Home
Economic Adviser describes the work of private banks as "commercial" and calls to amend the law
05/30/2015
Baghdad
Counting economy experts, civil Banking Act without efficient making private banks just commercial banks do not participate in any development activity, and as pointed out that law and the Iraqi economic environment has not been studied well, drew out that the State-owned banks dominate 90% of the banking system's assets.
Economic Adviser to the Prime Minister, the appearance of Mohammed Saleh in an interview for the "long" that "and said the main reason to make private banks commercial banks, not development is the Banking Act No. 94 of 2004, was built on the principle" Alankulosacksona "where the function of private banks and job brokerage and financial lead to generating economic activity and the activity functions of economic growth unlike the German banking system, which gives the right of domestic banks to exercise real development activities and contribute to the production processes, "stressing the need to" be closer to the German school. "
He continued by saying "We must arise changes to the law banks, especially Article 28, where bans on private banks entering real activities directly I do not mind owning some shares as securities.- Tools ownership. "
He noted that "the main reason for the weakness of legal private banking sector, where the law has not been studied Iraq's economic environment is good as well as the passage of 11 years on the law and needs to be adjustments, "pointing out that" Iraq needs to develop and employ the money from different sources and in particular that the credit is weak. "
and the launch of the Central Bank trillion dinars to finance private banks activities, the economic adviser to "give the Central Bank the amount of a trillion dollars to finance private banks activities is a positive signal to create homogeneity in the banking market because it Anglguet on itself and there is no harmony between the civil and government banks, "explaining that" the national markets are usually one and the competition one, and this closing weaker economic activity and create a split within the market. "
He noted that the "State-owned banks dominate 90% of the banking system's assets and cash transactions daily The private banks a few Fmugodadtha A large monopoly of State-owned banks and this monopoly is the product. "
He continued by saying that "there is a tendency to reform State-owned banks and the need to enact a law its restructuring and restructuring of ownership and fix it in itself is a reform of the system of the Iraqi banking."
He noted that "the flow of money between the two devices bankers Ahli and the government is weak and there are overstocked on one side and deficit on the other side if there was a flow of money to tell failures and banking problems. "
He concluded his speech by saying, "We made recommendations framed amendment Banking Act towards improving banking environment, but it needs the will and accept, but we believe Anhsaiadl because the parliament Egypt modified. "
For his part, said economic expert, Hilal Taan, in an interview for the "long" that "private banks in general, a newly established in Iraq are relatively few and the number does not exceed the 32 banks and these banks, despite being subject to the terms of the central bank in monetary policy and committed credit conditions and the granting of loans, but their problem is that their boards made up of a group of traders and thus their decisions are affecting the Bank's activities as well as the security situation and political unstable cast a shadow over the entire economic landscape and within the banking sector. "
He added that "the banking activity especially Ahli limited and most loans consumer and not productive and aim to make a profit to shareholders in the funds that banks capital, "pointing out that" private banks do not have the possibility to give the agricultural sector loans, industrial or engage in large-scale investments. "
He noted that "funds of private banks capital is not great so it did not enter in state investments, whether industrial or commercial only solution before them is integration, where the banking merger sponsor activating the banking sector Ahli because when capital is a little thus will be lending the bank's ability few reducing the impact on economic activity, "pointing out that" in the last period got cooperation between the two sectors of government bankers and Ahli in terms of checks and some banking transactions, but still is not at the required level. "
He continued by saying that "the marketing of banking services in Iraq weak and the Iraqi citizen still depends on the culture of criticism did not credible on the culture of deposit in banks and investment capital, as well as the fact that profits granted to applicants 4% and does not constitute an amount tempting them to invest their money in the banking sector, "adding that" the Banking Act needs to be reviewed according to developments that have occurred in Iraq's economic landscape. "
estimated a local study that the government banks' capital reached until the end of October in 2012 from the past, a total of 754 billion dinars, compared with more than four billion dinars for private banks, and investment balances in banks operating in Iraq recorded up to 10/31/2012, an amount nearly six billion dinars (5.947), the share of government banks which amounted to 4.929 billion, compared to 1.018 billion for private banks.
It consists of the Iraqi banking system of forty-three banks as well as the Central Bank and distributed by property between (7) state banks and 30 regional banks, including Islamic seven in addition to six foreign banks.
The Central Bank of Iraq announced in (the 19th of May the current 2015), launch trillion dinars for private banks to finance small and medium enterprises loans, and increase the share of dollar sales for banking companies and foreign transfers, and the development of measures to address the lack of liquidity in some banks.
