Latest news with #Al-Alaq
Iraqi News
5 days ago
- Business
- Iraqi News
Al-Alaq details achievements in protecting the financial system
The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced today, Wednesday, that the results of the mutual evaluation in Iraq revealed strengths in the areas of transparency and financial data. He also indicated that work is underway to build and relicense private and government banks. In his speech at the second session of the Anti-Money Laundering and Combating the Financing of Terrorism Conference, attended by an Iraqi News Agency (INA) correspondent, Al-Alaq said: "The Anti-Money Laundering and Combating the Financing of Terrorism Council continues reform and combating money laundering through the Anti-Money Laundering and Combating the Financing of Terrorism Council, the Central Bank of Iraq, the Anti-Money Laundering and Combating the Financing of Terrorism Offices, law enforcement agencies and institutions, and the ministries and parties that participate with us within and outside the Council, in order to consolidate the foundations of integrity and enhance financial stability." He added, "We recognize that money laundering and terrorist financing crimes are not just ordinary financial crimes, but rather a gateway to destabilization and strengthening confidence in financial, social, and political systems. Therefore, local and international cooperation and joint action are no longer an option, but rather an urgent necessity to combat these crimes." He noted that "we in the Republic of Iraq are actively cooperating with our international partners, particularly with the Financial Action Task Force and the Middle East and North Africa Financial Action Task Force, to implement international standards in the field of combating money laundering and terrorist financing." Al-Alaq explained that "Iraq underwent a mutual evaluation process, which determines the extent of its commitment to implementing international standards and reflects the sobriety of the measures taken and efforts made to combat these crimes. The results of the mutual evaluation in Iraq revealed a distinct set of strengths in the areas of transparency, financial data, and access to them by relevant authorities, as well as the quality of reporting, which the quality of the reports that resulted in large confiscations and the amount of money recovered." He pointed to "the multiple channels of international cooperation that enabled Iraq to exchange high-value information quickly and efficiently with counterpart units through a secure communications network that ensures the confidentiality and speed of information." He explained that "the report pointed to a number of weaknesses that need to be improved and addressed, which we have urgently and immediately addressed by taking appropriate steps to overcome them, mitigating their risks and ensuring they are not exploited for money laundering. This comes as part of the Republic of Iraq's commitment, at the highest levels, to continuous cooperation with the Financial Action Task Force on this issue, as is the case with the other member states." Al-Alaq emphasized that "the Republic of Iraq has achieved many important achievements in protecting the financial and banking system, which is a fundamental pillar of the anti-money laundering and counter-terrorism financing system, and protecting it from misuse in suspicious or illegal operations, especially after the completion of the national risk assessment process. Among the most prominent of these measures were: First: Enhancing the balances of Iraqi banks abroad so that they can directly implement their customers' requests through correspondent banks, followed by implementing these transfers through specialized international institutions. This prevented these transfers from being used for purposes other than those intended. Second: Introducing a cash sales system for foreign currency through banking and non-banking financial institutions, ensuring that these currencies reach their true beneficiaries and for the purposes for which they are intended, without anyone engaging in suspicious transactions. This international system is the distribution system for the dollar in Iraq and is considered the system among countries of the world. Third: Establish a central registry at the national level that includes beneficial ownership data, allowing relevant authorities to access and regularly update this registry to enhance transparency and prevent financial misuse. Fourth: Automate work in an integrated manner between the Anti-Money Laundering and Terrorism Financing Office, reporting and investigation agencies, oversight, and customs. This represents a qualitative leap in implementing the procedures required to limit suspicious transactions and enhance the efficiency of risk response. We are in the final stages of integrated linkages between the Central Bank, Customs, and Taxes, which will form an important framework for tightening control over all foreign financial transactions. Fifth: Establishing an electronic platform to implement targeted financial sanctions pursuant to Security Council resolutions and international standards immediately, allowing designated financial and non-financial professional institutions to access the names listed on global and local lists, facilitating compliance and achieving greater effectiveness in implementing sanctions. Sixth: Issuance of the Parallel Financial