The Central Bank of Iraq reached an agreement with Turkish banks to create accounts for Iraqi banks for the purpose of external transfers and increasing balances to finance overseas commerce in the euro currency.
Sources added, today, Thursday, that the agreement came during a meeting with the Governor of the Central Bank of Iraq, Ali Mohsen Al-Alaq, with the Turkish Ambassador, the Chairman of the Turkish Business Council, and the managers of Turkish bank branches in Iraq, according to the Iraqi News Agency, “INA.”
Other options, she continued, have been created and will be reviewed in Istanbul at the end of this month with the Central Bank of Iraq and officials from Iraqi banks.
According to reports, the agreement was reached to ease the process of trade exchange between Iraq and Turkey, especially given the volume of commerce between the two countries, as well as to extend the external transfer outlets for importers in the euro currency.
She stated that the Central Bank of Iraq has taken a variety of initiatives to help reduce the dollar exchange rate.
This agreement fits into the Central Bank of Iraq’s work strategy and the implementation of its plan to transition from the electronic platform for external transfer to transfer via correspondent banks to Iraqi banks, as well as to create multiple channels for external transfer, eventually leading to the transfer of all local banks to external transfer via correspondent banks.