Private Sector Banks

TBI believes that revitalizing the private sector is a key means of achieving a healthy, sustainable economy. It will continue to extend its trade finance services and other project finance to private sector corporations.

An important development was the agreement with private sector banks on the procedure to be adopted in its public sector Letters of Credit (L/C) business sharing. During 2007, about 70% of public sector L/Cs received by TBI were channelled to Iraqi private sector banks.

The criteria for choosing each bank depended on its balance sheet, correspondent network and SWIFT connection – a secure messaging service to wholesale financial entities supplied by Society for Worldwide Interbank Financial Telecommunication (SWIFT) - as well as the capacity of its staff and its experience in issuing L/Cs.

TBI has extended needs-based credit facilities to part-finance the import of goods, commodities, equipment, medicines and technology by the private sector. These include projects of national importance for the reconstruction and economic development of the country in the following sectors:

  • Energy
  • Infrastructure
  • Housing
  • Hotels and Tourism
  • Manufacturing
  • Construction

Key Facts

trade bank of iraq

Unexploited opportunities in Iraq

There are some major unexploited opportunities for investors and international banks in Iraq. The public sector is still the biggest area of business, but the private sector is growing exponentially.