On Monday, the executive director of the Association of Iraqi Private Banks, Ali Tariq pointed out a significant amount of increase in government and private deposits in commercial banks operating in Iraq amounted at 76.89 trillion Iraqi dinars during 2018. Tariq said in a statement, “The government and private deposits in commercial banks increased by 9.84 trillion Iraqi dinars during 2018. It is due to the procedures of the Iraqi Central Bank in support of the Iraqi banking sector, including government and private banks in order to pull out Iraq from the financial crisis”.
He pointed out that the financial crisis hit the country in 2014. It was due to a global downfall in the oil prices. The country has improved security after the elimination of Daesh and other terrorist organizations. He added the deposits in 2017 were calculated at 67.05 trillion dinars and rose to 76.89 trillion Iraqi dinars in 2018. Tariq added that private sector deposits in commercial banks were calculated at 27.36 trillion Iraqi dinars. The government deposits amounted at 22.27 trillion dinars in addition to deposits of the public sector calculated at 27.26 trillion Iraqi dinars.
Tariq stressed that the relationship between the citizen and the banking sector is witnessing a significant amount of improvement after the major and effective actions of the Iraqi Central Bank. These actions include the settlement of salaries of employees in the public and private sectors and facilitate the procedures of bank cards and others. He also explained that another factor is the integration of Iraq’s global economy. It mainly depends on transactions with the banking sector in addition to the increasing geographical spread of banks through the increase in the number of branches after awareness programs. He added that the coming years will witness a considerable amount of increase in deposits after the launch of the deposit insurance company by the Iraqi Central Bank.