THE ROLE OF BANKS IN FINANCING ECONOMIC DEVELOPMENT PROJECTS IN IRAQ

Abstract

The purpose of the study is to determine the propensity of Iraqi banks to finance economic development projects, examine the structure of the Iraqi banking system, and identify some development-related indicators. The main findings include the following: Iraq's banking system forms a highly concentrated network, with the top ten banks having 486 branches, accounting for 53.8% of all bank branches in the country, and the IM model is consistent with independent variables, including independent variables (total bank deposits, bank capital and bank credit) and the dependent variable (gross domestic product at current prices). Key recommendations include: Banking services related to loans must be referred to a specialized advisory office to determine the validity of these loans and the extent of their contribution to increasing the country's growth rate and economic development.