Abstarct: The aim of the present study is to investigate the moderating role of financial literacy in the effect of behavioral biases on individual investor decisions among retail investors in the Iraqi capital market. This study is applied in terms of purpose and is a descxriptive survey. The statistical population includes investors in the stock market in Iraq, so a simple random sampling method was used to select a sample of 384 people using the Cochran formula. To collect data, questionnaires on behavioral biases, investor decision-making, and financial literacy were used. The validity of the questionnaires was confirmed by experts and also by calculating divergent and convergent validity. The reliability of the questionnaires was obtained using Cronbach's alpha coefficient for the variables, which were all more than 0.7 and were confirmed. For statistical calculations, SPSS software was used for descxriptive statistics and SmartPLS for inferential statistics and hypothesis calculations. The findings of the study showed that behavioral bias variables (agency bias, anchoring bias, overconfidence, herding bias) have a negative effect on investors' decisions, but behavioral bias variables (risk-taking bias, disposition bias) do not have a significant effect on investors' decisions. Herding bias and overconfidence bias, along with financial literacy, also have an effect on investors' decision-making, but behavioral biases (agency bias, anchoring bias, risk-taking bias, disposition bias) do not have a significant effect on investors' decisions.