Sunday, December 1, 2024

Government Advisor: Number of bank accounts in Iraq increased to more than 14 million, 1 DEC

Government Advisor: Number of bank accounts in Iraq increased to more than 14 million

INA - BAGHDAD

The Prime Minister's Advisor for Financial and Economic Affairs, Mudher Muhammed Salih, confirmed on Saturday that financial inclusion in Iraq, represented by bank accounts, has increased to 14 million with 20 million users, while indicating that Iraq is witnessing a boom in adopting e-governance as a basis for integrity and financial efficiency.

"The pillar of financial inclusion is represented by the number of personal bank accounts, as inclusion aims to enable individuals and companies to access financial services appropriate to their needs in an easy manner and at a reasonable cost, while ensuring legal protection and transparency," said Salih to the Iraqi News Agency - INA.

He added, "Financial inclusion focuses on enhancing the financial integration of economically and socially marginalized groups, such as the poor, women, and youth, as well as small and medium-sized companies that lack adequate access to financing in the banking system by opening a bank account."

"National indicators confirm that financial inclusion in Iraq has increased from 20% to 48% currently compared to previous years. The reason is due to two main factors, which are the localization of salaries of employees, workers, retirees and social care. The other is the spread of digital payments or digital financial inclusion," he noted.

Salih stressed that "Iraq is witnessing a boom within the policy of the government program that considered e-governance the basis of integrity, transparency, financial and economic efficiency as well as optimal investment of resources and time," noting that "recent statistics indicate that the number of bank accounts is about 14 million bank accounts and more than 20 million payment card users, which means an increase in the percentage of financial inclusion from 20% to 48%, which is a percentage measured by the number of bank accounts opened for adults in the population."

"There are several open bank accounts that are dormant or zero, which should be excluded to reach the correct number of open bank accounts. There are open and zero accounts belonging to expatriates, deceased persons, bankrupt companies, companies that have left work, and individuals who have not dealt with their bank accounts that are open in banks and are under guardianship or in trouble, as other factors and hopes are many."

He added, "The real criterion for adopting the bank account as a criterion for financial inclusion is the bank accounts opened by active individuals, not the zero or dormant ones, which requires excluding them from the statistics of banks and the Iraqi banking system in general."

TIDBITS FROM CLARE, 1 DEC

Clare

Article: "Al-Sudani: We have contact with Trump's team and they want to develop relations with us”

Quote: "Iraq's relations with the United States are institutional according to the strategic framework agreement. Al-Sudani said in an interview with the Spanish newspaper El Mundo: We have communication with Trump's team and they want to develop relations with us."

Article: "In numbers.. Significant growth in non-oil revenues in Iraq during 2024"

Quote: "Iraq's non-oil revenues achieved significant growth during the first nine months of 2024, recording a 198% increase compared to last year, to reach a contribution of 12.3% of the state's total revenues...

According to official data, total non-oil revenues during this period amounted to 14 trillion Iraqi dinars, compared to 4.7 trillion dinars during the same period in 2023."

JON DOWLING: THIS DECEMBER WILL BE A MONTH TO REMEMBER @DINARREVALUATION #iraqidinar #iraqidinarinve

ABU SNWE: "Trump continues to dry up the dollar from Iraq" @DINARREVALUATION #trump #trump2024

Al-Atwani To The French Embassy Delegation: Halting External Borrowing Indicates An Improvement In Iraq’s Financial Policy, 1 dDEC

Al-Atwani To The French Embassy Delegation: Halting External Borrowing Indicates An Improvement In Iraq’s Financial Policy

Last update 2024-11-17

The head of the Finance Committee, Atwan Al-Atwani, explained today, Sunday, during his meeting with the French Embassy delegation, that the cessation of external borrowing indicates an improvement in Iraq's financial policy.

A statement issued by the media office of the Council of Representatives, received by the Iraqi News Agency (INA), stated that "the head of the Finance Committee, Atwan Al-Atwani, received a delegation from the Economic Attaché at the French Embassy in Baghdad." The statement continued, "During the meeting, the financial and economic situation in the country was reviewed, as well as the role of the Finance Committee in monitoring spending and implementing the items of the general budget." Al-Atwani pointed out "the priorities that his committee is currently working on, most notably maximizing non-oil revenues to avoid the risks of fluctuations in global oil prices on the Iraqi economy, in addition to preparing a package of important legislation that would bring about a qualitative shift in the financial and banking sector." He explained that "the decline in foreign borrowing indicates an improvement in our financial policy," noting that "the decline in foreign debts came after conducting a comprehensive review of the feasibility of these loans, as we stopped them and began to pay off the old ones, and we obligated that borrowing be only for productive projects that achieve a financial return and not for consumer sectors." Al-Atwani called on French companies to "enter the Iraqi market forcefully, especially since they have previous successful experiences in implementing strategic projects."

He pointed out that "the provisions of the general budget gave the government the opportunity to encourage foreign companies to invest their money in the country by providing sovereign guarantees." For his part, the French delegation expressed its happiness with this fruitful meeting, stressing "its country's desire to strengthen relations in various development fields with Iraq in a way that achieves the interests of the two friendly peoples

CHELLA CC HIGHLIGHTS NOTES, 1 DEC

CHELLA CC HIGHLIGHTS NOTES

Summary

The Central Bank of Iraq, led by Mr. Ali Mosen Ala, has highlighted key economic recovery indicators, focusing on foreign reserves, domestic currency, inflation, and internal debt.

Highlights

📊 Economic Recovery: Mr. Ali Mosen Ala presented positive indicators for Iraq’s national economy.
💰 Foreign Cash Reserves: The Central Bank aims to bolster foreign cash reserves to enhance economic stability.
💵 Domestic Currency: Strengthening the domestic currency is crucial for economic growth and stability.
📉 Inflation Control: The Central Bank is focused on reducing inflation rates to improve living standards.
🌍 External Debt Management: Addressing external debt is part of the strategy to stabilize the economy.
🏗️ Sector Reforms: Efforts are underway to reform various economic sectors and reduce import dependency.
💻 Digital Transformation: The Central Bank promotes digital transformation to modernize banking practices.

Key Insights

📈 Economic Growth Potential: The indicators presented suggest a potential for sustained economic growth in Iraq, driven by strategic reforms and investments.
🌐 Importance of Foreign Reserves: Increasing foreign reserves is vital for maintaining currency value and ensuring investor confidence, which can lead to more foreign investment.
🔄 Inflation Dynamics: Managing inflation is critical; high inflation undermines purchasing power and can destabilize the economy, necessitating effective monetary policies.
🏦 Role of the Central Bank: The Central Bank’s proactive measures in managing internal debt and currency stability are essential for fostering a conducive economic environment.
📉 External Debt Impact: High external debt can constrain economic flexibility; thus, a focus on managing this debt is necessary for long-term stability.
🏭 Economic Diversification: Reducing reliance on imports through sector reforms can strengthen the domestic economy and foster resilience against global market fluctuations.
📲 Digital Innovation: Embracing digital transformation in banking can enhance efficiency, accessibility, and transparency, driving further economic development.

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