Central Bank: the financing of small and medium enterprises and support defaulters aims to promote the reality banking
Author: ASJ, HH
Editor: BK, HH
Number of Views: 205
Long-Presse / Baghdad
The Central Bank of Iraq, on Thursday, that the amount allocated for the financing of small and medium enterprises trillion dinars, will be allocated for the banks are ready for it to sustain their liquidity and revitalization, and pointed out that it will lend banks that suffer a shortage of liquidity to increase its capital, as decided to accept the properties of some banks that applied for financial loans to increase its capital, counting those actions aimed to promote the reality banking to be consistent with the requirements of the current stage.
He said the Council of the Iraqi Central Bank board member Majid picture, in an interview to the (long-Presse), "The process of economic development without relying on the budget is the main reason which made the central bank to take a number of decisions, including the financing of small and medium enterprises to domestic banks."
He added the picture, that "the central bank decided to ask trillion dinars to be used to finance small-scale projects, where it is possible to medium enterprise finance up to $ 250 thousand dollars," noting that "banks that finance these projects, then made a disclosure to the central bank, which is based directly pay amounts for banks in order to perpetuate their liquidity and revitalization. "
A member of the Board of Management of the Central Bank of Iraq, that "all banks covered by that decision," but he also said, "but not all are willing to finance small and medium projects, so it will be funding on this basis."
And on the bank's decision to put capable of addressing the situation of some private banks that cash-strapped procedures, said the picture, that "the central bank will grant loans appropriately for banks that suffer a shortage of financial liquidity to increase its capital," pointing out that "the central bank decided to accept the properties of some banks I applied for financial loans to increase its capital. "
He said the picture, that such "actions carried out by the central bank aims to promote the reality banking to be consistent with the requirements of the current stage."
The Central Bank of Iraq, the first on Tuesday, (the 19th of May the current 2015), launch trillion dinars for private banks to finance small and medium enterprises loans, and increase the share of dollar sales for banking companies and foreign transfers, and the development of measures to to address the lack of liquidity in some banks.
The Central Bank of Iraq, revealed in (the 19th of March 2015), the presence of a number of private banks lagging in its work during the last term, while attributing it to non-payment of dues of contractors and clients as a result of "lack of liquidity", vowed to dealers funds with banks Civil lagging through the legal reserve.
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