Iraqi payment systems

It is a system which is responsible for the exchanging of electronic payments instructions between banks automatically through a safe and efficient network. The Central Bank of Iraq owns, operates and administers it and manages the settlement accounts of the participants to ensure the soundness and the efficiency of the payment systems and the clearing operations and it consists of the following systems:

RTGS - Real Time Gross Settlement
GSRS - Government Securities Registration System
ACH - Automated Clearing House
CEP - Checks Enablement Project


The Security features of the system

1-The system ensures that there is no intrusion or any breach event that may affect the net.
2- There are three sites for the system one is the primary site and two fallback sites in order to protect the data the records of the payment systems in case of any contingency event like the breakdown or any other disasters that may happened to the primary site.
3- The Central Bank is the only entity that is responsible for providing the E -tokens to the users of each participant which permit access to the system.
4- The user can not complete any transaction by himself  only in order to comply with the dual control functions (the “Four Eyes” principal) work.


IPS Components



1- Real Time Gross Settlement system -RTGS
It is the real time gross settlement system, which ensures the final (and irrevocable) gross settlement of the Payment Instructions initiated by Participants continuously on a transaction by transaction basis.
The RTGS system went live on 24 August 2006 and currently (32) banks have participated RTGS system, in addition to the Ministry of Finance.

2- Automated Clearing House-ACH
The automated clearing house system enables the exchange of files of payment orders between participants, and calculating the net positions for all participants and submits the Net Settlement Instruction (NSI) to the real time gross settlement system. The ACH system went live on 14/9/2006.

3- Government Securities Registration system- GSRS
GSRS system manages the government securities issued by the Central Bank of Iraq and by the Ministry of Finance and through this system the Central Bank of Iraq can control the liquidity through the managing the auction process in which government securities are issued and the settlement processes and also the maintenance of the primary register (Main Register) including the processing of interest and redemption payment. The GSRS system went live on 17/11/2008.

4- Checks Enablement Project- CEP
It is part of the Automated Clearing House system (ACH) and the necessary preparations are under way to complete the essential requirements of the project and to train the banks to implement it and that includes printing of the checks that contain the standards that are necessary for the operating of the Checks Enablement Project and provide all banks and their branches with the special equipment for reading the magnetic checks (Check Scanner), and to develop a plan for the gradual expansion of the system to include all banks and their branches in Baghdad and governorates.