Source: Central Bank of Iraq delegation visits US to discuss banking sector
Shafaq News/ A delegation from theCentral Bank of Iraq (CBI) is currently in the United States to review thestate of Iraq's banking sector, a source disclosed on Thursday.
Led by Central Bank Governor Alial-Alaq, the delegation arrived on August 26 and included several seniorofficials. The talks focus on the evolving situation within Iraq's bankingindustry and the restrictions placed on using the US dollar by numerous privateIraqi banks.
"The discussions include thepotential elimination of the current currency platform at the start of nextyear, with a shift towards relying on correspondent banks. This change couldimpose additional constraints on private Iraqi banks and potentially reducecompetition in favor of Jordanian banks with established American correspondentrelationships." The source explained.
The Central Bank of Iraq is alsonearing a contract with Oliver Wyman, a consulting firm, to conduct a studyaimed at reforming the Iraqi banking sector. The findings of this study areexpected to guide future reforms, he added.
