Baghdad, Iraq – The Rabee Securities Iraq Stock Exchange Index (RSISX Index) recorded limited growth of 0.6% in October compared to neighboring markets, reflecting a measured investor sentiment ahead of Iraq’s parliamentary elections scheduled for November 11, 2025. Key contributors to the RSISX Index’s performance included National Bank of Iraq, Baghdad Soft Drinks, Asiacell, and Al-Mansour Hotel.

During the month, two non-RSISX Index companies announced dividend distributions—Cihan Bank for Islamic & Finance with a dividend yield of 2.3%, and Asia Al Iraq Islamic Bank with a yield of 2.0%. The total trading volume of the Iraq Stock Exchange (ISX) increased by 87% compared to September, reaching USD 40.2 million, supported by cross transactions. Excluding cross-transactions, trading volume still grew by 28% month-on-month to USD 19.1 million. The banking sector maintained the highest share of trading activity at 61.6%, followed by the industry sector (28.5%), telecom (4.8%), hotels and tourism (2.0%), agriculture (1.8%), and services (1.4%). Meanwhile, trading in the over-the-counter (OTC) market decreased by 15% in October to USD 177.7 thousand.

A total of 27 companies saw their share prices increase during the month, with 12 recording gains of 5% or more and 8 advancing by over 10%. Modern Construction Materials achieved the strongest performance, rising by 61.4%, followed by Electronic Industries with a 23.9% increase.

Tugba Tan Karakaya, Equity Analyst at Rabee Securities, commented:" Although the RSISX Index recorded a slight growth in October ahead of Iraq’s parliamentary elections, the notable rise in trading volume during the month indicates ongoing improvement in market activity. The increase in both total and non-cross trading volumes suggests stronger participation from local investors, particularly in the banking and industrial sectors. In addition, positive developments such as dividend distributions and progress in the Tabadul linkage project contributed to market momentum."

Among key developments in October, the Iraqi Securities Commission (ISC) approved membership requirements for Iraqi brokerage firms to trade on the Tabadul platform of the Abu Dhabi Securities Exchange (ADX) and for foreign brokerage firms to trade on the Iraq Stock Exchange (ISX), marking significant progress in the strategic linkage between the two markets. The International Labour Organization (ILO) also launched a €40 million Credit Guarantee Fund managed by the Iraqi Company for Bank Guarantees (ICBG) to empower small and medium enterprises (SMEs) by enabling up to €100 million in loans by 2031.

According to the World Bank’s MENAAP Economic Update released on October 7, Iraq’s real GDP is projected to grow by 6.7% in 2026—the highest among Arab countries—driven by recovery in the energy sector, rising oil exports, and government efforts to strengthen infrastructure and diversify income sources.