Editor: BK, BS
2013/05/15 17: 56
bankers and economies, on Wednesday, the Finance Ministry and the
Central Bank of Iraq responsible for the sagging reality of local
private banks, while the latter accused of promoting Arabic and Iranian
banks at the expense of Iraq, and threatened to stage a sit-in if not
amended their laws, economic analyst, believed that "the current
situation does not allow banks to move towards investment banking
culture is still" incomplete ".
This came during an economic
conference held at the Iraqi Gulf Bank building, the capital, and
attended by a group of banks involved, as well as (range).
Bank: Bank of not listening to the views of private banks
Chairman of Gulf Bank, of "not listen Bank Centre for private banks and
deal with it like a child", "amend some laws and regulations on the
work of the private banks.
Munir Al-jubouri says, speaking to the
(extent), on the sidelines of a symposium, "the Finance Ministry denies
official circles for 10 years from the deposit accounts or accept
certified Bank instruments", adding that "the current legislation are
not commensurate with the economic revival of Iraq."
called for the need to modify some of the rules and regulations for
private banks ", stating that" the Central Bank does not listen to the
views of the private banks but handles like a subsidiary. "
Banker: Arabic and Iranian banks encouraged the Iraqi account
accused the Chairman of the Board of Directors of the Bank of the Iraqi
economy, Hossam Obeid, Central Bank "Arabic and Iranian banks
encouraged the Iraqi account, threatening that the private banks" will
organize a peaceful protest if the Central Bank continues with its
current policy. "
The attributes in an interview (range) undo
reality private banks to "lack of confidence", the Central Bank accused
Central Bank "Arabic and Iranian banks encourage over Iraq, although
foreign banks capital does not reach one quarter that of the Iraqi
And threatened that private banks "will organize a
peaceful protest if the Central Bank continues with its current policy
with private banks.
A: If the Government does not deal with the private sector, how citizens
to Managing Director of the Iraqi company for bank guarantees Amin
Abdel Sattar, "missing cooperation between the public and private
sectors", wondering "If the Government does not deal with the private
sector, how will treat the citizen."
Curtain, recalls in an
interview (range), "or missing between the Government and private
sectors in Iraq", adding: "How can we expect the citizens to deal with
the private banking sector if the Government itself does not deal with
Abdul Sattar, called on the Government to "issue a package
of laws and regulations in support of the banking industry, particularly
in the private sector."
Analyst: banking culture still incomplete
a related level, economic analyst, believes that "the current situation
does not allow banks to investment orientation, culture in Iraq still
Majid says mock, told the (term), "culture in Iraq
lacking either for the Government or banks or citizens", pointing out
that there was a "need for a long time to get to the culture of
cooperation between banks and the various sectors.
This is not
the first time that the attacks involved the banking sector in Iraq,
Iraqi politicians and bankers attacked, at the first annual Conference
for entrepreneurs, which was held at the headquarters of the Islamic
Supreme Council in the capital Baghdad, (9 March 2013), fiscal policy in
Iraq, said the country's banking system is the "most backward" between
the States of the region, while the Central Bank trends made private
banks "atypical and without a father", felt that "corruption" of the
administrative and bureaucratic procedures in some institutions turned
into "Ways to blackmail. "
And deputies, politicians and
economists have accused the Central Bank of Iraq over the past months to
burn "on average four billion dollars a month in hard currency auction
for ten banks mostly Gulf capital, buy a day most posed by Central Bank
currency and obscene profit up six percent to control Iraqi economy."
Iraqi Cabinet decided on (16 October 2012), head of the Office of
financial supervision Abdel Basset Turki, Governor of the Central Bank,
rather than the previous Bank Governor Sinan Al-Shabibi, "accusing him
of financial and administrative corruption" at the Bank especially in
the auction on the dollar, but that nothing has changed on the work of
the Bank and auction currency while the dinar has witnessed a big drop
against the dollar, rebounding from 1170 dinars per dollar in the autumn
of 2012, to 1,270 dinars Per dollar in April 2013.
The IMF said
in a report released in (21 March 2013), following the end of the
consultations held in the Jordanian capital of Oman, between a
delegation from the Fund and an Iraqi delegation led by the Minister of
planning Ali Shukri, obtained by (range), the improvement in the
financial sector, but stressed that it still needs "greater efforts by
the Central Bank on monetary policy tools revision and strengthening of
banking supervision, and to accelerate the restructuring of the banking
The IMF called on the Central Bank to "gradual
liberalization measures introduced foreign exchange through auctions
held by the Bank so that repeated disturbances suffered by last year's
The Fund stressed that "the establishment of a
national banking system requires abandoning the current form, which is
dominated by the weak State-owned banks that enjoy preferential
treatment to distinguish it from private banks", calling on Iraq to
strengthen its public finances to ensure efficiency and transparency in
the use of oil revenues. "
The private sector has seen a great
decline after 2003 due to increased government support, especially for
the industrial sector, which has led to most of the plants and factories
stopped work due to its inability to compete with subsidized imported
goods in States that come from them, which are subject to large fees, as
well as local problems caused by energy and fuel crises and insecurity,
the ageing of equipment.