Iraqi banking system.. A significant increase in the number of bank accounts and the volume of deposits for citizens

The banking system in Iraq is gradually regaining citizens’ confidence with the increase in the number of bank accounts in the country.

Banking systems around the world are facing increasing challenges in light of rapid economic and financial changes. To ensure the stability of these systems and protect depositors’ funds, many countries are moving towards joining the International Association of Deposit Insurers. This membership is not just a formality, but a strategic step that carries significant benefits for member countries and their banking systems.

In Iraq, economic and political challenges over the decades have provided a strong justification for keeping money at home rather than in banks. However, the accession of the Iraqi Deposit Insurance Corporation (ICDI) to the International Association of Deposit Insurers was a decisive step in improving confidence in the banking system. Since its accession, Iraq has witnessed a significant increase in the number of bank accounts and the volume of deposits, reflecting a significant improvement in citizens’ confidence in banks. This development enhances Iraq’s ability to attract investment and support economic growth by converting savings into productive investments.

In a world characterized by increasing economic and financial interdependence, countries cannot operate in isolation from each other. Membership in international deposit insurance bodies reflects countries’ commitment to international cooperation and exchange of expertise, and confirms their relentless pursuit of financial stability and the protection of depositors’ funds. This membership is not just a formality, but a strategic investment in the future of the banking system and the national economy as a whole.

International bodies provide a unique platform for the exchange of expertise and knowledge between member states. National financial institutions can benefit from the successful experiences of other countries in the field of deposit insurance, and avoid the mistakes made by some countries. This ongoing exchange contributes to the development and modernization of deposit insurance policies and procedures in line with international best practices.

Joining the International Association of Deposit Insurers (IADI) enhances the transparency and credibility of the national banking system. A country’s commitment to strict international standards in the field of deposit insurance sends a positive message to citizens and investors, stating that their deposits with banks that are members of the deposit insurance system are in safe hands and that the banking system is subject to effective local monitoring and supervision. International bodies do not only provide a platform for the exchange of expertise, but also provide technical and advisory support to their members. National institutions can benefit from the expertise of international specialists in developing and implementing effective deposit insurance policies, assessing potential risks, and preparing for financial crises.

By adhering to international standards and implementing best practices, national institutions can reduce the risk of financial crises and enhance the stability of the banking system. This stability is not an end in itself, but rather a means to achieve broader economic and social goals, such as increasing economic growth rates and creating job opportunities. When citizens and investors trust the banking system, they are more willing to deposit their money in banks. This increased confidence leads to an increase in the volume of deposits available for investment, which supports economic activity and contributes to achieving sustainable development.

The impact of membership in international bodies is not limited to enhancing financial stability and confidence in the banking system, but extends to supporting economic development. Increasing the volume of deposits available for investment can contribute to financing development projects, providing loans to small and medium enterprises, and creating new job opportunities.

Malaysia joined the International Association of Deposit Insurers, which helped improve deposit insurance policies and increase confidence in the banking system. This accession led to an increase in the volume of bank deposits and greater financial stability, which contributed to supporting economic growth in the country.

After the Asian financial crisis in the late 1990s, South Korea joined the International Association of Deposit Insurers. International membership helped restore confidence in the banking system and stabilise the national economy, allowing South Korea to achieve a rapid economic recovery.

Alforatnews.iq

Minister of Planning announces completion of five-year development plan for 2024-2028

Minister of Planning, Mohammed Ali Tamim, announced today, Wednesday, the completion of the five-year development plan for the years 2024-2028.
The ministry stated in a statement received by Sumaria News, that “the Minister of Planning Mohammed Ali Tamim Today, the Australian Ambassador to…Iraq Glenn Myler, and the accompanying delegation, where the meeting was attended by the Director General International Cooperation Saher Abdul Kazim Discussing a number of issues and files of common interest.

During the meeting, the Minister of Planning appreciated the “support provided by Australia For efforts Iraq In various fields of development,” indicating that “the Iraqi government has set a package of priorities that it seeks to achieve within its government program.”

He pointed to “the completion of the five-year development plan for the years 2024-2028, and what it included in terms of priorities to achieve sustainable development goals, keep pace with challenges, and optimal use of natural resources, most notably rationalizing water use and combating desertification, and confronting climate change, by finding innovative solutions and treatments, in addition to moving towards building integrated, environmentally friendly residential cities, and developing solutions and programs to address unemployment by encouraging employment in the private sector.”

