Adoption of the national currency (The Iraqi Dinar)
The Central Bank decides to use the local currency only at ATMs (document)
Today, Thursday, the Central Bank of Iraq decided to use the local currency (the dinar) only at ATMs.
A statement by the Central Bank, which it received (Baghdad Today), stated that “based on the decision of the Council of Ministers and in light of the policy of the Central Bank of Iraq to encourage reliance on the national currency in financial transactions inside Iraq provided by the banking system and non-banking financial institutions, it was decided that the electronic financial services provided inside Iraq Through (automated teller machines, point-of-sale devices, electronic payment gateway) in the Iraqi dinar currency.
In addition, ATMs operate in Iraq in local currencies (dinars) and foreign currencies (dollars).
This podcast covers March 9th and March 12th 2023
Adoption of the national currency
Based on the decision of the Council of Ministers and in light of the policy of the Central Bank of Iraq to encourage reliance on the national currency in financial transactions inside Iraq provided by the banking system and non-bank financial institutions, it was decided that the electronic financial services provided inside Iraq through (automated teller machines, points of sale
» To view the uncles and the decision of the Council of Ministers .. click here
these documents are in Arabic of course
There's 3 pages all in Arabic I got some strange translations hahaha
page 1
Electronic payment service providers
on the adoption of the national currency
good college
Based on Cabinet Resolution No. 23044 of 2023 issued under the Secretariat’s uncles
General Council of Ministers No. u. 1/10/5/ Isam / 3609 on 1/22/2022 attached copy of it (link) and
In light of this policy, it is common to rely on the national currency in financial transactions within Iraq
By the banking system and non-banking financial institutions, it was decided that electronic financial services should be
Provided inside Iraq through automated teller machines (ATMs), point-of-sale devices, the electronic payment gateway in a currency
Iraqi Dinar Kindly take the necessary action according to what was reported
with grimace.
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Based on what the new Iraqi Deputy Prime Minister / Minister of Planning casually flew us
During the cabinet meeting, and what was stated in the book of the Ministerial Council for Economy
No. (S/131003 2 dated 17/1/2023).
The Council of Ministers decided in its third regular session held on 17/1/2022.
What follows:
Approval of the recommendation of the Ministerial Council for Economy, which states the following:
Facilitation of the Central Bank of Iraq procedures for granting licenses to collect international bank cards
By using point-of-sale (POS) devices and reducing commissions on banks and agencies that use them
those devices
Obliging all governmental, non-governmental and mixed departments, trade unions, associations and centers that
You get the amounts to open bank accounts and configure point-of-sale devices for electronic payment
(POS) Payment by bank cards to collect money and to enable the willing auditors
By paying with cards, while keeping the cash receipt alongside.
Peace be upon all private students, universities and private colleges, and fuel stations
In all its ranks and locations, and in all parts of Iraq, bank accounts are opened and set up
Electronic payment point-of-sale (POS) devices Payment by bank cards
Collecting money and enabling those who wish to pay with cards, while maintaining receipt
Cash along with linking renewal of work permits and granting licenses to practice the profession
by configuring these devices.
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require
Obligating all centers, shops of all kinds, restaurants, pharmacies and medical clinics
Private stores, wholesale and retail marketing outlets, all licensed services that:
Payment for its interest within the boundaries of the Municipality of Baghdad and the centers of the provinces and districts throughout Iraq
Opening bank accounts and configuring point-of-sale devices for electronic payment (POS)
Payment by bank cards to collect money and to enable those who wish to pay
With cards, while keeping the cash receipt along with, linking the renewal of work permits and grants
Licenses to practice the profession by preparing these devices.
... Preparing government and private banks for all electronic payment point-of-sale (POS) devices
Payment by bank cards to the aforementioned entities and other customers for collection
Funds electronically and in all parts of Iraq.
Exemption for electronic payment and collection devices (POS devices) and automatic teller machines (ATMs).
(ATM) for payment and collection systems with bank cards imported from banks
Customs fees and taxes in all their forms.
Exempting all electronic payment transactions (POS) from taxes
This decision is implemented as of 1/6/2023
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A major currency dealer was arrested with $320,000 in his possession
A security source said today, Thursday, that a major currency dealer had been arrested in possession of 320,000 dollars.
The source told Earth News Agency, "A security force managed to arrest one of the largest currency smugglers within the control of Bawa Mahmoud in Khanaqin.
He added, "And he seized about 320,000 US dollars in his possession, along with 10 million Iraqi dinars, which he intended to smuggle to the region."
