Iraq's central bank issues 10 new rules on tracking politicians' accounts

BAGHDAD, Iraq — Iraq's Central Bank on Monday issued 10 new directives requiring banks to monitor financial movements and the accounts of politicians and senior public officials. The directives build on regulations tied to the 2015 Anti-Money Laundering and Counter-Terrorism Financing Law (No. 39). The framework was prepared under Recommendation 12 of the Financial Action Task Force, which addresses risks tied to politically exposed persons. Banks must apply risk-based enhanced due diligence to politically exposed individuals, persons carrying risk by virtue of their roles, and their relatives up to the second degree. The central bank said the rules are designed to prevent the misuse of public authority and the concealment of illicit proceeds. It added that classifying someone as a politically exposed person does not imply unlawful activity; the designation is treated solely as an indicator requiring additional supervisory measures. No further details were immediately available on the implementation timeline or which banks the directives apply to.