The role of monetary policy in achieving monetary and economic stability in Iraq.

Analyzing the role of monetary policy in enhancing monetary stability in Iraq is considered an important topic, especially in light of the economic challenges facing the country. This research aims to evaluate the efficiency of monetary policy in achieving financial stability, while comparing successful international experiences in this context. Monetary policy is a fundamental tool relied upon by governments and central banks to guide the economy, through managing the money supply, controlling interest rates, or regulating exchange rates. In the case of Iraq, the importance of this topic increases due to the heavy reliance on oil as a primary source of revenue, which makes the economy vulnerable to fluctuations resulting from changes in global oil prices, a situation that directly affects monetary stability. This study aims to explore the role played by monetary policy in promoting monetary stability, with a focus on the practical experiences implemented in Iraq over the past two decades. It highlights the monetary tools that have been used, such as open market operations, the discount rate, and the legal reserve ratio, and evaluates the extent to which these tools have succeeded in achieving the desired objectives.