Iraq E-Commerce Update: New Instructions Issued Under the Electronic Commerce Regulation

Iraq E-Commerce Update: New Regulatory Instructions Issued Under the Electronic Commerce Framework Recent official correspondence confirms the issuance of new regulatory instructions governing electronic commerce activities in Iraq, impacting digital businesses and online platforms.   Key Regulatory Updates Issuance of official instructions related to the Electronic Commerce Regulation Instructions issued pursuant to Regulation No. (3) of 2025 Circulation of an English-language version of the regulation Clarification of: Regulatory requirements for electronic commerce Required documentation Application procedures for electronic merchant platforms   Scope of Application E-commerce platforms operating in Iraq Digital and online businesses offering goods or services FinTech companies engaging in digital trade activities Foreign companies providing online services to the Iraqi market   What Businesses Should Do Review the Electronic Commerce Regulation and related instructions Assess whether their activities fall within the scope of electronic commerce Prepare required documents and compliance information Align internal operations with digital business regulatory requirements   Alignment with Banking & FinTech / Digital Business Services This update is directly relevant to FinTech operators, digital platforms, and online businesses. Our Banking & FinTech / Digital Business advisory services support clients with: Regulatory assessment of digital business models Compliance with electronic commerce and digital trade regulations Documentation preparation and regulatory filings Ongoing regulatory risk management for digital operations   As Iraq continues to strengthen its digital economy regulatory framework, proactive compliance with electronic commerce regulations is essential to ensure operational continuity and regulatory certainty.   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.  

Central Bank of Iraq Regulates Mobile Electronic Payment Services for Small Traders

Central Bank of Iraq Regulates Mobile Electronic Payment Services for Small Traders The Central Bank of Iraq (CBI) has issued official instructions regulating mobile electronic payment services provided to small traders and micro-projects, as part of its ongoing efforts to enhance financial inclusion, transparency, and regulatory oversight in Iraq. Under the issued directive by the Payment Systems Monitoring Department – Electronic Payment Division, licensed electronic payment service providers are now permitted to open and manage electronic wallets for small traders, subject to specific financial and compliance controls. Key Regulatory Highlights Maximum wallet balance: IQD 3,000,000 (three million Iraqi dinars) Monthly transaction ceiling: IQD 10,000,000 (ten million Iraqi dinars) Monthly cash withdrawal limit: IQD 10,000,000 Wallet registration must be completed in person through authorized agent networks. Compliance & KYC Requirements Electronic payment providers are required to fully comply with Know Your Customer (KYC) procedures, including: Verify the trader’s identity and activity nature Assess the type of business and source of income Conduct on-ground visits to confirm business continuity Ensure wallet usage aligns with the declared commercial activity Maintain an approved registry of small traders, shared with the relevant bank These measures aim to mitigate financial misuse risks, strengthen anti-money laundering controls, and support the safe expansion of digital payment services across Iraq. Why This Matters? This regulatory development represents a significant step toward: Support small businesses and entrepreneurs Expand cashless payment adoption Strengthen financial governance and compliance Aligne Iraq’s payment ecosystem with international standards Businesses, payment service providers, and fintech operators must ensure their internal policies, KYC frameworks, and operational procedures are fully aligned with these requirements. 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.