Iraqi News Highlights Wednesday Evening 7-26-23
Iraqi News Highlights Wednesday Evening 7-26-23
Tlm724 Administrator Bondlady’s Corner
Al-Rafidain Bank Directs The Fulfillment Of Cash Deposits In Iraqi Dinars
Economy 07/26/2023 Baghdad - Mawazine News directed the Rafidain Bank, on Wednesday, to collect cash insurance in Iraqi dinars.
The bank stated, in a statement that Mawazine News received a copy of, that, "in line with government directives to deal in Iraqi dinars instead of the dollar and to enhance its strength in the local market, it was decided to collect all cash guarantees in the Iraqi dinar currency exclusively with regard to internal credits, bank guarantees and letters of guarantee issued in the interest of the authorities."
The government and private beneficiary, even if the insurance is in dollars and at the official exchange rate. He added that "the payment of the sums of the letters of guarantee upon confiscation shall be exclusively in the Iraqi dinar and at the official exchange rate as well." Ended 29 / H
https://www.mawazin.net/Details.aspx?jimare=232086
The Central Bank Clarifies The Mechanism For Compensating Citizens When Buying Dollars Higher Than The Official Rate
Economy | 01:12 - 07/26/2023 Baghdad - Mawazine News The Central Bank of Iraq clarified, on Wednesday, the contents of the meeting of Prime Minister Muhammad Shia Al-Sudani, with his governor, Ali Al-Alaq, and bank officials, and between the mechanism for compensating citizens when purchasing dollars higher than the official price, commenting on the entry of companies to the platform for selling dollars in the names of citizens.
Deputy Director of the Investment Department at the Central Bank, Muhammad Yunus, said, "The prime minister's recent meeting with the governor and officials at the Central Bank came with the aim of simplifying and facilitating the procedures for the trade financing process and spreading an atmosphere of confidence and safety for all merchants and importers that financing their trade takes place without any problems and without problems." The need to go to the black market."
Yunus added, "The meeting focused on a set of steps, including facilitating trade for small merchants by going directly to the banking sector without the need to establish a company."
He continued, "It also focused on the issue of investment complexes and the need to receive in Iraqi dinars, in addition to simplifying tax procedures and accounting for exchange companies that sell more than the official price and deducting the difference from exchange companies by the Central Bank of Iraq."
He pointed out that "the procedures for establishing a company under the current government have made it much easier for medium and large companies. As for a small or simple company, it is the easiest type of company through an incorporation contract for three people who can establish this company."
He pointed out that “there is a slow process of registering these companies, as their number is still very few, and therefore the last decision was issued to allow merchants and individuals to enter the banking system without the need to establish companies, as the merchant was not required to take many procedures, whether an official invoice or the account of the final beneficiary to whom the funds go.” And it can go to the bank account of any bank whose trade is financed without going to the black market.
He pointed out that "the paragraph of buying assets and real estate abroad was limited to banks that have accounts in Citibank, currently the purchase of real estate by citizens wishing to buy real estate from abroad is done through These banks are 5 banks (Iraqi Trade Bank, Al-Ahly Bank, Al-Mansour, Baghdad, and Abu Dhabi Islamic).
Regarding the mechanism of compensating the citizen when buying dollars higher than the official rate, he explained that "when a citizen buys at a price more than the official exchange rate from exchange companies, he presents evidence of this and it is possible through the awareness department or submitting a complaint to the central bank, and thus the company is addressed and inquired from, and a deduction is made." The difference from the company's balance in the central bank and handing it over to the citizen.
Regarding companies entering the platform for selling dollars in the names of citizens, he stressed that "there are strict procedures and we prevented many companies from entering the platform, in addition to large financial penalties," noting that "the Central Bank is continuing to develop this platform to limit these operations and end the current problem." Represented by entering the names of citizens by switching to biometric and other procedures to ensure that citizens’ passports are not used in the process of buying dollars.” https://www.mawazin.net/Details.aspx?jimare=232109
Oil: Revenues Last Month Amounted To More Than $7 Billion
Economy | 07/26/2023 Baghdad - Mawazine News The Ministry of Oil announced, on Wednesday, the total oil exports and revenues achieved for the month of June.
The ministry stated, in a statement that Mawazine News received a copy of, that "the quantity of exports of crude oil for the month of June, according to the final statistics issued by the Iraqi Oil Marketing Company (SOMO), amounted to (100) million and (59) thousand and (52) barrels." With revenues amounting to (7) billion and (179) million and (760) thousand dollars.
She added, "The total exported quantities of crude oil for the month of June from the oil fields in central and southern Iraq amounted to (98) million (725) thousand and (620) barrels, while the quantities loaded from warehouses to Jordan were (299) thousand and ( 445 barrels,” indicating that “the average price per barrel amounted to (71,755) dollars.”
