Shabibi: attempts عزلي started since 2009 to reach the central bank reserves (interview)

Shabibi: attempts عزلي started since 2009 to reach the central bank reserves


Twilight News / rejected Iraqi Central Bank Governor article Shabibi charges against him, particularly the “mismanagement of funds and failure to work,” adding that the government authorities threatened the independence of the Bank in order to reach its reserves.

Shabibi’s comments came after weeks of being sacked from his post, which was preceded by warnings against him and against other government banks, diplomats and analysts considered it comes in the context of seeking to control the bank by Prime Minister Nuri al-Maliki, who has denied his office and standing behind it.

Shabibi said in a telephone interview from Geneva with the French Press Agency seen by “Twilight News” “We were trying to عزلي since 2009, and they want money from the central bank reserves.”

“I think that the main problem is essentially a reserve, because they believe that we have a lot of reserves and they want to use for funding.”

He continued that “the government wants money from the Central Bank and the Central Bank Law does not allow it.”

Shabibi said “definitely say there are differences in the exchange rate policy. Do not think that these differences require dismissal of the central bank governor.”

In response to a question about the existence of the impact of threats and accusations against him and other officials on the independence of the Bank, Shabibi said “definitely yes.”

Shabibi refused to name any government official, but noted that they “were constantly talking about (they) must supervise the monetary policy and that they must decide lots and lots and lots of this policy, and all these things.”

Analysts described Shabibi (70 years), who stretched his experience of two decades in the United Nations, and his central bank governor since 2003, as a technocrat struggled to maintain the independence of the Central Bank of Iraq.

The Iraqi government decided to end the October appointment of Supreme Audit Abdul Basit Turki, rather than Shabibi, after criticism by the parliamentary Finance Committee relating to the mismanagement of the funds were directed to Shabibi and other bankers officials.

Shabibi said he planned to return to Iraq to face the charges against him, after the cancellation of the arrest warrant against him, pointing out that the government can not be sacked because this is still the validity of Parliament.

He also rejected Shabibi accusations of currency manipulation and mismanagement, compared to a slight change in the value of the Iraqi dinar against major changes in the value of the dollar or the euro.

Shabibi said “I told them (the government) that the central bank was not the reason for this volatility, it is part of the average we have succeeded in the end in stabilizing the exchange rate, and the difference 2 or 3 per cent only.”

“I told them, just go to Europe now and see the difference” in exchange rates.

He added that they “were unaware of the stability of the exchange rate (in recent years) and then used it against the Central Bank. They did not find any errors or problems and they said this is a problem and described the failure of the Central Bank.”

He said he did not know how long accusations against him, but added, “Let them wait and see,” he said, adding his confidence in his style.

The prices of the Iraqi dinar exchange rates roughly stable against the dollar over the past few years, and almost 1,200 dinars to the dollar.

In conjunction with the accusations of rigging in the exchange rate of the dinar, raised fears of exploitation of auctions held by the Central Bank of Iran and Syria to support its foreign exchange reserves, which was denied by the central bank. And have taken strict measures during 2012, banks impose a definition for procuring entities of foreign currencies.