Iraq Economic News and Points to Ponder Late Monday Evening 11-20-23
Tlm724 Administrator Bondlady’s Corner
A Government Plan To Improve The Performance Of The Banking Sector
Iraq 11/20/2023 Baghdad: Haider Al-Jaber The government attaches great importance to reforming the government banking sector, which dominates about 85 percent of investments in this vital sector.
The Prime Minister’s Advisor for Financial Affairs, Mazhar Muhammad Saleh, explained to “Al-Sabah” that “there are priorities in the pace of economic reform that the government program brought in spirit and letter, as reforming the government banking sector and returning it to work on the basis of efficiency and high competitiveness is the main goal of the financial reform that it seeks.”
The government reached it within the scope of a broad program of economic and institutional reform and building a modern banking market in accordance with the requirements of the Constitution. Saleh added,
“The government banking sector dominates more than 85 percent of the sector’s total investments, but
at the same time it suffers from a heavy legacy as a result of its faltering for more than four decades of instability in the face of the progress that has afflicted banking in the world,” noting that “this matter
“It necessitated that the financial and banking sector take priority in the basic reform package.” The government’s financial advisor added,
“The development plans required to be submitted by government banks will reflect the banks’ capabilities for reform and the corrective decisions required to be taken to proceed with the major banking reform process to achieve the goal of reform.”
Banking reform plans face difficult obstacles, difficult for several reasons, as they lack a number of foundations that push the process forward.
Banking expert Mahmoud Dagher said in an interview with “Al-Sabah”:
“Reforming government banks is one of the most difficult tasks due to their functional slackness and incomplete data, as well as problems in their budgets with accumulations dating back a long time,” indicating that “these banks are prohibited from international dealings.”
“There are sanctions on some procedures that took place before 2003, in addition to the difficulty of establishing a technological banking system that enables it to develop.” Dagher continued,
“Since 2018, Rafidain Bank has not been able to install the technological banking system,” stressing that “there is difficulty in reforming government banks if there is no change in ownership, improving the performance of employees, and establishing the banking system.” Dagher concluded,
“Banks are a modern banking system through which all branches are able to communicate and exchange information and restrictions with the center.” https://alsabaah.iq/87563-.html
Saleh.. Iraq Seeks To Reform The Government Banking Sector
November 20, 2023 Last updated: November 20, 2023 Al-Independent/ – The Iraqi government attaches great importance to reforming the government banking sector, which dominates about 85 percent of the investments in this vital sector.
Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Saleh, believes that reforming the government banking sector and returning it to work on the basis of efficiency and high competitiveness is the main goal of financial reform that the government seeks within the framework of a broad program of economic and institutional reform and building a modern banking market in accordance with the requirements of the Constitution.
The Iraqi government banking sector suffers from a heavy legacy as a result of its faltering for more than four decades of instability in the face of the progress that has afflicted banking in the world.
Iraqi banking reform plans face difficult obstacles for several reasons, including:
Functional slackness and incomplete government bank data.
Problems in the budgets of government banks, with accumulations dating back a long time.
Prohibiting global dealings with these banks due to sanctions on some procedures that took place before 2003.
The difficulty of establishing a technological banking system that enables them to develop.
Banking expert Mahmoud Dagher believes that reforming government banks is one of the most difficult tasks, due to these challenges, in addition to the difficulty of changing ownership, improving the performance of employees, and establishing the bank system.
He points out that the bank system is a modern banking system, through which all branches are able to communicate and exchange information and restrictions with the center.
Dagher concludes that reforming Iraqi government banks requires making great efforts and taking decisive measures to overcome the challenges facing it and achieve the desired goal of this reform.
Prospects For Iraqi Banking Reform
Iraqi banking reform can achieve many gains, the most important of which are:
Strengthening financial stability in the country.
Improving the performance of the banking sector and increasing its ability to provide banking services to citizens and companies.
Attracting foreign investments to Iraq.
Achieving these gains requires working to address the challenges facing Iraqi banking reform, by taking the following measures:
Carrying out structural reforms in government banks, including changing ownership, improving employee performance, and establishing a banking system.
Strengthening cooperation between the government banking sector and the private banking sector.
Encouraging investment in the Iraqi banking sector.
If the Iraqi government is able to take these measures, Iraqi banking reform will play an important role in strengthening the Iraqi economy and achieving sustainable development.
The Iraq Fund For Development Is A Serious Start
Economic 11/19/2023 Yasser Al-Metwally Today, hopes are building that the Iraq Fund for Development, despite its late arrival, will be a successful and serious start to achieving the goals of sustainable development
And the truth is, it is a guarantee for the future generations of Iraq’s wealth.
For the first time, I sense seriousness in the steps of preparation and planning to implement the Fund’s programs and objectives, based on important procedures
Followed during the establishment stages, especially at the beginning
The highest figure in the government apparatus assumes responsibility for its administration, represented by the Prime Minister.
The second important measure is also the involvement of the private sector in the membership of the Fund’s Board of Directors, and here the priority of the seriousness that I described in the correct steps for establishing it emerges.
