Shafaq News/ Iraq's domestic debt increased by 5.4% in 2024, with the Ministry of Finance emerging as the largest debtor, according to a report by the Central Bank of Iraq released Thursday.
The report revealed that Iraq’s internal debt stood at 73.3 trillion dinars (about 56 Billion USD) in the first quarter of 2024, up from 69.5 trillion dinars about (53 Billion USD) in the same period last year.
The rise was primarily attributed to a 139.9% increase in bond-related debt, despite declines in most other debt categories. The debt was distributed among loans to financial institutions, debts to state-owned banks, the Ministry of Finance, central bank-issued treasury bonds, and government securities.
The Ministry of Finance holds the largest share, with a debt of 41.393 trillion dinars. However, the report noted a decline in the share of debt categories, except for bonds, which is seen as a positive sign. This shift indicates that the government has increasingly relied on public financing to cover its budget deficit, thereby positively affecting the circulation of currency in the economy.