Iraqi Central Bank Governor Ali al-Alaq announced that 20 banks are now performing direct transfers in eight foreign currencies. This follows recent positive assessments from the US Federal Bank and Treasury during meetings in Dubai. The Central Bank aims to enhance Iraq’s banking sector through modern practices and international engagement.
On Tuesday, Central Bank of Iraq Governor Ali al-Alaq announced that 20 Iraqi banks are now conducting direct transfer operations in eight foreign currencies. This announcement came after productive quarterly meetings with the US Federal Bank and the Treasury Department in Dubai, where the Central Bank’s initiatives to enhance the foreign remittance system received commendation.
Al-Alaq highlighted that this transition marks Iraq’s first major development in banking practices, evolving from traditional methods to modern platforms and correspondent banking. Currently, these 20 banks are engaging in direct transfers with international correspondents while other banks are preparing to meet specific criteria to join this framework.
He emphasized that there are no new sanctions impacting this system; rather, there has been increased esteem from global organizations concerning the cash dollar selling mechanism. Al-Alaq underscored the importance of focusing on these achievements, which reflect positively on how international financial institutions perceive Iraqi banks.
In summary, the Central Bank of Iraq’s recent advancements, marked by 20 banks engaging in direct foreign currency transfers, indicate a significant shift towards international banking standards. The positive feedback from global financial entities may enhance Iraq’s standing in the global economy. Moreover, ongoing efforts to integrate additional banks into this modern system may further strengthen the country’s financial infrastructure.
Original Source: ina.iq
