Finance presents a study to reform government banks

Finance presents a study to reform government banks


Finance presents a study to reform government banksSaturday, Finance Minister Ali Allawi announced the submission of a study to reform government banks.

Allawi said in a speech during the Fifth Finance and Banking Exhibition Conference in Iraq, “The banks went through difficult circumstances from the beginning of 2020 after the drop in oil prices to unprecedented levels and the impact on the economy,” noting that “the banking and financial sector is the most important pillar in the economy, not just state resources. Diversifying the economy is an urgent necessity.

He added: “There are 3 basic elements for the stability of the economy, the higher policies of the state and the central bank, and secondly, the international situation and direct and indirect external influences on the Iraqi economy, and the third is the institutional element.”

He continued: “The banking sector has grown in terms of deposits and loans, and the ratios between the public and private banking sector are still the same, 75% of deposits are in government banks.”

He pointed out that “reforming government banks is a vital issue and an essential part of transforming the economy from rentier to diversified.” And he indicated that “companies outside the oil sector cost the state billions of dollars.”