Central Bank: Enhancing Financial Inclusion Through Three Main Pillars
Economy Yesterday, 18:16 Baghdad - WAA - Wissam Al-Mulla The Central Bank of Iraq confirmed, today, Friday, its continued work to enhancefinancial inclusion through three main pillars, while indicating the launch of initiatives to enhance financial awareness and increase the integration of individuals into the banking sector.
The Director of the Financial Inclusion Department at the Central Bank, Hussein Abdul Amir, said in a statement to the Iraqi News Agency (INA): "The Central Bank seeks to achieve financial inclusion by increasing those involved in the banking sector through three main pillars, including ease of access, use, and cost," indicating that "the Financial Inclusion Department will support any project that is consistent with these three pillars."
He pointed out that "the Central Bank has launched many initiatives and activities at the level of all Iraqi governorates, the aim of which is to increase awareness, knowledge and financial capacity of individuals, whether individuals or companies," noting that
"efforts are being made to accelerate the integration of individuals or the public with the financial sector and obtaingreat benefit for both parties, whether individuals or financial institutions."
He added that "the integration of individuals and financial institutions
achieves great value in terms of providing
liquidity to financial institutions in addition to providing lending means to the public, as well as developing projects, thus achieving a significant increase in economic growth in Iraq."
In a recent announcement, Ali Al Alik, the Governor of the Central Bank of Iraq, outlined the nation’s plans for a digital transformation in its financial sector.
This transformation will involve the integration of artificial intelligence and smart devices into the banking system, significantly enhancing electronic payment processes.
According to Al Alik, Iraq is poised to implement a comprehensive digital identity system, allowing citizens to manage their accounts and investments more efficiently.
The central bank is also working towards establishing a digital currency, distinct from cryptocurrencies, to facilitate financial operations and combat issues such as money laundering and terrorism financing.
The initiative aims to create a transparent financial system that is secure and accessible, especially for young investors, while also emphasizing the importance of safeguarding against fraud in the digital landscape.
📱 Digital Transformation: Iraq is set to undergo a significant digital transformation in its financial sector, integrating smart devices and artificial intelligence.
💳 Electronic Payment Evolution: The current electronic payment tools are rapidly evolving, aiming for a more streamlined and efficient user experience.
🔍
;Digital Identity for Citizens: A new digital identity framework will empower citizens to manage their finances and investments from their smart devices.
🏦 Smart Banking: Traditional banks are expected to evolve into smart units that facilitate seamless financial operations through advanced technologies.
🪙 Central Bank Digital Currency: The Central Bank of Iraq is planning to launch a digital currency, which will be distinct from other cryptocurrencies, to enhance the financial framework.
🔒 Counteracting Financial Crimes: The new digital framework aims to provide robust solutions to tackle money laundering and financing of terrorism through enhanced monitoring and transparency.
⚠️ Fraud Awareness: While the new tools offer opportunities for investment, there is a strong emphasis on the need for caution to avoid falling victim to fraud.
Key Insights
🤖 Integration of AI: The incorporation of artificial intelligence into banking operations is expected to revolutionize how financial transactions are conducted, leading to faster processing times and enhanced customer service. By automating routine tasks, banks can focus more on strategic initiatives, thus improving overall efficiency.
🌍 Digital Identity Impact: The launch of a digital identity for every citizen marks a major step toward financial inclusion. This system will not only simplify financial management but will also help individuals engage in global investment opportunities. Access to one’s financial status and the ability to execute transactions will empower citizens and potentially stimulate economic growth.
💼 Transformation of Banking Institutions: The shift towards smart banking signifies a broader trend in the financial industry where traditional banking roles are evolving. Banks will need to invest in technology to remain competitive and relevant, which might involve retraining staff and revamping their service offerings to match digital expectations.
🏛️ Regulatory Framework for Digital Currency: Establishing a central bank digital currency (CBDC) is a complex task that requires collaboration with international organizations. This move can stabilize the financial ecosystem by providing a regulated alternative to cryptocurrencies, which can be volatile and less secure.
🔍 Enhanced Transparency: The new digital financial framework is designed to provide a transparent environment for all transactions. This transparency is crucial in preventing financial crimes such as money laundering, as it allows for better tracking and reporting of suspicious activities, thus enhancing overall financial security.
👩💻 Empowering Young Investors: The initiative recognizes the potential of young people in the digital finance landscape. By providing them with the tools to invest and manage their finances, the program is not only fostering entrepreneurship but also encouraging a new generation of financially savvy individuals.
⚠️ Need for Vigilance Against Fraud: While the digital transformation offers numerous benefits, it also brings risks, particularly in the realm of fraud. The emphasis on caution is crucial, as digital platforms can be susceptible to various scams. Educating users about potential risks and protective measures will be vital in ensuring the security of their investments.
In summary, the Central Bank of Iraq is embarking on a transformative journey into the digital age, promising significant changes that will impact not just the banking sector, but the financial lives of its citizens.
