A fruitful week in the footsteps of financial and banking reform, 17 DEC

A fruitful week in the footsteps of financial and banking reform

 Economy News-  

The last week ending on 14/12/2023 witnessed clear activity and efforts by the government and the Central Bank to implement the visions, plans drawn and the roadmap contained in the methodology of financial and banking reform in paragraph 7 and other relevant paragraphs of axis 12 of the government curriculum and the new strategy that the Central Bank is working on for banking reform and foreign trade financing and reconsidering lending policies in accordance with building a national lending strategy that adopts new mechanisms for bank financing and the Riyada initiative to develop the capabilities of young people and allow them to choose

Their small and medium enterprises are pioneering in all areas of development and technology.

In addition to confirming the plans for digital transformation in the financial and banking sector and moving to the community of criticism and focusing clearly on electronic payment applications in all fields and in fruitful cooperation and high coordination with government stakeholders and with the continuous support of the Prime Minister, so it was achieved during the past week and in light of the negotiating visits to organize foreign trade financing conducted by delegations from the Central Bank, the government and banks to Turkey and to the United Arab Emirates and meetings with the US Federal Reserve Bank and the Treasury The United States, the Central Bank of Turkey and the concerned authorities in Turkey include the following:

First: Starting to open accounts for our banks in Turkish lira and euros, with the strengthening of the Central Bank of Iraq in accordance with special arrangements and understandings.

Second: Starting to strengthen the balances of our banks in UAE dirhams and agreeing with First Abu Dhabi Bank on all arrangements clearly. 

Third: Finding and strengthening the relations of our banks with foreign correspondent banks, achieving the compliance of the Iraqi banking system with international banking standards, and enhancing the advance balance in our bank accounts, and this will lead to a gradual reduction of dependence on the electronic platform in 2024.

Fourth: Meeting the Central Bank's requests for foreign exchange shipments for the year 2024 .

Fifth: Emphasis on the electronic link between the Central Bank, customs, tax, and automation of the customs system and the tax system.

To complement the procedures of the Central Bank to employ the strategy of financial inclusion and electronic payment, the decision of its Board of Directors was issued to establish the National Company for Electronic Payment Systems in Iraq.

Which will regulate, develop and manage the national electronic payment systems with high efficiency, and that the role of the Central Bank will be regulatory and supervisory on these systems, and the implementation and development of the legal and operational framework will be initiated with the participation of all relevant authorities in accordance with the Central Bank Law.

This confirms that the Central Bank and the government are working in coordination and continuous efforts to achieve financial and banking reform, which is the beginning of the successful economic reform.

The central goal is to stabilize the exchange rate and not to accept the existence of another price for trading on the black market higher than the official rate, and to eliminate speculation in the black dollar and damage the national economy.