Iraqi Lawmaker: Foreign banks dominate in currency exchange

Shafaq News/
On Thursday, Vian Dakhil, a member of the Parliamentary Integrity Committee,
raised concerns about the “dominance” of foreign bank branches over
the currency exchange window at the Central Bank of Iraq.

In an
interview with Shafaq News Agency, Dakhi said that the committee is currently
examining the financial and monetary policy of the Central Bank, “especially in
light of reports indicating that some branches of foreign banks and certain
Iraqi banks are exerting significant influence over the Iraqi currency market
and the foreign currency exchange window.”

She
explained that the Integrity Committee is working on legislation aimed at
limiting the authority of foreign banks and their branches, as well as Iraqi
banks with foreign capital. “This initiative seeks to curb the substantial
profits these banks are generating from operations in Iraq.”

Dakhil
further noted that some foreign banks and foreign capital are monopolizing
financial remittances in Iraq, lamenting that “unfortunately, all Iraqi
funds are being transferred to other countries.”

Iraqi
experts have raised alarms about the “leakage” of currency outside
Iraq due to alleged “corruption” within the currency auction system
in the country.

The Central
Bank’s management plans to gradually eliminate the dollar auction, ultimately
aiming for its complete abolition.