FICC to increase the number of banks supported by CBI
The new headquarters of the Central Bank of Iraq in Baghdad. Photo: AFP
Baghdad (IraqiNews.com) – The Federation of Iraqi Chambers of Commerce (FICC) announced on Tuesday that it has undertaken an initiative to increase the number of correspondent banks supported by the Central Bank of Iraq (CBI).
The President of the FICC, Abdul Razzaq Al-Zuhairi, told the Iraqi News Agency (INA) that the federation undertook an initiative to increase the number of correspondent banks supported by the CBI.
The CBI finished on Saturday the arrangements for an agreement aiming to enhance the balances of five Iraqi banks in the UAE dirham.
A source in the Iraqi banking sector said that the CBI completed the required arrangements related to an agreement with the UAE’s First Abu Dhabi Bank, INA reported.
The source revealed that the implementation of the agreement to enhance the balances of the Iraqi banks in UAE currency will take place this week.
Last week, the CBI reinforced the balance of 13 banks in the Chinese currency.
Merchants and importers can now import their goods from China at the official exchange rate that will be provided by banks dealing in the Chinese currency instead of obtaining the funds they need for their trade from the parallel market, according to the source.
Officials from the CBI held intensive meetings with US officials in Abu Dhabi recently to discuss external transfers to cover imports.
Iraq strengthened its balances in the yuan currency through the Singapore Development Bank to finance the country’s trade with China by about $12 billion annually.
There are serious negotiations that have reached their final stages to enhance the balances of some Iraqi banks in euros with UBAF Bank to finance trade with the European Union.
The CBI is taking several measures to reduce the US dollar exchange rate.