Having the head of the government hierarchy manage the Fund gives it support and momentum to move towards achieving the most important aspect of the government program related to the implementation of development projects.
Then, involving the private sector in half of the members of the Board of Directors adds seriousness to the success of the Fund’s objectives, based on the fact that the private sector is the true meaning and engine of development and attracting investments, and using its vision contributes to the success of the executive steps based on its expertise and experience in implementing projects.
What is also striking in the purposeful steps that have been observed in establishing this fund is the naming of the executive management of the fund as a scientific, technocratic figure who is familiar with global experiences and who tries to apply the experiences of developed countries and who has successful experiences in drawing up the fund’s plans,
in addition to selecting representatives of the private sector who are supposed to represent the real private sector in the membership of its board of directors..
What is the latest action taken by the executive management of the fund by holding a dialogue session in cooperation with the Association of Banks with representatives of the banking sector to brief them on the objectives and mechanisms of the fund’s work and to listen to their views on the possibility of contributing to the fund in a confident step that is considered by the executive management? How?
This is because the banking sector is the arm on which the private sector and implementing companies depend, through their access to advanced banking services to manage corporate affairs.
The Fund’s marketing program is underway through continuous meetings with various sectoral bodies and experts with the aim of crystallizing the advanced formula for the success of the Fund’s objectives. Here lies my justification for taking the step for the first time.
What is real and what is required for sound and correct institutional building, and this method is something we are not accustomed to and did not touch during the era of previous governments
For this reason, we see the possibility that this fund will be a guarantee for the future of generations, whether in the development projects that will be implemented or in the future of investing the remaining funds that will be preserved for them, and that it will be an alternative opportunity for the opportunities that were lost, and this is our desire in continuing calls for the establishment of sovereign funds.
We hope for the best.
We are optimistic about the future, hoping that these steps will be serious and correct this time.
Integrity: Al-Rasheed Bank In Basra Did Not Take Any Measures To Recover The Amount Of 13 Billion Dinars
Local| 04:25 – 11/20/2023 Mawazine News – Baghdad The Federal Integrity Commission announced today, Monday, that it had carried out seizure operations in a number of banks, municipality, real estate registration, tax and health departments in Basra Governorate.
The authority stated in a statement, received by Mawazine News, that “the Basra Investigation Directorate’s work team monitored the failure of one of the branches of Al-Rashid Bank to take the necessary legal measures to recover the amount of two loans worth (13,000,000,000) billion dinars that were granted in the year 2013;
For the purpose of establishing a project, indicating that the borrower has not repaid the amount of the two loans yet, and in the Agricultural Cooperative Bank, two loan files amounting to (40,000,000) million dinars were seized, which were granted without the knowledge of the guarantor, who explained that he had not sponsored anyone, but in Al-Rafidain Bank: It was observed that a loan worth (25,000,000) million dinars was disbursed by the bank’s former director in light of forged guarantees.”
She added, “The team, which moved to the Real Estate Registration Directorate, revealed that employees in the Basra Agriculture Directorate added disposition rights to properties owned by the Ministry of Finance, with an area of (765) dunams, pointing to the addition of disposition rights for the benefit of a group of people;
“Despite the fact that the properties are devoid of any rights to dispose of them, two defendants were arrested in the tax department in possession of tax transactions that they were promoting without legal status.”
She continued, “In the municipality of Basra – the Arabian Gulf sector, a member of the committee for distributing the salaries of civil balers was caught red-handed while deducting a certain percentage of the financial amounts owed to them in exchange for leasing their vehicles, and in the municipality of Al-Zubair, real estate preliminary information and a copy of the sectoral and secretory maps belonging to the municipality were seized.” , after the municipality tampered with it; For the purpose of changing the type of property from green land to services; In order to put it up for public bidding, in addition to the presence of recent encroachments on other properties, and the establishment of buildings and shops; Contrary to the purpose for which it was rented.”
She explained, “It revealed the embezzlement of an amount of (142,000,000) million dinars at Al-Zubair General Hospital by the ticket-sale employees, pointing out the use of forged tickets and receipts to issue tickets; In order to embezzle its amounts, adding that the investigation team in the directorate monitored that the companies contracting with the General Company for the Southern Fertilizer Industry paid social security dues to (100) workers out of (500) workers; For the purpose of evading tax accounting, pointing out that among the evading companies is a British company.”
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Provoking Points to Ponder on Endurance & Perseverance:
Much rain wears the marble –Shakespeare
See first that the design is wise and just — that ascertained — pursue it resolutely – do not for one repulse forego the purpose that you resolved to effect — Shakespeare
By bravely enduring – an evil which cannot be avoided is overcome — Old Proverb
Every man who observes vigilantly and resolves steadfastly – grows unconsciously into genius — Bulwer
No road is too long to the man who advances deliberately and without undue haste – and no honors are too distant for the man who prepares himself for them with patience — Bruyere
The virtue lies in the struggle not in the prize — Milnes
Perseverance and audacity generally wins — Mad. Deluzy
Continued ……….. More to come ………….