Semi-normal credit for banks and Iraqis deals with cash to settle their transactions
Reports and analyzes Breaking Currency for sale Central Bank of Iraq Special banks
Twilight News /
Dozens of government and private banks are active in Iraq and their activities between commercial, Islamic, agricultural and industrial activities.
Bank credit is what banks are doing within their work on money or granting facilities (funding for assets and other goods) are made between two parties and the other party is called the borrower's client and resulting from this contract profit margin of the bank (benefit, return on investment) or (return on investment) Murabaha or harmonization or commission in Islamic banks) versus the amount given to the customer at multiple intervals agreed upon according to the terms of the contract.
Advisor to the Iraqi Banks Association Samir Al-Nasiri said in an interview with Shakf News Agency; "There are 72 private banks in Iraq, credit exercises varying proportions," refusing "what is said to do not exercise credit."
Al-Nassiri adds; "There are about 50 banks in Iraq during the past and current loans through the Central Bank's Central Bank's initiative for 10,000 projects for 18,000 people worth a financial value exceeded 700 billion dinars."
The Nasiri recognizes "there are some troubled banks that suffer from a lack of flow and have not adhered to the central bank's instructions and to bring people deposits", stressing that
"these banks are closed by the bank and some of them under the guardianship and others are trying to return to the market after restructuring".
The gravity of credit grant
The international expert and Southern Bank of South Hisham Al-Shamali says in an interview with the Shakf News Agency; "Private banks are practicing credit as a result of the rest of government banks,
but are frequent because of the gravity of credit granting and biting some people in bringing them from funds, which lead to the resort to the courts, which take years long," he said, adding that
"granting loans and credit practice has nothing to do with capital capital".
"The person in payment will certainly affect the bank's liquidity," he said. "At the same time," he said.
"This can not be circulated to all citizens who do not work in the government sector because there are insufficient guarantees without being there."
The northern denied the presence of banks who attributed the central bank's auction.
Banks and Central Bank Funds
He says Professor of Economics at the Iraqi University Abdul Rahman Al Mashhadani in an interview with Shakf News; "The banks founded in Iraq are a small capital of JD 250 billion and about $200 million and now equal to $175 million after raising the dollar and therefore do not allow these funds to build production projects."
It shows the scene; "These banks are based on the central bank in two things
first entering the currency auction and is achieving stable and stable profits and does not need a risk of getting five to 8 million or more and selling them to traders at the market, regardless of the presentation of statements, and the
second order is over The Central Bank on initiatives launched by the latter for projects and housing, which receives banks on the benefits of Labas via these initiatives, indicating that Iraqi banks are working with central bank funds."
And confirms the scene; "What needs Iraqi banks is integration and we do not need all these banks, which have reached more than 70 banks," he said:
"By comparing them with the banks of Arab countries, our banks are just as they do not only, which we have noticed when the Kuwaiti Bank has a capital 100 billion dollars trying to partnership with one of the civil banks in Iraq, which has no more than $150 million."
The Central Bank issued a study in 2016 that "investment proportion to the total assets in commercial banks is 8%", noting that
"some of these commercial banks have no investments."
Government bank control
"The weak credit for civil banks returns to control of government banks, which constitute 85% in return, the share of civil banks is 15%," says Prime Minister Mohammed Saleh's financial affairs.
"Banking reform must begin with government banks first because they have 65% government deposits," he said.
"The public is deposited with government banks due to its further deployment and history of government banks, while Some civil banks to problems and I went public deposits."
Saleh said; The "capital banks are more than government banks, civil banks do not expand in credit on the pretext of collecting these credits are weak, and they are causing the state's competition because government banks are backed by silence."
The Member of the Economic and Investment Investment of Parliamentary Nada Shaker Jawdt in an interview with Shakf News said that "some civil banks have turned into drain places for the difficult currency through the currency auction," confirmed
"the lack of real credit for those banks, which achieves the maximum interest of banking work in construction, investment and reconstruction As in force in most countries of the world."
"Many private banks are moving away from credit work because of the weakness of it and is working with low money and a few deposits and get their profits from the Central Bank of Iraq, which is deployed from its banking jurisdiction," he said.
Dealers: We deal with cash
The merchant Mohammed al-Hassani says in an interview with Shakf News Agency; The "merchant has no confidence in banks as a result of its failure to maintain the funds of depositors that often declare its bankruptcy and depository funds are gearing winds.
Al-Hassani said; "Most traders deal with the settlement of their trade transactions and suspension of receivables away from banks," the same time is that
"transfers from and overseas are done by banking offices."
"The resettlement process for employee salaries is the other failed in Iraq, as soon as the salary in MasterCard is transferred to the employee, directly withdraw all salary, indicating that the citizen is not confident of government banks and the law."
Shakf News Agency contacted the central bank for many times to inquire from him and explain the causes of this, but did not respond to calls.
The World Bank report indicates that 89% of adults in Iraq have no bank accounts, noting that many individuals are dealing with banks because of the disruption of citizens to banks.
In his annual financial status for 2016, the bank said that "World Bank estimates for 2014 indicated that the number of deposits for Iraqis to adults reached 11%, 89% of these adults have no bank accounts.
The administrative routine of banks in opening the savings accounts led to the reluctance of most individuals to open these accounts among banks and head to the process in the role.