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Why is the government unable to curb foreign banks' control over financial policy?
Economy 09-22-2024, 16:15 |
Baghdad today - Baghdad
Today, Sunday (September 22, 2024), Professor of International Economics, Nawar Al-Saadi, revealed the reasons for the government’s inability to confront foreign banks’ control over financial policy and foreign transfers.
Al-Saadi told "Baghdad Today",
"The government's inability to confront foreign banks' control over financial and monetary policy and foreign transfers is due to several main reasons, including
internal challenges related to managing the economy, and
regional and international pressures." He added,
"Control over the banking sector in Iraq suffers from the influence of large international economic interests, especially
since many foreign banks dominate the Iraqi market through cross-border partnerships and interests." He continued,
"This limits the government's ability to impose independent economic policies, and
these banks may be linked to a network of regional and international interests that pressure the government through multiple channels,
which makes taking radical decisions difficult." He continued,
“There are pressing regional factors, as international and regional powers such as the United States and European countries exercise political and economic influence in Iraq, including the banking sector, which hinders the government’s ability to bring about radical reforms.
In addition, the Iraqi economy is fragile and dependent on
This greatly affects external support and oil prices, which increases the impact of these external pressures on financial decision-making.”
The professor of international economics added:
“As for bearing responsibility, the blame cannot be placed on the Sudanese government now, since
all successive governments ruling Iraq are all involved in these challenges, which are the main reason for the weakness of financial and administrative policies, and the widespread corruption in the banking system, in every way.”
This reinforces this phenomenon,” adding:
“Therefore, the matter requires broader coordination and a collective effort among all concerned parties to try to reduce the negative effects of foreign banks on the Iraqi economy.” Al-Saadi concluded,
"In general, it can be said that the Sudanese government, despite its promises of reform, is facing great difficulties as a result of external and regional pressures and international economic interests, in addition to the lack of preparedness of local institutions to deal with this situation effectively."
On Friday (September 20, 2024), the expert in banking affairs, Nasser Al-Kanani, stressed the need for Iraqi banks to have a specialized committee working to address failures and problems in the banking sector.
Al-Kanani said to “Baghdad Today” that
“the Iraqi government’s step towards forming a higher committee aimed at developing treatments for the work of banks is an important step, although it came late, as
there are many problems and failures in the banking sector, and
this sector in Iraq is still not developed and does not keep pace with development.” banking in countries of the world. He added,
"The Iraqi government is moving towards forming such a specialized higher committee, after the recent Iraqi talks in New York between the Central Bank of Iraq, the US Treasury, and the US Federal Reserve, which stressed the need to develop the Iraqi banking sector."
https://baghdadtoday.news/258328-ما-السر-وراء-عدم-قدرة-الحكومة-كبح-سيطرة-البنوك-الأجنبية-على-السياسة-المالية؟.html
Economy 09-22-2024, 16:15 |
Baghdad today - Baghdad
Today, Sunday (September 22, 2024), Professor of International Economics, Nawar Al-Saadi, revealed the reasons for the government’s inability to confront foreign banks’ control over financial policy and foreign transfers.
Al-Saadi told "Baghdad Today",
"The government's inability to confront foreign banks' control over financial and monetary policy and foreign transfers is due to several main reasons, including
internal challenges related to managing the economy, and
regional and international pressures." He added,
"Control over the banking sector in Iraq suffers from the influence of large international economic interests, especially
since many foreign banks dominate the Iraqi market through cross-border partnerships and interests." He continued,
"This limits the government's ability to impose independent economic policies, and
these banks may be linked to a network of regional and international interests that pressure the government through multiple channels,
which makes taking radical decisions difficult." He continued,
“There are pressing regional factors, as international and regional powers such as the United States and European countries exercise political and economic influence in Iraq, including the banking sector, which hinders the government’s ability to bring about radical reforms.
In addition, the Iraqi economy is fragile and dependent on
This greatly affects external support and oil prices, which increases the impact of these external pressures on financial decision-making.”
The professor of international economics added:
“As for bearing responsibility, the blame cannot be placed on the Sudanese government now, since
all successive governments ruling Iraq are all involved in these challenges, which are the main reason for the weakness of financial and administrative policies, and the widespread corruption in the banking system, in every way.”
This reinforces this phenomenon,” adding:
“Therefore, the matter requires broader coordination and a collective effort among all concerned parties to try to reduce the negative effects of foreign banks on the Iraqi economy.” Al-Saadi concluded,
"In general, it can be said that the Sudanese government, despite its promises of reform, is facing great difficulties as a result of external and regional pressures and international economic interests, in addition to the lack of preparedness of local institutions to deal with this situation effectively."
On Friday (September 20, 2024), the expert in banking affairs, Nasser Al-Kanani, stressed the need for Iraqi banks to have a specialized committee working to address failures and problems in the banking sector.
Al-Kanani said to “Baghdad Today” that
“the Iraqi government’s step towards forming a higher committee aimed at developing treatments for the work of banks is an important step, although it came late, as
there are many problems and failures in the banking sector, and
this sector in Iraq is still not developed and does not keep pace with development.” banking in countries of the world. He added,
"The Iraqi government is moving towards forming such a specialized higher committee, after the recent Iraqi talks in New York between the Central Bank of Iraq, the US Treasury, and the US Federal Reserve, which stressed the need to develop the Iraqi banking sector."
https://baghdadtoday.news/258328-ما-السر-وراء-عدم-قدرة-الحكومة-كبح-سيطرة-البنوك-الأجنبية-على-السياسة-المالية؟.html
