The Central Bank announces the agreement with the UAE to launch financial transfer and trade financing operations in the UAE dirham, 14 DEC

 The Central Bank announces the agreement with the UAE to launch financial transfer and trade financing operations in the UAE dirham

The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced today that they have agreed with the UAE to launch financial transfer operations between the two countries and finance trade and imports in the UAE dirham currency.

The governor’s media office announced that Ali Mohsen Al-Alaq, the Governor of the Central Bank of Iraq, had a meeting in Dubai with Hanaa Al-Rustamani, the Chairman of the First Abu Dhabi Bank Group. They agreed to initiate financial transfer operations between Iraq and the United Arab Emirates and finance trade and imports in their respective currencies. These transactions will be carried out through First Abu Dhabi Bank.

The transfer operations in UAE dirhams started on Wednesday. The first phase involves five Iraqi banks and will be gradually expanded.

He said, “This measure is part of an effort to help Iraqi banks establish relationships with credible foreign banks and aims to reduce reliance on electronic platforms for financial transfers. The goal is to adopt standard international practices that will strengthen the financial standing of Iraqi banks and enable them to finance trade more effectively.”

First Abu Dhabi Bank offered to finance clean energy projects in Iraq.

It is worth noting that First Abu Dhabi Bank is one of the world’s largest and strongest financial institutions, with a credit rating of AA- and total assets of about 300 billion US dollars.