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Stability in the exchange rate is achieved through comprehensive financial and banking reform Articles Samir Al-Nusairi In light of our follow-up to the measures of the Central Bank and the government to control the stability of the exchange rate, we clearly and accurately noticed that there is an organized lobby working against achieving monetary stability, led and implemented by multiple parties linked to speculators and corrupt people who have a special agenda to weaken the national economy and harm it by fabricating news, media statements and economic analyses. It is incomplete and transforms it from reassuring news for the market and citizens into news that confuses the market and creates panic among citizens, and this is what is actually happening now. Which requires clarification here. Almost ten years ago, especially after the financial and security shocks in mid-2014, the culture of relying on the Central Bank to confront economic and financial crises and challenges took root. This was done by using its means and tools related to monetary policy to overcome the government’s lack of liquidity, its inability to pay salaries, and the failure to implement... Its government programs rely on foreign monetary reserves, which in reality are not the government’s reserves, but rather the central bank’s reserves to control the stability of the exchange rate according to the target, cover the local currency in circulation, and cover imports. Because of these accumulated crises, the central bank was previously forced to lend to the government up to 46 trillion dinars during the past years. None of it has been paid so far, which has reflected in this policy exposing the national economy to complex problems. The solution is always the central bank, and it is also held responsible for the problems of other concerned parties, which is not its primary role, as it is not responsible for the deficit in non-oil revenues, the deficit in the balance of payments, and the deficit in... The trade balance is not responsible for the rise and fall of global oil prices. Therefore, the obligatory cash reserve rose and fell due to these wrong policies that were not based on clear and specific economic strategies and approaches. Therefore, the return of stability in the exchange rate to its rates targeted by the Central Bank is achieved with the support of the concerned authorities in the government by activating other productive sectors and reforming the financial and banking sector. And drawing up clear financial policies and in coordination with monetary policy and its currently approved applications and tools, and overcoming the challenges of achieving economic stability, which means achieving stability in the financial system and the monetary system. This is not only the duty of the central bank alone, but rather it is a fundamental duty of financial policy and the government’s methodology in managing the economy and activating sources of national income without Oil, supporting, protecting and encouraging local production, activating dealing in the Iraqi dinar in all internal monetary trading activities, and expanding the use of electronic payment methods whenever possible. The expectations of the Central Bank and specialists that the exchange rate will return to a stable state requires time, which we hope will not be long, despite the daily and new procedures adopted by the Central Bank in issuing packages and instructions and taking daily executive measures for the purpose of finding facilities and openness to all segments that need the US dollar in foreign transactions at the official rate. He concluded a series of negotiations and agreements with the US Treasury, the US Federal Reserve, and some international correspondent banks to regulate foreign trade with China, India, Europe, the Emirates, and Turkey, and to adhere to the standards of international banking transactions. We affirm that the criterion adopted and confirmed by the Central Bank and specialists in achieving this is the availability of cash reserves of foreign currency exceeding 100 billion dollars and the continued flow of dollar revenues from oil sales on a daily basis in accordance with the quantities planned to be marketed in 2023 and at the prices of the product that are expected to continue at their current limits, or as energy experts expect that Prices exceed $100 at the end of this year. 98 views Added 10/15/2023 - 10:55 AM

Al-Nusairi: Private banks lend to small, medium and housing projects, with an amount exceeding 700 billion dinars banks Economy News _ Baghdad The adviser to the Association of Iraqi Private Banks, Samir Al-Nusairi, announced, on Sunday, that private banks loaned more than 9000 small, medium and housing projects at an amount of 717 billion dinars, in implementation of the Central Bank’s lending initiative to revitalize the economy. Al-Nusairi said in an interview with "Al-Iqtisad News", that "private banks were able to activate the initiative and finance small and medium agricultural, industrial, commercial, service and residential projects, and that the loans granted are the private banks' share of the allocation from the Central Bank initiative, which amounts to one trillion dinars, which was implemented by 45 private banks. In addition to allocating one billion dinars to each major project that contributes to development. He pointed out that "this initiative played an active role in revitalizing the economic cycle and creating productive job opportunities for graduates, youth and entrepreneurs, where up to 12,000 unemployed people were employed, and it is within the initiative of the Central Bank of Iraq for financing, for which six trillion dinars were allocated, distributed as one trillion to private banks and five trillion to specialized government banks." He added that the Central Bank launched several new initiatives in 2021 to lend local employees their salaries in government and private banks, as well as to citizens in the field of residential, real estate and personal lending at interest rates and appropriate payment periods. He explained that the bank issued new instructions to reduce all the interests of housing loans and small and medium projects, in the manner of diminishing interests, for the purpose of supporting these projects and motivating young people to work, contribute to development and stimulate the economy. Views 139 Date added 12/09/2021

