Held in Baghdad on May 6th and 7th, in the presence of several officials:

The Union of Arab Banks conference discusses the present and future state of investments in the region.

Dr. Zead Khalaf calls for strengthening cooperation to establish the foundations for sustainable growth in the Arab region.

Iraqi Prime Minister, Mr. Mohammed Shia’ Al Sudani, met with a delegation from the Union of Arab Banks, led by Dr. Zead Khalaf, a member of the Union’s Council and Chairman of the International Development Bank. Discussions revolved around the role of the Union of Arab Banks, the possibility of exchanging expertise, supporting Arab banks, and the importance of hosting the conference in Iraq. This underscores Iraq’s return to its rightful stature in the Arab and global arena.

The meeting occurred on the sidelines of the conference “The Challenges Facing Arab Banks in Complying with International Laws and Legislations and Meeting the Requirements of Correspondent Banks,” held under the patronage of His Excellency the Governor of the Central Bank of Iraq, Dr. Ali Mohsen Ismail Al-Alaq. The conference took place on May 6th and 7th at the Babylon Rotana Hotel in the Iraqi capital, Baghdad, and was attended by several senior Arab banking and economic officials, along with representatives from the Union of Arab Banks as well as various other banks.

The Future Bet:

At the outset of his speech, Dr. Zead Khalaf, a member of the Union of Arab Banks’ Council, expressed his gratitude and appreciation to the attendees. He said, “We welcome you to Iraq, the fertile land, where betting on the future is a winning bet, as the opportunities for success have no limit.” He emphasized, “Compliance with international laws and regulations is not just a legal necessity or obligation but an investment in trust and economic development—an investment that reflects our commitment to transparency, integrity, and responsibility to ensure the protection of financial interests. In short, it is the foundation of success and sustainability in banking operations.” He added, “At the end of the first quarter of 2024, our region and the world at large are still walking a tightrope between two points: security and development. These two points cannot stand independently, as security is a fundamental prerequisite for achieving prosperity, and prosperity is a manifestation of development, which contributes to enhancing security.”

He also wondered, “Where does Iraq stand today? This question, one of the primary focuses of the conference, delves into the economic reality of Iraq within the Arab context. Answering it is crucial if the Arab region is to achieve integration. Here, we assert that the economic resurgence in the region should compel economists to recognize the historical resurgence in Iraq, the fourth-largest economy in the Middle East and North Africa. This represents a moment of genuine growth and prosperity that will unite us.”

He observed, “It is regrettable that our region is one of the least integrated areas globally, with intra-regional trade accounting for only 18% of total trade and exports. Size is important, and the larger the market, the more appealing it becomes to investors worldwide.”

He emphasized that “Iraq is addressing this integration question today, alongside its partners and allies, through the strategic Development Road Project. This initiative is more than just a 1200-kilometer railway; it is a foundation for a sustainable non-oil investment and a conduit that benefits Iraq’s neighbors and the region by fostering strong economic integration among participating countries. This bolsters their capacity to tackle economic challenges. With a robust economy, we gain everything else. Undoubtedly, the backbone of this economy is an active banking sector upon which all other sectors rely.”

Economic Development:

Dr. Zead Khalaf clarified: “The Iraqi government is actively backing the nation’s shift from dependence on oil revenues to cultivating a diversified economy. To embark on this trajectory, it is imperative to recognize that the vigor of development stems from robust banking systems; banking serves as the lifeline for advancing these pillars. It constitutes the bedrock of economic growth, and the trust in the banking sector is indispensable. It is crucial to underscore that a vibrant and efficient banking sector requires the expansion of electronic payment services, ensuring the availability of credit facilities and loans, and refining mechanisms, including regulatory frameworks and supervision, while enhancing their adaptability. Embracing digital solutions is paramount to surmounting obstacles, fortifying information security, combating fraud, and ensuring adherence to financial and banking regulations.”

In conclusion, Dr. Zead Khalaf Abdul called for strengthening cooperation to build strong foundations for sustainable growth in the Arab region.

Over the course of two days, the conference discussed various banking matters and challenges amidst global economic shifts, including surging inflation and the interplay between financial and monetary stability. Additionally, regional concerns were addressed with the aim of nurturing tomorrow’s economy.