Iraq prevents 8 local banks from dealing in dollars. Last July, Iraq decided to prevent 14 banks from conducting transactions in dollars, as part of a broader campaign aimed at preventing the smuggling of dollars to Iran.
The Iraqi Central Bank issued a document, verified by a bank official, that included the names of the banned banks. The current Iraqi government came to power with the support of powerful parties backed by Tehran and armed factions with interests in Iraq's largely informal economy, which has long been viewed as a center for money laundering.