Prime Minister Mazer Mohammed Saleh’s financial adviser said on Monday that priorities for banking system reform include strengthening the ability of banks to attract funds and encouraging individuals to open bank accounts and provide loans on concessional terms.
Saleh pointed out in an interview with the official agency, that “the fundamental problem in the current banking system is that 85% of the money is out of banking circulation, and this situation must be changed by making people deposit their money in banks and get loans easier and more attractively.”
He stressed, “Achieving this banking reform includes providing mechanisms that attract the public to banks and encourage them to open bank accounts, by providing rewarding benefits and facilities for loans,” stressing “the importance of achieving financial inclusion for all segments of society to increase bank deposits and stimulate the economy.”
He pointed out that “one of the challenges facing banking reform is how to make people trust the banking system and start putting their money in banks instead of keeping it outside the banking system,” noting that “legal and safe guarantees must be provided for funds deposited in banks.”
