Iraq: 77 percent of the cash in circulation outside banks

​Considered among banking Iraqi modern Governor of the Central Bank of Iraq on the Keywords in the third banking conference held in Baghdad recently and the subsequent directives during a meeting with managers of Commissioners for banks, an invitation to reconsider the plans currently approved by the Iraqi banking sector at the level of development of the sector potential and to promote opportunities its contribution to the mobilization of citizens' savings and attract deposits in the form of line with the difficult stage through which the Iraqi economy now demands.
The head of the Governing Council of the «Credit Bank of Iraq» Fouad al-Hassani told «life» that «efforts likes to moving toward priorities identified by the lending of the banking sector programs and financing and the development of investment opportunities for the citizens », pointing out that« the banks can play a role in providing liquidity to individuals and groups of economic and productive activities through the provision of better services that are ensuring the citizens' money and providing excellent services high with attractive returns quality ».
Keywords revealed that« 77 percent of the Iraqi currency traded in the market chunky in housing, and Central will put a plan to attract these funds to invest. » He noted during a speech in the third banking conference held by «Association of Iraqi banks» Finally, that «these funds are outside the banking sector, the banks if done well to provide customer services to attract this saved money, Vstzhm to move the Iraqi economy», pointing out that central to the comprehensive plan to move the wheel of the Iraqi economy.
He pointed to al-Hassani «importance of enhancing the citizen's confidence in the banking sector and deepen the consciousness banking process». He said that «Iraqi banks may attract capital inside and outside the country, if the attractive elements are available, and especially the citizen's confidence in banks, which now needed more than ever in light of the country's need for funds to secure the requirements of development».
He stressed the importance of «creating banker awareness drives citizens to deposit their money in banks in line with the principle of sense of social responsibility and the principles of sustainable development that need to be ongoing financial liquidity, taking into account the creation of a favorable environment to get all members of society to finance and financial services ».
The banking expert Abdul Aziz Hassoun said in a statement to «life» importance of making banking community culture stimulate citizen to deal with banks in the spirit of mutual benefit ». He called for «providing requirements of banks loans low cost and large segments of the society, especially the staff of them, and to require the government deposit circles proportion of their funds with private banks, since the latter come a long way in economic presence in the country and to deal with financing activities, as information points that more than 40 private banks followed by about 800 branches and affiliate offices shall provide banking service
»and focused Hassoun, the financial and operating winches for banks by saying that« the central motivating banks that have deposits exceed their capital, and the establishment of the Deposit Insurance Corporation is an important step , along with the availability of efficient and able to cope with the difficult conditions experienced by the financial sectors of the country's economy and banking departments. » He pointed out «the need to strengthen financial liquidity opportunities in the relevant financial inclusion and improve credit policies and credit and finance banking sectors and on a larger scale, as it leads to enable individuals to work and convert the potential into productive, as well as encourage savings and financial independence and the reduction of poverty and creating an environment encouraging to get all members of society to finance and financial services ».
The focus is now sparring on the reference to the lack of most Iraqi banks to units of risk management within their organizational structures based international criteria and indicators applicable in that, in addition to the absence of the strategic dimension of banking departments and poor awareness of the importance of risk management, as well as poor performance of credit information centers in Iraqi banks and the lack of modern mechanisms and actors and analyze the creditworthiness of customers of the bank.