A government source revealed Saturday, that the Central Bank of Iraq-CBI agreed with the American side to enhance the advance balance of five Iraqi banks in dollars.
The source told the Iraqi News Agency (INA), “Intensive meetings took place in Abu Dhabi in the past few days between a delegation from CBI and the American side responsible for foreign transfer operations to cover imports, and the negotiations resulted in a number of decisions and mechanisms that contribute in facilitating procedures for external transfers related to imports through the foreign currency sales window.”
He added that "It has been agreed to boost the advance balance of five Iraqi banks in their dollar accounts with Jordanian banks and remittances through (JPMorgan)", noting that "problems with rejected remittances have been resolved, and it has been agreed that the refusal of remittances is based on strong reasons".
He continued: “There were also other meetings that brought together one of the Emirati banks, the Central Bank of Iraq, and the American side, to implement the mechanism for enhancing balances in the Emirati dirham for Iraqi banks (UAE Dirham pilot),” indicating that “Things are going well in this regard, as all technical details related to the issue have been resolved, and it is expected that the mechanism for enhancing balances in the UAE dirham will begin within the next few days.”
He stressed that "serious negotiations are in the final stages to boost the balances of some Iraqi banks in euros with UBAF Bank to finance trade with the European Union", noting "an increase in the number of banks whose balances in Chinese yuan are enhanced through the Singapore Development Bank".
He added: "Accounts have been opened for 6 Iraqi banks in this bank. During the coming period, 7 other banks will be added to finance Iraq's trade and revenue from China, which is estimated at $ 12 billion per year."
The source concluded: "Bank accounts in Indian rupees have also been opened for a number of Iraqi banks in the same correspondent Singapore Development Bank (New Delhi branch), and the balance has already been enhanced for two Iraqi banks as a first stage. This mechanism is expected to contribute to financing Iraq's imports from India, especially medicines and foodstuffs, estimated at $3 billion."