Investigations Manual in Iraq, which represents an advanced stage in organizing and directing financial investigations in parallel with criminal investigations to dry up and confiscate the sources of financial crime. Seventh: Due to the modernization of the real estate sector, one of the high-profile sectors, as part of several measures to mitigate these risks, it was necessary to: The most important of these is the issuance of a mechanism for buying and selling real estate through the banking system. Eighth: The Kurdistan Region's effective participation in efforts to combat money laundering and terrorist financing through its representation on the Anti-Money Laundering and Counter-Terrorism Financing Council at the federal level. This representation is part of the comprehensive national commitment to the Council's decisions, with the designation of specialized courts in the region to consider judicial proceedings and expedite these cases in line with national and international standards related to combating financial crimes in the region and unifying these procedures with the central authority. Ninth: We have taken a series of measures to enhance financial inclusion, not only with the aim of distributing banking products to customers, but also enabling relevant authorities to track the movement of funds, knowing their sources, and identify their true beneficiaries, thus enhancing integrity and transparency in the financial system. In this context, digital transformation has emerged as a key tool for achieving these goals. He continued: "Work is underway to rebuild and relicense private and government banks based on advanced anti-money laundering practices and to enhance their role in the economy through diversifying services and products and digital transformation. This plan is a distinguished model at the international level in subjecting all banks to advanced international standards and principles." Al-Alaq explained that 'these achievements would not have been possible without the political will and confidence that the government in general and Prime Minister Mohammed Shia al-Sudani in particular have given to the Anti-Money Laundering and Combating the Financing of Terrorism Organization, and in light of this, the efforts of all government institutions to keep Iraq away from suspicious activities.' He stressed that 'the efforts of the national system to combat money laundering and terrorist financing will not stop in combating these crimes, mitigating their effects, and developing its working mechanisms in a way that ensures that financial institutions, both banking and non-banking, do not become safe havens for the laundering of money generated by criminal activities. Here, we look forward to expanding the scope of partnership between local and international institutions for the benefit of the country.'
Shafaq News
21-05-2025
- Business
- Shafaq News
CBI unleashes green finance: Billions for eco-projects
Shafaq News/ The Central Bank of Iraq (CBI) began issuing specialized banking licenses to support climate action and environmental sustainability, Governor Ali Al-Alaq announced on Wednesday. During the first Conference on Carbon Economics in Iraq, Al- Alaq said that Iraq's monetary policy promotes green finance by offering incentives for environmental projects and urging banks to manage climate risks. He added that the CBI is coordinating with international networks to align regulations and assess environmental impacts within the financial sector. As part of these efforts, Al-Alaq highlighted a 1 trillion Iraqi dinar (about $766.9M) initiative launched by the CBI in coordination with the Cabinet's Higher Lending Committee to help transition from traditional energy sources to renewable ones and reduce carbon emissions. The initiative is already financing projects such as waste recycling, palm cultivation, the Abu Ghar fields in the Samawah desert, and the Green House Project. The Central Bank of Iraq has partnered with the World Bank to develop a green finance model as part of its 2023–2029 sustainability roadmap, aiming to manage ESG risks and make Iraq's banking sector a leader in environmentally responsible practices. Al-Alaq also announced that the CBI has allocated 500 million dinars (about $383.4K) per facility to help rehabilitate brick factories transitioning from heavy-polluting black oil to cleaner liquefied gas. In addition, the Central Bank has contributed 1 billion dinars (about $766.9K) to Iraq's Environmental Protection and Improvement Fund to help combat air pollution, expand green spaces, and lower harmful emissions. It has also financed waste recycling projects under the CBI's Energy Initiative, which is currently being implemented to reduce soil pollution, particularly in landfill areas that pose long-term environmental risks to housing and agricultural development. The bank is also supporting small-scale agricultural projects through its Prospects program, in partnership with the International Labour Organization, the Iraqi Guarantee Company, and private banks. Around 3 billion dinars have been allocated to displaced communities in Nineveh and Duhok for this purpose. He also announced that the Central Bank had contributed nearly 350 billion dinars to Iraq's urban afforestation initiative. The initiative aims to create green belts around provincial capitals to serve as natural barriers against dust storms and pollutants while helping mitigate desertification.
