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Mazhar Muhammad Saleh: Increased bank lending activity increases growth and prosperity
Economical 05/23/2024
Baghdad: Al-Sabah
Yesterday, Wednesday, the Prime Minister’s Advisor for Financial Affairs, Mazhar Muhammad Saleh, identified three benefits and advantages of bank credit, while noting that the
increase in bank lending activity increases growth rates and economic well-being. Saleh said to the Iraqi News Agency (INA):
“The function of credit, in its monetary and pledged forms, is one of the most important aspects of banking activity in spreading a sound financial system,
so bank credit, or granting bank loans specifically, is the vital financial tool that banks use to provide the required cash liquidity.” And financing the economic activity of individuals and companies. He added,
"The feasibility of bank credit lies in several main economic and social aspects, including:
First: supporting small and medium enterprises, as bank credit plays an important role in financing small and medium enterprises, and
at the same time helps in
generating new job opportunities,
stimulating innovation,
enhancing economic and social growth, and
raising Growth rates in the incomes of individuals and projects. He pointed out that
“stimulating economic growth can only be achieved by mobilizing the necessary funds for economic activities to expand the businesses of individuals and projects,” noting that
“bank credit enhances economic activity and increases the level of productivity and investment rates, whether in the industrial, real estate, commercial, agricultural, or other fields.” He continued:
“Secondly: granting loans helps encourage saving, as
bank credit activity is linked to increasing bank savings rates for the public through higher bank deposit rates, as
banks provide distinct savings or savings accounts to customers who will use their borrowing or credit products.” He continued:
“Thirdly: Bank loans have an effective role in organizing financial resources among real activities within the overall economy and
meeting the needs of productive sectors for financing in order to create capital accumulation by investing in real assets.
However, bank credit, or granting bank loans, also meets the needs of individuals to generate benefit.
Bank credit allows them to access financing to
purchase residential real estate, transportation, or to
cover educational or medical expenses, which improves the standard of living.” He pointed out that “the
greater the activity of lending or bank credit, the greater the economic activity and the higher the rates of growth and economic well-being,
provided that these activities do not conflict with the overall objectives of monetary policy in
achieving stability in the general level of prices and
combating monetary inflation, and that they do not conflict with the
policy of high employment in the labor force and promoting... Economic growth rates.
https://alsabaah.iq/97137-.html
Economical 05/23/2024
Baghdad: Al-Sabah
Yesterday, Wednesday, the Prime Minister’s Advisor for Financial Affairs, Mazhar Muhammad Saleh, identified three benefits and advantages of bank credit, while noting that the
increase in bank lending activity increases growth rates and economic well-being. Saleh said to the Iraqi News Agency (INA):
“The function of credit, in its monetary and pledged forms, is one of the most important aspects of banking activity in spreading a sound financial system,
so bank credit, or granting bank loans specifically, is the vital financial tool that banks use to provide the required cash liquidity.” And financing the economic activity of individuals and companies. He added,
"The feasibility of bank credit lies in several main economic and social aspects, including:
First: supporting small and medium enterprises, as bank credit plays an important role in financing small and medium enterprises, and
at the same time helps in
generating new job opportunities,
stimulating innovation,
enhancing economic and social growth, and
raising Growth rates in the incomes of individuals and projects. He pointed out that
“stimulating economic growth can only be achieved by mobilizing the necessary funds for economic activities to expand the businesses of individuals and projects,” noting that
“bank credit enhances economic activity and increases the level of productivity and investment rates, whether in the industrial, real estate, commercial, agricultural, or other fields.” He continued:
“Secondly: granting loans helps encourage saving, as
bank credit activity is linked to increasing bank savings rates for the public through higher bank deposit rates, as
banks provide distinct savings or savings accounts to customers who will use their borrowing or credit products.” He continued:
“Thirdly: Bank loans have an effective role in organizing financial resources among real activities within the overall economy and
meeting the needs of productive sectors for financing in order to create capital accumulation by investing in real assets.
However, bank credit, or granting bank loans, also meets the needs of individuals to generate benefit.
Bank credit allows them to access financing to
purchase residential real estate, transportation, or to
cover educational or medical expenses, which improves the standard of living.” He pointed out that “the
greater the activity of lending or bank credit, the greater the economic activity and the higher the rates of growth and economic well-being,
provided that these activities do not conflict with the overall objectives of monetary policy in
achieving stability in the general level of prices and
combating monetary inflation, and that they do not conflict with the
policy of high employment in the labor force and promoting... Economic growth rates.
https://alsabaah.iq/97137-.html
