CBI: Currency issuance and inflation declines in H2 2025

Shafaq News – Baghdad

The Central Bank of Iraq (CBI) reported a decline in currency issuance and inflation during the second half of 2025, according to new financial data released on Thursday.

The bulletin indicated that currency issued by the Bank fell 3.8% over the period, reaching 98.4 trillion Iraqi dinars (approximately $74.7 billion USD), down from 102.3 trillion dinars (around $77.8 billion USD) in the second quarter of 2024.

The CBI highlighted that this reduction in currency issuance contributed to easing pressure on prices and supported stability in the overall price level.

Reflecting this trend, inflation dropped by 76% during the same period, falling to 0.8%, compared with 3.3% in the second quarter of 2024. The Bank noted that the decline mirrors a decrease in the general price level and a corresponding improvement in the purchasing power of both individuals and institutions.

The banknotes and coins issued by a country's central bank that are physically held by the public for transactions, rather than being held by banks or the central bank itself. It represents the cash actively used in the economy for buying and selling goods and services, and is a key component of a nation's total money supply