Iraqi News
19-05-2025
- Business
- Iraqi News
Iraq seeks cooperation with Nokia on digital transformation
Baghdad ( – The Iraqi Prime Minister, Mohammed Shia Al-Sudani, said on Monday that Iraq is eager to continue working with Nokia to secure the infrastructure for the digital transformation initiative in government agencies, as well as across several industries. Al-Sudani's remarks took place during his meeting with the Finnish Ambassador to Iraq, Anu Saarela, and officials from Finland-based Nokia, which specializes in telecommunications and information technology, according to a statement released by the Prime Minister's Office (PMO). The Iraqi prime minister stated that the government has created a framework for the necessary legislation, established institutions focused on the advancement of this technology, and supplied the required equipment. Additionally, Iraq presented significant initiatives on digital transformation and artificial intelligence at the 34th Arab Summit, according to Al-Sudani. The PMO said earlier that Iraq's digital transformation is an essential part of the country's plan for digital business and artificial intelligence. During his meeting in November with the Secretary-General of the Digital Cooperation Organization (DCO), Deemah AlYahya, Al-Sudani emphasized that the government has included digital transformation in its economic and administrative reforms, as well as electronic payments. Al-Sudani discussed the government's ability to make a significant shift in this area as well as its readiness to work with the DCO to create projects that help Iraq and the region in the framework of digital transformation and artificial intelligence. In March, the Governor of the Central Bank of Iraq (CBI), Ali Al-Alaq, revealed that the government is developing a plan for a full-scale digital transformation. In a statement to the Iraqi News Agency (INA), Al-Alaq clarified that the government is operating in accordance with a strategy aiming to shift to a digital government. He noted that Iraqi ministries will take the lead, as actions have already been taken, initiatives have been introduced, and a data center has been established. Paper transactions at the Central Bank of Iraq (CBI) have decreased by 50 percent over the past year and are expected to be eliminated soon, according to Al-Alaq. The Iraqi official added that a digital currency is being developed by the CBI, noting that collaboration is ongoing with Arab and international organizations, as well as the Arab Monetary Fund, on this significant project. In February, Al-Alaq revealed that the CBI is planning to create a digital currency to replace paper notes in transactions with central banks.
Iraqi News
13-05-2025
- Business
- Iraqi News
Iraq's IDB introduces Arab Tourist Card
Baghdad ( – The International Development Bank (IDB) in Iraq announced on Saturday the launch of the 'Arab Tourist Card' in collaboration with the Visit Iraq platform, which would streamline financial transactions for Arab tourists visiting Iraq. The IDB said in a statement that it launched the card in collaboration with the official Visit Iraq portal to make financial transactions easier for Arab tourists in the country, the state-run news agency (INA) reported. The IDB and the national Visit Iraq platform collaborated to create the initiative to promote tourism and improve digital banking services. The initiative represents a step toward improving Iraq's tourist infrastructure by offering digital payment options tailored exclusively for Arab visitors. The step follows the Central Bank of Iraq's (CBI) announcement in December to launch several strategic initiatives aimed at enabling Iraqi financial institutions and banks to embrace modern digital solutions. During his participation in the fourth annual international scientific conference, entitled 'Digital Financial Services—Challenges of Reality and Foresight of the Future,' CBI's governor, Ali Al-Alaq, explained that the bank's strategy focuses on strengthening the banking industry's digital infrastructure and guaranteeing the delivery of cutting-edge and safe services that satisfy clients' growing demands. Additionally, Al-Alaq elaborated that the CBI launched initiatives to improve cybersecurity in the Iraqi banking sector. In March, Al-Alaq disclosed that the government is developing a plan for a full-scale digital transformation. During a meeting in November with the Secretary-General of the Digital Cooperation Organization (DCO), Deemah AlYahya, the Iraqi Prime Minister, Mohammed Shia Al-Sudani, emphasized that the government has included digital transformation in its economic and administrative reforms, as well as electronic payments. Al-Sudani discussed the government's ability to make a significant shift in this area as well as its readiness to work with the DCO to create projects that help Iraq and the region in the framework of digital transformation and artificial intelligence.
Iraqi News
08-04-2025
- Business
- Iraqi News
Digital currencies to reshape Iraq's banking sector
Baghdad ( – The governor of the Central Bank of Iraq (CBI), Ali Al-Alaq, said on Monday that digital currencies will help transform Iraq's conventional banking system. Al-Alaq clarified during the Conference on Reforming the Iraqi Banking Sector that the CBI wants to establish an advanced economy and emphasized the need for more funding for artificial intelligence research and development. Al-Alaq explained that digital currencies have the potential to transform the conventional banking system, noting that the CBI has declared its willingness to carry out a plan for banking sector reform, the Iraqi News Agency (INA) reported. In collaboration with the international consulting company Oliver Wyman, the CBI announced an extensive reform strategy designed to make the country's private banking industry a robust, innovative, and expansion-oriented system. Al-Alaq revealed in late February that the CBI is planning to create a digital currency to replace paper notes in transactions with central banks. The Iraqi official added that fundamental changes will take place in the banking and financial systems, including the limited use of paper notes, as they will be replaced by digital currencies in transactions between central banks.
