Banker proposes new legislation for banks

On: Tuesday 3/4/2012 9:26

 Baghdad / term follow-up   
counting the Central Bank of the Rafidain and good government, an obstacle to the development of the banking system which has to keep pace with the country headed towards a market economy, revealing a crucial meeting to be held today for the restructuring of State-owned banks. The deputy governor of the Central Bank of the appearance of Mohammed’s “Twilight News” that “the Rafidain and Rasheed in spite of solemn services which Ikdmanha, but they shift to a serious obstacle to the development of the banking system in the country and… they dominate 85% of the banking operations.

Saleh added that the Rafidain Bank and before the emergence of the Rasheed Bank, it was one of the best banks in the Middle East, and because of the many problems and difficult circumstances that have passed on Iraq is today does not offer only 8 tools, noting that international banks offer 450 instrument banking, banks, Arab countries provide 45 tool . “Saleh continued: The Ministry of Finance and Central Bank and the Office of Financial Supervision signed in 2006 a memorandum of understanding to restructure the Rafidain and Rasheed.

Saleh revealed that “the Central Bank and the Ministry of Finance in addition to the BSA will hold today a crucial meeting to decide on the restructuring of banks, including restructuring of administrative and financial structure. ” 
The government remains committed in its financial transactions which are limited to government banks by 85.%. 
being most banking transactions through the two institutions-governmental organizations are banks, “Rivers” and “good.” was the nationalization of private banks in 1964, and allowed to operate again in the nineties of the last century, but their activities remain mostly limited to the deposit services and lending profile. was Deputy Governor of the Central Bank of the appearance of Mohammed Saleh between, earlier, that “the International Monetary Fund expressed his conviction fiscal reforms carried out by Iraq at the level of financial dealings and banking and development, it was proposed banking expert Mohsen Ali new legislation to support the banks, two branches of government and private sectors for their contribution to the investment process and the reconstruction of the country. 
Ali said, according to the Agency (news) The banking system in the country is still behind the banking systems of modern and sophisticated in the world, Iraqi banks have become an office banking as a result of the absence of its actual contribution the investment operations of the country through the granting of loans, whether payment on credit or direct. 
He added, must be new legislation provides for the support of Iraqi banks of public and private by the federal government, the fact that the current law marred by a lot of paragraphs that hamper the work of modern banking, calling for the use of banking laws now in place in most countries in the world developed, in order to be of Iraqi banks key role in promoting the country’s economy. The banking expert to the banks in the country is still underdeveloped and far from what is happening developments of the global banking technology.