Financial experts: Banking Law and the contradictory need for an amendment in line with the changing economic reality

Financial experts: Banking Law and the contradictory need for an amendment in line with the changing economic reality

On: Tuesday 14/2/2012 9:18

Baghdad (news) / report / Qusay maximum / calls for banks to amend the law on them after the direction of the country from the central to the open market and the changing reality of economic and the fact that legislation does not meet the ambitious development and expansion for the better. 
The head of the Association of Iraqi banks look Halawi (of the Agency news): The Banking Law No. (94) for the year 2004 needs to be reviewed in full, there is a lot of variables that occurred in the country and in the work of private banks. 
He explained: that despite the amendment of Article (28) of the Banking Act, which was to prevent private banks from participating or engage in large projects in Iraq, but that this amendment did not meet the ambitious, pointing out that the amendment was simple and unable to make way the doors work. 
said: that article (28) of the Banking Act provided for the support leave any bank to exercise or take part trade Wholesale or single or manufacturing processes or transport or agriculture or fisheries, or mining or building or re-insurance, or any activity or work other than authorized. 
Act requires amendment to comply with the variables 
For his part, Vice Governor of the Central Bank of the appearance of Mohammed in an interview (for news) : that the Banking Act is an advanced being authorized to open branches of banks in partnership with the banks of the world but he put in the hurry and it is time to amend it because it contains contradictions and to bring it in line with the development of economy and development in the country. 
He explained: that the Banking Act only mode of investment banks, usury did not affect Islamic banks which are based on profit-sharing, despite the existence of a draft special law regulating the work of Islamic banks. 
The number of Islamic banks from one bank in 2003 to ten banks so far, including the Iraqi Islamic Bank and the country is Islamic, and Elaph Islamic, and Kurdistan, and the Tigris and Euphrates and cooperation regional levels. 
building a national economy needs a new structure 
, said banking expert Samir Nasiri (the news) that the contribution of the private banking sector development need to be several legal amendments, and the achievement of equality between them and the government banks, as well as setting up a company to ensure the credit of all kinds 
, and added that there is an urgent need to building a national economy dependent mechanism and a new structure to move the banking sector on the role of financial intermediation to the developmental role and in light of the crisis affecting the economy. 
The Mediterranee to: the banks are in need of amendments to the Central Bank Law and to review the legislation currently in force on the basis of offer and help to investment, including in particular the Banking Act of Articles (28) and up (33), and the law of the Securities Commission and the enactment of the new financial investment. 
must reconsider a provision for doubtful debts collect in accordance with the list of guidelines and to give flexibility and extended additional time for banks to be able to liquidate this debt which is due most of the earlier periods where migrated most of the debtors for security reasons. 
He explained: that such debt impede increasing the capital of banks because of the reduction in profits realized actually the result deducted from the net profit and in turn affect the activities of investment banks new. 
efforts to establish a fund to finance projects 
, said Director General of Trade Bank of Iraq Hamdiya dry (the news) that the bank seeks to cooperate with the private banks through partnerships to support economic development, noting that its bank is seeking to form an investment fund to finance projects. 
The dry: the banks need to enhance the confidence of the street and public sector alike, pointing out that the increase bank capital is not the only factor in the development or increase their confidence, but the credibility of work. 
noteworthy that Iraq declared earlier in the postponement of a program for restructuring the financial system of Iraq until the year 2013, which included the restructuring of the largest banks Iraqi owned by the state and are the Rafidain and Rasheed, and the restructuring of the Department of control of the Central Bank and the development of the private banking sector. 
The central bank said in November of the year 2010, that foreign banks operating in Iraq do not work independently but under the umbrella of the banks, local community, indicating that the investments the regional countries with a commercial character and lacking in international standards . 
The Ministry of Finance has announced that at the end of the month of January of 2011 for its efforts to open an Islamic bank under the Ministry of Finance is running down the interest in the Rafidain Bank and Rasheed 
were many Arab and foreign banks made ​​after the enactment of the banks to get licenses for the establishment of private banks, either by ( 100)% or in partnership with local banks, but security conditions have prevented the exception of some minor posts that have been made ​​with a number of banks. / Finished

https://www.ikhnews.com/news_view_32999.html