Economist reveals corruption in granting bank loans: strange and unparalleled in neighboring countri

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[size=52]Economist reveals corruption in granting bank loans: strange and unparalleled in neighboring countries[/size]

[size=45]Economic researcher, Duraid Al-Shaker Al-Anzi, revealed the corruption rings that plague the bank loans file, while describing these loans as strange and unparalleled in neighboring countries.[/size]
[size=45]Al-Anzi said, “Loans are a major operation, and a large part of the financial and economic policy of any country, and as a result of the economic chaos in Iraq, which did not lead to anything like construction and development or methodology and stability due to the overlap of many external and internal party and personal factors, as well as the rest of the irregular legal matters for building a country.” He pointed out that “with internal borrowing, a country can be built, as with an amount of (5) billion dollars from the Central Bank to the Iraqi private sector, given directly and with the least possible interest and once, i.e. interest, (because the Central Bank is a non-profit institution and this is supposed, but it abandoned it), we can prepare for 50 thousand medium-sized factories and operators in 15 governorates, and operate various industries and agriculture in these governorates.” He noted that “4 to 5 million unemployed workers are withdrawn, as we mentioned, with the lowest interest rate, but through banks, money is provided, withdrawn and deposited inside banks and not outside them, and this means that banks will recover within months.”[/size]
[size=45]Al-Anzi added, “If the loan is through banks, interest must be taken from the borrower, and here the relevant authorities must intervene to impose an interest rate not exceeding 2%, because the amounts are high, and it is not possible for private government banks to achieve any profitability within 10 years of operation or more.”[/size]
[size=45]He continued, "A law must be enacted for banks and insurance companies to participate in the process, by appointing monitoring and guarantor partners to eliminate all corruption rings, with participation rates of 5% less or more for a period of twenty years, as this process depends on future development, and this procedure is considered the simplest solution for domestic productive loans."[/size]
[size=45]Al-Anzi added, “Housing loans are strange, as the more loans there are, the more the prices of housing or residential units rise significantly.” He indicated that “the position of the Central Bank in this regard is questionable in its credibility and the validity of its work, whatever the justification.” He added, “Loans and domestic lending in previous and current periods are an ugly usurious process that burdens the borrower in repaying and paying off the loan, and for the interest that reaches 50% of the loan principal, and there is no equivalent to it, at least in neighboring countries, which forces the borrower to even give up the project or residential unit for the purpose of repayment.”[/size]
[size=45]He concluded, “Many citizens have refrained from borrowing because it involves usurious interest, as a Central Bank official recently stated, saying that the size of housing loans has reached 10 trillion dinars, while the number of deposits has not reached this number, so we repeat that the lending or borrowing policy is an economic policy, and it is far from deadly usury and the ugliest exploitation of the citizen or the industrialist or agriculturalist.” He stressed that “the percentage of housing borrowing was close to 30% of the allocated amount, and the percentage of industrial and agricultural borrowing did not reach 3 or 4% of the amount offered as a loan, as the lack of attention by decision-makers in the state to this issue and its treatment is one of a series of lack of attention to the economy as a whole.”[/size]
[size=45]It is worth noting that government and private banks are more like independent bodies and no authority over them except for the Central Bank of Iraq. All their procedures and instructions, the advances and financial loans they grant, and the banking interest they impose are completely independent of the government, its ministries, and its institutions, according to many statements and declarations issued by the Central Bank of Iraq, the banks themselves, government officials, and representatives, at previous times.[/size]
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