Parliamentary finance determines the value of the budget deficit and the date of its approval
Today, Thursday, the Parliamentary Finance Committee determined the value of the deficit in the general budget for the year 2023 and the date for voting on it inside the parliament dome.
Committee member Ikhlas Al-Dulaimi said, in a statement to Al-Maalouma news agency, that "the 2023 budget will be voted on during the cabinet session on Tuesday of next week, and then sent to Parliament to complete the procedures for passing it."
Al-Dulaimi added, "The 2023 budget will have an official dollar exchange rate of 130,000 dinars, and a barrel price of 65 dollars, while the deficit will reach 60 percent."
And she continued, "The approval of the general budget will be completed at the end of next April, to be implemented at the beginning of May," noting that "the deficit rate will decrease significantly during the period of its approval and actual implementation."
The President of the Republic confirms the imminent approval of the financial budget
President of the Republic, Abdul Latif Jamal Rashid, confirmed today, Thursday, that the current stage in the country is witnessing security stability, while indicating that the financial budget will soon be approved.
The Presidency of the Republic said in a statement, a copy of which Mawazine News received, that "President of the Republic Abdul Latif Jamal Rashid received, today, at the Baghdad Palace, the delegation of the American Institute of Peace."
During the meeting, the President stressed "the importance of consolidating the principles of peace in order to move towards a humane society based on good coexistence and understanding," noting that "the current stage in the country is witnessing security stability."
He stated that "the government is working to consolidate this stability, improve the general conditions in the country, especially the economic aspect, improve the living and service conditions of citizens and combat corruption," noting that "
The members of the delegation reviewed the activities carried out by the Institute in establishing peace and supporting minorities in a way that strengthens societal ties, and interest in rehabilitating the infrastructure of areas that have been subjected to terrorism, expressing their thanks and appreciation to the President for his efforts in establishing security and caring for minorities.
Relationship leads bold steps to transform dealings into digital
The Governor of the Central Bank, Ali Al-Alaq, renewed his assertion of the serious endeavor to bring about a quantum leap in the field of financial technology. An official statement said, "Al-Alaq received the regional president of the global Visa company, Andrew Tory, and his accompanying delegation, and they discussed the support provided by the company to regulate the market and increase the acceptance of electronic collection, in support of the government's directions and the decisions it has taken in activating electronic payment through the use of technology provided by the company, as well as On improving the regulations and instructions for digital financial services," Al-Alaq stressed that "the bank is supportive in its steps to expand the use of the latest digital technologies in the banking sector and enhance financial inclusion in Iraq."
Shift events
He continued, "The Central Bank seeks to make a quantum leap in the field of financial technology in the Iraqi banking sector by keeping pace with the latest international technologies."
A leader in the new generation: Whoever does not want to pass the budget and participate in it proves that he is corrupt
The leader of the New Generation Movement, Omar Mama Korda, confirmed today, Thursday, that whoever does not want to pass the budget and participate in it proves that he is corrupt.
Korda said in an interview with Earth News Agency, "The Kurdish parties in the region are not of one opinion, as in the center and south," noting that "in the region, the movement of the new generation with the passage of the budget because it shows the government's road map and how the money is spent during the year set for it, but who does not want Passing the budget and participating in it proves that he is corrupt and does not want the government to have a budget until it has a road map.
He added, "In the region, during the past ten years, the government has not had any budget, and this paves the way for the parties in power to spend the money that is the people's money for the benefit of their political parties, and they dispose of it as they want."
A parliamentarian considers adjusting the exchange rate an "expansion" of corruption and talks about "involving citizens" in the money laundering process
Independent MP, Raed Al-Maliki considered, on Saturday, that adjusting the exchange rate of the dollar is an "expansion" of corruption, indicating that granting citizens sums of money when they travel involved them in the money laundering process.
The Central Bank grants each traveler a maximum of 7 thousand dollars at the official rate of 1132 dinars per dollar when traveling.
The Central Bank decided to adjust the exchange rate of the dollar to be 1130 dinars per dollar, after it was 1145 dinars per dollar.
Al-Maliki said during a press conference held in the parliament building, which was attended by the Shafaq News agency reporter, "The adjustment of the dollar's exchange rate expanded the corruption process by changing the exchange rate and directly involved the citizen in the money laundering process," adding, "Now the citizen has entered into this issue, and we are hearing talk about citizens who are buying dollars under the pretext of travel, and thus they became part of the money laundering process and the smuggling of dollars abroad.”
He pointed out that "these problems are more important than preoccupation with the provincial elections, which many Iraqi people reject," he said.
Al-Maliki called for "amending the provincial law before holding the provincial council elections," stressing the amendment of "provincial law No. 21 of 2008 amended in order to change the nature of the work of the provincial councils."
