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In October 2007, he was nominated by the opposition Iraqi Accord Front to the Council of Representatives of Iraq, replacing Abd al-Nasir al-Janabi, who had resigned to join the insurgency.
The Constitution of Iraq states that the central bank is a financially and administratively independent institution, responsible before the Council of Representatives of Iraq.
Obeidi became the leader of the Iraqi Accord Front parliamentary bloc in May 2009 when the previous leader, Ayad al-Samarrai, became the speaker of the Council of Representatives of Iraq.