By leveraging technology and innovation, Iraq aims to create a more inclusive, transparent, and secure financial environment, while also addressing the challenges posed by modern financial crimes. The successful implementation of these initiatives will require careful planning, collaboration, and ongoing vigilance to ensure that the benefits outweigh the risks.
Parliamentary Oil Committee Rules Out Passing Oil And Gas Law During Current Session
energy Economy News – Baghdad The Parliamentary Oil and Gas Committee confirmed today, Friday, that there are disagreements over the management of resources, which led to the obstruction of passing the Oil and Gas Law, while it ruled out passing it in the current electoral cycle.
"The oil and gas law has been a demand since 2007, but attempts to legislate it have failed due to political differences and lack of agreement with the Kurdistan Region," said Bassem Naghmish Al-Gharibawi, a member of the parliamentary oil and gas committee, in an interview with the Iraqi News Agency, followed by "Al-Eqtisad News."
He explained that "the law was part of the current ministerial program, and it was supposed to be legislated during this parliamentary session, as committees were formed since 2023 to discuss it, and two drafts were presented: the first from the federal government and the second from the region, and joint committees were formed to hold meetings between the two parties."
He pointed out that "most of the technical issues were agreed upon, but the differences focused on administrative aspects, powers, and representation of the region and governorates in the Federal Oil Council, in addition to how to manage and distribute resources, as well as previous and current rights."
He explained that "the parliamentary oil committee has made intensive efforts with the leaders of the political blocs to clarify the importance of enacting the law, as it regulates the oil wealth that fully funds the state, and contributes to resolving the disputes between the federal government and the region, which contributes to achieving political and economic stability."
He added that "the most prominent point of disagreement between Baghdad and Erbil is related to oil resources and the region's commitment to the decisions issued by the Federal Court and the International Court," noting that "this law is one of the laws that complement the constitution."
Despite all the attempts, Al-Gharibawi stressed that "the committees that were formed were unable to reach a political consensus, which makes passing the law during this electoral cycle an unexpected matter." https://economy-news.net/content.php?id=53206
...just this week...fantastic news is telling us they are winning the battle finally with breaking the parallel market...they are telling us they nearly broke the parallel market and...
my contact told us [this] had to happen and if they could get the rate of the dollar of this parallel market down or very close to the “official” CBI rate, we would see the triggering of the “official” rate going even lower and for us this means more value to the Iraqi dinar.
Yes, the in-country revaluation close to a buck we have been waiting for. This then would allow the kickoff to the Project to Delete the Zeros...
my CBI contact...has told me all is going as planned and finally “real” success can be seen.
Shafaq News / Reuters reported, quoting senior diplomatic sources, that a meeting will be held in the capital Amman on Sunday, including Iraq, Syria, Jordan and Turkey, to discuss security cooperation and regional developments.
A Turkish diplomatic source told Reuters, in a news translated by Shafaq News, that the foreign ministers of the four countries will attend the meeting, in addition to defense ministers or military leaders, and the heads of intelligence organizations in the four countries.
The source added that officials will discuss cooperation in the fields of security and combating terrorism and organized crime, as well as regional developments.
This comes in confirmation of what was unique to Shafaq News Agency, on February 27, citing informed sources, which reported the imminent announcement of the formation of the strategic quadriple alliance between (Iraq – Turkey – Syria – Jordan).
The sources who spoke to the agency said that “the current situation and stage require speeding up the implementation of the tasks entrusted to the coalition by controlling the security of the region and preventing the movements of terrorist groups from practicing their combat activities, especially in the soft areas near the border strip connecting the allied countries or even within the cities.”
She added that “Turkey is trying to manage the coalition in line with its expansionist ambitions in the region, but Iraq rejected this and stipulated that the administration be participatory according to its strategic status and political and economic weight, because the tasks of the alliance are not limited to the security file only.”
She also pointed out that “security companies will oblige the allied countries to carry out their tasks in a real form through the exchange of intelligence information and the coordination of logistical and defense movement in an organized manner that achieves the desired goals,” explaining that “Syria will have a major role in dismantling terrorist groups at home, although part of it joined the interim administration in Damascus.”
According to the sources, “Jordan will have more than one mission, the first focused on dismantling the problems that may occur in the future within the alliance due to the overlap in some of its tracks, in addition to conveying reassurance messages to the world, as Oman enjoys wide relations.”
These sources noted that “Iraqi parties in the Ministries of Foreign Affairs, Defense, Interior, Intelligence and Counter-Terrorism played a role in preparing important files and plans to be implemented to control the security of the region, and it is hoped that the quadripartite alliance will be officially announced after the end of the Arab Summit in Baghdad during the month of May.”
At the beginning of last January, Jordan signed an agreement with Syria providing for the establishment of a joint committee to ensure border security, during the visit of Syrian Foreign Minister Asaad Al-Shaibani to Oman, in which he discussed with his Jordanian counterpart Ayman Safadi the issues of arms and drug smuggling, Syrian refugees and economic cooperation.
Before that, Iraq sent intelligence chief Hamid al-Shatri to Damascus, and according to Syrian and Iraqi media, the meeting discussed the need for joint action to ensure that the Islamic State does not re-emerge.