Iraq’s Central Bank Governor Ali al-Alaq announced that 20 banks are now performing direct transfers in eight foreign currencies. This shift follows positive engagements with US financial institutions and reflects advancements in the foreign remittance system, aiming to align with international banking standards. Other non-participating banks are being guided to qualify for these operations, enhancing Iraq’s banking sector and international standing.
On Tuesday, Iraq’s Central Bank Governor, Ali al-Alaq, announced that 20 Iraqi banks are currently engaged in direct transfer operations using eight different foreign currencies. He highlighted the recent positive feedback received during quarterly meetings with the US Federal Reserve and Treasury Department, emphasizing the Central Bank’s efforts to enhance the foreign remittance system by adopting international best practices in a more secure and organized manner.
Al-Alaq explained that this modernization marks a significant shift for Iraq’s banking system, as it has progressed from traditional methods to implementing a platform connecting banks with international correspondents. He affirmed that while many banks now participate in direct transfers, others are being prepared to meet specified criteria set in collaboration with an international consulting firm, to ensure their inclusion in the foreign remittance framework.
Additionally, al-Alaq reassured that there are no new sanctions imposed on Iraq; rather, international bodies have commended the procedures for selling cash dollars. He asserted the importance of highlighting these positive developments to enhance the international perception of the Iraqi banking sector, which is key to fostering better relationships with global financial institutions.
In summary, the Central Bank of Iraq is successfully modernizing its banking operations, with 20 banks now conducting direct international transfers in various currencies. This transformation represents a significant shift towards international banking practices and is receiving international commendation. The focus on adhering to specific criteria for additional banks’ participation underscores the initiative’s commitment to improving Iraq’s financial reputation and operational effectiveness in the global market.
Original Source: ina.iq
