Shaimaa F. M. The Financial Crisis in Iraq Causes And Ways Of Treatment

Abstract

Iraq is characterized by a unilateral economic system that relies on oil revenues. Oil is the main
source of finance for the state's treasury. More than 97% of revenues are oil revenues and almost
negligible non-oil revenues. This may be the main reason behind the financial crisis in Iraq today ,
Since the collapse of oil prices since mid-2014 through 2015 and 2016 until mid-2017 led to this
financial crisis, in addition to other factors helped to grow the crisis, including financial corruption
and lack of rationalization of spending.
Which led the state to reconsider its fiscal policy and followed the reform policy to eliminate
or at least alleviate the impact of the financial crisis. However, the reforms introduced by the
government were temporary, and most importantly, contrary to constitutional and legal rules. ,
Which has led many to seriously reflect on the search for ways to deal with this crisis and to reach
long-term radical solutions. The most effective solution may be to develop revenue sources,
eliminate financial corruption.