Shafaq News – Baghdad

Digital transformation across Iraqi government institutions has nearly doubled in three years, a government official revealed on Monday, as the country moves into a new phase among digitally advanced nations in electronic payments.

According to the official, 32% of Iraqi ministries and public institutions now operate through digital systems—up from 18% in 2022, marking a 78% increase in adoption.

Bank cards of all types—credit, debit, and prepaid—now total between 21 and 22 million, up from 16 million in 2022, reflecting 38% growth. Meanwhile, point-of-sale (POS) devices have surged to around 62,000, compared to fewer than 10,000 two years ago—a 520% increase.

Financial inclusion has also expanded significantly. Around 40% of Iraqis are now connected to the formal banking sector, up from less than 10% in 2019.

To build on these gains, Prime Minister Mohammed Shia al-Sudani has issued a series of executive decisions aimed at fast-tracking key digital finance initiatives:

• Launching a national debit card by the end of 2025

• Activating a rapid payment platform

• Rolling out a unified electronic system for tax and fee collection

• Localizing private sector salaries, mirroring the public sector

• Establishing a centralized complaints center at the National Data Center (NDC) for payment-related issues

The official projected that these projects will be completed within a year, describing them as critical to placing Iraq among global leaders in digital finance.