No Indications Of Liquidity Crisis… Rafidain Bank Declares The Country’s Financial Situation Sound
Economy | 04:39 – 04/05/2025 Mawazine News – Baghdad – Rafidain Bank denied, on Sunday, rumors of a liquidity crisis or banking panic, stating that the bank’s financial position is strong and solid.
The bank’s media office said in a statement received by Mawazine News that “the bank has a legal reserve of more than 8 trillion dinars deposited with the Central Bank of Iraq,” noting that “liquidity is available, deposits are secure, and there are no emergency withdrawal requests or operational imbalances.”
The statement pointed out that “Rafidain Bank is not just a bank, but a sovereign pillar of the state’s economy at a time when it is impossible to compare it with banking collapses in other countries,” stressing that “it is dangerous to drag banks into political and media controversy.” https://www.mawazin.net/Details.aspx?jimare=261132
Al-Nusairi: Comprehensive Banking Reform Means Modernizing And Developing Banks, Ensuring Their Compliance With International Standards, And Transitioning To A Rapidly Growing Economy.
Banks Economy News – Baghdad Economic and banking advisor Samir Al-Nusairi confirmed that the banking reform project launched by the Central Bank last month in cooperation with the government and the global consulting firm Oliver Wyman was held at a ceremony attended by the Prime Minister.
Al-Nusairi said in a televised interview followed by “Al-Eqtisad News” that the banking reform project aims primarily, within the specified timeframes, to modernize and develop the private banking sector, comply with international standards, transition to a rapidly growing national economy, expand digital transformation, enhance financial inclusion, stimulate electronic payments, strengthen cybersecurity, use artificial intelligence to analyze and ensure the transparency of banking data, create a financial center, and authorize and license digital banks.
He added that it achieves stimulating and sustainable returns for investors, creates a fair competitive environment in the banking market, and restores confidence in the banking sector.
He explained that the private banking sector achieved good business results in 2024, despite 50% of our banks being subject to sanctions and restrictions on the use of the US dollar. The ratio of credit granted to deposits reached 67.9%, which means the banks are moving towards the real work of financing and investing in deposits.
The banks’ capital rose to 20 trillion dinars, an increase of 8.7% due to the implementation of the Central Bank’s instructions to raise capital to 400 billion dinars and setting September 30, 2025 as the deadline for increasing the capital of the remaining banks.
Al-Nusairi pointed out that the objectives set for banking reform are in line with the main and sub-objectives of the Central Bank’s third strategy for the years 2024-2026, which comprises 7 main objectives, 24 sub-objectives, and 75 initiatives to achieve these objectives.
The Central Bank’s management is working to implement them in accordance with approved policies and programs and in cooperation with relevant authorities. https://economy-news.net/content.php?id=55098
In Detail, The Minister Of Finance Explains The Mechanism For Converting Tax Deposits Into Revenue.
Sunday, May 4, 2025, 19:14 | EconomicNumber of reads: 157 Baghdad / NINA / Finance Minister Taif Sami clarified, on Sunday, the mechanism for withdrawing tax deposits and converting them into final revenues.
Sami said in a press statement, “The special account for tax deposits opened at the Central Bank of Iraq in the name of the Ministry of Finance, Accounting Department, which pertains to the amounts collected from taxpayers, most of which are considered final revenue for the state treasury (tax revenues) according to the applicable laws,”
indicating that “these amounts are temporarily deposited in an intermediate account, which is the (tax deposits) account, until the final tax accounting procedures are completed by the taxpayers and the General Tax Authority.”
She added, “In light of this, it is determined whether the tax accounting is equal to the amount paid by the taxpayer as deposits, the amounts of the deposits are reflected in the final revenue.
However, if the tax accounting is greater than the amount paid, the taxpayer pays the difference to the public treasury. However, if the tax accounting is less than the amount paid by the taxpayer, the difference is returned to the taxpayer.”
Sami continued, “All remaining amounts are reflected in this account after completing the tax accounting as a final revenue for the state treasury (tax revenues),” noting that “withdrawing tax deposit amounts is a normal procedure according to Cabinet Resolution No. (294) of 2025, as these amounts are considered final revenue for the state treasury as the final result of tax accounting.”
The Cabinet resolution, in its 15th regular session held on 4/15/2025, included approval to authorize the Minister of Finance to withdraw tax deposit amounts that are less than five years old, amounting to (3,045,007,500,252) dinars, to finance and pay the salaries of April and subsequent months deposited in the Ministry of Finance’s account at the Central Bank of Iraq (70019),
which it will deposit later according to the state’s overall need, provided that the cash settlement is made monthly when requested by reversing the deposit amount from the actual revenues collected monthly when conducting the tax accounting.
