Baghdad (IraqiNews.com) – The Prime Minister’s Advisor for Banking Affairs, Saleh Mahoud, confirmed on Saturday that the Central Bank of Iraq (CBI) is moving forward with three strategic programs to advance financial transformation.
Mahoud told the state-run news agency (INA) that the CBI is currently working on three important initiatives, which are the local electronic card, express payment, and the billing system.
The CBI currently has timetables for completing these three initiatives to ensure a progressive increase in financial inclusion levels, according to Mahoud.
The Iraqi official added that Iraq frequently benefits from international expertise, particularly in the banking sector and digital transformation.
CBI Governor Ali al-Alaq revealed on Thursday that the bank has received approximately 80 applications to create digital banks in the country.
Oliver Wyman, a leading international management consulting firm, is reviewing the criteria set by the CBI to issue licenses for digital banks in the country, according to al-Alaq.
Al-Alaq said earlier that digital banks signify a change in orientation toward an approach that is entirely consistent with technological advancements and their application to a range of operations.
The Iraqi official indicated that digital banks’ annual financial transaction volume has reached around $5 trillion and is expected to reach roughly $7 trillion by 2027.
Artificial intelligence, encryption, and big data analytics are examples of cutting-edge technology that have fueled the rise of digital banks.
The licensing of digital banks is a critical first step in incorporating these cutting-edge technologies into Iraq’s banking system, with the goal of improving client financial services and promoting innovation and industry competitiveness.
