International Acclaim for the Central Bank of Iraq: A Model for Strategic Development in Banking
The Central Bank of Iraq (CBI) has received international praise for its efforts in developing strategies that serve the growth and development of the banking sector. In a significant collaborative move, the International Finance Corporation (IFC), a member of the World Bank Group, and the CBI signed an agreement to enhance sustainable financing in Iraq. This partnership aims to develop environmental and social risk management guidelines for the banking sector and launch a seven-year Sustainable Finance Roadmap and Environmental, Social, and Governance (ESG) Code.
Strategic Partnership for Sustainable Finance
The Sustainable Finance Roadmap, which spans 2023 to 2029, outlines the CBI's strategic plan to improve the performance of Iraqi banks in environmental and social risk management, encourage the availability of sustainable banking products, and enhance the competitiveness of the banking sector. The ESG Code sets standards for Iraqi banks to incorporate into their business strategies and investment decisions, addressing ESG risks across the sector.
Model for Global Banking Strategies
The CBI is recognized as a model for developing strategies to support the banking sector's development. Fawaz Al-Balbisi, the Regional Director for Saudi Arabia, Lebanon, and Iraq at the IFC, highlighted Iraq's comprehensive approach to governance and environmental and social accountability, positioning the CBI as a leader in the strategic enhancement of the banking sector.
Facilitating Private Sector Growth
The CBI has also launched a National Strategy for lending to the private sector, aiming to promote growth by facilitating access to bank credit for small, medium, and large enterprises. The strategy addresses the gap between the private sector's demand for financing and the supply from financial institutions, targeting the real economy with increased financial support and facilities.
Challenges and Opportunities
Despite these strides, Iraq faces challenges in enhancing export capacity, diversifying the economy, and modernizing its financial and banking sectors. Corruption and the lack of basic services remain widespread in the country.
No comments:
Post a Comment