The Minister of Finance explained that “the procedure is normal to maximize resource revenues and control them of all kinds,” indicating that “most taxpayers do not visit the departments to complete their tax accounting dues, with the aim of evading the imposed tax.”
She stressed that “the ministry has lists of the names, numbers and amounts of taxpayers and companies that owe money at the General Tax Authority and the Accounting Department, to refer to in the event that taxpayers visit the Authority.”
Sami pointed out that “the remaining amounts reflect:
1- Upon receipt of amounts from taxpayers before the final settlement (estimation of the tax amount) from the bank account to the tax deposit account (taxpayer)
2- Upon final settlement with the taxpayer:
A- If the final tax settlement amount is equal to the amount of deposits paid, the entry is
as follows:
From the tax deposit account (taxpayer) to the final revenue account (tax revenue)
B- If the final tax settlement amount is greater than the amount paid as deposits, the taxpayer pays the difference as a final return to the state treasury according to the following entry:
From the bank account (difference amount) from the taxpayer to the final revenue account (tax revenue).
She continued, “The amounts of tax deposits paid by the taxpayer are reversed as final revenue according to the following entry:
From the account / tax deposits (taxpayer) to the account / tax revenues
C – If the final tax settlement is less than the amount paid by the taxpayer, the difference amount is returned to the taxpayer and the remaining amount is reflected in the final revenue according to the following compound entry:
From the account / tax deposits (taxpayer) to the aforementioned
account / final revenue (tax revenues)
account / bank difference that is returned to the taxpayer)
The Council of Ministers decided in its fifteenth regular session held on 4/15/2025 to approve the following:
1- Authorizing the Minister of Finance to withdraw the amounts of tax deposits that have not been in effect for five years, amounting to (3,045,007,500,252) dinars, to finance and pay the salaries of the month of April and subsequent months deposited in the Ministry of Finance’s account at the Central Bank of Iraq (70019), which it will deposit later according to The need for the state’s total, provided that the cash settlement is carried out monthly when requested by reversing the amount of deposits from the actual revenues collected monthly when conducting tax accounting.
2- Implementation by ministries, entities not affiliated with a ministry, governorates and governorate councils of the contents of the Ministry of Finance’s circular No. (36) S / 357) dated 4/8/2025 (attached), for the purpose of expediting tax accounting and making settlements within a maximum of (10) days starting from the date of issuance of this decision.
3- Holding accountable those who failed to implement the provisions of the Income Tax Law (113 of 1982 as amended) and delaying the settlement of financial liabilities resulting from the delay in conducting tax accounting and financing all amounts of tax revenues and the amount of tax deposit settlement on a timely basis.
4- Imposing the General Tax Authority the fines stipulated in the provisions of paragraph (4) of Article (56) of the aforementioned Income Tax Law. https://ninanews.com/Website/News/Details?key=1224650
Iraq Ranked Fifth Among The Largest Oil Exporters To The United States Last Week.
Sunday, May 4, 2025| EconomicNumber of reads: 280 Baghdad / NINA / The US Energy Information Administration announced, on Sunday, that Iraq ranked fifth among the largest oil exporters to the United States during the past week.
The administration stated in a table that “the average US imports of crude oil during the past week from ten major countries amounted to 5.093 million barrels per day, an increase of 262 thousand barrels per day compared to the previous week, which amounted to 4.831 million barrels per day.”
It added that “the average of Iraq’s oil exports to America amounted to 141 thousand barrels per day, thus ranking fifth as the largest oil exporter to America during the past week.”
The administration indicated that “most of America’s oil revenues during the past week came from Canada, followed by Mexico, Nigeria, and then Saudi Arabia.”
According to the table, “the amount of US imports of crude oil continued from Colombia, Venezuela, Brazil, Ecuador, and Libya.” /End https://ninanews.com/Website/News/Details?key=1224545
Dollar Prices Stabilize In Baghdad Markets
Stock Exchange Economy News – Baghdad The US dollar exchange rate stabilized in Baghdad markets on Sunday morning.
The dollar exchange rate stabilized on the Al-Kifah and Al-Harithiya stock exchanges, recording 144,750 Iraqi dinars per $100, the same rate as on Saturday morning.
Selling prices at exchange offices in Baghdad’s local markets remained stable, with the selling price reaching 145,750 Iraqi dinars per $100, and the buying price reaching 143,750 dinars per $100. https://economy-news.net/content.php?id=55100
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