Fri. PM KTFA Iraq/Vietnam News Articles 9-3-21




Samson » September 3rd, 2021

The Arab Monetary Fund (AMF) holds a virtual workshop on Buna’s role as a bridge with Asian markets and the prospects of cross-border instant payment

3rd September, 2021

The workshop is hosting speakers from the World Bank, Bank for International Settlements (BIS), Cross-border Interbank Payment System (CIPS), National Payments Corporation of India (NPCI) and State Bank of Pakistan

More than 200 senior officials will attend the workshop, representing central banks and a wide spectrum of regional and global financial institutions

Abu Dhabi, 2 September 2021: The Arab Monetary Fund (AMF) holds today, Thursday September 2, 2021, a workshop to explore and discuss the recent trends related to the cross-border payment industry and elaborate on Buna’s (the cross-border payment system owned by the AMF) opportunity to act as a bridge with major trade partners in Asia.

During this workshop, high level guest speakers representing, Cross-border Interbank Payment System (CIPS) which is linked to the People’s Bank of China, the National Payments Corporation of India (NPCI) supervised by the Reserve Bank of India, and the State Bank of Pakistan, will elaborate on the strategic role that Buna is capable to play as a payment gateway and a bridge to link with the Asian markets, and support the growth of commercial and investment activities with trade partners in Asia.   




Additionally, industry experts from the World Bank Group and the Bank for International Settlements (BIS), will share their views and expertise in relevance to the global initiatives and major developments that the payment industry is witnessing, especially the ongoing efforts of the different stakeholders and key players in this sector to unlock the growing potentials of cross-border instant payments.  

The workshop will host more than 200 senior officials representing central banks, along with various institutions from the financial, banking and payment sectors in the region and beyond, seeking valuable information about these important topics and following on Buna’s recent plans and developments.

At this occasion, Mehdi Manaa, Chief Executive Officer of Buna said: “Buna continues its initiatives to support the growth of trade and diverse economic activities between the Arab region and international markets. Driven by this overarching mission, Buna will continue exploring partnerships opportunities with leading payment institutions in Asia to realize strategic interoperability and offer modern and secure solutions to support multilateral remittances, investments and trading.”

Mehdi added: “Fast and efficient routes of payments, represent a key driver to the growth and expansion of money exchange between our part of the world and the Asian continent as well as the different international markets across the globe. Hence, Buna is moving forward with its plans to launch its cross-border multi-currency instant payment service and realize another successful milestone in its contribution to the development of the payment industry in the Arab region and at global level.”

Buna, is a cross-border payment system owned by the Arab Monetary Fund, aiming to enable financial institutions and central banks in the Arab region and beyond to send and receive payments in local currencies as well as key international currencies in a safe, cost- effective, risk-controlled, and transparent environment.

Buna offers participants modern payment solutions that comply with international standards, principles, and compliance requirements.

Thanks to its cross-border payment system Buna contributes to exploring and strengthening opportunities for economic and financial integration in the Arab region and supporting investment ties with the global trading partners. Buna welcomes the inclusion of all banks that meet the criteria and conditions for participation, primarily the standards and procedures of compliance aspects.  LINK




Iraq participates in the Conference of the Board of Governors of the Islamic Development Bank in Uzbekistan

3rd September, 2021

The Central Bank of Iraq, Mustafa Ghaleb Mokhif, participated in the conference of the Board of Governors of the Islamic Development Bank in Uzbekistan.

A central bank statement received by “Al-Iqtisad News” stated that “the governor of the Central Bank headed the Iraqi delegation at the conference, which discussed a number of issues related to development in Islamic countries and the challenges that faced their economies in the wake of most of them being exposed to the repercussions of the Corona pandemic.”

The statement indicated that “the conference dealt with enhancing the importance of the role of the Islamic Development Bank in assisting member states in sustainable recovery from the ongoing impact of the emerging corona pandemic, efforts to combat poverty, build resilience and create job opportunities for youth, in addition to implementing national development plans for member states, and stimulating economic growth.” green and mobilizing additional resources for development.

He added that “Makhif reviewed the government’s plans in the short and medium terms to revive the economy and achieve the goals stated in the government program and the role of the Central Bank in creating job opportunities through its various development initiatives.”  LINK

The Central Bank of Iraq: This is how the oil price differences will be disposed of

3rd September, 2021

The Central Bank of Iraq revealed the mechanisms that it will adopt to deal with oil price differences.

In statements to the Iraqi News Agency, “conscious”, today, Friday, Ihsan Al-Yasiri, Deputy Governor of the Central Bank, confirmed that “there are proposals for the use of oil price differences for projects, governorates, and others.”  But Al-Yasiri added, emphasizing that “the opinion of the government and the parliamentary and financial authority” is to use it to bridge the budget deficit, stressing that this use is “prior to expanding spending.” 




He said that “the budget surplus due to the improvement in oil prices will help reduce the fiscal deficit, and he does not believe that it will help until the end of the year to bridge the deficit because it is large.”

