Iraqi private banks rely on CBI for “easy profits,” lack economic activity, expert says

most Iraqi private banks nevertheless “depend” at the vital bank of Iraq (CBI) with out engaging in any monetary hobby, banking professional Mohamed Salem showed on Monday.

Salem advised dinaropinions.com, “maximum private banks interact in constrained credit activities and do now not contribute extensively to stimulating the Iraqi economy. Their revenue mainly comes from currency exchange, counting on digital buying and selling, hard forex, and digital payments. They reap bucks from the CBI, promote them, and make smooth profits.”

“whilst non-public banks have stepped back from presenting loans, they’ve led in digital buying and selling and supplying services like ATMs and other digital offerings, areas where government banks have lagged,” he brought.

He defined that “personal banks’ services have advocated employees to localize their salaries, whilst authorities banks, except the alternate bank of Iraq, have struggled with low revenue localization.”

“in spite of their failure to preserve pace with international or even personal banks, government banks remain truthful in safeguarding depositors’ price range, even in the face of demanding situations such as the robbery and looting they skilled in 2003,” the professional emphasized.