Al-Nusairi calls for generalizing the experience of the Central Bank in involving university professors and experts in consulting and decision-making money and business Economy News _ Baghdad On Sunday, the economic and banking advisor to the Association of Iraqi Private Banks, Samir Al-Nusairi, called for the generalization of the successful experience of the Central Bank in accrediting experts specialized in economic and financial affairs and academics from university professors in the specializations of monetary policy and banking in the Board of Directors, banking advisory committees and other technical committees, in addition to representatives of the banking sector and involving them in discussing policies, applications and decision-making that serve the banking activity. Al-Nusairi said in an interview with “Al-Iqtisad News”, that “through discussion, analysis and study of the economic reality that Iraq is going through, it is necessary to stand by logical, scientific and economic analysis on the most prominent axes that require finding solutions for them in the next stage with the aim of building sound premises for the transition to the proper construction. To the economy and to give a role to the national academic expertise specialized in making economic decisions, and for the purpose of implementing the monetary, financial, commercial, industrial and agricultural policies’ applications requires the ministries and economic institutions concerned to have an active role for private sector experts in all its banking, industrial, agricultural and service fields to participate and cooperate in the implementation of the strategy of development, reform and economic advancement in the directions that achieve interim, medium and long-term goals. He stressed the need for special care for experts, university professors and Iraqi competencies in the private sector in the areas of economic and financial work, and adding them to specialized committees in ministries and economic institutions. He pointed out that "this means involving experts and the private sector with a greater role in managing the economy," pointing to the need for "a representative of the private sector experts in the Ministerial Council for Economy in the Council of Ministers, in the Higher Committee for Economic and Financial Reform, and in opinion bodies in the relevant economic ministries and in special follow-up committees. To follow up the implementation of Cabinet decisions related to economic affairs. Al-Nusairi concluded that there should be a clear vision of the role of the private sector for the new phase and the involvement of experts, non-governmental and academic specialists in the implementation of the comprehensive economic, financial and banking reform program. Views 150 Date added 06/27/2021

The results of the banking sector's activity in the conditions of the Corona pandemic Articles Samir Al-Nusairi* The Central Bank issued financial data for the activities of government and private banks, and one of the most prominent indicators on the overall level was the banking sector achieving good annual business results in complex economic conditions, the spread of Corona, economic closure, and comprehensive and partial urbanization due to the epidemic. For the public and companies, in addition to implementing the Central Bank’s initiatives to activate the economic cycle by financing small, medium and housing projects and donating the necessary amounts to support the Ministry of Health with a limit of 41 billion dinars. From analyzing indicators and comparing them with 2019 at the total level, it is clear that banks’ capital increased by 6%, deposits by 4%, and credit The cash bank increased by 19% and total assets by 2%. At the level of private banks, a clear increase in the capital ratio was achieved by 8%, and it invests up to 76% of the total capital of the banking sectorAnd an increase in deposits by 13% and in cash credit by 16%, and total assets maintained their level as in 2019, also indicated that the amounts of bad debts increased by 25% compared to last year due to the non-compliance of some borrowers and the postponement of payment for the first months of last year in light of the Central Bank’s decision To support borrowers due to the Corona pandemic. From the analysis of the data in comparison between government and private banks, the imbalance and the large differences in the distribution of deposits, cash and pledge credit, and assets still exist. The share of private banks for deposits is 13%, for credit is 16%, for total assets is 21%, and for profits is 22%. Therefore, the redistribution of powers and granting sufficient flexibility to banks Private banks in a balanced manner with government banks by activating decisions to support private banks issued by the Council of Ministers and the Economic Affairs Committee, which is in addition to being an urgent requirement for private banks, as the white paper referred to in the goals of banking sector reform, which is to allow private banks to take their role as a lever for the economy and end the role of government banks As an arm of bank finance. The success of private banks in implementing the Central Bank’s initiatives to revitalize the economy Indicators indicate the success of private private banks in implementing the recently issued Central Bank initiatives related to activating and stimulating the economy after the dinar exchange rate devaluation. the National ? Despite the stifling financial and epidemiological crises during the year 2020 and the first quarter of this year, our banks continued to persevere and implemented the Central Bank’s instructions to continue providing banking services and products to individuals and companies and granting loans to finance small, medium, housing and large projects, and interacted greatly with the Central Bank’s lending initiatives to stimulate and stimulate the economy. With reference to the role of the private banking sector in supporting the national economy in crises and given that our private banks are the implementing agency for the policies of the Central Bank of Iraq and the activator of the instructions and stimulating the monetary and banking market, so during the economic crises that faced the Iraqi economy, it contributed and implemented precisely the Central Bank’s instructions to raise the coverage rate It achieved a growth of about 44% in the new opened accounts, and the number of accounts reached (4.8) million. Our bank has implemented the strategy of the Central Bank regarding the development of electronic payment systems and the transition to the cashless society. The number of automated exchanges operating in our bank has reached up to (1170) tellers and points of sale with up to (4 thousand) points of sale. The number of activated bank cards has reached up to (11) million cards and activated electronic wallets are up to (3) One million and (500) thousand portfolios. The other important aspect that our banks have done and played an active role in implementing is the commitment to international rules and standards for compliance, anti-money laundering, financial reporting and risk management. * Adviser to the Association of Iraqi Private Banks Views 111 Date Added 06/21/2021

