Parliament may summon bank heads
Iraqi banks accused of ignoring central bank directive on dollar disbursement
BAGHDAD — A member of Iraq’s parliamentary integrity committee is accusing several local banks of ignoring a central bank directive to disburse international remittances to customers in U.S. dollars, warning of consequences for banks that continue to violate the new rules.
Committee member Abdul Amir Al-Mayahi said in a statement to Al-Sabah newspaper that the central bank issued the directive on December 31, 2023, with follow-up confirmations in January, but some banks are still converting remittances to Iraqi dinars at the state-set rate of 1,320 dinars per dollar.
Al-Mayahi said the committee is considering summoning Central Bank Governor Ali Al-Alaq and directors of licensed banks for discussions on the alleged violations. He also referenced a 2023 Cabinet decision promoting transactions in dinars, but emphasized that this policy does not apply to foreign remittance conversions.
The committee warned of “immediate decisions” to address the alleged breaches, aiming to protect customer rights and ensure compliance with Central Bank instructions.
