The role of electronic payment in strengthening our banking system, 16 MARCH

  The role of electronic payment in strengthening our banking system

Dr. Haitham Hamid Mutlaq Al-Mansour

 In light of the rapid technological developments witnessed worldwide, financial and banking systems are facing radical transformations aimed at enhancing efficiency, transparency, and financial inclusion. Among these transformations, the electronic payment system stands out as a fundamental pillar in reforming banking systems, especially in developing countries like Iraq.

 The Iraqi banking system, which has suffered for many years from structural challenges and weak infrastructure, has begun to witness positive transformations thanks to the adoption of electronic payment technologies.

Electronic payment affects the banking system in general through:

1. Increased confidence in the banking system: Electronic payments enhance customer confidence in the banking system by providing secure and fast payment methods. When individuals feel their financial transactions are secure and easy to conduct, they are more likely to deposit their money in banks rather than keeping it in cash.

2. Promoting financial inclusion: Electronic payments facilitate access to banking services for individuals and small businesses, especially in remote areas or areas with a lack of bank branches. When more people can open bank accounts and conduct financial transactions easily, this leads to increased deposit rates, as depositing money in banks becomes more attractive than keeping it outside the banking system.

3. Reducing reliance on cash: In economies that rely heavily on cash, deposit rates are relatively low due to the widespread cash culture. By adopting electronic payments, reliance on cash can be reduced and individuals and businesses can be encouraged to deposit their money in banks, leading to higher deposit rates.

4. Improving the efficiency of banking operations: Electronic payments reduce banks' operational costs, as they eliminate the need for traditional branches and their staff. This improvement in efficiency can translate into better returns on deposits, making them more attractive to savers. 

5. Increased transparency and anti-corruption: Electronic payments enhance transparency in the financial system, as financial transactions become recorded and monitored. This reduces the risk of corruption and tax evasion, enhancing customer confidence in the banking system and encouraging deposits.

Global data clearly demonstrates the strong positive relationship between the spread of electronic payments and increased deposit rates in the banking system. It is noted that countries that have adopted effective electronic payment systems, such as China, India, and Kenya, have seen significant increases in deposit rates, demonstrating the impact of electronic payments on the banking system. This is as follows:

1. China:

It is one of the most advanced countries in the field of electronic payments, with more than 80% of the population relying on platforms such as Alipay and WeChat Pay. According to World Bank reports, deposit rates in China have increased significantly with the spread of electronic payments, with the deposit-to-GDP ratio reaching more than 180% in 2022. Electronic payments have contributed to increased financial inclusion, with the number of bank accounts increasing from 64% in 2011 to more than 90% in 2022. 

2. India:

Following the launch of the Unified Payments Interface (UPI) system in India, bank deposits increased significantly. In 2022, the deposit-to-GDP ratio reached 75%, up from 60% in 2016. Electronic payments have contributed to an increase in the number of bank accounts from 35% in 2011 to more than 80% in 2022.

3. Kenya:

Kenya is a pioneer in the use of mobile payments through M-Pesa. Bank deposits have increased from 20% in 2007 to more than 70% in 2022, thanks to the spread of electronic payments and increased financial inclusion.

4. Sweden:

Sweden is one of the countries with the highest reliance on electronic payments, with cash transactions accounting for less than 1% of total transactions. Meanwhile, the Swedish deposit-to-GDP ratio is around 90%, reflecting high confidence in the banking system.

In Iraq, the deposit-to-GDP ratio remains relatively low compared to other countries, recording a 9% decline. However, since 2024, the banking sector has begun to witness a significant decline in the total value of deposits, with a 9% decline from IQD 133.5 trillion in 2023 to IQD 123.5 trillion in 2024. This decline is despite the increase in the number of bank accounts following the widespread adoption of electronic payments, which rose from 23% to approximately 50% in just a few years. This reveals the reasons behind the decline in the value of deposits in the banking system, especially in light of the Central Bank's move to promote electronic payment tools and increase reliance on the banking sector. This poses significant challenges for the government to address, developing medium- and long-term plans, and adopting supportive policies to address these challenges, which include the following:

1. Weak technological infrastructure: Iraq's telecommunications and internet networks continue to suffer from quality and coverage issues, hindering the effective implementation of electronic payment systems.

2. Low levels of financial literacy: A large portion of the population relies on cash transactions due to a lack of sufficient awareness of the benefits of electronic payment and how to use it.