He continued that “the plan aims to expand in the field of renewable energy, and benefit from solar energy, in providing electricity, and reducing dependence on fossil fuels, and working to establish 4 solar energy stations in the governorates of Muthanna, Karbala and Anbar And Kirkuk

The Minister of Planning stressed the ministry’s preparations to conduct the general population and housing census on November 20, and its strategic importance in identifying development gaps and drawing a picture of the Iraqi reality in all development sectors, calling on “Australian companies to take advantage of the investment opportunities available in Iraq In various sectors.”

For his part, he praised Mylar “At the level of cooperation between the two countries, expressing his country’s readiness to enhance and develop this cooperation, in a way that serves the interests of the two friendly peoples.”

Alsumaria.tv

Rafidain announces the implementation of the comprehensive system at the bank’s outlet at Baghdad Airport

A statement by the bank received by / Al-Maalouma / agency stated that “in line with the government program to move from paper transactions to electronic transactions to provide the best services to citizens. Rafidain Bank announces the implementation of the comprehensive banking system at the bank’s outlet at Baghdad International Airport and the Ur branch in Dhi Qar, thus joining the branches that have activated the comprehensive system in Baghdad and the governorates in addition to the branches of the border outlets (Zurbatiyah – Safwan – Arar – Trebil).”

He added, “The number of effective and completed branches of the system becomes (35) branches, in an important step to strengthen the banking system and achieve its requirements and leave paper work and move completely to electronic systems.”

The bank confirmed that “the digital transformation plan and the adoption of the comprehensive banking system are proceeding according to the set timetables to include all the bank’s branches in the application of the system, especially since the priorities and adoptions of the government program include electronic transformation in financial transactions, reducing the circles of routine for citizens, shortening time, simplifying procedures, overcoming obstacles, and intensifying efforts to improve the level of services provided to customers and completing their transactions.”

Almaalomah.me

Popular movement: UAE management of Faw port is a blow to the Iraqi economy

Today, Wednesday, the head of the organizing body of the popular movement for the Belt and Road, Hussein Al-Karaawi, considered the UAE’s management of the Faw port through the development road as a blow to the Iraqi economy.

Al-Karawi told Al-Maalouma Agency, “The presence of normalizers with the Zionist entity and their future control over the port of Faw and the development road will cause Iraq great losses.”

He added, “Iraq’s economic future will be exposed to collapse due to granting the management of the Faw Port to the Emirates, in addition to Qatar and Turkey’s contribution to this collapse through the path of development.”

He added, “The development path is intended to strike the Iraqi economy and make it a hostage to the normalizing countries.”

He said, “Involving Turkey, the Emirates and Qatar in the path of development is an American project to strike the Iraqi economy and prevent it from going to the Silk Road.”

Almaalomah.me

Government advisor points to weak cash credit ratio in Iraqi private banks

The financial advisor to the Iraqi government, Mazhar Muhammad Salih, explained on Wednesday that the ratio of cash credit to total deposits in private banks may approach the standard ratio of 75%, which banks should reach or at least approach.

Saleh added to Shafaq News Agency that deposits are the basics of traditional banking.

He explained that the market share of 63 private banks does not exceed 15% of credit and deposit operations, while the government banking system accounts for 85% of banking activity.

In the same context, the International Development Bank announced the opening of investment deposit accounts with the aim of serving Iraqi families.

The bank explained, in a statement received by Shafak News Agency, that these accounts offer returns of up to 10% annually, with a monthly payment and cash prizes within monthly draws. Deposit holders also receive free life insurance, facilities to obtain a loan with a deposit guarantee, and a free credit card.

The bank confirmed that the funds will be used to serve the national economy, with a guarantee from the Iraqi Deposit Insurance Company authorized by the Central Bank of Iraq, noting that deposits are one of the most important sources of funds at the level of the national economy and depositors.

Economic statistics show that the number of government banks in Iraq is 7 banks, while the number of private banks is 74 banks, which means that private banks constitute 91% of the total number of banks in Iraq.

Shafaq.com

Iraq sets date for US withdrawal, US denies

Iraqi sources told Reuters, on Tuesday (July 23, 2024), a date for the start of the withdrawal of US forces from Iraq, while American sources confirmed that no official agreement has been reached yet.

The sources said, “A delegation from the Iraqi government will meet this week with the American leadership in Washington to discuss the details of the withdrawal, and it expects to begin its withdrawal in September of this year, and to end it in September of next year.”

