued that removing zeros would not generate new liquidity, fund salaries or increase purchasing power. Salam Zaydan, a member of the Iraqi Banking Association, said the measure alone would not expose corruption-derived funds, noting that such assets could be redirected into gold, dollars and real estate. Financial expert Mustafa Hantush said Iraq runs its spending at one-twelfth of the previous year's actual expenditure and faces a budget shortfall of roughly 10 trillion dinars due to declining oil revenues. No further details on a redenomination timetable were immediately available.