The Impact of Monetary Policy on Economic Stability Indicators in Iraq: An Analytical Study for the Period 2005 - 2022

Abstract

Main objective of this research to discusses how global events have significantly impacted economic life, necessitating a vital role for economic policies in addressing these impacts. It emphasizes the crucial role of monetary policy as a key component of macroeconomic policy, particularly in facing challenges through its tools and mechanisms to achieve monetary stability and stimulate growth. The study focuses on the monetary policy in Iraq post-2003, a period marked by a radical change in policy formulation, tools, and decisions, underpinned by the new Law No. 56 of 2004, transforming the operation and performance of the Central Bank of Iraq. The period under study witnessed significant events including the 2009 financial crisis, the 2020 COVID-19 pandemic, the 2003 American invasion, infrastructure collapse, the 2014 war on terror, loss of territories, and the oil price collapse due to the pandemic, all of which directly affected the performance of Iraq's monetary policy in achieving its set goals.