The US Embassy urges Iraqis to own bank accounts

The US Embassy urges Iraqis to own bank accounts


The US Embassy urges Iraqis to own bank accountsThe US Embassy in Baghdad announced on Wednesday that Iraqis are among the lowest countries in the region in possessing bank accounts, urging them to possess these accounts.

The embassy stated in a publication, a copy of which was seen by NRT Arabic, entitled, “Did you know that less than a quarter of all Iraqi adults have an official bank account for the year 2021?”

She explained, “Modern banking services contribute to increasing foreign investment, providing loans to Iraqis, and protecting them from financial crimes, theft, and loss,” noting, “Informal money transfer services harm the local economy.”

The embassy continued, “According to the World Bank, in 2021, the percentage of Iraqis over the age of 15 who owned an account in a financial institution was only 18.57%. This represents one of the lowest rates in the Middle East and North Africa region, which averages about 53%.” .

She said, “Iraq’s reliance on cash and informal money transfer services is harmful to the economy because it reduces the opportunities for financial regulation necessary to convince prestigious international companies to operate in Iraq.”

The embassy added, “Over the past two years, the United States government has worked with Iraq to restore confidence in the banking sector and reform transfer mechanisms related to imports financed by Iraqi banks. The new reforms encourage the correct registration of companies and increase the use of official banking outlets.”

She explained, “According to the Central Bank of Iraq, the total deposits in Iraqi commercial banks have increased in the past two years by approximately 37%, and from 2021 to 2022, the total number of accounts in Iraqi banks has increased by 31%.”