Source: Dar Al-Hayat - 21/01/2010
To allow government institutions to open accounts in private banks
Prime «Association of Iraqi private banks» Fouad Al_husnevi in a statement to «life», that the Iraqi government has given directives to the self-financing services and insurance, to open accounts in the Iraqi private banks (eligibility), to provide investment opportunity for the private sector and providing facilities to businessmen. He said the directive came after a meeting with Iraqi Finance Minister Baqir al-Zubaidi and a delegation of «Business Council, the Iraqi National», which was submitted proposing to create an investment fund dedicated to private sector financing and concessional interest rates.
The Al-Zubaidi said all private bank capital is 100 billion Iraqi dinars (85 million) has a chance to open up government funds, up to 4 million dollars for each adoption, what constitutes a qualitative leap in the performance of private banks (33 banks), which exceeds the total capital of 1.5 billion.
Officials in the private banks, pointed out that «the past year has seen the most negative towards the resolution of banks, when it issued the Ministry of Finance in January (Jan) decided last year to prevent government departments to open accounts in private banks and withdrew all the money and deposited in the accounts of government».
The Chairman of the Board of Directors of «Ashur International Bank for Investment» Wadi Handal in a statement to «life», said the decision to disrupt the financial situation has caused the private banking sector and led to an imbalance in the balance of cash available in many banks, and delays in opening letters of credit.
On the incompatibility of laws and legislation with the requirements of private banks, Handal said that article 28 of the Banking Act which prevent their entry into the investment sector, is one of the obstacles that impeded the growth of the sector, calling for reconsideration this year.
To allow government institutions to open accounts in private banks
Prime «Association of Iraqi private banks» Fouad Al_husnevi in a statement to «life», that the Iraqi government has given directives to the self-financing services and insurance, to open accounts in the Iraqi private banks (eligibility), to provide investment opportunity for the private sector and providing facilities to businessmen. He said the directive came after a meeting with Iraqi Finance Minister Baqir al-Zubaidi and a delegation of «Business Council, the Iraqi National», which was submitted proposing to create an investment fund dedicated to private sector financing and concessional interest rates.
The Al-Zubaidi said all private bank capital is 100 billion Iraqi dinars (85 million) has a chance to open up government funds, up to 4 million dollars for each adoption, what constitutes a qualitative leap in the performance of private banks (33 banks), which exceeds the total capital of 1.5 billion.
Officials in the private banks, pointed out that «the past year has seen the most negative towards the resolution of banks, when it issued the Ministry of Finance in January (Jan) decided last year to prevent government departments to open accounts in private banks and withdrew all the money and deposited in the accounts of government».
The Chairman of the Board of Directors of «Ashur International Bank for Investment» Wadi Handal in a statement to «life», said the decision to disrupt the financial situation has caused the private banking sector and led to an imbalance in the balance of cash available in many banks, and delays in opening letters of credit.
On the incompatibility of laws and legislation with the requirements of private banks, Handal said that article 28 of the Banking Act which prevent their entry into the investment sector, is one of the obstacles that impeded the growth of the sector, calling for reconsideration this year.