Advisor to the Central Bank: the weak response of foreign banks

[Med]

Advisor to the Central Bank: the weak response of foreign banks to open branches in Iraq buried competitive environment @ 22 May 2010 03:29 AM Baghdad (News) ..


Adviser told the CBI that one of the main reasons for the absence of the competitive environment in the banking sector is the weak response of foreign banks to open branches in Iraq, said Dr. appearance of Mohammed Saleh (of the Agency by news) said on Saturday that the bank will continue to grant licenses to foreign banks to operate in Iraq and the opening of branches as stated in the Banking Act with a number 94 of 2004.

He stressed that these sections of Iraqi registry even opened a bank full or have the land, and noted the benefit that the public sector is unable to open credits for foreign affiliates, for objective reasons relating to prosecutions either the private business sector is dependent on the remittances of any direct payments.

Stressing the importance of improving the environment for trade finance, where can not be achieved without the integration of local and foreign banks - to him, Saleh pointed out that foreign banks offers services ranging from 40 to 50 service and this number is crucial in the development finance system in Iraq, while the local maximum would be expected to offer is 10 services.

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[Med]

Just what did they expect....let's evaluate the situation in Iraq....stability is at a low....threats of civil war....they can't pass legislation that is vital to it's people.....the political scene is a shambles.....the person who is giving the statement is one of the most contradictory people of the Central Bank....he has given months of statements that CBI is doing this and then not doing this and then doing that and then not doing that....banks want stability when they are investing in a country...that stability must come from the top and the people who run it.....the Central Bank wants others to invest in Iraq....yet the Central Bank won't give the people purchasing power in a currency....instead they would rather limit the private sector development by keeping the people of Iraq using a currency that isn't worth the stuff they wipe their behinds with....no they are not going to get foreign banks to build....not until CBI shows confidence in it's country itself....when that is done....they will see foreign banks tripping over themselves to get in....

[ArlingtonAZ]

I agree 100% Med what do they expect ...frustrating

[promedteam]

thanks med. You of course,are too logical. They of course, are not at all. Who in the investment or finance industry would step into that quicksand with them? They can't even stay with one statement without contradicting themselves. Today its this, tomorrow its that , the next day its I don't know.