The Governor of the Central Bank of Iraq, Ali Mohsen Al-Alak, chaired the first meeting of the Supreme Executive Committee of the National Strategy for Bank Lending in Iraq, which was formed under Diwani Order No. 51 of 2024, in the presence of undersecretaries of ministries, organizations and concerned authorities.
A statement from the bureau of the bank received by “Economy News” stated that during the meeting, the importance of the role of the banking sector and government and private institutions were discussed and their role in implementing this strategy and implementing the main axes and sub-goals of the national strategy for bank lending was discussed.
The governor stressed that the national strategy for bank lending aims to revitalize and stimulate the Iraqi economy as well as achieve growth in all fields, to which this strategy will contribute through the establishment and expansion of small, medium and large enterprises, stressing the importance of the cooperation of the relevant authorities in the success of this task, which is a priority at the national level in providing job opportunities for young people and investing their energies and capabilities in a way that achieves economic growth in economic sectors.
It is noteworthy that the Central Bank of Iraq launched on May 25, 2024, the National Strategy for Bank Lending in Iraq for the years 2024-2029, in the presence of a number of officials and representatives of diplomatic missions and international organizations, and the axes of what is stated in the strategy and the mechanisms of action on it were determined according to its competence.
“Al Alaq: Bank lending strategy aims to stimulate the economy”
This is part of the monetary reforms. We are watching them do the reforms. We are watching the deletion of the zeros and the raising of the values.
“Iraqi Government issues new decisions”
Everything in this article that they have just done is screaming REER. (Real Effective Exchange Rate) And that is what I am hearing from my folks at the Finance Ministry. They believe we are circling close to the rate change.
Based on the decision of the Council of Ministers to approve the National Strategy for Bank Lending in Iraq on 18/8/2024, which was launched by the Central Bank on 25/5/2024, where the Supreme Executive Committee of the Strategy began its work and held its first meeting under the chairmanship of the Governor of the Central Bank, which is a clear announcement on the beginning of the actual phase of implementing its strategies for banking reform, which includes what is contained in its third strategy, the National Lending Strategy, environmental and community standards and the mesotical governance of banks.
A clear roadmap was drawn in agreement with Oliver Wyman International to start developing the banking sector. This means that it has completed the first phase of the banking reform process, which is to draw up policies, programs and standards, and determine the main and sub-goals of the transition to achieve the completed reform to achieve tangible and important results in the field of regulating the financing of foreign trade and regularization of the global financial system through strict adherence to international compliance standards,
building sober international banking relations with international banks and correspondent banks, and introducing the local currencies of countries with important trade exchange with them to deal with their local currencies in addition to dealing in the US dollars. As well as activating and strengthening its procedures in the transition from the monetary economy to the digital economy and cooperating with the government in expanding the use of electronic payment tools and spreading the culture of transition to a cash society.
Certainly, the above tasks have occupied a great space of efforts at the local and international levels. Within the map of reform, which is led by the Central Bank with the cooperation and support of the government and the support of the Prime Minister personally, the focus will be on restructuring government and private banks that does not allow the existence of troubled and non-sobtr banks, and starting to implement new policies to support and develop micro, small,
medium and large enterprises and support youth, according to the National Lending Strategy, according to achieving two main objectives. The first is to increase the credit granted to the private sector by 4% of the non-oil GDP until 2029 and the equivalent of 7 trillion dinars, and the second is to increase credit to finance micro, small and medium-sized enterprises by 3% of the non-oil GDP and equivalent to 5 trillion dinars (5% of the gap in financing),
which contributes to the operation of 100,0 thousand projects to activate and stimulate Economy and achieving development in addition to starting with the establishment and authorization of Riyada Bank and the green bank’s license, which will specialize in sustainable financing of renewable energy projects, as well as going to the license of digital banks to keep pace with progress in the field of modern digital banking products.
The online platform will also be left gradually this year. One of the tasks that will begin to be done is to rehabilitate banks restricted from dealing in US dollars to comply with international standards in light of the work of the joint committee between the Central Bank and the US Treasury, through which international audit companies will also analyze and audit the work of these banks in the activity of foreign transfers for previous years in the hope that restrictions will be lifted on them. What is expected from the measures and policies adopted by the Central Bank and achieved and what will be achieved later will be reflected in achieving economic stability by overcoming the challenges of stability in the financial system and the monetary system, which will contribute to the stability of the exchange rate and the recovery of the Iraqi dinar inevitably.
Shafaq News/ The Gulf Cooperation Council countries signed, on Wednesday, a contract to implement the Gulf electricity market linkage project with Iraq, which will enhance energy security and allow the GCC countries to supply Iraq with about 3.94 terawatt-hours annually at competitive prices less than the cost of local production, leading to a reduction in public expenditures .
