02/10/23

INTERNATIONAL FINANCE: Jordan and Iraq central banks sign cooperation agreement

As published on: thepaypers.com, Monday 2 October, 2023.

The central banks of Jordan and Iraq have signed a cooperation agreement to strengthen the banking and financial relations between the two countries.

The two parties discussed banking issues of mutual interest, provided updates on the roles and activities of central banks and analysed developments in global monetary policies. The signed agreement is meant to establishing mechanisms that strengthen collaboration, exchange of information, and expertise in various areas.

Besides cooperation in banking and financial supervision, the agreement touches on topics such as the supervision and regulation of electronic payment systems, modern financial technology, innovation, cyber security, anti-money laundering, counterterrorism, and the exchange of skills and training for staff from both sides.

Emphasising their willingness to establish a presence in the Iraqi market, officials from the central bank of Jordan said there are currently four branches of Jordanian banks licensed to operate in Iraq, each with a capital of USD 50 million. Two of these branches have already started operations in Iraq.

More news from the banking landscape of Jordan

In December 2022, the central bank of Jordan has issued instructions to regulate Open Finance services offered by banks and online payment companies in the country. 

The guidelines enable customers to share their financial data with third-party providers (TPPs) using API technology. Open Finance services like account information and payment initiation services allow TPPs to offer innovative and competitively priced financial products, supporting various transactions and instant payments. These regulations aim to create a modern financial services model in accordance with existing laws and instructions.

Tags

International Finance Jordan Iraq