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Middle East

Money, cards and tipping in Iraq

Capital: BaghdadArabic, Kurdish, ArmenianUpdated October 2026
IQDDinar

Money in Iraq

Mostly cash Cash economy: dinars for daily spending, dollars for hotels, drivers and big purchases. Cards work mainly in upscale Erbil and Baghdad hotels and malls. US$1 ≈ ع.د1,310.22 (03 Oct 2026).

Key facts

Cash or card, by place

PlaceCardsNotes
BaghdadMostly cashIraqi dinars for daily spending; dollars for hotels, drivers and big costs. Cards work only in upscale hotels, malls and some restaurants.
ErbilMixed: cards and cashCards work at hotels, malls and some restaurants; cash in dinars for bazaars and taxis, with dollars accepted.
KarbalaMostly cashIraqi dinars for almost everything; dollars accepted at hotels. Few places take foreign cards.

Quick answers

Do you tip in Iraq?

Not expected in cheap places; about 10% in nicer restaurants. Tip drivers and guides.

Is Iraq cashless?

Mostly cash. Cash economy: dinars for daily spending, dollars for hotels, drivers and big purchases. Cards work mainly in upscale Erbil and Baghdad hotels and malls.

What currency does Iraq use?

The Dinar (IQD). US$1 ≈ ع.د1,310.22 (03 Oct 2026).

Sources

Compiled and reviewed by SoloSquare. How we compile and score this. Spotted something out of date? Tell us.