The Credit Policy and its Impact on Iraq's Balance of Payments for the Period (2012 – 2022).

Abstract

What distinguishes the world today is the increasing interconnections of economic relations between countries. This is the result of the significant developments that the world continues to witness, in addition to the growing essential requirements necessary for development in both developing and developed countries. Every country now seeks to establish international economic relations and agreements, whether bilateral or multilateral. The increase in these relations has been fuelled by the rising movement of people internationally, as well as the movement of factors of production, various goods, services, raw materials, and capital. All these relationships lead to economic and external accounting operations, requiring revenue collection and external payments, which result in obligations that must be settled within a specific time period. Therefore, each country must prepare a detailed plan for the transactions between the country and the outside world, which is known as the balance of payments. Given the great importance of the balance of payments, all countries strive to maintain its stability through a set of policies and necessary measures. Stability in the balance of payments is essential for maintaining overall economic balances, contributing to achieving the desired economic goals for the country's economy. The credit policy, including monetary policy, is one of the key policies used by a country to intervene in economic activity, direct it according to desired goals, and address economic imbalances.