And she pointed out, "The exported quantities have been loaded by (33) international companies of several nationalities, from the ports of Basra, Khor Al-Zubayr, mono-buoys on the Gulf, and from the Turkish port of Ceyhan on the Mediterranean, and the modern Kirkuk warehouse by tank trucks." https://www.mawazin.net/Details.aspx?jimare=232115
Renewal Of The License Of The National Gate Company For Electronic Payment And Financial Services Limited
July 25, 2023 Based on the decision of the Board of Directors of this bank No. (121) for the year 2023, approval was obtained to renew the license granted to the National Gate Company for Electronic Payment and Financial Services Ltd. based on the provisions of Article (7/Second) of the Electronic Payment Services for Funds Regulation No. (3) for the year 2014, provided compliance with its provisions, instructions and controls issued by this bank. https://cbi.iq/news/view/2391
Facilitated Awareness Guide For Risk Management
July 25, 2023 :diamonds: Facilitated Awareness Guide for Risk Management (for departments and employees of the Central Bank of Iraq)..For information, click here https://cbi.iq/static/uploads/up/file-169026808124675.pdf https://cbi.iq/news/view/2389
Al-Alaq: The Penalties Imposed On 14 Local Banks Were Not In The Time Of The Current Government
Economy | 07/26/2023 Baghdad - Mawazine News Central Bank Governor Ali Al-Alaq revealed today, Wednesday, measures that will contribute to the stability of the exchange rate, while stressing that the sanctions imposed on 14 local banks were not in the time of the current government.
Al-Alaq said in an interview with the official agency, followed by Mawazine News, that "the central bank continues to provide the dollar at the official rate and cover all legitimate transactions for the purchase order, such as remittances and credits for various imports."
The rise in the exchange rate is temporary, and he added, “What is being talked about in terms of a rise in the exchange rate does not mean that there is a rise in the official price, which is still the same. official sale required by the new system.
And he continued, “Merchants, in addition to other categories, cannot enter the platform because they do not practice legitimate activities and operations, and our role in the Central Bank is to push everyone who needs to buy dollars to enter the legal and correct path, and the process today is in fact a process of reorganizing the movement of trade and funds, which makes these operations Subject to local and international controls and standards, which leads to an effective implementation of the Anti-Money Laundering and Terrorist Financing Law No. 39 of 2015.
Al-Alaq pointed out, “The process of implementing the new system in reorganizing the movement of trade and funds requires the cooperation of multiple parties, and we expected that the issue would receive support, implementation, and interaction from the official and popular parties to support the Central Bank in achieving the goal of this system to make the movement of money proceed in legal contexts and correct criteria to avoid any internal or external risks.
The Bank's Actions Need To Be Supported By All Parties
He stressed, "The international financial system is integrated, coherent, and interdependent, in which some influence others, and all financial institutions in the world deal with the movement of funds with caution within an accurate assessment of risks and verification of the sources of funds and their beneficiaries. Iraq is part of this system, and we must achieve a high degree of compliance with the standards." The international financial system to ensure the integrity of our financial system, and this, as we indicated, requires great support for the Central Bank, and for each party to take its role.
And between the Governor of the Central Bank, that “regulating foreign trade falls outside the control of the Central Bank and requires the cooperation of multiple parties concerned with this file, such as the Ministry of Commerce, the Border Crossings Authority, the Customs Authority, the security services, and other parties, and what we are doing serves all parties, the country’s economy and its general situation, and therefore there must be solidarity.” Collaboration and interdependence between everyone with the Central Bank to achieve the goal of the system.
He pointed out, "We often hear observations about the dollar sale process and currency movement, and today when the Central Bank assumed this great responsibility to reorganize it and put it in its correct contexts, the issue cost a great effort of human resources to monitor the process and ensure its safety with the application of electronic programs that cost the bank large sums." of investments, and we seek the assistance of an international auditing firm to review and verify operations, and here there must be support and backing to achieve the primary goal.”
Diagnosis Of Speculators
He pointed out, "There are parties that do not want the correct standards to be adopted, and some of them are trying to take advantage of this situation to jump on the market and withdraw the cash assets in it to achieve private benefits and speculation. We have identified the elements that carry out these illegal actions, and there is an effective security effort and monitoring of these, and the legal prosecutions are continuing under the direction of And direct follow-up from Prime Minister Muhammad Shia’ al-Sudani, who gave this issue great attention.”
Al-Alaq explained, “What the Central Bank announces of daily sales of foreign currency are not the operations actually in effect, but rather the requests that the Central Bank transfers externally to conduct import transactions, and what is implemented is less than what is announced in terms of numbers, because there are transactions with notes, deficiencies, or lack thereof.” Conditions are met and rejected, and the daily sales rate actually executed daily reaches $155 million.”
He added, "The failure to meet all requests is caused by the merchants not entering the electronic platform, so they go to the market to buy dollars in cash, and the supply is what citizens circulate for the purposes of treatment, study, etc., and the current problem in Iraq is not related to a lack of cash reserves in it, as happens in a number of countries, but we have a large reserve." He can respond to requests and there are no restrictions."
New Procedures
And he continued, “The problem is in the request itself, as some of those who want to buy dollars do not adopt the correct methods by going to the electronic platform, and we at the Central Bank submitted two proposals to the government to meet their requests: the first includes easing tax procedures and making their percentage simple and deposited directly in accounts without entering into complications.”
