Challenges facing the digitization of public finances in developing countries, with particular reference to Iraq

Abstract

Financial digitization is a modern concept that emerged and developed after the Fourth Industrial Revolution, also known as the Digital Revolution. This revolution resulted in the widespread use of digital technology in the financial sector. The research problem addressed is the extent to which Iraq has adopted financial digitization systems and their application in public finance, as well as Iraq's global ranking in digital transformation. The research aims to determine Iraq's progress in digital transformation, the capacity of its digital systems to absorb modern technology in the financial sector, and the economic benefits offered by digital systems in public finance. The research concluded with several findings, most notably that Iraq ranked low in the development of digital government and was among the countries classified as (D), which includes the lowest-ranked countries in financial digitization. The research concluded with a set of recommendations, the most important of which is the government's serious efforts to develop digital infrastructure and provide a sufficient framework to support digital transformation.