Shafaq News– BaghdadThe Central Bank of Iraq (CBI) hasimposed stricter capital, liquidity, and disclosure requirements on banksseeking to trade foreign currencies other than the US dollar, the Eco IraqObservatory reported on Saturday.In a statement, Eco Iraq explainedthat under the new rules, banks wishing to deal in currencies such as the euro,Chinese yuan, or UAE dirham must hold a minimum capital of 300 billion Iraqidinars (about $205M) and submit a binding plan to raise capital to 400 billiondinars (around $275M) by the end of 2028.The requirements were detailed in aCBI document issued as part of a broader banking sector reform program. Banksmust also demonstrate sufficient and stable liquidity in line withinternational standards, including liquidity coverage and net stable fundingratios, and fully disclose ownership structures and related-party links.The move comes as a large portionof Iraq’s banking sector remains restricted from dollar transactions. Eco Iraqhas previously reported that 35 of Iraq’s 72 licensed banks are either under USsanctions or suspended from dollar trading as a regulatory measure to enforcetransparency and compliance.In recent months, the CBI has alsotightened rules on commercial invoices and foreign trade documentation, part ofefforts to curb money laundering and align Iraq’s financial system withinternational standards.The Central Bank has not said howmany banks currently meet the new criteria.: Iraqi Banking reform: Between necessary change and crippling conditions