Baghdad - The Governor of the Central Bank of Iraq, Ali Al-Alaq, confirmed that monetary stability and exchange rate stability are a “big process” that requires making “a lot of changes” and “reorganizing” the commercial system in Iraq and the external transfer system.
Al-Allaq said in his speech during the annual Iraqi banking conference held in Erbil: “The conference is being held within the framework of continuing efforts to strengthen the banking sector to achieve a stable, safe and effective financial system in light of the rapid changes, developments and challenges that the world is witnessing in the transformations of the structure, financial systems and work rules and the accompanying significant changes progress in the use of financial technologies.”
He spoke about the conference’s agenda, noting that it addresses, first, “consolidating the compliance rules stipulated in the Anti-Money Laundering and Combating the Financing of Terrorism Law No. 39 of 2015, and applying international practices and standards in a way that preserves the integrity of the financial system from local and international risks and procedures, and in a way that ensures the transparency and integrity of financial operations.”
The Governor of the Central Bank stressed that "these rules are what preserve the integrity of the financial system, and even protect Iraq from serious risks," noting that there is "a close relationship between the application of these standards and the smooth flow of transfer operations and maintaining the stability of the exchange rate."
The second topic that the conference addresses, according to the Governor of the Central Bank, is “working to move from the phenomenon of the cash economy to the digital economy,” indicating that this phenomenon “constitutes a major obstacle to the optimal employment of cash and the development and stimulation of the economy, and a major challenge to achieving the objectives of monetary policy in achieving... Monetary stability also weakens control and oversight of the movement of funds and increases the risks of financial crimes and illegal practices.”
Regarding the third topic (the digital economy), he pointed out that many measures are being worked on in direct and continuous coordination between the government, represented by the Prime Minister personally, the Central Bank, and the relevant authorities.
Al-Alaq praised the steps of the Kurdistan Regional Government in this regard, pointing to the communication with the Prime Minister of the Kurdistan Regional Government in this regard, the most recent of which was the meeting between them two days ago to emphasize the importance of this matter and “the steps of the Regional Government in achieving this goal so that we can move together in the transition to the digital economy.” /End
Source: National Iraqi News Agency