Meanwhile, American sources explained that “the negotiations have not yet led to an agreed date for the American withdrawal, or a schedule for the gradual exit of forces, and that the negotiations are still ongoing, and no official agreement has been reached on the details so far.”

It is noteworthy that the US administration announced, at the beginning of US President Joe Biden’s assumption of office, its intention to withdraw US forces from Iraq completely, which did not happen during the past period due to the changing political data in the region, according to Reuters.

Burathanews.com

Rafidain Bank starts selling dollars to travelers through the electronic reservation form

A government source revealed, on Tuesday, the mechanism for selling dollars to travelers wishing to travel outside the country.

The source said in an interview with Al-Maalouma Agency, “Rafidain Bank has started selling dollars to travelers by filling out an electronic reservation form and reserving it 72 hours before the travel date.”

He added, “The opening of the form according to the new instructions begins at 8 am and ends at 1 pm, when the process of depositing the dollar amount for the traveler will take place in the bank’s branches and receiving it through the bank’s office at Baghdad International Airport.”

He pointed out that “the mechanism will be adopted to provide hard currency to travelers according to the official exchange rate set by the Central Bank of Iraq.”

It is noteworthy that in the past few days, travelers have had difficulty obtaining dollars due to the procedures at the airport and the changes that accompanied them.

Aalmaalomah.me

The Central Bank approved increasing the capital of the Real Estate Bank to 500 billion dinars

The Finance Committee in the Council of Representatives confirmed, on Tuesday, that the Central Bank approved increasing the capital of the Real Estate Bank to 500 billion dinars to expand the coverage of citizens with housing loans.

A statement by the Media Department of the Council of Representatives, received by /Al-Maalouma/ Agency, stated that “the Finance Committee hosted the Director of the Real Estate Bank to discuss the real estate initiative and review the latest developments in completing citizens’ loan requests and financing housing complex projects.”

The head of the Finance Committee, Atwan Al-Atwani, stressed that “supporting and empowering banks is the best way to achieve sustainable development.”

He added, “The initiative to increase the capital of the Real Estate Bank to 500 billion dinars, which was approved by the Central Bank, aims to expand the coverage of citizens with housing loans and support investment in building housing complexes.”

Almaalomah.me

Al-Sudani directs the Iraqi negotiating delegation to demand that Washington withdraw its forces at specific and rapid times

A security source revealed, on Tuesday, that Prime Minister Mohammed Shia al-Sudani directed the Iraqi military delegation that will hold negotiations with the international coalition forces led by the United States of America in Washington, regarding withdrawal from Iraq during the second round of negotiations.

The source, who preferred to remain anonymous, told Al-Maalouma Agency, “The negotiations will take place in Washington as part of the second round of negotiations for the withdrawal of international coalition forces from Iraq, in which the American side will request an undisclosed period of time to withdraw from the bases in Iraq and move to Syria.”

He added, “Prime Minister Mohammed Shia al-Sudani informed the Iraqi negotiating delegation of the necessity of agreeing on a timetable for the withdrawal of those forces and announcing it in a joint statement between Iraq and the United States of America. Otherwise, Iraq will set a timetable for the withdrawal. If the American side does not adhere to the timings, Iraq will submit a request to the UN Security Council to withdraw the coalition forces, including the American forces, as there is no longer a need for them.”

It is noteworthy that four Iraqi sources confirmed that Iraq wants the US-led military coalition forces to begin withdrawing starting next September and to end by September 2025.

Almaalomah.me

Al-Fatah: Dialogue rounds with Washington did not yield anything

Member of the Fatah Alliance, Salam Hussein, confirmed today, Tuesday, that the rounds of dialogue with Washington regarding the withdrawal of American forces have not yielded anything so far.

Hussein said in a statement to Al-Maalouma Agency, “The Iraqi reality rejects the American presence, whether military or as advisors,” noting that “negotiations to schedule the exit of American forces do not need all this time.”

He added, “The American side does not provide any assistance to Iraq and there must be an undermining of their influence in the country,” noting that “America has goals and plans and we do not believe that the negotiations will produce results.”

He explained that “the issue of the withdrawal of American forces is very difficult and the government is required to know the truth about this presence, in addition to clarifying the work of the committees tasked with their withdrawal,” indicating that “Washington’s statements about ISIS activity are evidence of the negativity of the negotiations.”

Defense Minister Thabet Al-Abbasi headed the delegation of the Republic of Iraq on an official visit to the United States of America, which will hold the second round of talks to end the mission of the international coalition in Iraq.

Almaalomah.me