The capital of private banks operating in Iraq exceeds 15 trillion dinars

The capital of private banks operating in Iraq exceeds 15 trillion dinars

7/5/2020 10:31

The capital of private banks operating in Iraq exceeds 15 trillion dinarsBaghdad today – Baghdad

The Iraqi Private Banking Association revealed the size of the Iraqi banking sector, stressing that the capital of banks operating inside the country amounted to more than 15 trillion dinars.

The Executive Director of the Association of Iraqi Private Banks, Ali Tariq, said in a statement received (Baghdad today), “The data prepared by the Central Bank indicates an increase in the capital of the banking sector to more than 15 trillion dinars.”

He noted that “the banking sector has witnessed a great development during the past years, and was able to increase the volume of lending and deposits in banks, which will positively affect the Iraqi economy, especially after the central bank reduced interest on small and medium enterprises.”

Tariq stressed that “the capital of Iraqi banks amounted to more than 15.3 trillion dinars until 2019, divided into 3.3 trillion dinars, the capital of government banks, while the capital of private banks amounted to 12 trillion dinars,” noting that “deposits in the banking system amounted to 82.1 trillion dinars, of which 71.38 trillion Dinars in government banks, while in private banks amounted to 10.72 trillion dinars.

He pointed out that cash credit amounted to 42 trillion dinars divided into 34.2 trillion dinars provided by government banks and 7.8 trillion dinars provided by private banks, while pledge credit amounted to 25.2 trillion dinars divided into 17.2 trillion dinars from government banks and 8 trillion dinars from private banks .

He stressed that bad debts amounted to 4.1 trillion dinars divided into 2.37 trillion dinars in government banks and 1.77 trillion in private banks, and this failure is due to the lack of commitment of borrowers to pay back borrowing money, explaining that the profits of banks during the past year amounted to 1090 billion dinars divided into 956 billion dinars For government banks and 134 billion dinars for private banks.