License of Foreign Exchange Companies in Iraq
Foreign exchange (FX) companies in Iraq operate under licenses issued by the Central Bank of Iraq. These companies perform currency exchange, remittance, and related financial services, and play an important role in cash-based retail FX markets. Due to the sensitivity of these activities, licensing focuses on ownership transparency, financial capacity, capital adequacy, compliance, and internal controls.
Investors cannot operate FX activities without a formal CBI license and periodic supervisory renewals.
License stages
- Filing application and required disclosures
- Demonstrating financial capacity and capital compliance
- Approval of ownership and management
- Office and operational readiness
- Final authorization and registration
Documentation required from investors:
- Corporate registration documents
- Shareholder identification and ownership disclosures
- Source of funds documentation
- Business plan and operating model
- Security and internal control procedures
- AML/KYC policies and manuals
CBI compliance expectations
- Maintain required minimum capital
- Operate within permitted activities
- Implement AML/CFT frameworks
- Submit periodic financial and supervisory reports
- Maintain fit & proper management and ownership structure
- Cooperate with inspections and audits
How Etihad Can Assist
Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.