Family banks in Iraq are vulnerable to the charge of deviating from the goals established and the reason is due to the deviation of the behavior of some people in these banks off course required, question is that the spread of family banks ratio actually or Is the solution to revoke licenses of incorporation?
Characterized by the developed countries in the banking performance widespread deployment family for banks and that most of the banks that founded was inspired families rich able leadership thinking, but they work according to the competitive principle with the big commercial banks and rely foundations intact in management and are subject to the laws and procedures strict Athid them, and the sum of these banks constitute a record in the power of money manage according cautious laws .
In Iraq there are several factors led to the deviation of some family banks from the target which it was created, which boils down to providing banking products contribute to the promotion of development but the problem is not confined to them but in the poor performance of the banking sector in total government or civil strife or family reason country's lack of governance system Rachida on the entire banking sector, has helped to create chaos performance.
Given this fact, what is required to do to change the perception about family banks?, the answer boils down to the development of rational governance system contributes to the separation of administration from the owners and need to be boards of directors of banks to preserve the rights of the owners of interests of founders and shareholders and depositors and not to allow the use of funds for utilitarian family purely by supporting the independence of the decision-banking and do not let the biggest owner acquired the bank's decisions according to temperament.
eight governance does not mean only the family banks but also include government and private banks civil also where it is working on the separation of powers to limit the impact on the job bank decisions, when that will be family banks fortified including not allowing a single point the finger at it, because your activity is guaranteed by the Constitution and that any transition from totalitarian economy to a market economy is through the liberalization of business and financial activities and enable it to play its role provided that binding corporate governance laws.
The rules of governance is supposed to be of regulatory functions and perhaps the Central Bank of Iraq is the first responsible for them, despite the great tasks borne within the framework of monetary policy management and cash management in Iraq to the fullest, so call to prepare for the banking sector governance rules based on international standards in order to ensure correct performance of the entire banking sector track.