The role of the banking sector in the current stage

2/23/2015 0:00

Mohammed Sharif Abu Mayssam
In light caused by the drop in oil prices fiscal deficit, and the urgent need to fund the war machine on the forces of darkness that want the country and the people evil .. ideas and exceptional measures are in order to overcome the fiscal deficit crisis and we are in the framework of the implementation of the government program needs in many joints cash liquidity in order to install and prove good intentions and activities of government in the paper of political reform promised by and worked for them ..

Accordingly, the national financial institutions, particularly the banking sector before the big test Faced with this challenge, not because it is based on the approach to recycling capital deposited in their vaults toward other sectors to support the sustainability of financial institutions economic development and is in the process of achieving the profit margin.

But because it is national institutions within the entity threatened economic downturn state due to tight liquidity and attrition resulting from the financing effort Aharba..ma makes national duty ahead of professional duty and both are reflected in the performance based on the currency bloc authorized guide for use in credit activity directed right to the financing of small and medium enterprises, which in turn will create economic activity to achieve the concept of development in the simplest form.


Rapid Profit


This easy is really function key found for which banks are required to commit to perform this function at the current stage, but the reality of the situation which reveals the features of bureaucracy and red tape and non Ibalah and derivatives in government banks and features running behind a quick profit in the performance of private banks which mostly remained Mashashh the previous monetary policy mechanisms (Night investment and auction dollar) in spite of lower interest rates and determine the dollar selling in the daily auction mechanisms ..

This is actually intended for him to change to a new reality which takes banks (public and private) took the initiative to finance important aspect of domestic demand for the currency bloc and contribute to rotate the wheel of the economy by raising credit ratios compared with deposits ratios and proportions of the legal reserve of their deposits at the central bank coffers .. and live up to the role adopted by the Central on the support liquidity of commercial banks and specialized banks in the amount of five trillion dinars to enable from providing loans to the real sectors in support of economic activity and job creation, which came in tune with what stipulated in the general budget in (Article 44, which called for the development of the central bank needed to support government and private banks to improve their performance and enhance their liquidity) plans.

This text is a requirement for the inevitable to bind the central administration is responsible for supporting the national economy and protect it from the downturn in the light of circumstances in the country (although incompatible with the law on the central bank independence) in addition to funding the general budget of about six trillion dinars ..

This means that necessity knows no law at the time meant the (only) from the banking sector to strive hard in order to move the performance of the national economy and overcome recidivism and reclining on monetary policy in profits collection stage.


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