IMF mission praises Iraq's Central Bank for significant progress in financial reforms
Baghdad (IraqiNews.com) – An International Monetary Fund (IMF) mission has praised the Central Bank of Iraq (CBI) for achieving significant progress in a series of financial reforms, most notably the successful transition to a new system for financing foreign trade.
In a statement, the mission highlighted the CBI's shift away from reliance on the daily dollar auction to a system where commercial banks process trade finance entirely through correspondent banking channels. This development, the IMF noted, has enhanced banks' compliance with international transparency standards like OFAC regulations and has helped narrow the gap between the official and parallel market exchange rates.
The IMF also commended the CBI's efforts in managing excess liquidity through short-term debt instruments and its more effective overall foreign exchange management, which includes measures requiring real import invoices from traders.
The praise from the international financial institution serves as a strong endorsement of the CBI's strategic reforms aimed at modernizing Iraq's financial infrastructure, increasing transparency, and curbing illicit currency speculation.
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IMF mission praises Iraq's Central Bank for significant progress in financial reforms
Baghdad ( – An International Monetary Fund (IMF) mission has praised the Central Bank of Iraq (CBI) for achieving significant progress in a series of financial reforms, most notably the successful transition to a new system for financing foreign trade. In a statement, the mission highlighted the CBI's shift away from reliance on the daily dollar auction to a system where commercial banks process trade finance entirely through correspondent banking channels. This development, the IMF noted, has enhanced banks' compliance with international transparency standards like OFAC regulations and has helped narrow the gap between the official and parallel market exchange rates. The IMF also commended the CBI's efforts in managing excess liquidity through short-term debt instruments and its more effective overall foreign exchange management, which includes measures requiring real import invoices from traders. The praise from the international financial institution serves as a strong endorsement of the CBI's strategic reforms aimed at modernizing Iraq's financial infrastructure, increasing transparency, and curbing illicit currency speculation.