Al-Maliki believed that "any amendment to the electoral system that causes the citizens' reluctance to participate in the elections is a blow to democracy and the destabilization of the political system."
Central Bank: Controlling the exchange rate is everyone's responsibility
The Deputy Governor of the Central Bank, Ammar Hamad Khalaf, stated that the stability of the dollar exchange rate is everyone's responsibility, indicating that the reforms of the Central Bank have become clear to the banking sector.
Yesterday, Saturday, Baghdad hosted a forum and exhibition of banking and commercial services for merchants and businessmen.
The Deputy Governor said in his speech during the forum, which was attended by "Al-Sabah": "The financial sector is witnessing a clear process of reform at all levels with regard to the banking sector and electronic payment, especially since the banking sector suffers from some problems that represent previous accumulations, and this year will witness important developments in payment." email".
Khalaf added, "The state generally tends to use cash devices and reduce the use of cash in the process of exchanging the banking sector, which suffers from some old problems," noting that "the Central Bank continues in the reform process with these challenges facing public and private banks that have an important role in meet the needs of the banking sector.
He continued, "The Central Bank has worked to establish facilities for financing merchants and external transfer of trade, and there is a clear commitment in the Anti-Money Laundering Law for Financing Terrorism," pointing out that "the banking sector is the main sector in any economic development, and the infrastructure in the financial sector is a fundamental pillar of any economic development and growth.
He stated that "the current year will witness a significant, remarkable and tangible development for the banking sector and the electronic payment process," pointing out that "there are extensive procedures within the powers of the Central Bank, but there is also an important aspect that falls on the ground that needs legislation, and therefore the issue of the exchange rate that concerns all citizens and its stability Everyone's responsibility."
He stressed that "the Central Bank works, legislates, and issues instructions and orders to facilitate proper access to foreign currency, whether they are travelers or merchants," pointing out that "this meeting will be the beginning of continuous communication between the real sector and the banking sector to reduce the challenges and problems facing the two sectors, and we will be present as a central bank." And listen to any challenges and overcome all difficulties.
For his part, the head of the Federation of Chambers of Commerce, Abdul Razzaq Al-Zuhairi, explained that "the exchange rate crisis that the country is suffering from requires collective action to overcome it and go towards creating a sober economy that puts Iraq in the right place among the countries of the world."
He added, "Iraq has the elements of economic advancement, and we must invest it to serve the country, especially with the support of the executive and legislative authorities, as the day has come when we work on building Iraq," noting that the discussion among the participants is positive and achieves results that serve the country.
Regarding the axes of the forum, the Chairman of the Finance Committee in Parliament, Atwan Al-Atwani, said: Here we must diagnose the defect that is represented in the reluctance of merchants to go to the platform, and we must discuss this with merchants and reach a solution.
He pointed out the need to know the reasons why merchants went to the local market to obtain dollars, and to find out the real reasons. Is it taxes or customs?
Deputy Executive Director of the Association of Private Banks Ahmed Al-Hashemi said: The conference brings together the banking system with the family of commerce to answer all inquiries of merchants regarding foreign imports, mechanisms for opening accounts, and what is required by the external import process with regard to documentary credit or transfer.
He added, "The goal is to bring merchants together with banks so that the meeting will be useful to serve the import process, and to make all transfers take place through the banking system and officially, and to form real data on imports and their necessary amounts, pointing out that the conference provides assurances to merchants regarding external transfers and their organization, and this limits Money laundering operations and puts Iraq in front of compliance with any currency, not just the dollar.
Haider al-Rubaie, a specialist in economic affairs, said: "We hope that the outputs of this conference will serve the poles of the local market, including merchants and importers, all the way to the owners of single stores who faced major problems because of the exchange rate and transferring their money from the Iraqi dinar to the dollar to recover capital."
He continued by saying: "We need real interest and work from banks, especially civil ones, and we hope that banks will work to serve the private sector and facilitate procedures in all commercial operations."
An American report reveals the details of the electronic system for the exchange of dollars for the Iraqi customer
https://www.nytimes.com/2023/03/03/world/middleeast/iraq-currency-sanctions-economy.html
A report by the American newspaper "The New York Times" dealt with the unintended "difficulties" and "great suffering" caused by ordinary Iraqis from the country who intend to travel outside Iraq and need dollar currency, resulting from the recent banking procedures and provisions that the United States and Iraq followed to limit From the illegal leakage of hard currency to criminal beneficiaries outside the country and from those accused of money laundering,
Pointing out that the demand for the dollar has increased and that the cost of buying it in Iraqi dinars has risen at some of the local currency dealers.