The Deputy Governor of the Central Bank of Iraq indicated that “changing the dollar exchange rate is a studied step from several sides, and the decision to amend was taken only after extensive studies by the Ministry of Finance (the Financial Authority) and between the Central Bank (the Monetary Authority) and in agreement with important international institutions for a fair situation of the dollar

He explained that this change made there are three prices, “the (financial policy) price is 1450 and (the central bank) sells 1460 to banks, and in turn (banks) sells to the public 1470. 

He pointed out thatthe exchange rate change is not due to a financial problem, and it was increased, and when the price is resolved, the price decreases, but the exchange rate is a financial tool that has nothing to do with the immediate problem

Al-Yasiri considered that “the exchange rate change was long overdue, and it was supposed to be adjusted from 2010, and we hope that the price will stabilize, take sustainability and restore economic activity in light of the current price  LINK


World Bank, IFC and Australia partner to strengthen Vietnam capital market

1st September, 2021

The IFC and the World Bank, in partnership with the Australian government, are implementing a multi-year advisory programme to facilitate Việt Nam’s stock market development, the IFC announced on Tuesday.

The programme is expected to improve Việt Nam’s regulatory framework, market infrastructure, capacity of regulators and new product development.




The aim of the strategy is to build the capital market into an important medium and long-term capital conduit for the economy, unlocking the market’s potential to effectively serve economic growth and opening up reasonable and well-balanced sources of capital to the economy and enterprises,” said Vũ Chí Dũng, director general of the International Cooperation Department, State Securities Commission.

“The plan is developed to be in line with international best practices and standards, ensuring investor protection and market confidence,” he said.

“Deep, efficient, and well-regulated local capital markets create access to long-term, local-currency finance necessary for the development of a thriving private sector, the key driver of jobs and sustainable growth,” said Lâm Bảo Quang, IFC Acting Country Manager for Việt Nam, Cambodia, and Lao PDR.

“Accelerated reforms are urgent and more critical than ever to enable a broad and diversified investor base for Việt Nam’s capital market as public resources become scarce and the country will need large volumes of long-term, local currency financing to recover and continue investing in sustainable growth given the impact of COVID-19.”

A conference has jointly been held by the World Bank Group (WBG) and the State Securities Commission (SSC), discussing the Draft Securities Market Development Strategy 2021-2030 prepared by the SSC and a multi-phased roadmap proposed by the WBG for equity capital market development with a focus on improving investor accessibility.

The proposed roadmap addressed key constraints to foreign investor accessibility by including new mechanisms to ease the pre-funding requirement for securities trades, solutions to address limitation of foreign ownership of stocks, and improvements in disclosures in English.

Regulators from the Ministry of Finance, the State Bank of Việt Nam, the Ministry of Planning and Investment, the National Finance Supervisory Commission, development partners including Australia and Switzerland, and market stakeholders also discussed the regulatory implementation progress and proposed cross-work among multiple ministries and government agencies to facilitate market development.

This programme is part of the Joint Capital Market Development Program (J-CAP) – a WBG initiative working on local debt and equity capital market development in selected countries worldwide, including Việt Nam.

The J-CAP initiative was established in 2017 to help developing countries realise the benefits of strong local capital markets.

“Mature, well-regulated capital markets that meet international standards are critical for diversifying financing options and will be pivotal for Việt Nam’s next development phase. More sophisticated capital markets will be a crucial source of domestic financing and also support higher levels of higher quality foreign investment,” said Mark Tattersall, deputy head of Mission of the Australia Embassy in Việt Nam.




“Following Australian Prime Minister Morrison’s announcement in January 2021 of A$2.2 million to support Việt Nam’s capital market development, Australia is pleased to announce our partnership with the World Bank Group and SCC through the J-CAP programme to support equity market development and reform.”

Support from the Australian government that enables J-CAP’s work on equity market development in Việt Nam comes alongside support from the government of Switzerland which enables closely related work on bond market development.

JCAP’s wider work elsewhere is also supported by the governments of Australia, Germany, Japan, Luxembourg, Norway, the Netherlands as well as Switzerland.

IFC – a member of the World Bank Group – is a global development institution focused on the private sector in emerging markets. In fiscal year 2021, IFC committed a record US$31.5 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of the COVID-19 pandemic.

The World Bank Group plays a key role in the global effort to end extreme poverty and boost shared prosperity. It consists of five institutions: the World Bank, including the International Bank for Reconstruction and Development and the International Development Association; the International Finance Corporation; the Multilateral Investment Guarantee Agency; and the International Centre for Settlement of Investment Disputes.

Working together in more than 100 countries, these institutions provide financing, advice and other solutions that enable countries to address the most urgent challenges of development.

