Abstarct: The present study aims to analyze the impact of sustainable financing, including the components of service procurement, financial resource mobilization, and financial resource management, on the financial performance and competitiveness of banks in Iraq. In the increasingly complex and competitive environment of modern banking, identifying the key drivers of financial sustainability has become a critical necessity. This research is applied in terms of purpose and descxriptive-survey in terms of methodology. The statistical population consisted of managers and experts working in Iraqi banks, from which a sample of 380 respondents was selected. Data were collected using a questionnaire and analyzed through Structural Equation Modeling (SEM) using SmartPLS software.The findings indicated that sustainable financing through the components of financial resource mobilization and service procurement has a positive and significant effect on the financial performance of banks. However, the effect of financial resource management on financial performance was not confirmed. Regarding competitiveness, the results showed that financial resource management and service procurement have a positive and significant impact on enhancing banks’ competitiveness, whereas financial resource mobilization alone did not demonstrate a significant effect on competitiveness.Overall, the results suggest that a strategic combination of resource mobilization and outsourcing specialized services (service procurement) plays a key role in improving the financial performance of banks. Furthermore, intelligent financial resource management and the effective utilization of external capabilities are considered major drivers for strengthening competitive positioning in the banking market. It is recommended that bank managers revise financial management models and strengthen inter-organizational collaborations in order to achieve financial sustainability and sustainable competitive advantage.