3. Lack of a legal and regulatory framework: The implementation of electronic payment requires clear laws and regulations that govern electronic payment operations, protect consumer rights, and facilitate and enhance the flexibility of payment processes.

4. Security concerns: Some individuals still fear the risks of cyber-hacking and data theft, which limits their use of electronic payments.  link

TIDBIT FROM BRUCE, 16 MARCH

 Bruce   

 redemption center leaders are going into the redemption Center at 9:30 in the morning on Saturday, and one of the two told us that they would be doing exchanges starting at 9:30 in the morning on Saturday,  the 15th... 

It looks good for us to get notified...and set our appointments for exchanges to begin on Saturday...

They'll go right through the weekend, Saturday, Sunday, Monday. So on, they'll go right through go for at least 14 days...that's an approximate average of how long the redemption centers will be open....so you know...the rough timeline...it's really getting down to the wire...

MARKZ: The end of the UN involvement in Iraq WILL GIVE US OUR RV!! ‪@DINARREVALUATION‬ #iraqidinar

 

A politician warns of the repercussions of Al-Kadhimi's return... he carries an American agenda., 16 MARCH

 A politician warns of the repercussions of Al-Kadhimi's return... he carries an American agenda.

Abdul Hamid al-Dulaimi, a member of the United Anbar Alliance, warned on Friday of the repercussions of the return of former Prime Minister Mustafa al-Kadhimi, describing him as carrying an American agenda that does not serve the people's interests. 

In a statement to Al-Maalouma Agency, Al-Dulaimi said, "Former Prime Minister Mustafa Al-Kadhimi represents the last American card for Iraq, as he has clear plans to create widespread chaos in Iraq by fueling demonstrations to destabilize the country's security and stability for reasons that have become known to everyone, in addition to spreading political differences between the poles of the political process and planting a spirit of division among its components by strengthening the regional government over the center." 

He added, "Al-Kadhimi's return to Baghdad carries within it American agendas, the outlines of which will become clear in the coming period, amid warnings from political and security sources of the repercussions of his return and its negative impact on the political process." He indicated that "Al-Kadhimi is working to attract the Sadrist movement by all means to strengthen his front and the illusions of those affiliated with the movement that his plan is in the interest of Iraq." 

Finally, Al-Dulaimi stressed that “America follows a policy of planting its spies inside countries to implement its agenda as it deems appropriate for the interests of its country.”  link

MILITIAMAN CC HIGHLIGHTS NOTES The Future of Iraq: Economic Reforms and the Dinar, 16 MARCH

 MILITIAMAN CC HIGHLIGHTS NOTES

Chapter 1: The Future of Iraq: Economic Reforms and the Dinar

Introduction

In an era of rapid globalization and economic interdependence, understanding the complexities of a nation’s financial system is paramount.

 This chapter focuses on the current state and future prospects of Iraq’s economy, with a specific emphasis on the Iraqi dinar and its transformation through various governmental reforms and international partnerships.

 Key concepts addressed throughout this discussion include smuggling, corruption, e-governance, and the role of international organizations such as the IMF (International Monetary Fund). As Iraq seeks to bolster its economy and attract foreign investment, recognizing these dynamics becomes essential for understanding the country’s path forward.

The Drive Towards E-Governance

1.1 Electronic Control and Monitoring of Goods

The Iraqi government has recently implemented advanced e-governance systems aimed at curbing rampant smuggling and corruption at its borders. With an estimated two decades of over $20 billion loss attributed to smuggling, the urgency for reform cannot be overstated. Essential components of this initiative include:

• Hotlines for reporting corruption: Designed for citizens to report indicators of corruption and extortion.
• Electronic border controls: Adoption of electronic programs to monitor goods entering the country, emphasizing a shift toward a cashless society.

The move to electronic monitoring not only enhances transparency in trade but poses challenges for smugglers attempting to introduce high-value goods, including luxury items and construction materials.

1.2 Infrastructure and Economic Impact

The adoption of electronic systems is paired with the government’s directive for infrastructure improvements at border crossings, which will expedite customs processes. By implementing comprehensive auditing systems for import licenses and good certificates, the government aims to enhance trade efficiency and revenue collection.

