This was posted on the Offical Site of the U.S. Air Force....cool!!
Iraqi business leaders gather at Balad
by Senior Airman Wes Carter
332nd Air Expeditionary Wing Public Affairs
4/5/2010 - JOINT BASE BALAD, Iraq (AFNS) -- Iraqi banks and business leaders met at Joint Base Balad at the Banking on Iraqi Business Conference March 31.
The conference began building the relationships that are so important to doing business in Iraq.
"Only 9 percent of Iraqis have a bank account," said Army Capt. Shaun Miller, an Army Central Command banking officer. "The main thing we're trying to do is connect Iraqi businesses with Iraqi banks."
The low incidence of Iraqis with bank accounts is attributable to a variety of reasons including negative experiences associated with the previous Iraqi political regime.
"There has been a lot of mistrust of the Iraqi banking system by the people of Iraq," Captain Miller said. "A lot of (business owners) were burned when Saddam (Hussein) was in charge. Sometimes he froze accounts or liquidated accounts, so a lot of people don't trust the banks, much like America after the Great Depression. It's a slow, steady process rebuilding trust in the institutions."
Earning the trust of Iraqi businesses won't happen overnight. The process will be long and require efforts on many fronts.
"We can't start bringing all technology into Iraq," said Firas Obaid, an Iraqi EFT Assistance Center associate. "Getting businesses on the same page with EFT will be a step to a better Iraq."
An economically stable Iraq is a safer one, Captain Miller said, adding that the quicker American dollars leave the country the better it will become.
"There are a lot of problems with cash," the captain said. "Iraqi's are using U.S. cash, which undermines their own government, undermines their own currency and weakens their economy. Also, disbursing the U.S. dollar in their economy (has contributed to) funding terrorism."
"Having large sums of money makes you a target for terrorists," Mr. Obaid added. "Terrorists get the money and use it to fund attacks on places in Iraq."
It is hoped that conferences like this one at JB Balad will speed the switch to EFT while enhancing Iraq's credibility in the global market.
"If you're an Iraqi vendor doing a service for the (U.S. government), rather than paying in paper money, the U.S. government is going to send a wire transfer to your bank account," Captain Miller said. "It will replace the use of cash."
Combining the safety aspect with a more available Iraqi dinar will help the government become more fiscally stable, which in turn will help strengthen Iraq's new democracy.
It's cyclical. Iraq's progress in governance and security will then encourage more investment in the private sector, whether it's agriculture, tourism, industry or another sector. This will increase the demand for Iraqi banking services.
"We want Iraqi businesses to understand what electronic funds transfer means and what it can do for them and their business," Mr. Obaid said. "Using EFT is going to help increase the value of the Iraqi dinar, which will make it possible to use them in the global market. As EFT becomes more common, more banks on the global level will recognize the dinar and that will be good for Iraq."
Once Iraqi businesses get on board with Iraqi banks and the EFT system, the hope is that it will trickle down and employers will pay their employees this way.
"That's going to put a host nation face on the currency," Captain Miller said. "It allows them to build confidence in their own currency and their own government. In an ideal situation, some of these contractors in the next couple of weeks are going to open accounts with some of the Iraqi banks they heard from today. Hopefully, they will be pleased with the safety and accountability of funds to the point that they start paying employees through EFT."
Iraqi business leaders gather at Balad
by Senior Airman Wes Carter
332nd Air Expeditionary Wing Public Affairs
4/5/2010 - JOINT BASE BALAD, Iraq (AFNS) -- Iraqi banks and business leaders met at Joint Base Balad at the Banking on Iraqi Business Conference March 31.
The conference began building the relationships that are so important to doing business in Iraq.
"Only 9 percent of Iraqis have a bank account," said Army Capt. Shaun Miller, an Army Central Command banking officer. "The main thing we're trying to do is connect Iraqi businesses with Iraqi banks."
The low incidence of Iraqis with bank accounts is attributable to a variety of reasons including negative experiences associated with the previous Iraqi political regime.
"There has been a lot of mistrust of the Iraqi banking system by the people of Iraq," Captain Miller said. "A lot of (business owners) were burned when Saddam (Hussein) was in charge. Sometimes he froze accounts or liquidated accounts, so a lot of people don't trust the banks, much like America after the Great Depression. It's a slow, steady process rebuilding trust in the institutions."
Earning the trust of Iraqi businesses won't happen overnight. The process will be long and require efforts on many fronts.
"We can't start bringing all technology into Iraq," said Firas Obaid, an Iraqi EFT Assistance Center associate. "Getting businesses on the same page with EFT will be a step to a better Iraq."
An economically stable Iraq is a safer one, Captain Miller said, adding that the quicker American dollars leave the country the better it will become.
"There are a lot of problems with cash," the captain said. "Iraqi's are using U.S. cash, which undermines their own government, undermines their own currency and weakens their economy. Also, disbursing the U.S. dollar in their economy (has contributed to) funding terrorism."
"Having large sums of money makes you a target for terrorists," Mr. Obaid added. "Terrorists get the money and use it to fund attacks on places in Iraq."
It is hoped that conferences like this one at JB Balad will speed the switch to EFT while enhancing Iraq's credibility in the global market.
"If you're an Iraqi vendor doing a service for the (U.S. government), rather than paying in paper money, the U.S. government is going to send a wire transfer to your bank account," Captain Miller said. "It will replace the use of cash."
Combining the safety aspect with a more available Iraqi dinar will help the government become more fiscally stable, which in turn will help strengthen Iraq's new democracy.
It's cyclical. Iraq's progress in governance and security will then encourage more investment in the private sector, whether it's agriculture, tourism, industry or another sector. This will increase the demand for Iraqi banking services.
"We want Iraqi businesses to understand what electronic funds transfer means and what it can do for them and their business," Mr. Obaid said. "Using EFT is going to help increase the value of the Iraqi dinar, which will make it possible to use them in the global market. As EFT becomes more common, more banks on the global level will recognize the dinar and that will be good for Iraq."
Once Iraqi businesses get on board with Iraqi banks and the EFT system, the hope is that it will trickle down and employers will pay their employees this way.
"That's going to put a host nation face on the currency," Captain Miller said. "It allows them to build confidence in their own currency and their own government. In an ideal situation, some of these contractors in the next couple of weeks are going to open accounts with some of the Iraqi banks they heard from today. Hopefully, they will be pleased with the safety and accountability of funds to the point that they start paying employees through EFT."