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06-08-2013, 11:10 PM
Fiscal surpluses off need for guarantees for investment project (http://alsabaah.iq/ArticleShow.aspx?ID=47939)s


09/6/13 12: 00 am

More than 4 trillion dinars in 5 major banks

Baghdad-Chartreuse, Chen

Keep subject to investment banks for financial surpluses since the phenomenon for years and is in need of solutions especially with increasing rates of any bank in any country where more than 50 percent of the total budgets of banks to open doors to engage effectively in the economic process through investment. this statement made by the Executive Director of the Association of private banks in Iraq Abdul Aziz Hassoun in modern (morning).

Cash surpluses

Finch said that cash surpluses in five major private banks at the end of last year (31/12/2012) up to 3.2 trillion dinar rose to 4.7 trillion dinars in the first half of this year means that the issue is on the rise and is reached over an imbalance as these funds are not used properly, adding that this is a very important indicator if it could use the money market, noting a defect must be addressed by the relevant authorities and what it means to be There is enough money in banks and the flooding really surprised a market able to absorb these funds benefit the process would be profitable without a doubt.

Large capital

He called for the need to address this imbalance by authorities as the Central Bank of Iraq.

Finch said that if a company wants to implement agricultural or industrial undertaking tourist they need major capital is 100 billion dinars, or 200 billion dinars they certainly cannot provide these amounts of capital and to use other banks for pointing out that all the economic actors big or small does not dispense with the support and funding this is the task for banks and not for the purpose of storage and retention.

He reiterated that the funds must be used in the implementation of projects and investments but they need insurance cover by the Central Bank.

The need for safeguards

Hassoun asked why this large volume and high liquidity without the benefit of the economic process? In reply that the matter needed to ensure guarantees for banks to recover their money from borrowers by the monetary authority of the regulations of the Central Bank and in the regulations of the international frameworks for these banks and be specific with size and strength and not through internal regulations and bank guarantees, pointing out that the safeguards come through commitments made by government departments as you convert the dues of contractors and suppliers for contracts with private banks for the purpose of disbursing funds to fundamentalist form process and guarantee the rights of banks.

He noted the necessity of taking into account the type of property and location And because there are properties that banks did not pay owed by borrowers for pointing out the need to define flexible actions until the Central Bank banks can ensure reasonable profits for loans.

The right project management

Called goldfinch to culture right of management and supervision of the project funded by the Bank and the culture we have that is not prohibited by the Bank within the Board of Directors of the company to watch is that things go according to the study or not in the whole world where the Bank has the right to manage the project because they are seen as a guarantee of the Bank's rights should exist in your stakeholders, adding that this situation exists in the world is not a discovery.
Ignorance of the performance

The goldfinch that some shareholders, bankers and traders are ignorant of how to continue the performance of banks and go out to make profits without regard to the continuity of banking activity.


There was a rumor caused panic disorders, how the banks to recover their money from borrowers calling there should be guarantees not specified in the regulations of the internal banks but stipulated in the regulations of the Central Bank's monetary authority and international frameworks for global regulations.

the goldfinch by noting that private banks did not need financial support from the Government but need moral support and maintain the banking structure and open the doors to foreign banks handling better. as Director of the Association of private banks In Iraq-Nasser Hassan criticised the lack of proliferation of banks in Iraq and Baghdad specifically, using the comparison to an Arab country less space of Iraq hundreds of kilometers but owns banks tens of times as Iraq called for the need to pay attention to this issue.

its noted that the use of plastic money as a Visa card and master card instead of cash and its risks during trading.