Iraq Trade Bank issues 610 Letters of Credit in 2011

[Sara Johnson]

Iraq Trade Bank issues 610 Letters of Credit in 2011

20-02-2012 - 06:52

The Trade Bank of Iraq announced, on Monday, having issued more than 610 Letters of Credit, with a value that exceeded 13 billion Dollars, for Iraqi Ministries in 2011. No complications obstructed the issuance of these Letters of Credit, a source revealed.

“Trade Bank of Iraq issued more than 610 Letters of Credit, with a value that exceeded 13 billion Dollars, for Iraqi Ministries in 2011,” Iraq’s Trade Bank Manager Hamida Al Jaf said in a statement which Alsumarianews received a copy of. “No complications obstructed the issuance of these Letters of Credit,” she declared.

“The Industry Ministry with its different sections received 180 Letters of Credit, out of which the Trade Bank of Iraq received 44 with a value that reached 208,571,300 million Dollars,” Jaf advanced adding that the other 136 Letters of Credit were distributed among private banks with a value that reached 98,337,000 million Dollars.

Inspector General at the Industry Ministry Salem Boulos had earlier indicated that there have been complications while issuing Letters of Credit by the Trade Bank of Iraq. “I requested from the departments in charge of the Letters of Credit and of managing relations with the Industry Ministry to follow up with Inspector General of the ministry,” Jaf assured revealing that these departments will have to hand her reports about the issue.

Letters of Credit that exceed 4 million dollars shall be transferred to the Trade Bank of Iraq, while Letters of Credit worth less that 4 million Dollars shall be transferred to private banks and will be distributed according to their activities following the classification of Iraq’s Central Bank, the Economic Committee in Iraqi cabinet instructed, a source told Alsumaria.

“The transfer from Iraqi Dinar into Dollar, the absence of allocations in some cases and mistakes in filling application forms are behind delays in issuing Letters of Credit for Ministries,” Mohammed Shaker Mahmoud said, who is in charge of following up the ministries affairs at the Trade Bank of Iraq.. “The bank is keen on following up with the ministries,” he stressed.

“Trade Bank of Iraq has been organizing trainings for all state departments including Industry Ministry and its different sections over the mechanisms of issuing Letters of Credits and Letters of Guarantee,” Mahmud pointed out.

“These trainings are being organized inside and outside Iraq at the expenses of the Trade Bank of Iraq and with the cooperation of its affiliates,” he concluded.

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