[You must be registered and logged in to see this link.]
05/30/2015
Baghdad
Counting economy experts, civil Banking Act without efficient making private banks just commercial banks do not participate in any development activity, and as pointed out that law and the Iraqi economic environment has not been studied well, drew out that the State-owned banks dominate 90% of the banking system's assets.
Economic Adviser to the Prime Minister, the appearance of Mohammed Saleh in an interview for the "long" that "and said the main reason to make private banks commercial banks, not development is the Banking Act No. 94 of 2004, was built on the principle" Alankulosacksona "where the function of private banks and job brokerage and financial lead to generating economic activity and the activity functions of economic growth unlike the German banking system, which gives the right of domestic banks to exercise real development activities and contribute to the production processes, "stressing the need to" be closer to the German school. "
He continued by saying "We must arise changes to the law banks, especially Article 28, where bans on private banks entering real activities directly I do not mind owning some shares as securities.- Tools ownership. "
He noted that "the main reason for the weakness of legal private banking sector, where the law has not been studied Iraq's economic environment is good as well as the passage of 11 years on the law and needs to be adjustments, "pointing out that" Iraq needs to develop and employ the money from different sources and in particular that the credit is weak. "
and the launch of the Central Bank trillion dinars to finance private banks activities, the economic adviser to "give the Central Bank the amount of a trillion dollars to finance private banks activities is a positive signal to create homogeneity in the banking market because it Anglguet on itself and there is no harmony between the civil and government banks, "explaining that" the national markets are usually one and the competition one, and this closing weaker economic activity and create a split within the market. "
He noted that the "State-owned banks dominate 90% of the banking system's assets and cash transactions daily The private banks a few Fmugodadtha A large monopoly of State-owned banks and this monopoly is the product. "
He continued by saying that "there is a tendency to reform State-owned banks and the need to enact a law its restructuring and restructuring of ownership and fix it in itself is a reform of the system of the Iraqi banking."
He noted that "the flow of money between the two devices bankers Ahli and the government is weak and there are overstocked on one side and deficit on the other side if there was a flow of money to tell failures and banking problems. "
He concluded his speech by saying, "We made recommendations framed amendment Banking Act towards improving banking environment, but it needs the will and accept, but we believe Anhsaiadl because the parliament Egypt modified. "
For his part, said economic expert, Hilal Taan, in an interview for the "long" that "private banks in general, a newly established in Iraq are relatively few and the number does not exceed the 32 banks and these banks, despite being subject to the terms of the central bank in monetary policy and committed credit conditions and the granting of loans, but their problem is that their boards made up of a group of traders and thus their decisions are affecting the Bank's activities as well as the security situation and political unstable cast a shadow over the entire economic landscape and within the banking sector. "
He added that "the banking activity especially Ahli limited and most loans consumer and not productive and aim to make a profit to shareholders in the funds that banks capital, "pointing out that" private banks do not have the possibility to give the agricultural sector loans, industrial or engage in large-scale investments. "
He noted that "funds of private banks capital is not great so it did not enter in state investments, whether industrial or commercial only solution before them is integration, where the banking merger sponsor activating the banking sector Ahli because when capital is a little thus will be lending the bank's ability few reducing the impact on economic activity, "pointing out that" in the last period got cooperation between the two sectors of government bankers and Ahli in terms of checks and some banking transactions, but still is not at the required level. "
He continued by saying that "the marketing of banking services in Iraq weak and the Iraqi citizen still depends on the culture of criticism did not credible on the culture of deposit in banks and investment capital, as well as the fact that profits granted to applicants 4% and does not constitute an amount tempting them to invest their money in the banking sector, "adding that" the Banking Act needs to be reviewed according to developments that have occurred in Iraq's economic landscape. "
estimated a local study that the government banks' capital reached until the end of October in 2012 from the past, a total of 754 billion dinars, compared with more than four billion dinars for private banks, and investment balances in banks operating in Iraq recorded up to 10/31/2012, an amount nearly six billion dinars (5.947), the share of government banks which amounted to 4.929 billion, compared to 1.018 billion for private banks.
It consists of the Iraqi banking system of forty-three banks as well as the Central Bank and distributed by property between (7) state banks and 30 regional banks, including Islamic seven in addition to six foreign banks.
The Central Bank of Iraq announced in (the 19th of May the current 2015), launch trillion dinars for private banks to finance small and medium enterprises loans, and increase the share of dollar sales for banking companies and foreign transfers, and the development of measures to address the lack of liquidity in some banks.
[You must be registered and logged in to see this link.]
