The Central Bank of Iraq announced a significant increase in Iraq public revenues during May 2025. The latest figures showed that state income grew compared with April, highlighting stronger financial activity across the country.
According to official data, public income reached 46.15 billion Iraqi dinars ($35.2 million) in May. This compares with 36.58 billion Iraqi dinars ($27.9 million) recorded in April. The rise reflects improvements in both tax collections and other income streams.
Revenues from taxes contributed 1.6 billion Iraqi dinars ($1.22 million), while other sources generated 44.55 billion Iraqi dinars ($34.03 million). Meanwhile, public expenditures also climbed, reaching 46.9 billion Iraqi dinars ($35.8 million) in May. This amount increased from 37.58 billion Iraqi dinars ($28.7 million) the previous month.
As a result, the revenue-to-expenditure gap stood at 822 million Iraqi dinars ($627,480). Analysts noted that narrowing this gap will remain essential for ensuring sustainable financial stability. They also stressed that balancing income with spending helps the government meet pressing social and economic needs.
Beyond monthly revenues, Iraq continues to address its foreign debt commitments. Financial advisor Mazhar Salih confirmed that Iraq’s external debts remain below $10 billion. These debts originated from Paris Club settlements dating back before 1990 and must be repaid by 2028.
In 2004, the Paris Club agreed to cut Iraq’s $120 billion debt by 80 percent over three years. This step reduced pressure on the national economy and enabled financial recovery. Since then, Iraq has honored its repayment obligations. Salih noted that Iraq already settled all loans taken from the International Monetary Fund since 2003. Those repayments totaled nearly $8 billion.
Between 2003 and 2021, Iraq relied on several IMF programs, including emergency loans and longer-term assistance. In 2016, the IMF approved $5.34 billion to support reforms. Iraq repaid the loan within five years after receiving two-thirds of the amount.
Although Iraq sought a $6 billion emergency loan in 2021, the request was not approved. Even so, the government has since maintained progress in strengthening finances and repaying obligations.
The rise in Iraq public revenues during May demonstrates resilience and signals steady economic growth. Authorities emphasized that continued improvements in revenue collection and debt management will reinforce Iraq’s stability. Ultimately, the focus on boosting Iraq public revenues remains central to achieving long-term financial security.
