SAMIR AL-NASSIRI: THE BANKING REFORM PLAN IS BEING IMPLEMENTED SUCCESSFULLY ACCORDING TO ITS TIMETABLE
Banking consultant and expert Samir Al-Nassiri confirmed that the Central Bank, Oliver Wyman, and other banks are continuing to implement the standards of the banking reform plan in partnership and daily coordination, according to the plan’s timeline, which was launched on April 7, 2025.
The Central Bank published the project implementation mechanisms and the banks signed an agreement to comply with the plan. Preparations are now underway to launch the first evaluation cycle during the first quarter of 2026.
The procedures and efforts undertaken by the Central Bank of Iraq, in cooperation and consultation with the consulting firm and private banks, have resulted in tangible steps during the current quarter in facilitating the implementation of the objectives, programs, mechanisms and standards of the comprehensive banking reform project, within the framework of implementing the Central Bank’s third strategy.
He explained that the main objective of this project is to build a sound, modern, comprehensive and flexible banking sector that contributes to achieving rapid growth in the national economy, a cumulative increase in GDP, and enhancing the market value of the banking sector.
Al-Nassiri pointed out that economic reform begins with banking reform, explaining that the challenges facing the Iraqi economy simultaneously present significant opportunities to reform and develop the banking and financial sector, in line with the government’s program and the Central Bank’s future vision. He added that the banking sector will play a pivotal role in achieving sustainable development and attracting investments, as well as supporting ongoing efforts to activate non-oil productive sectors with the aim of diversifying national income sources and ensuring financial sustainability and balanced economic growth.
Al-Nassiri explained that the role of the Central Bank is also embodied in regulating the financing of foreign trade and implementing infrastructure projects related to comprehensive digital transformation, in addition to expanding the use of electronic payment tools in a way that enhances the achievement of financial inclusion.
He stressed that these efforts will contribute to providing real opportunities for reforming, developing and empowering the private banking sector during the period 2025–2028, through a set of key objectives, most notably:
* Developing the Iraqi banking system to keep pace with internationally approved banking and accounting standards.
* Building a sound, modern, comprehensive and flexible banking sector capable of adapting to economic changes.
* To enhance citizens’ confidence in the local banking sector and achieve international recognition of its transparency, progress, and commitment to international standards, thereby strengthening the confidence of global correspondent banks in dealing with it.
* Rehabilitating restricted or weakly active banks to enable them to return to the banking market with their full internal and external activities.
* Refocusing the role of banks on their core function of financing and lending for development, while promoting financial inclusion and increasing its rate in accordance with the established plans.
* To promote the transition from a cash economy to a digital economy by attracting funds circulating outside the banking system, which represent about 90% of the money supply, and bringing them into the formal banking cycle.
Al-Nassiri explained that although the period specified for their implementation according to the banking reform project and the Central Bank’s strategy extends to three years, what was achieved during the years 2023, 2024 and 2025 is considered an important achievement, as solid foundations and rules were built that formed the main pillar for the desired reform path.
He added that these achievements will contribute to the process of evaluating and classifying Iraqi banks based on the extent to which they achieve the goals set within the banking reform project, in accordance with the approved international standards and criteria.