Financial Inclusion In Iraq: A Success Story That Defies The Odds
Time: 06/04/2024 18:48:26 Read: 1,105 times {Economic: Al-Furat News} In the wake of the American invasion of Iraq in 2003, the financial system collapsed and the phenomenon of hoarding money pread, as a result of the loss of confidence in the banking sector after the closure of most branches of foreign banks operating in Iraq, and the faltering of some local banks.
To address this crisis, the Iraqi Deposit Insurance Company began establishment procedures in 2008 with the aim of protecting depositors’ funds and enhancing their confidence in the banking system, which is vital for achieving sustainable economic development.
The company has achieved remarkable success in its mission, as it has witnessed a significant increase in the number of bank accounts and the size of deposits since its establishment.
In 2009, total deposits in Iraqi banks amounted to $8.05 billion, and this number rose to $76.5 billion in 2021.
This significant increase is largely due to the company’s efforts to enhance confidence in the banking system and encourage citizens to save.
This significant increase in deposits clearly reflects the effective role played by the company in stimulating the culture of savings and encouraging citizens to deposit their money in banks instead of keeping it at home.
These numbers indicate that the Iraqi Deposit Insurance Company is on the right track towards achieving its strategic goals, which are enhancing financial stability and reducing the phenomenon of hoarding, and thus contributing to advancing economic growth in Iraq. https://alforatnews.iq/news/الشمول-المالي-في-العراق-قصة-نجاح-تتحدى-الصعاب
What If Other Banks Follow Suit?
Economical 06/05/2024 Hussein Thaghb Economic advancement requires a set of data that will take it to safety and achieve the set goals on time.
The process of economic development requires a series of interconnected episodes that complement each other during known times.
This mechanism cannot be maintained unless there are elements that represent the raw material for new production.
The financial sector here can be described as the cornerstone of the economic development process sought by the country that is described as rich among the countries of the world,
especially since one of the specialized centers placed Iraq first among the rich countries of the world, as it was ranked first by the volume of wealth per square kilometer relative to the number of inhabitants, and Here we can evaluate the country’s economic importance.
Today, when we look forward to employing the amount of wealth in a way that creates true sustainable development and preserves the rights of future generations,
it is necessary to create an effective and sound banking system that takes into account the movement of money globally and complies with all legal paths that govern the movement of money within the globe, and this is something we are close to, as she pointed out.
International Reports Indicate That Iraq Is In An Acceptable Situation.
In the country, the matter requires more clarity and rapprochement from the Central Bank of Iraq with the banking system, which has begun to fear the expected sanctions,
especially since there are those who say that there are sanctions that will affect new banks in the coming days, at a time when the Central Bank and the Association of Banks, the sectoral body responsible for private banks, announced that efforts are directed To cancel the sanctions imposed on banks that began a year ago.
In an atmosphere like this, banks continued to work to increase their capital and develop their technological systems in accordance with what is internationally approved to strengthen the financial system in Iraq.
News like this comes circulating here and there.
The relevant official and sectoral authorities must come closer to clarify the facts of the matter and preserve the banks that are actually working to develop their performance.
It aspires to serve the national economy, and has national motives to serve Iraq, not exclusively personal interests.
Iraq is one of the most important labor markets in the world and the focus of attention of major international companies and international economic organizations.
This requires us to reflect an ideal image of the country, starting with the financial sector in particular, which is the reflecting mirror of any economy, and as long as we are on the cusp of a new phase to achieve…
For economic advancement, we must and inevitably have an effective banking system that is far from all forms of disruptions that expose it to unnecessary shocks.
The most important role of the Iraqi Central Bank is to protect the quality of the Iraqi banking system, confront any rumors that confuse performance, reassure its children of the banks that actually serve the national economy, and address banks that do not have development goals that support the development trends in the country. https://alsabaah.iq/97861-.html
More Than 12 Million Bank Accounts To Date
Economical 06/04/2024 Baghdad: Al-Sabah The growth rate of bank accounts has increased over the past years in the country, reaching 12 million bank accounts so far.
According to a statement issued by the Central Bank, “the growth rate of bank accounts increased from 2018 to 2019 by 90%, reaching 12,500 million bank accounts.”
