Baghdad: The Prime Minister affirmed the government’s support for all reform initiatives that would strengthen the structure of the financial system in Iraq in line with international best practices.

According to National Iraqi News Agency, Iraqi government spokesman Bassem Al-Awadi stated that Prime Minister Mohammed Shia Al-Sudani reviewed the latest developments related to the banking reform paper, particularly those concerning private banks. The Prime Minister expressed appreciation for the efforts by the Central Bank of Iraq in preparing the banking reform document aimed at enhancing financial stability, achieving transparency, and improving the efficiency of the banking sector.

The Prime Minister paid attention to the challenges facing local banks in implementing some provisions of the reform document, including those related to capital increase requirements, the adoption of strategic partners, and the costs associated with contracting foreign companies. He emphasized the importance of a consultative
approach between the Central Bank and Iraqi banks, proposing the formation of joint technical committees to review reform requirements.

The Prime Minister reiterated his commitment to implementing the comprehensive banking reform process through an open dialogue between the Central Bank of Iraq and Iraqi banks to clarify technical aspects and discuss possible implementation mechanisms. He stressed the need to tailor international standards to the Iraqi context and reassured the banking community that the goal of reform is empowerment rather than exclusion, with ongoing discussions to serve the public interest and the Iraqi economy.