The signing took place at the headquarters of the Gulf Interconnection Authority in Dammam, eastern Saudi Arabia, under the patronage of Saud bin Bandar bin Abdulaziz, Deputy Governor of the Eastern Province, who launched the update of the control center systems for the electrical interconnection network, which aims to improve the efficiency and flexibility of electricity systems in the face of current and future challenges.
Bin Badr Al-Aziz stated that implementing the project to link the Gulf electricity market with Iraq will contribute to the sustainability of energy supply and the establishment of local projects, and enhance the stability of the electricity grid in Iraq, which reduces dependence on expensive traditional energy sources and increases the effectiveness of using available resources .
He stressed that the Gulf electricity interconnection project is one of the strategic projects that strengthens the bonds of cooperation in the economic and social fields between the GCC countries and neighboring countries, and enjoys the support of the leaders of the GCC countries in order to achieve security and stability of the energy system in the region .
Bin Abdulaziz stressed the need for expansion and that the role should not be limited to ensuring the flow of energy only; as the actual steps have begun through signing memoranda of understanding to study the possibility of electrical interconnection with Iraq, Jordan and Egypt, and at the beginning of next year, the actual operation of the interconnection with Iraq will begin.
He explained that signing the contract to implement the Gulf electricity market linkage project with Iraq will contribute to enhancing energy security and enable the GCC countries to supply Iraq with about 3.94 terawatt-hours annually, according to the goals set for 2025, and at competitive prices less than the cost of local production, which will lead to reducing public expenditures.
The Trade Bank of Iraq (TBI) announced on Wednesday that it has taken a series of measures to support the stability of the exchange rate and prevent exploitation by speculators.
The Director of the Tahrir Branch at the Iraqi Bank, Yarab Al-Hashemi, said in a statement reported by the official news agency, and reviewed by “Al-Eqtisad News”, that “the bank’s management has taken a series of measures that would stabilize the exchange rate and prevent manipulation in the market, including increasing working hours in the bank’s branches, which had an impact on the speed of completing merchants’ transactions, the smoothness of financial transfers, and eliminating the momentum in that.”
He added, “There is a series of measures being taken successively that will have a clear impact on controlling the exchange rate, preventing speculators, and limiting the granting of dollars to the beneficiaries exclusively.
” Prime Minister Mohammed Shia Al-Sudani directed “intensifying inspection procedures in financial transfer operations and not being lenient or lenient in pursuing speculators who exploit the crises that the region is going through; to achieve personal profits and benefits at the expense of the public interest of the country.”
WOLVERINE Tues. 8 Oct. 2024 Wolverine “We’re home, just hold on for another day.”
Mon. 7 Oct. 2024 Wolverine “The digital banking system in Iraq has been spreading salaries for three days. Digital banking system is working now in Iraq. The rate can change any moment from now.”
The Central Bank continues the actual implementation of banking reform plans
Based on the decision of the Council of Ministers to approve the National Strategy for Bank Lending in Iraq on 8/18/2024, which was launched by the Central Bank on 5/25/2024, the Supreme Executive Committee for the Strategy began its work and held its first meeting headed by the Governor of the Central Bank, which is a clear announcement of the beginning of the actual phase of implementing its strategies for banking reform, which includes what is stated in its third strategy, the national strategy for lending, environmental and social standards, and corporate governance for banks.
And draw a clear roadmap in agreement with the global Oliver Wyman Company to start developing the banking sector. This means that it has completed the first phase of the banking reform process, which is drawing up policies, programs and standards and determining the main and sub-goals for the transition to a complete reform by achieving tangible and important results in the field of regulating foreign trade financing and regularity in the global financial system through strict adherence tointernational compliance standards and building solid internationalbanking relations with global banks and correspondent banks and introducing the local currencies of countries with significant trade exchange to cash transactions in their local currencies in addition to dealing in the US dollar.
Also, activating and strengthening its procedures in the transition from a cash economy to a digital economy and cooperating with the government in expanding the use of electronic payment tools and spreading the culture of transitioning to a cashless society.
Certainly, the above tasks occupied a large part of the efforts at the local and international levels. Within the reform map led by the Central Bank with the cooperation and support of the government and the support of the Prime Minister personally, the focus will be on restructuring government and private banks in a way that does not allow the existence of troubled and unsound banks and starting to implement new policies to support and develop small, medium and large enterprises and support youth according to what was stated in the National Lending Strategy by achieving two main goals:
The first is to increase credit granted to the private sector by 4% of the non-oil GDP until 2029, equivalent to 7 trillion dinars, and the second is to increase credit to finance small, small and medium enterprises by 3% of the non-oil GDP, equivalent to 5 trillion dinars (55% of the financing gap), which contributes to operating 100,000 projects to stimulate and stimulate the economy and achieve development, in addition to starting to establish and license the Riyada Bank and license the Green Bank, which will specialize in sustainable financing of renewable energy projects, as well as moving towards licensing digital banks to keep pace with progress in the field of modern digital banking products.
