Sunday, August 4, 2024

US Treasury Takes Control of Iraq's Central Bank to Combat Money Laundering,, 4 AUGUST

 Three informed sources close to the political and parliamentary decision-making process in Baghdad revealed extremely dangerous information confirming that the US Treasury Department has taken a permanent headquarters in the Central Bank of Iraq building.

They considered that this step came as a result of the great pressures on the Iraqi banking system with the aim of limiting money laundering and dollar smuggling, as the governor of the Central Bank was forced to allocate an entire floor for US Treasury departments to monitor money transfers and prevent any illegal activities.

The three sources confirmed that a team of American employees is working permanently at the Central Bank of Iraq, as part of intensive efforts to ensure Iraq's commitment to international standards for combating money laundering and terrorist financing.

The sources stressed that the Iraqi banking sector is suffering from increasing pressures exerted by the US Treasury to prevent the smuggling of dollars to countries such as Iran, Russia and Syria, which are facing economic sanctions.

One of the sources explained that the governor of the Central Bank of Iraq tried to resist these restrictions, but the American response was strict, as the Central Bank of Iraq was included among the institutions considered to support money laundering operations and failure to comply with sanctions.

In previous reports, the US Treasury imposed severe sanctions on several Iraqi banks, on charges of involvement in money laundering and dollar smuggling. The policy of the Central Bank of Iraq is characterized by randomness and the absence of a clear strategic plan to protect Iraq's money from smuggling, which prompted the US Treasury to impose strict and direct control over the Central Bank and Iraqi banks.

Iraqi banks are currently undergoing a rigorous evaluation process under the supervision of the US Treasury Department, which includes monitoring all banking operations and money transfers. This situation reflects the great challenges facing the Iraqi banking system in light of the ongoing efforts to reform it and improve its image before the international community.

On the other hand, Prime Minister Mohammed Shia al-Sudani has repeatedly sought to ease these measures, trying to reach understandings with the American side. But there is strong resistance from Washington, which insists on correcting the course of the economic process and reforming the banking system in Iraq. Al-Sudani finds himself in a difficult position, as he must balance internal pressures and international demands.

In a broader context, the current situation reflects the complexity of the relationship between Iraq and the United States in the financial and banking sphere. While Iraq seeks to preserve its sovereignty and the independence of its banking system, the United States continues to exert pressure to ensure that the Iraqi banking system is not used to finance illicit activities. link

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