The following is the text of the report:
Long queues of Iraqis who plan to travel outside the country form in the early hours of the day outside the exchange shops, carrying bags full of Iraqi currency with them. These days, it is difficult to find an exchange shop that has remaining dollar balance, and the shops that have balance run out early.
Abu Ali, the owner of a money exchange shop in the Karrada area, says, "I have no dollars left."
The new provisions, which were applied by agreement between the United States and Iraq, require more transparency regarding bank transfers of dollar currency from the Iraqi reserve account for currency deposited with the Federal Reserve Bank in New York.
These provisions came into force late last year, and are part of a long-awaited plan to modernize Iraq's financial system as it begins to comply with provisions that most countries follow and adapt to provisions requiring greater transparency in international money transfers.
However, some Iraqi merchants and others who used to pay in dollars via international transfers did not like this procedure or they were unable to implement the requirements of transparency, and for this they resorted to exchange shops, causing a great demand for the dollar in the Iraqi street and its high price against the dinar.
Every day, the Central Bank of Iraq facilitates financial transfers from its account at the Federal Bank in New York for the benefit of Iraqi merchants and people to pay the prices of goods imported from outside Iraq. Money transfers are important because few commercial entities have international bank accounts.
On the other hand, a share of the hard currency is sent in cash to the Central Bank of Iraq, which goes to exchange shops and banks, and is disbursed in large part to Iraqis who intend to travel abroad.
Until the day when these provisions were implemented, American officials were unable to track the course of financial transfers of hard currency and whether they ended up with parties that were originally included in the economic sanctions lists.
According to the new provisions, it requires persons or companies that request money transfers for dollar currency to reveal their identity and return and the identity of the party or persons that will receive the money, and then the information is reviewed by an electronic system as well as by experts in the Central Bank of Iraq and the Federal Bank in New York before The transfer is being disbursed.
The Iraqi economist, Ahmad al-Tabaqjali, head of the Asian Union Fund for Iraq, says that the new system allows banks around the world to conduct electronic checks on remittances issued from Iraq to other countries.
Tabaqjali adds, "In short, this banking system makes it easy to detect suspicious cases."
The financial advisor to the Iraqi government, Mazhar Salih, says that many requests are now rejected, noting that sometimes questionable identities are the reason, and at other times the reason is that many Iraqi merchants do not have the required licenses to import goods or that they are not legally registered. They are commercial entities and therefore constitute a breach of Iraqi law. Salih added that these refusals created an increased demand for the dollar at the Iraqi exchange shops, and its exchange rate rose significantly to Iraqis who have a legitimate need for it.
Since 2003, there are two rates for the exchange rate of the dollar against the Iraqi dinar. There is the official rate set by the central bank and an unofficial rate for the black market and is often higher. When there is a scarcity of the dollar currency, its price increases on the black market in exchange shops.
The differences between the two prices create difficulties for the Iraqis, as happened to the woman, Jannah, who is a mother of four children. She says she is saving money to buy a $250 refrigerator.
In October, it cost 320,000 dinars in Iraqi dinars, but today, due to the scarcity of the dollar, its price has risen to 375,000 dinars, and she says, "The new price is beyond my purchasing power." According to Central Bank data on daily dollar financial transfers, the new provisions have reduced the flow of dollars into the market by approximately 65% compared to the period preceding these measures, and the daily rate of dollar sales decreased from 180 million to 67 million dollars.
Since that time, transfers began to rise, but they are still less than half of the rate they were before the implementation of the new banking system.
The report indicates that until now it is not clear exactly the extent of the decrease in illegal financial transfers.
Douglas Suleiman, president of the Gulf States Institute in Washington and former US ambassador to Iraq, says, "I cannot control the rate of manipulation and fraud at 90%. Perhaps the rate of manipulation is 45% and another 45% is incompetence or just not knowing how to deal with the new provisions."
Al-Sudani: The Iraqi dinar is strong and we will not allow its collapse
Prime Minister Muhammad Shia al-Sudani affirmed that the Iraqi dinar is strong and we will not allow its collapse.
Al-Sudani said in a televised interview with Al-Hadath channel, followed by "Al-Iqtisad News", that the Iraqi dinar is strong and we will not allow its collapse, and this confidence came from the good economic situation, as the revenues are the highest in the history of Iraq, and our balance has reached more than 100 billion dollars.
He warned exchange companies and other parties against selling the dollar at a price of more than 1,320 dinars, explaining that the current dollar problem is concentrated in some merchants, companies and small traders who were accustomed to transfers without import requirements, including the establishment of a company, the import license and the payment of customs taxes.