He added, “The growth rate of bank accounts reached its peak in 2020 with a growth rate of 90%, reaching 12 million bank accounts, while for the year 2021 it decreased to the lowest level by 10%, reaching 1,500 million bank accounts.”
The Iraqi Central Bank indicated that the growth rate of bank accounts for the year 2022 increased by 30% to reach 4,500 million bank accounts, and it also increased during the year 2023 by 54% to reach the level of 8 million bank accounts. https://alsabaah.iq/97767-.html
Experts: We Are Getting Close To “Zeroing” Gas Burning
Economical 06/05/2024 Baghdad: Shukran Al-Fatlawi Economic affairs specialists see the necessity of conducting multiple licensing rounds to exploit gas patches in the country in light of Iraq’s approach to zeroing out the gas burning process, noting that the last round did not achieve all of its goals.
Baghdad recently witnessed a licensing round for a number of new exploratory patches and sites, some of which were not awarded in the round.
Oil expert Dr. Hamza Al-Jawahiri said in an interview with “Al-Sabah” that the issue of investing in associated gas was long delayed due to many problems, pointing out that the government is serious during the next two years in zeroing the rate of burning of associated gas,
indicating the existence of several projects for treatment, including exploiting gas in The project signed with Total Energies, which processes 600 mqm of gas, as well as the Nahr Omar project, which processes 300 mqmq, and other projects that the government is urging to invest in associated gas.
Al-Jawahiri continued that there is a period of time ranging from 3 to 5 years, in which it is possible to see its final results in investing in associated gas, hoping at the same time that these projects will be implemented, because, unfortunately, they have become like a dream, he said, as the process of burning associated gas and converting it into power generation stations Electrical or petrochemical plants, not yet exploited.
Al-Jawahiri stressed that petrochemical plants are not available in the country, except for one plant, which is not sufficient for its purpose, considering it a major problem that requires urgent solutions, noting that there are very many fields in western Iraq for free gas, which could make us a gas exporting country if invested properly.
He pointed out that the Ministry did not fully achieve its goals during the last licensing round in obtaining investors in the exploratory patch for invasive areas, because it requires more work, study, and seismic geophysical surveys in those areas in order to be presented to international companies, in addition to the necessity of providing security in the region.
For his part, the researcher in economic affairs, consulting engineer Imad Al-Muhammadawi, told Al-Sabah that the year 2030 will be the year of completely eliminating gas burning, according to the Paris Agreement that Iraq signed, which stipulates “finding coordination and reaching solutions and cooperation at all international levels to help in Reducing the percentage of carbon in the atmosphere and its negative effects, and confronting climate change and its significant effects as a result of global warming.”
He added that the country’s efforts are currently directed towards stopping associated gas, which will stop in the year 2028 according to government sources, and trying to benefit from it in generating electrical energy, from which the country has been suffering from a crisis for a long time.
He expressed his optimism that the crisis is on its way to being resolved, and the country is currently taking… Correct steps in this direction.
For its part, the Ministry of Oil recently announced access to investment and exploitation of 62% of the gas produced in Iraq, and indicated that the year 2028 will witness the end of Associated gas combustion.
The Undersecretary for Gas Affairs in the Ministry, Izzat Saber, said in a press statement,
“A memorandum of understanding was signed between Siemens, Schlumniger, and the Ministry of Oil for accelerated investment in the associated gas that is being burned,” indicating that
after the memorandum, the stage of commercial, financial, and technical presentation for this company and identifying the fields will come. That burns gas. https://alsabaah.iq/97860-.html
Provoking Thoughts and Points To Ponder On Wealth
We can have democracy in this country or we can have great wealth concentrated in the hands of a few, but we can’t have both. – Louis D. Brandeis
I am opposed to millionaires, but it would be dangerous to offer me the position. – Mark Twain
Sleep, riches and health to be truly enjoyed must be interrupted. – Jean Paul Richter
The wealth of a nation consists not in its mass of material things, but in its system. The natural resources of South America are not inferior to those of the United States, but the wealth of the two regions is vastly different. The land of India is far richer than that of Japan, but the comparative wealth of the two nations is reversed. – George Brockway
