Iraqi civil banks: central bank does not provide only a third of the needs of the dollar and the mar

Iraqi civil banks: central bank does not provide only a third of the needs of the dollar and the market yield to political and media pressure




4/7/2013 | (Voice of Iraq) -

Term Press / Baghdad accused the Public Authority for the North Bank for Finance and Investment, on Sunday, the CBI not to meet the needs of the Iraqi market of hard currency over the past five months and refer that the responsibility of private banks, while confirming that Iraq needs to pump nearly $ 300 million in Market day to fill its need of currency while criticizing the central bank remarks promised they attack him and "stems from ignorance and lack of knowledge of monetary policy." said Chairman North Bank and Investment and Finance Nawzad David Dry in an interview to the (long-Presse), "The CBI did not meet the needs of the Iraqi market of hard currency for more than five months, "noting that" more than optimal needs met by local banks what happens upheaval significant between merchants and banks. " and dry that "a large part of politicians and central bank officials contend that Iraq's needs hard currency ranging from 85 to 90 million dollars per day but in fact the market needs to more than 250 and up to 300 million dollars a day. " and stressed Dry "This speech did not come without documents or evidence," explaining that "most citizens replace the Iraqi dinar currency dollar and this one signs of market need to the dollar. " said Chairman Bank of the North, which is one of the largest banks Iraqi Special "shorten the central bank to provide hard currency and not the government's commitment policy free market happen confusion in the market," However, "But we source deserved in terms of providing money for our resources high deposits and financial strength large in this area." The Department of North Bank announced at a conference Snoop held on Saturday that its profits in 2012 amounted to 68.813 billion Iraqi dinars, the highest during the recent years among the general Iraqi private banks, which have increased in number to 35 banks, and stressed that its deposits amounted to 1.604 trillion Iraqi dinars. promised dry that "measures the central bank was probably coming after a wave of political pressure and media," asserting that "private banks do not need financial support from the government but need moral support and maintain its integrity banking and open the doors to them to deal with foreign banks are better. " It was Congress, politicians and economists have accused the Iraqi Central Bank over the past months to burn "an average of four billion dollars a month in an auction of hard currency for the benefit of ten banks, mostly with capital Gulf, buy a day most of the claims of the Central Bank of hard currency and profitable obscene up to 6% so that they control the Iraqi economy. " , said a member of the inspection department at the Directorate General to monitor the banking and credit at the central bank Ali Mahmoud said in an interview to ( long-Presse) that "the opinion of the North Bank policy of the Central Bank as a launching an attack on the bank," noting that "the reasons for this campaign is a lack of understanding of monetary policy and what is known about monetary policy." said Mahmoud said that "in recent years after the year 2003 was given to private banks complete freedom after the lifting of the benefits and the emancipation of commissions and these things are positive things for these banks. " He Mahmoud "However, some shareholders bankers ignorant just looking for profit without the knowledge of the rest of the things," and accused them of being "thinking profit pure without thinking risks to banks, "noting that" the role of the central bank is to reduce these risks and follow-up of monetary policy and مسيرها forward or retreat. " and Iraq's cabinet decided on (16 October 2012), the prime BSA Abdul Basit Turki tasks central bank governor agency instead for former Fed governor Sinan Shabibi on charges of issues financial and administrative corruption in the bank, especially in operations Auction dollars, but nothing occurs to the work of the Bank and currency auction whereas the Iraqi dinar exchange rate big drop against the dollar since jumped from 1170 dinars to the dollar in the fall of 2012 to 1270 dinars to the dollar in April 2013. The Fund said in a report issued in (21/03/2013) Following the end of consultations in Amman between a delegation of the Fund and the Iraqi delegation headed by VMware Planning Ali Shukri, and seen (long-Presse) it "an improvement in the financial sector", but stressed that it is still "need to greater efforts by the central bank to revise the monetary policy tools and strengthen banking supervision, and accelerating the restructuring of the banking system." and called on the International Monetary Fund Central Bank of Iraq to "progressive measures towards liberalizing view of foreign exchange through auctions held by the Bank so as not to repeat disorders suffered by the financial market in the last year. " UNFPA emphasized that "the establishment of a banking system nationalist requires abandoning the current model, which is controlled where weak banks state-owned is treated preferential distinguish them from private banks, "he said, calling on Iraq to do to strengthen its public financial institutions to ensure efficiency and transparency in the use of oil revenues."

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