Australia and Việt Nam’s strategic partnership extends across political, security, economic and people-to-people activities.  Australia is committed to a development agenda in Việt Nam, including to support health security, stability and economic recovery from the COVID-19 pandemic.  In 2021-22 Australia commits an estimated A$78.9 million in total overseas development assistance in Việt Nam.  LINK

Calls for cashless payments to take-off in Viet Nam

28th August, 2021

The prolonged COVID-19 pandemic has unexpectedly created “golden” conditions for the financial industry to accelerate digital transformation and shift to cashless payments.




However, mobile payments need to be implemented soon to reduce the disparity between urban and rural areas. They can also be an effective payment channel in supporting people in remote and isolated areas.

Nguyễn Thu Hiền in Hà Nội’s Hoàng Mai District has become familiar with online shopping, payment and home delivery since the start of the pandemic. She receives her goods after being disinfected at a reception desk in her building, while having no face-to-face contact with delivery men.

Hiền told Việt Nam News that online shopping helped her save time and reduced the risk of infection compared to cash payment. In addition, online payments are convenient when paying large amounts. “In the context of COVID-19, I get a lot of promotion codes from sellers in cooperation with payment units such as charge-free payments, cashback and price reduction. This helps me save a considerable amount when shopping online,” she said.

In addition to online shopping, people can also pay for their electricity, water, telecoms and even hospital fees through banking accounts or e-wallets. Cấn Văn Lực, a banking and finance expert, said since the outbreak of COVID-19 in early 2020, the number and value of transactions through non-cash payment methods have increased sharply compared to the previous period.

In the first half of 2021, non-cash payments increased by 30-40 per cent in transactions and by 70-80 per cent in value. Despite the sharp increase, it was undeniable that cash payments were still popular in Việt Nam because consumption habits as well as payment coverage had not reached rural and remote areas, Lực said.

Citing data from FIS Global Payment, he said that in Việt Nam, cash payment methods in e-commerce still accounted for the highest rate at 28 per cent, followed by money transfers at 26 per cent, e-wallets 21 per cent and credit cards 14 per cent. Meanwhile, worldwide, payments via e-wallet accounted for the largest proportion at 44.5 per cent, followed by credit cards with 22.8 per cent. The use of cash as a popular payment method in Việt Nam was considered both a challenge and an opportunity for involved parties, he said.

According to Nguyễn Minh Tâm, deputy general director of Sacombank, there is still plenty of room for cashless payment. The number of payment accounts in Việt Nam is currently over 100 million. However, people often open a bank account just to withdraw cash via the ATM. Small business households and traders as well as customers still mainly pay in cash.

The Government in March approved pilot application for Mobile Money, which allows the use of mobile-phone credit to pay for small-value goods and services. The pilot application for mobile money services aims to contribute to the development of non-cash payments, improving the access and use of financial services, especially in rural, remote, border and island areas.

Viettel, VNPT and MobiFone are the three telecom operators that submitted applications for a pilot licence to deploy Mobile Money. However, more than five months since issuing the decision, Mobile Money has not been implemented, largely due to the prolonged impact of COVID-19.

At a forum on developing non-cash payments recently held by the International Data Group, Phạm Minh Tú, deputy director of MobiFone Digital Service Centre, said that MobiFone was still in the process of completing procedures and applying for a licence to launch the product.




Mobile Money targets unbanked customers. Based on the advantage of widespread networks in remote areas, telecom providers could fill the gaps that banks have not yet penetrated. Tú said there was still much room for the development of cashless payment in Việt Nam, but it would be rocky. Cashless transactions are currently concentrated mainly in urban areas. Meanwhile in rural areas, which account for about 60 per cent of the population, non-cash payment has not been popular, leaving room for development.

According to Tú, if Mobile Money is exploited, it would make a change and upgrade society, reducing the gap between urban and rural areas. People in rural areas could sell their products through payment tools and e-commerce. However, experts have also said the development of Mobile Money or non-cash payment methods in Việt Nam still faces many challenges. The most important thing now is to change people’s consumption habits through financial education programmes as a pillar in implementing a comprehensive financial development strategy.

On the other hand, the Government also needs to complete the legal corridor for the digital economy and government, including digital finance. In addition, it is necessary to continue to upgrade the information technology system and digital infrastructure in remote areas, raise awareness and increase consumer confidence.

The Government also needs to develop an open banking system with stronger cooperation among commercial banks, Fintech and payment intermediaries.   LINK

Source: Dinar Recaps


If you wish to contact the author of any reader submitted guest post, you can give us an email at and we’ll forward your request to the author.

All articles, videos, and images posted on Dinar Chronicles were submitted by readers and/or handpicked by the site itself for informational and/or entertainment purposes.

Dinar Chronicles is not a registered investment adviser, broker dealer, banker or currency dealer and as such, no information on the website should be construed as investment advice. We do not support, represent or guarantee the completeness, truthfulness, accuracy, or reliability of any content or communications posted on this site. Information posted on this site may or may not be fictitious. We do not intend to and are not providing financial, legal, tax, political or any other advice to readers of this website.

Copyright © 2022 Dinar Chronicles






Please enter your comment!
Please enter your name here