"Small shops" and "parasites" .. descriptions of specialists to domestic banks in Iraq

[yota691]

"Small shops" and "parasites" .. descriptions of specialists to domestic banks in Iraq   Editor Hossam al - Khafaji - Friday January 6, 2017 11:31             Alsumaria News / Baghdad ,  despite the fact that private banks in Iraq is not new, but it did not occur a quantum leap in the banking business just like the countries of the world, acts small and simple capital funds is the dominant feature of them.  Banks considered by many specialists is a "small shops and family" subsist on others more than they contribute to the development of national economy, especially as previous years saw the monopoly of the currency auction in the Iraqi Central Bank about three to four banks only. Parasitic banks , says a member of the Finance Committee Magda Tamimi said in an interview for the Sumerian News, " The role of private banks in Iraq is weak and negligible because it focuses its work on the auction for the most part," describing it as "parasites."  Tamimi adds that "these banks found to serve their personal interests and get special benefits without causing any real development of the country , " asserting that "hard currency obtained by these banks through auctions smuggled out of the country."  Tamimi and stresses the need to be "characterized by large private banks and financial capacity and to be according to international standards capable of activating trade and economic development in the country and play its mandated role in financing and investment operations not to be dependent on the state in the business."  Member of the Committee on Economy and Investment parliamentary MP Najiba Najib believes that " the work of private banks in Iraq primitive", indicating that " the banking sector in general in Iraq , marginalized and neglected and processions of global banks and the banking business."  Explains Najib in an interview with Alsumaria News's, he said that "all private banks had been unable to establish a global banking system and activates the economic and investment process in the country , " pointing out that "these banks limited their work on the sale and purchase of auction currency just were not able to create a trust with customers . " .  Najib and adds that "there is a lack of trust between the citizen and the banks, and therefore the direction of the citizen began to store his money in the house away from the banks rather than the latter to use the money in the investment operations."  Family banks , says economist Abdul Rahman al - Mashhadani , in an interview with Alsumaria's News, " The private banks in Iraq is a SHOPS family civil control and one on the Board of Directors and its families , both with regard to withdrawal and deposit banking operations that occur, and therefore any problem occur reflected on the work directly to the bank , which is what happened in the economy and the Bank of the North and the other banks. "  He adds Mashhadani that "private banks in Iraq are still simple their capital does not address anything from banking supposed to be carried out by these banks , " noting that "there are banks in neighboring countries have much capital equivalent to five times the budget of their countries and are able to bring economic development in their countries. "  He continues , " The private banks Matahh at the present time on the auction currency class basis and that most of the profits transferred to the outside."  For his part, economic analyst Falah Hassan Alwan said in an interview with Alsumaria's News, " The private banks in Iraq , did not take that activity , which was hoping them to the side of the government banks , " stressing that "these banks suffer from a host of domestic problems, including the lack of and limited capital their money and competition. "  Alwan it continues that "most of these banks left the work of commercial Bachirvh economic activity and confined their work to the dollar and the auction currency and remittances , " pointing out that "these banks need a road map to return to the banking work of Bachirvh commercial lending and stirring economic development that is missing has" .  With an ad interfaces banks belonging to Mohammed Hamza , 39, says in an interview with Alsumaria News's, he said that "most of the private banks in Iraq are interfaces advertising more than it is a real banks , " stressing that " a lot of these banks are just buildings are empty and marked with large panels the names of the banks. "  Hamza and indicates that " the declaration of some of these banks go bankrupt and placed under the guardianship make a lot of people are reluctant to deposit their money in it ."  He says Jamal Said , 54, in an interview with Alsumaria News's, said that "most of the private banks in Iraq , does not exercise its banking are known Kalaqrad for the purchase of homes or the financing of large projects , " noting that "some of them based lending for simple things such as buying Cheap cars ".  Said shows that "administrative routine for these banks is no different from government banks, which leads to the reluctance of citizens from dealing with it."

[Big_J]

[Hikmah]

Thanks Yota

 

[jeepguy]

Not sure how small banking rolls in Iraq, but small banking in the u.s. is productive in keeping small loans and structure too small communities... So this article is telling us that small banking in Iraq is just a front for corrupt business to gain an advantage of keeping money hidden from government and central bank... Seems the empty Banks are a result of underperforming of central bank policy

[Kraidle]

1 minute ago, jeepguy said:

Not sure how small banking rolls in Iraq, but small banking in the u.s. is productive in keeping small loans and structure too small communities... So this article is telling us that small banking in Iraq is just a front for corrupt business to gain an advantage of keeping money hidden from government and central bank... Seems the empty Banks are a result of underperforming of central bank policy

There's also other ways to bank in the U.S. that are different from the big banks, like credit unions and co-ops, which can be better suited for smaller investors. But in Iraq? Eeeeeh...

They need to get their act together.

[Reelemfast]

You got it right, jeepguy.   Everything is corrupt.  It's a Big problem over there. But, it's also a problem

right here in the Good old USA......!!

Go R.V.-- It's gonna be awhile, they really got to do a lot better than there doing..... They still got LOTS of problems. 

[Laid Back]

Ending the daily auction and giving real market value to the dinar will solve the problem.

[sandfly]

Thanks