Baghdad (IraqiNews.com) – Iraq’s domestic public debt surged to 113.485 trillion Iraqi dinars (approximately $86.6 billion) by the end of August 2026, climbing from 109.516 trillion dinars at the end of July.
The monthly increase of 3.969 trillion dinars reflects expanding sovereign borrowing needs to finance fiscal obligations, according to official economic indicators released by the Central Bank of Iraq (CBI).
Economic data indicates that domestic debt expanded by roughly 22.97 trillion dinars compared to the end of 2025, when it stood at 90.515 trillion dinars.
This represents a steep expansion of 25.4% during the first eight months of 2026, driven by higher reliance on central banking liquidity and domestic sovereign debt instruments to cover budget spending.
The breakdown of domestic obligations at the end of August shows that Ministry of Finance claims held by the Central Bank constituted the primary component, rising to 76.499 trillion dinars from 72.499 trillion dinars in July.
Commercial and sovereign loans represented the second-largest portion at 18.945 trillion dinars, followed by domestic bonds at 9.330 trillion dinars and treasury bills at 8.711 trillion dinars, underlining the structured profile of the central treasury’s internal liabilities.
