International Finance Corporation (IFC) Signs Memorandum of Understanding with Iraqi Bank

Editorial date: 2019/5/21 12:36

The International Finance Corporation (IFC), a member of the World Bank Group, has signed a memorandum of understanding with the International Development Bank (IDB), one of Iraq’s leading private banks, to start cooperation and expand financial services to the private sector and boost the country’s economy.

The agreement helps the International Development Bank for investment and finance to strengthen its position locally and support private and public sector companies.

In view of the limited access of Iraqi companies to financing, the cooperation between IFC and the International Development Bank is aimed at facilitating access by the Bank’s customers to financial services such as loans, trade finance and other forms of financing, which ultimately helps them to create jobs and contribute effectively to the process. Economic and social development.

The agreement aims to expand financial services and contribute to the revitalization of trade finance and to participate in the reconstruction process effectively. This step is a confirmation of the achievements of the International Development Bank and the Bank has adopted comprehensive strategies and implementation of the principles of sound corporate governance and continuous investment in IT systems and infrastructure to reflect The true picture of the Iraqi banking sector and its ability to provide comprehensive banking services.

Said that this agreement translates and confirms the achievements of the International Development Bank from the maturity of banking and implementation to the pioneering practices in corporate governance as well as having a large infrastructure in the banking technology systems and maintaining a strong and strong financial position that contributed to the signing of this agreement with the International Finance Corporation (IFC), which has always chosen the leading partners in all the developing countries in which it works to encourage sustainable projects in these countries which are characterized by economic benefit and financial and commercial safety in addition to its social sustainability and from this point of view and awareness of our bank and faith With the same principles and vision of the International Finance Corporation (IFC), there was a point of convergence and intersection to build a strategic partnership between the International Development Bank. This partnership aims to develop the initiative in investment projects in the private and public sectors and contribute to the economic development in Iraq in addition to sustainable development and improvement. Living conditions. He also praised the importance of this agreement in the implementation of the decision of the General Secretariat of the Council of Ministers and circulars of the Central Bank of Iraq, which aims to liberalize the banking sector and support in the implementation of commercial financing operations of public sector institutions without the mediation of government banks.

This effort is part of IFC’s strategy to support Iraq’s private sector and help diversify its economy and reduce its dependence on the oil sector and state-owned enterprises.

“Iraq is a priority for the IFC and we will remain committed to supporting its economic growth,” said Dalia Wehbe, Director of the International Finance Corporation for the Middle East and North Africa (MENA) region. “The choice of DFID as our partner under the signed Memorandum of Understanding comes after emerging DFID has recently been among eligible banks that have the infrastructure that is in line with the principles and requirements of IFC. We hope to provide various products and services to the Development Bank and help it meet the needs of the public and private sectors in commercial finance operations. ”

IFC’s portfolio has grown significantly over the past five years and now stands at over $ 1.5 billion.

The International Development Bank for Investment and Finance (IDB) was established in 2011 with a branch network of 15 branches in Iraq as well as representative offices in the UAE and Lebanon. Today, the bank is one of the leading banks in Iraq in the field of providing corporate and individual banking services. He represents the Ziad Khalaf family, one of its main sponsors. Since 2018, the shareholder base has expanded and currently includes more than 100 ordinary shareholders.

IFC, the sister institution of the World Bank and a member of the World Bank Group, is the world’s largest private sector development firm focusing on emerging markets. IFC collaborates with more than 2,000 companies worldwide and uses its capital, expertise and influence to create markets and create opportunities in the most challenging regions around the world. In fiscal year 2018, it was able to provide more than $ 23 billion in long-term financing in developing countries, drawing on the strength of the private sector to reduce extreme poverty and promote common prosperity.

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