Abstract

Objectives: The study aimed to demonstrate the adequacy of the foreign reserves available to the Central Bank of Iraq to cover the volume of imports and the volume of external debt after 2004. Methods: The researchers relied on the inductive approach by tracking data on cash reserve accumulations after 2004 and determining the extent of their impact on some economic indicators or their impact on them. Results: The growth of foreign reserves depends primarily on the Central Bank's purchases of dollars from the Ministry of Finance, which relies on oil revenues for 98% of its revenues. Consequently, the prices and quantities of exported oil directly affect the accumulation of foreign reserves. Conclusions: Efforts should be made to improve the industrial and agricultural sectors to meet the local market's need for goods and commodities, thereby reducing reliance on foreign markets and reducing the volume of withdrawals from foreign reserves from the Central Bank of Iraq.