Iraq, UAE to finance trade exchange in UAE dirham
The Central Bank of Iraq. Photo: AFP
Baghdad (IraqiNews.com) – The Central Bank of Iraq (CBI) revealed on Wednesday that Iraq and the UAE agreed to finance trade exchange and imports in UAE dirham.
Financial transactions between the two countries will be carried out by five Iraqi banks, allowing them to establish relationships with reputable international banks, the Iraqi News Agency (INA) reported.
The CBI’s governor, Ali Al-Alaq, met with the CEO of First Abu Dhabi Bank (FAB), Hana Al-Rostamani, in Dubai, where they agreed to launch financial transfer operations between the two countries and finance trade and imports in the UAE currency through FAB.
The CBI mentioned that the step allows Iraqi banks to work in accordance with international practices as the balances of Iraqi banks are enhanced to finance trade exchange.
The CBI also illustrated that FAB offered to contribute to financing clean energy projects in Iraq, noting that the UAE bank is one of the largest financial institutions in the world with assets worth $300 billion.