Hosting a storm to the central bank governor threatening to dismiss him: $160 million in monthly profits for private banks
Pratha News Agency 213 2020-11-22
Parliamentary parties described the last parliamentary session, which witnessed the hosting of the Central Bank Governor, Mustafa Ghaleb Makhif, as a "storm", confirming that the unconvinced answers prompted the deputies to collect signatures for a frightening interrogation in preparation for his removal soon.
Parliamentary sources confirmed that the meeting revealed serious repercussions witnessed by the Central Bank under its new administration, expecting the hosting to develop into an interrogation and then dismissal.
The representative of the Al-Hikma bloc, Faleh Al-Sari, posed questions to the governor of the Central Bank, which focused on the classification criterion according to which some banks are placed in the currency auction.
The session also witnessed talk about the currency auction and the possibility of uncovering the secrets and secrets of the auction, its beneficiaries and its outcomes, in a way that harms the national economy.
The sources confirm that Mohaikh failed to provide a convincing answer to Parliament.
Parliamentary sources indicated that MP Faleh Al-Sari collected the signatures of a number of deputies in order to transfer the question to an interrogation and then dismiss the head of the Central Bank.
In turn, the head of the National Approach Bloc, MP Ammar Tohme, revealed that private banks obtained 160 million dollars a month thanks to the preferential treatment they receive from the Central Bank administration.
Tohme indicated that these profits are sufficient to give 350 thousand Iraqi citizens a salary of 500 thousand dinars per month.
The head of the Al-Nahj bloc stated, in a statement, that "with the severity of the financial crisis intensifying and its effects on the national economy exacerbating to the point that threatens the salaries of employees, we stress the importance of following up on sources of non-oil revenues that can provide large sums of money to the public treasury and from only one resource by following the following procedures.
The need for public opinion and supervisory authorities to inform all their categories of the standards and controls adopted by the Central Bank in the classification of banks, which resulted in determining the percentage of dollar sales in the currency auction to those banks, and knowing the value and importance of each criterion from the percentage of the overall evaluation in order to verify the real eligibility of those Banks and their developmental effectiveness and their contribution to moving the national economic activity, and not just a parasitic medium that drains hard currency as unjustified profits and without productive work for the state.
MP Ammar Tohme added, "The need to re-work the detailed bulletin of the Central Bank that mentions the amount of the dollar sums sold to each bank and verify the realism of its activity commensurate with the purchase of those amounts of dollars.
The bank is not satisfied with a total bulletin that mentions the total dollar sales in the currency auction because that keeps the picture ambiguous and confused. It prohibits the necessary monitoring and follow-up to ensure the integrity of the procedures."
Tohme continued, "The difference between the price of the dollar sold by the bank to intermediary banks and the price of the dollar sold in the market amounts to more than 4% of the total amount sold of the dollar, and since the central bank's sales of dollars are close to four billion dollars per month, this means that 4% of the amount equal to one hundred and sixty million dollars a month, profits go to the intermediary banks without any work or productive or development activity mentioned,
Adding, that this amount of the profits of these banks is sufficient to disburse a salary of five hundred thousand to more than (350) thousand citizens per month, wondering, why go to borrow and leave these resources and others to be lost in the corridors of corruption and unjust political courtesies!?
Tohme added that "this monthly amount of dollars sold in the currency auction (approximately four billion dollars), if we assume that what is collected from it as merchandise and tax revenues of not less than 8% of its total amount, which is a very small percentage, and we calculated 75% of the amount of the dollar sold per month.
For the actual import, customs revenues and taxes collected are supposed to be no less than (240) million dollars per month, which is sufficient to pay a salary of five hundred thousand dinars to more than (550) thousand citizens per month."
The head of the Parliamentary Approach bloc asserted, "If only the serious will of the government and the supervisory authorities were available to follow up on this resource, which indicates the existence of many resources and double revenues that can be collected to overcome the financial crisis, to avoid borrowing and its devastating effects on the Iraqi economy."