Speculators and exchange rate stability https://economy-news.net/content.php?id=25301 Samir Al-Nusairi Several days ago, a new wave of criticism began from some media outlets affected by rumors launched and driven by speculators in the currency exchange market with the aim of creating a state of confusion and instability and trying to drag the money market into instability and thwarting the Central Bank's plans to control the rates announced by the Central Bank of exchange rates Specific to the Ministry of Finance, banks and the public, and from these rumors is that the Central Bank will make a new change to the current rate. Although the stability of the exchange rate is determined by supply and demand according to the effects and repercussions of the economic reality in a country like Iraq that suffers from challenges, repercussions, economic and financial crises, and structural and systematic defects in the management of the economy and money that the central bank does not bear alone because its role is clear, specific and independent focused on stimulating the economy according to the tools and applications of monetary policy But this cannot be achieved without joint coordination with fiscal policy and other economic sectors, activating the real economy, diversifying sources of national income, and leaving the unilateral economy based on oil as a major resource, which constitutes 93% of the revenues of the general budget and 57% of GDP. Therefore, those who criticize the Central Bank must return to the statement of the Central Bank in which it determined the new exchange rates on December 2020, and in which the Bank clearly and transparently specified the reasons and rationales for determining the price, what measures it will take and what other parties must take in order to maintain the stability of the new rate Because the bank cannot work alone without a coordinated economic and financial approach supported by the Central Bank in accordance with the tasks and objectives stated in Law 56 of 2004, and here we can repeat what was mentioned in the Central Bank’s statement, which is the definitive answer to those who hold the bank responsible for the instability in the exchange rate Where the bank announced in its statement that during the last months of 2020, intensive deliberations took place with the Prime Minister, the Minister of Finance and the legislative authority, regarding the economic situation in general and the financial crisis that the public finances are going through due to the decline in oil prices and production, and the economic and health challenges. The Board of Directors of the Central Bank also held a number of meetings, some of which hosted the Minister of Finance for the same purpose. He explained that the reasons for adjusting the exchange rate and maintaining its stability in the future are as follows:- 1- It is the structural distortions in the Iraqi economy that have impoverished public finances and restricted the ability of reform that the government and the Ministry of Finance are seeking. It is not a coincidence that the financial situation is so bad, but it took root more than a decade and a half ago due to the political leadership of the economy, the priority of political thinking over economic thought, development priorities and the rules of the relationship. Thus, fiscal policy failed to perform its roles, and monetary policy was preoccupied with restoring the confused financial policy outcomes. 2- The dependence of economic and financial policy on the ambitions and concerns of politicians led to the latest accepted models of financial management in Iraq, and the role of that administration was limited to distributing oil resources to life-sustaining requirements such as salaries and operational requirements. 3- Because of these combined conditions, the Central Bank had no choice but to intervene on more than one occasion to support public finances and save critical public spending requirements. 4- The Central Bank understands the difficulties facing the government’s reform intentions, but this does not prevent it from tying any steps that the monetary authority can take to effective steps to carry out reforms that inevitably affect the institutions of the financial authority, especially the effective collection institutions, customs and tax institutions, and other institutions. The other public levying, and that spending be streamlined and rationalized, and all of this depends on the political will of the higher state institutions that support the financial authority’s directions to achieve this. This requires the government's direction to support the vulnerable groups, which will inevitably be directly affected, especially by any measure to change the exchange rate. 5- The legislative authority will have an important role in supporting the Central Bank’s direction to adjust the foreign exchange rate, as failure to take such a decision may make us obliged to take difficult decisions that may put Iraq in a situation similar to what neighboring countries have been exposed to. It should also be emphasized here that this change (devaluation) in the value of the Iraqi dinar will be for one time only and will not be repeated. 6- The financial crisis that Iraq was subjected to due to the Corona pandemic and the resulting deterioration in oil prices and the decline in oil revenues, this led to a large deficit in the general budget and the Ministry of Finance had to borrow from banks and re-discount them with the Central Bank in large amounts, for the purpose of paying salaries. And meet the other spending needs related to services provided to citizens. * Economic and banking consultant Views 107 Date Added 06/06/2021