A call for the formation of a supreme body of the banking reform

A call for the formation of a supreme body of the banking reform


19/05/2013 12:00 AM


Specialists: private banks claim to take off from government deposits dream

BAGHDAD - Hussein ثغب of Tamimi

Examine a number of experts, finance and economy ways to improve by the bank in Iraq, where the person concerned in this regard kinks and the seriousness of the current situation of private banks in the country, arguing the importance of developing treatments for inter problems through the gate of cooperation between governmental bodies with regard, the private sector banking, came during a seminar dedicated panel discussion organized by the Gulf Bank under the title of the banking system in Iraq, the reality and the challenges and processors, where he chaired the seminar, former Minister of Planning d. Mehdi al-Hafez.

Numbers and indicators
Director General of Statistics at the Central Bank and Walid Idi first speakers, where Asard factors establishment of banks, and pointed out that the Iraqi banking system consists of the Central Bank of Iraq in addition to the 54 banks, including seven state banks are (Mesopotamia, rational, TBI commercial, agricultural cooperative and industrial, real estate, Iraq) in addition to (47) private banks, including 12 branches of foreign banks, and there are seven posts by Arab and foreign countries in the capital of Iraqi banks, which allowed the Banking Act No. 94 of 2004 and the regulations issued under the participation of foreign banks in the capital Iraqi banks, this review ranged between 45 percent and even more than 85 percent in some banks.

Cash reserves
He added that the statistical indicators indicate total assets of State-owned banks up to (173) trillion dinars, compared to 18 trillion dinars for private banks until 31/12/2012 for a total assets (191) trillion dinars, and saw the capital of state banks increases in a row to reach until the end of the month of December The first 2012 (1,354) billion dinars ($ 4,622) billion dinars for private banks, reserves amounted to 956 billion dinars for the banks and government (275) billion dinars for private banks. The balance of total deposits (62) trillion dinars, and the share of government banks, including 53 trillion dinars, compared to 9 trillion dinars for private banks up to December 2012, while total credit cash and promissory for banks (73) trillion dinars, amounted to the share of government banks (57) trillion dinars, compared to 16 trillion dinars for private banks up to 31/12/2012.

The absence of banking strategy
And the most general observations about the Iraqi banking system pointed Idi to the low density bank which amounted currently limits a bank branch and one for each (40,000) people, which is low compared to global normative amounting to banks and one each (10,000) people, and the absence of strategies banking actors and detailed plans annual The majority of banks and stipulated by the Banking Act, as well as the absence of institutions chock of the banking system, such as Deposit Insurance Corporation, and the other for large loans Insurance, Inc. to study the market risk.
Culture of governance

While eating banking expert d. Sadiq Rashid Al Shammari a series of challenges faced by banks and الموسسات Finance in Iraq as a result rapid changes in information technology and financial crises in spite of considerable efforts made by the Monetary Authority and the Ministry of Finance, pointed out that in spite of the support of the banking sector of Iraq still these banks face significant challenges due to conditions experienced by the country, as well as the need to staff the banking qualification has and development of the banking business, and the use of modern technology as a network communications and information systems, the Internet and the adoption of methods regulatory and financial disclosure and accounting for the financial statements, and said the phrase of these factors can be considered the challenges in front of Iraqi banks that operate hard in collaboration with the Central Bank to overcome, it is a destination and non-compliance with regulations and rules, which represent a letter the bank and the basis of his work, which should be adhered controls governance and mechanisms as evidence of the work of financial reform, institutional and spared the operations of corruption has been limited to some of the problems and constraints faced by financial and banking institutions in Iraq. added After studying the reality in which they operate banks and represented weakness and limited interest in the mechanisms of internal governance and external by the supervisory authorities and regulators for the purpose of forcing banks and financial institutions to take corrective action, and the weakness of the limited or lack of special units selection pressure, which is part of the culture of governance.

Delay in the use of modern technologies
As an expert private banking Samir النصيري pointed to the challenges facing the banking sector in Iraq and ways to overcome them in spite of considerable efforts made by the Monetary Authority and the Ministry of Finance, there are still these banks face significant challenges because of the circumstances experienced by the country, as well as lack of staff banking qualification has and underdevelopment in the means of the banking business, as well as the delay in the use of modern technology as a network communications and information systems, the Internet and not to adopt regulatory methods and financial disclosure and accounting for the financial statements.

A new law for banks
النصيري stressed the need for a strategic plan for the development of the technology used in the banking system, according to the possibilities available and linking banks communications network and terminals with the Central Bank of Iraq, and finding legislative environment banking allow for the development of the banking system through new legislation for banks to line with current developments and future of the banking system and the issuance of Law Islamic banks to reconsider amending other laws related to monetary policy into law the Iraqi market for papers Alamalih and the Securities Commission Act and Mawal laundering law and investment law and the law of registration of companies.

Wide spread for banks
But Abdul Aziz Hassoun said: Despite the big challenges, the banking system, Iraq continued to search for what lead and achieve more progress and development in performance, with regard to banks for the presence has spread across the land of Iraq in large numbers, bringing the number of branches of commercial banks, including the end of 2012 to 439 and Islamic to 79 branch for the number of employees in all of them, has reached 11725 added to the branches of foreign banks to successively opened since 2006 to reach 16 branches key followed by 25 branches, including 12 in Baghdad and the rest in other folders. As for the capital is assumed that it will be in 06/30/2013 Next about 7.5 trillion dinars. Also, these banks are currently using technology in the banking systems of advanced concerning the collection instruments clearing and payments system and the system of the World Wide Web, here you jump in front of our gaze many questions most important that we, as we have invested a lot in the development Why Anhakq ​​feasibility to use it, no doubt that this question of the project Sndjabha back to the traditional disposable say this is ahead of us and this answer is no longer convincing.

Government deposits
He said that private banks in Iraq these financial capacity and performance means to Aalaha persevere, however, to work and to Atemd out to any third party in order to give them occupied.
For this particular ASEAN continued for the past four years Pressed on member banks at a level that makes other companies and individuals and bodies so that the government is seeking to get a chance to deal with it. This is not taken until after the private banks to stop dreaming government deposits, which are basically not unusual deposits, but are allocations to institutions and government departments, launches into maturity.

The reluctance of the citizen
But what is happening today, the reluctance of citizens to deal with the banks is increasing, and the index lower savings and savings accounts in banks seemed clear direction of the sharp drop compared to what it was (relatively) before a change in Iraq, and this confirms the panic that must join together everyone's efforts to implement program to be established Bank Alrkza to reduce this deterioration. increased, we must when dealing with these things or similar that Antrdd in that optimistic about the future of banking in Iraq, which left a lot in front of management to realize the tasks of creating a new life for generations to come.

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