He added that private banks have a role in development and contribute to the process of financing and lending to investors and businessmen to establish projects, and that some private banks work properly and we help them as a government because there is no development without banks and without a banking system.
Talabani: The oil and gas law expands and improves the investment environment in the energy sector
The Deputy Prime Minister of the Kurdistan Region, Qubad Talabani, confirmed, on Wednesday, that the oil and gas law contributes to expanding and improving the investment environment in the energy sector, if it is approved.
Talabani's media office said in a statement that the latter "meet, in Sulaymaniyah, today, with the Administrative Council of the Emirati Dana Gas Company," noting that "the meeting, which was attended by Ahmed Mufti, Undersecretary of the Ministry of Natural Resources, discussed the progress of work in the Emirati company in the region and the latest political changes."
Talabani referred, according to the statement, to “the efforts made to prepare the oil and gas law in Iraq,” pointing to “supporting the passage of the law if it obtained the consensus of all parties,” stressing that “the law would expand and improve the investment environment in the energy sector.”
During the meeting, the Emirati company reviewed, according to the statement, “its work priorities,” praising “the efforts of Deputy Prime Minister Qubad Talabani for the facilities he provides to accomplish the company’s work tasks in the Kormor gas field and to provide it with security.”
Governor of the Central Bank of Iraq, Ali Al-Alaq.. Bold steps in a difficult money market
Dr. Ali Mohsen Al-Alaq, Governor of the Central Bank of Iraq, continues his efforts to mature the country's monetary policy, after years of instability witnessed by the most important monetary institution in the Iraqi state, as a result of the lack of right choices, especially the years that followed Al-Alaq's departure from this site.
The relationship that bears this serious responsibility and in this sensitive period is now balancing between fiscal and monetary policy, and is walking over a very fine line, in light of an intense economic struggle, between the United States of America on the one hand, and the other axis that also wants to find a clear justification for it. to untie him.
Al-Alaq, which is working to restore the value of the Iraqi dinar again after a reckless step taken by the administration of the Central Bank of Iraq and the previous government, with an ill-conceived reduction in the price of the Iraqi dinar, which led to a decrease in the purchasing power of citizens, and caused a massive market recession that is unprecedented, at least after 2003.
Carefully calculated steps taken by the governor of the Central Bank of Iraq, with the tightening of regulatory and legal measures on monetary exchange operations, and monitoring the transfer of foreign currency outside the country, matched by clear and unprecedented monetary facilities for real merchants, as well as facilitating the digital transformation of monetary exchange, And the mechanization of buying and selling operations for the citizen.
Success in the task of ridding Iraq of cash smuggling and wasting public money through corrupt operations is a legal, patriotic, and moral responsibility that the man faced with courage, and he is continuing it diligently despite the difficult reality and the depth of monetary deviation left for years.
The Ministry of Planning discusses with the European Union the support of Iraq in joining the World Trade Organization
The Ministry of Planning discussed with the European Union, supporting Iraq in joining the World Trade Organization.
The Ministry said in a statement that "within the framework of joint cooperation between the Ministry of Planning, the European Union and the International Trade Center, the Department of International Cooperation held today a joint meeting with the director of the Savvy project funded by the European Union, Eric Bouchot."
Director General of the Department, Saher Abdul-Kadhim Mahdi, who chaired the meeting, said, "Among the issues discussed during the meeting, the role of the Savi project in supporting Iraq to join the World Trade Organization, as well as discussing the project's progress report and the challenges facing the project and reviewing the observations of the sectoral ministries partnering with the project." He explained that the meeting also discussed notes on a draft memorandum of understanding between the International Trade Center and the Ministry of Planning.
The Council of Ministers approves the draft budget tomorrow... The decision will be in April
Today, Monday, the Finance Committee in the Iraqi Parliament suggested that the Council of Ministers approve the draft federal budget law for the year 2023, tomorrow, Tuesday.
A member of the committee, Mueen Al-Kazemi, said in an interview with Al-Sumaria, that "Council of MinistersTomorrow, Tuesday, he will approve the draft budget law.”
He added, “The draft will reach the House of Representatives early next week; To study, discuss, make amendments, and then read, ratify, and approve it in the month of April; so that the governmentMohammed Al-Sudanilaunch its programme.
Al-Kazemi indicated that "the size of the budget will be 170 trillion Iraqi dinars," stressing the need for "the deficit to be reasonable."
A member of the Finance Committee revealed that "the estimated share ofKurdistanOf the budget, it will amount to more than 12%, provided that the region provides clear statements of its previous and current revenues regarding oil exports, outlets, and the number of employees.