International Relations and Economic Opportunities

2.1 Abolishing Visa Requirements

The Iraqi authorities have abolished visa requirements for citizens from 37 countries, including the United States and European Union, by instituting an electronic visasystem. This is indicative of Iraq’s strategy to broaden its international reach and attract investment. Key aspects include:

• Facilitated border crossing procedures, inviting more foreign business activities.
• Targeting investments over $250 million to gain access to special financial incentives.

This aligns with Iraq’s attempt to ease the entry of foreign investors, fostering growth and economic rejuvenation.

2.2 Engaging with the IMF

Ongoing collaborations with the IMF to enhance the national economy signify changes within Iraq’s economic paradigm. In March 2025, a reported 5% GDP growth for 2024 showcases Iraq’s efforts to diversify its economy beyond oil dependency. The significance of these developments is underscored by:

• Strategies promoting non-oil revenue: Efforts to diversify agriculture and industrial sectors are pivotal for sustainable growth.
• Effective public debt management: As the Ministry of Finance engages with the IMF for guidance on tax systems and foreign capital attraction, the importance of strengthening economic sustainability comes into focus.

Evidence indicates that Iraq is progressing towards realizing an improved financial stability driven by these reforms.

The Role of The Central Bank and Currency Stabilization

3.1 Supporting the Dinar

Central to Iraq’s economic reform efforts is the necessity to stabilize the Iraqi dinarand bolster its usage in major transactions. Reports from the Central Bank affirm:

• Growth in non-oil sectors has contributed to increasing fiscal stability.
• Commitment to modernizing the banking sector facilitates improved foreign investments.

The cooperation with international financial bodies aims to realize the dinar’s potential, reinforcing its value through significant investments and financial infrastructure advancements.

3.2 Digital Transformation Initiatives

There is an ongoing digital transformation in Iraq’s financial sector, involving:

• Partnerships with global financial institutions such as JP Morgan, City Bank, and HSBC.
• Exploration of cryptocurrencies and the use of digital currency for international transactions.

Such initiatives exemplify Iraq’s commitment to integrating modern financial practices, further enhancing its appeal to international investors.

Conclusion: Significance and Future Implications

As Iraq navigates its path towards economic revitalization, the collaborative efforts with international organizations like the IMF highlight the global connectivity of financial systems. The drive towards e-governance, electronic monitoring of goods, and the strategic overhaul of visa regulations exemplify Iraq’s ambition to modernize and diversify its economy.

The implications of these reforms are not only limited to domestic stability but extend to positioning Iraq as a competitive player on the global stage. The enhanced usage of the Iraqi dinar in major transactions, supported by rigorous financial policies and transparency measures, lays a foundation for potential growth opportunities.

In summary, Iraq stands on the cusp of significant economic transformation driven by technology, reforms, and international cooperation. The ongoing changes within the financial landscape invoke a sense of optimism regarding Iraq’s economic prospects, emphasizing the need for continued vigilance and adaptation as it progresses into the global economic framework.

Key Takeaways:

• Adopting e-governance is crucial for combating corruption and facilitating trade.
• Abolishing visa requirements aids in the attraction of foreign investments.
• Collaboration with the IMF signifies a commitment to economic reform and stability.
• The Iraqi dinar’s value strength hinges on international partnerships and modernization initiatives.

TEXAS SNAKE: Again I ask all to remain on alertannouncement is at any moment!! ‪@DINARREVALUATION‬

 

Iraqi forces kill "deputy caliph," one of the world's most dangerous terrorists 3, 16 MARCH

  Iraqi forces kill "deputy caliph," one of the world's most dangerous terrorists

3/14/2025

Prime Minister and Commander-in-Chief of the Armed Forces, Mohammed Shia al-Sudani, announced on Friday the killing of the so-called "deputy background operative" of ISIS and one of the most dangerous terrorists in Iraq and the world.

Al-Sudani said in a statement received by Shafaq News Agency: "The Iraqis continue their dazzling victories over the forces of darkness and terrorism, as the heroes of the Iraqi National Intelligence Service.

With the support and coordination of the Joint Operations Command and the International Coalition Forces, were able to kill the terrorist Abdullah Maki Musleh Al-Rifai, nicknamed (Abu Khadija), who holds the position of the so-called (deputy caliph, who holds the position of the so-called governor of Iraq and Syria, the head of the authorized committee, and the head of the foreign operations offices.

He added, "He is considered one of the most dangerous terrorists in Iraq and the world."   LINK