US sanctions, with Iraqi approval, on 16 private banks affiliated with political parties

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[size=52]US sanctions, with Iraqi approval, on 16 private banks affiliated with political parties[/size]

[size=45]Baghdad / Tamim Al-Hassan[/size]
[size=45](Al-Mada) learned from reliable sources that severe penalties were imminent against more than 15 private Iraqi banks affiliated with political parties, due to the dollar crisis.[/size]
[size=45]The sources confirm that the government and most of the forces of the coordination framework are “supportive” of the US sanctions, which are expected to be implemented at the end of next month.
It is estimated that these banks smuggle more than 100 million dollars a week to 4 neighboring countries, including Iran.
On the other hand, the government is expected to announce measures described as “decisive” regarding the deterioration of the dinar’s price, in an imminent meeting with the coordination framework.
Political sources close to the “framework” said in an interview with (Al-Mada) that “the US sanctions will affect 16 private banks affiliated with political parties and supported by well-known personalities.”
The sources indicated that these banks are “accused of smuggling currency through huge transfers or black transfers (smuggling outside banking dealings by land or air freight) to Iran, Turkey, Jordan, and Syria.”
The sources revealed that "estimates of the weekly smuggling of hard currency range from 100 to 250 million dollars."
And the sources confirmed that “the government and most of the forces of the coordination framework are interested and supportive of the US sanctions on those banks because they want to stop the waste of money, and they estimate that this may lead to losses and a temporary crisis in prices.”
And the sources add that “the penalties that will be imposed on banks and on the balances and accounts of some personalities associated with them will be after the end of the Gulf Championship 25, which will be held after the middle of next month.”
Al-Mada had revealed the day before yesterday that there was a division within the coordination framework because of those sanctions, and the government's position close to US policy.
The government feels embarrassed by the dollar's rise, as it continues to rise against the dinar, reaching until yesterday evening the threshold of 1,600 dinars against one dollar.
On the other hand, due to the intense pressure on the government, Prime Minister Muhammad al-Sudani deleted all his previous tweets on “Twitter”, in which he was calling at the time (when he was a deputy) to reduce the dollar and warning of a “hungry revolution.”
According to the leaks, a crucial meeting will be held in the coming hours for the coordination framework, and the prime minister may attend it.
On the other hand, sources close to the ruling coalition confirmed that “there are measures that may be taken during the next short time, such as sacrificing the governor of the central bank due to complaints about the bank’s ineffectiveness in the crisis.”
In addition, according to the sources, “the government may sell dollars directly to merchants in return for documented purchase invoices, or give part of the employee’s salary in dollars.”
In this regard, the Prime Minister, Mohamed Shia Al-Sudani, urged the Central Bank to activate steps to sell foreign currency at the official rates for citizens.
A statement by the media office of the Prime Minister stated that “Al-Sudani met with the Governor of the Central Bank, Mustafa Ghaleb Makhaif, where he listened to a detailed presentation on the rise in the foreign exchange rate, and the most important measures taken by the bank in this field.”
Al-Sudani urged the Central Bank to achieve general stability of prices and the exchange rate, in accordance with the tasks stipulated in Articles (3 and 4) of the Central Bank of Iraq Law, which stipulate that the Central Bank aims to achieve stability in the local exchange rate, organize and monitor the work of banks and enhance the safety and efficiency of payment systems. Payment system development.
And he stressed, “the need for the bank to take the necessary measures to prevent illegal speculation, and everything that harms the local market and leads to higher prices.”
And the statement continued, "Al-Sudani also urged the activation of steps to sell foreign currency at official prices to citizens through purchasing with electronic cards, opening sales outlets for travelers, or clients outside Iraq, or financing foreign trade, in accordance with the fundamentalist contexts and international standards for opening documentary credits and remittances."
The governor of the bank presented to the Prime Minister the positive position of the financial situation, stressing that “the crisis regarding foreign currency is an emergency crisis for technical reasons, and coincided with the work of the new electronic platform and the delay in transfers due to the Christmas holidays.”
And the economic advisor to the Prime Minister, Mazhar Muhammad Salih, said in press statements that “the slight fluctuations in the exchange rate outside the current central rate have come for internal and external reasons.”
Saleh revealed that what is happening is because there is a monopolistic activity within the market that acts outside the regulatory controls stipulated in the Anti-Money Laundering Law.
On the other hand, informed political sources indicated that “Iraq is on the verge of an increase in revenues, as it is expected that the price of a barrel of oil will rise to 120 dollars in the coming days due to the continuation of the Ukrainian crisis and the decline in the American stock of oil.”
And the sources continued, “This is why the United States wants to closely monitor the revenues and what is being spent at home on infrastructure, projects, and funds that are transferred abroad, and the extent of their conformity with the bills.”
And the sources indicated that “the citizens’ dealings with private banks (opening an account, or credits) constitute only 23% of their activity, while the rest of the transactions are remittances and money laundering.”
The sources confirmed that there are 80 private banks in Iraq, 62% of which are owned by Iraqis and 18% by foreign (non-Iraqi) personalities.[/size]
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