Specialist confirms the necessity to amend Article 28 of the Banking Act

12/19/2013 0:00

He said that banking reform lever economy
BAGHDAD - Shkran Fatlawi

Counting an economist d . Akram Mohammed Hassan banking and financial sector one of the main factors of the shift from a centralized economy to a market economy , demanding the lifting of movement restrictions , pointing to the experiences of Eastern European countries in this field .

Said Hassan »Sabah » that the economic reform process starting from the banking reform as a lever basic followed by the economy , pointing out that Article 28 of the Banking Act restricted banks from exercising activities that are at the heart of its work and investment-related , as well as prevent them from undertaking any activity that is not mentioned in Article 27 , but after taking the approval of the Central Bank.

He noted that the increase in commercial banks for their capital to 250 billion dinars, not enough to make economic reform unless it is handled paragraph 27 which reads » attending the banks exercise any activity not mentioned in this article « What made banks restricted in the exercise of a particular aspect of the banking business and not to exercise the second side .

It is said that the Economic Commission stressed the importance to make amendments to the Banking Act , especially Article 28 in accordance with the policy of a free market economy to support the Iraqi private sector .

Pointing out that the support of the private sector and the advancement of the process require investment to make amendments to some important laws that have been previously legislation in the House of Representatives , including the law ( banks , corporations , investment and tax) , format compatible with the policy of a free economy .

As well as the private sector must take a leading role in Iraq to promote the growth of the Iraqi economy , noting that the Constitution allowed for in Article ( 25) to give the important role of the private sector in the promotion of the country's economy , saying that Article 28 of the Banking Act do not help to support the sector and private investment in the country , it needs to be modified to boost investment in Iraq . was the Iraqi Central Bank may hold a workshop on amendments to some laws that deal with banks , a central bank law and banking law and the law of money laundering lasted for five days and waiting for recommendations on the required modifications , which may address Article 28 and 27 of the Banking Act .

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