Taxation and tax accounting, and the second proposal, which is that the entry of any goods into Iraq should be through a new mechanism that includes the presence of evidence of its official transfer,
and the first proposal was accepted by the government by taking advantage of what was stated in the budget law, Article 48, and now work is underway to determine the categories covered, and the second proposal is currently being studied from The government must document the entry of goods and disclose the source of funding, which is one of the requirements of the Anti-Money Laundering Law.”
Al-Alaq pointed out, “There is acceptance of the idea oftax and benefiting from what was stated in the Budget Law in Article 48, and now work is underway to organize it and define the categories and tax,” noting, “The rise in the exchange rate in the market is my time and the fate of merchants who buy dollars from the market.” platform and transfer in an authentic manner, and then there will be no pressure on the exchange rate in the market.”
Al-Alaq added, however, by saying: “The penalties imposed on 14 local banks were not at the time of the current government, but rather at the time of the previous government, and the announcement of them a few days ago came after completing audits on all transfers and verifying their sources, noting that” the phenomenon of speculators in the market Those who spread radiation and create a crisis that leads to an increase in the price, and it does not change anything about the possibility of applicants to obtain dollars from going to banks other than those that have sanctions.
And Al-Alaq confirmed, “There is no indication or indication from the American side of including new banks within the sanctions,” noting that “the central bank will follow up on the issue of banks that have been subject to deprivation of the dollar, and it will enter into the process of reviewing and verifying them.”
He revealed that there are a number of proposals being developed to set up the trade process with the Iranian side and the payment mechanism within its framework, and to work to provide means of payment through the Iraqi currency and to prepare special cards for this issue.
Transfers with China and Europe
And he noted, "The Central Bank continues to put forward regulatory packages to stabilize the market, and the most important measure that the bank took is to open the largest number of channels to conduct transfers, and now we have opened a direct channel to conduct transfers with China in its currency without going through complex operations, and these transfers are conducted quickly and easily."
He emphasized, “The bank started transfer operations in the Chinese currency with one bank, and now the number of banks has reached more than 10 banks.”
Al-Alaq announced close dealings with European banks and in other countries in order to give the transfer channels speed and help attract merchants.”
Al-Alaq explained, “There are certain arrangements being worked on between the Iraqi government and Iran and the American side regarding the payment of due gas supply dues.”
He pointed out, "There are good efforts that are focused and escalating related to the campaign to support the Iraqi dinar," noting that "the strength of the Iraqi dinar derives not from the citizen, but from the capabilities of the country."
Campaign to support the dinar
He pointed out, "Prime Minister Muhammad Shia al-Sudani personally is one of the main supporters of the campaign to support the Iraqi dinar."
Regarding the experience of generalizing electronic support, Al-Alaq explained that "the issue receives great interest from the Central Bank, and now a meeting has been completed with an international company for electronic payment, and there is progress, but it depends on expanding the circle of culture in this aspect."
And he indicated, "The experience of electronic payment for citizens against government institutions has begun to succeed, and there are many departments that have joined, and we are working on a very important step, which is to conduct transactions by paying via mobile phone, that is, a person can pay as soon as the other party has a (code) where any A person holding this code can pass the code on the device and enter his account, which is an advanced step even from using cards.”
Iraq's debts
Regarding the size of Iraq's debts, Al-Alaq indicated, "The internal volume of Iraq's debts is about 65 trillion, of which 46 trillion belongs to the Central Bank, and the rest belongs to government banks, and is paid in the form of payments, while the external debt is about 20 billion dollars, while the reserve is The Iraqi reserves are more than 113 billion dollars,” noting that “the adequacy of the Iraqi reserves is high, and it guarantees foreign currencies and gold.”
Riyada initiative
And Al-Alaq continued, "The Prime Minister launched a leadership initiative to qualify young people and enter them into small projects, and to embrace their capabilities and innovations," pointing out, "The Central Bank entered as a financing party by launching a project to establish Al-Riyadah Bank, in order to absorb and finance these capabilities."
And he indicated, “The Central Bank is in the process of establishing this bank, and there is great interest from us and private banks, indicating that the bank has various initiatives, including financing small and medium projects and the ongoing housing lending initiative through the Real Estate and Housing Bank, as well as we have an initiative to support the use of solar energy, and there is an initiative related to The displaced, in partnership with the international institution, and we have financing previously funded industrial and agricultural projects, and the bank is working to complete its financing while it is re-studying the initiative related to the industrial sector.
He pointed out, "It has been dismissed from printing the category of twenty thousand dinars because of the existence of a category of 25 thousand dinars, and we do not wish to expand the current categories, because the project to delete zeros still exists."
Regarding the structure of government banks, Al-Alaq stated that "there is now coordination and focus on this file, great interest from the Prime Minister personally, and periodic meetings in this field, and we have some ideas about these banks that we are working on implementing at the present time." Ended https://www.mawazin.net/Details.aspx?jimare=232134
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