Warning against the consequences of canceling the dollar selling platform in Iraq.. The green currency is hostage to Jordan and the Gulf States
Warning against the consequences of canceling the dollar selling platform in Iraq.. The green currency is hostage to Jordan and the Gulf States
2024-12-06
Financial and economic affairs expert Mustafa Akram Hantoush warned Thursday (December 5, 2024), of the consequences of canceling the dollar selling platform to merchants during the next stage, according to what was announced by the Central Bank of Iraq.
Hantoush, a journalist, said, “The Central Bank of Iraq must know very well that the collapse of the Iraqi banking system and the punishment of (32) Iraqi banks without a clear charge over a period of a year and a half is not normal, and from the perspective of banking work, this may be the first incident in the world of this kind.”
He added, “The worst thing is the lack of serious solutions from the Central Bank of Iraq to this situation, but rather the move towards cancelling the (fitr) platform by the end of 2024 and handing over the dollar file to banks affiliated with foreign investors and banks (Jordanian and Gulf), which gives the impression that this matter was planned from the beginning.”
He continued, “The failure of the Central Bank of Iraq to find solutions for the Iraqi banking sector will fire the mercy bullet at the entire Iraqi banking system and it will become punished as a whole, which will lay off nearly 100,000 workers in the Iraqi private banking sector in favor of Jordan and the Gulf countries,” noting that “in the absence of banking competition, the stability of the exchange rate becomes difficult due to the monopoly of the dollar by certain banks and may lead to new fluctuations in the exchange rate.”
Hantoush wondered: “Why is the work of the (Fitr) platform not being extended in coordination with the new US administration? Also, why are Iraqi banks not guaranteed to open an account for themselves in correspondent banks in dollars (Citibank/JP Morgan) as the countries of the region have done?”
He pointed out that “the surprising thing is that, until now, the mechanism for cooperation and auditing with Ernst & Young has not been determined or announced regarding transfers in currencies other than the dollar (euro – yuan – lira – dirham), nor have the results of the agreement and contract with Oliver Wyman regarding the (32) sanctioned banks and what their fate will be have not been announced. This means that the banking situation in Iraq is facing many major crises, and the dollar will be difficult to control in the parallel market.”
burathanews.com
