Private banks in Iraq .. Parasites and closed places without credit

Private banks in Iraq .. Parasites and closed places without credit

Sunday 21 April

Private banks in Iraq .. Parasites and closed places without creditAlsumaria News / Baghdad
It seems that some of the private banks in Iraq are still far from the banking business known in all countries of the world to be just interfaces to other people to get a big financial profit.

While these banks have been away from the main task related to credit work and to be places like military barracks closed most of the time guarded by a number of guards, and to give to citizens as private banks have nothing to do with banking.

The parliamentary economy: the place of blackmail and depletion of the currency

According to a member of the Economic Committee and parliamentary investment Nada Shaker Jawdat in an interview with Alsumaria News that “some private banks turned into a place of extortion and exhaustion of hard currency in the auction currency,” surprised by the “lack of real policies to work these banks to achieve The maximum benefit of banking work in construction, investment and reconstruction, as is the case in most countries of the world. ”

“Most countries in the world where private banks are the main pillar in the areas of reconstruction and investment in several sectors, but in Iraq, we find banks are far from these priorities and we find no use in the field of reconstruction in foreign policy to find no explanation by the authorities Follow up the work of those banks. ”

Showed Jawdat that there is an imbalance in many sectors, not only in the banking sector, “noting that” the basis and the core of the imbalance comes from the affiliations and loyalties of the country, in addition to the lack of control and punishment strict parties abusive all of which have played a negative role in the performance of private banks. ”

Economic Contribution Banks do not exceed 8%

The economist Hilal Tahan said in an interview for Alsumaria News that “the private banks in Iraq do not exercise credit work in Iraq correctly, and become a group of banks take advantage of the auction of the Central Bank and buy Treasury remittances, which is a fake profits and not productivity For it is not in them that he is rich T or that these banks give loans to citizens at high prices and therefore the impact on the development of a very few. ”

Adds Miller that” the sum of these banks, amounting to approximately 32 banks and even government , including its contribution to development ratio , or gross domestic product of between 8 to 10%, while The proportion of the contribution of banks in the UAE between 28 to 30% of the gross domestic product. ”

Economist: Some banks are just banking offices

For his part, says economist Dhargham Mohammed Ali in an interview for Alsumaria Ynoyz that” a lot of private banks move away from credit work Due to poor returns and low capital and deposits Night work only within the benefit of its share of the auction of the Central Bank of Iraq , which keeps them away from the banking competence and makes it closer to banking offices. ”

“The credit market in Iraq is a fertile environment for banking work in Iraq. The supply of credit is much less than demand, but the lack of seriousness of banks in the exercise of banking competencies led to a decline in the reputation of private banks and limited to a limited number can be described as active with the decline performance of the rest.

“Although the Iraqi Central Bank issued a set of instructions to activate its work, such as reducing the mandatory reserve of deposits and obliging them to raise their capital, these measures did not find a clear positive echo from these banks and still constitute a ceiling not more than 10 to 15 percent of the size of bank deposits and not more than 10 Percent of the domestic credit market. ”

Citizens: banks parasitic The

citizen Hussein Mohammed al-Hassani told Alsumaria News that “it is rare to see civil banks in Iraq are fully functioning,” noting that “citizens are reluctant to deal with these banks as banks are not guaranteed to stay and live on others, describing them “The parasitic” He adds that “most citizens do not deal with private banks because they are often in doubt about the possibility of survival,” and called on “the central bank to put mechanisms and strict controls for anyone who wants to get permission to set up a bank in Iraq.”

For his part, says citizen Saad Mohammed in an interview for Alsumaria News that “most of the Proposal was designed civil in Iraq perfectionism more than it is the banks exercise its banking. ”

Refers Mohammed to ” The funds of these banks capital are few and you can not practice banking work grants loans or deposit, calling on the central bank to merge these banks to be able to banking , similar to the rest of the banks in Neighboring countries. “It

is noteworthy that Prime Minister Adel Abdul-Mahdi said during his attendance at the meeting of the alliance of the recent construction that we import goods from Lebanon, which is capable, despite the small because of its banking system developed to allow financing projects and the July war of the Zionist entity was able to rebuild all the buildings destroyed in Lebanon did not spend The Lebanese state is one penny for reconstruction but the banks are strong and the crisis has turned into an achievement.