The electronic platform will also be gradually withdrawn this year. One of the tasks that will begin is the rehabilitation of banks restricted from dealing in the US dollar to comply with international standards in light of the work of the joint committee between the Central Bank and the US Treasury Department, through which the work of these banks in the foreign transfer activity for previous years will also be analyzed and audited by international auditing companies, in the hope that restrictions will be lifted.
What we expect from the procedures and policies adopted by the Central Bank, what has been achieved, and what will be achieved later will be reflected in achieving economic stability by overcoming the challenges of stability in the financial and monetary system, which will contribute to the stability of the exchange rate andthe recovery of the Iraqi dinar inevitably. link
MZ: I have not seen anything on the dong recently. My bank people are still telling me its fluctuating from $2.16 to over $3 on screens. They say to not put too much faith in those yet as it is probably just a testing of the system.
Member: We may need a show on how to diversify and protect our exchanges if we get paid Fiat?
Member: Iraq has completed WTO requirements according to articles
Member: What did the Kuwaiti dinar go for when they RV’d?
MZ: I believe it was about $3+ and fluctuating….It went up to about $9.88 within days on that crazy float…..Then it came down to the $4’s and settled in the mid $3’s where is has pretty much stayed for more than 20 years….. …It was not pegged. That is why I think we will not see the same crazy float with Iraq.
Al-Sudani stresses the importance of setting standards for partnership between the Iraq Development Fund and the private sector
Prime Minister Mohammed Shia Al-Sudani stressed, today, Wednesday, the importance of setting standards for partnership between the Iraq Development Fund and the private sector.
His media office stated in a statement received by {Al Furat News} that "the latter chaired the periodic meeting of the Board of Directors of the Iraq Development Fund, during which a number of topics and procedures related to the work of the fund were discussed, and it was agreed to proceed with signing the contract with the consulting company supervising the "Edopa" project, which aims to build schools, as part of the efforts made to fill the shortage of school buildings in Iraq."
During the meeting, Al-Sudani stressed the "importance of cooperation with the private sector and setting clear standards for partnership between the Fund and the private sector," noting the need to rely on what will be provided by KBR, which represents the advisory side of the government.
He also stressed the "need to coordinate with the governorates to increase the number of schools that will be established through the fund within the Iduba project." link
After the important steps and achievements made by the government in more than one file and sector, it was the turn to address the world and confirm that Iraq has become an economic power that should not be underestimated, and has all the qualifications and capabilities to join the World Trade Organization (WTO) after completing all preparations for that.
The government headed by Prime Minister Mohammed Shia Al-Sudani has set, within its government program, a clear vision for the economic future in Iraq, which included setting timetables for achieving the liberalization process and focusing on sectors with high potential such as agriculture, industry and services, which contributes to accelerating accession to the organization.
According to the spokesman for the Ministry of Commerce, Mohammed Hanoun, to Al-Sabah, "All preparations were completed by the government team representing all ministries, which held an important meeting in Abu Dhabi headed by Minister of Commerce Athir Dawood Al-Ghariri." He explained that "Iraq has fulfilled all the requirements for joining the organization, through a package of legislation and laws currently being discussed to reform the current legal system to be in l
ine with the requirements and controls of the international organization, such as coordinated trade policies throughout the country, including tariff rates and customs procedures."
Experts believe that joining the organization will be a "major achievement" for the government, especially since it has great benefits, including increasing Iraqi exports and contributing to stimulating economic growth. Hanoun praised "the efforts of the Kingdom of Saudi Arabia through its team in the organization, through coordination with it, as it is the main partner in Iraq's accession to this international organization."
He stressed that "all ministries are working to ensure that the team has the information that helps it join the organization, especially since joining the World Trade Organization benefits Iraq in expanding free trade." link
IRAQThe Government Completed ALL Files to Join The WTO!!!It has been confirm that Iraq has all the qualifications and capabilities to join the World Trade Organization (WTO) after completing all preparations for that.
Which include setting timetables for achieving the liberalization process and focusing on sectors with high potential such as agriculture, industry and services, which contributes to ACCELERATING ACCESSION TO THE ORGANIZATION!!!
According to the spokesman for the Ministry of Commerce, Mohammed Hanoun, "all preparations were completed by the government team representing all ministries, which held an important meeting in Abu Dhabi headed by Minister of Commerce Athir Dawood Al-Ghariri”
It’s ALL coming together lining up in Oct!!!!
…LFG
