Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 08BAGHDAD2107, BANKING IN FALLUJAH

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #08BAGHDAD2107.
Reference ID Created Released Classification Origin
08BAGHDAD2107 2008-07-07 14:55 2011-08-24 16:30 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Baghdad
VZCZCXRO1110
RR RUEHBC RUEHDA RUEHDE RUEHIHL RUEHKUK
DE RUEHGB #2107/01 1891455
ZNR UUUUU ZZH
R 071455Z JUL 08
FM AMEMBASSY BAGHDAD
TO RUEHC/SECSTATE WASHDC 8185
INFO RUCNRAQ/IRAQ COLLECTIVE
RUEATRS/DEPT OF TREASURY WASHDC
UNCLAS SECTION 01 OF 02 BAGHDAD 002107 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EFIN ECON IZ
SUBJECT: BANKING IN FALLUJAH 
 
This report is sensitive but unclassified (SBU) and not for 
dissemination outside of official channels or via the 
internet. 
 
1. (U) This is a joint EPRT Fallujah/Embassy Baghdad 
reporting cable. 
 
2. (SBU) Summary: As life in Fallujah has returned to a 
semblance of normalcy, its banking sector -- both private and 
public -- has rapidly developed to meet a growing economy's 
demand for financial services.  Three state-owned banks, 
Rafidain, Rasheed, and the Agricultural Bank, and the two 
privately-owned Bank of Baghdad and Al Warkaa Bank are open 
for business.  The Al Warkaa Bank has undergone rapid growth 
in Fallujah since opening its first branch there in October 
2007; it plans to have a total of six branches open in the 
Fallujah District by the end of 2008.  Since its USD 800,000 
recapitalization in June 2008, the Agricultural Bank has 
recommenced offering low-interest loans to farmers and local 
businessmen.  Greater access to credit and financial services 
are enhancing Fallujah's economic development.  End summary. 
 
----------------- 
Banks in Fallujah 
----------------- 
 
3. (SBU) Six banks have offices in the Fallujah District. 
Two are private - Al Warkaa and Bank of Baghdad.  Three are 
wholly owned by the Government of Iraq: Rafidain, Rasheed and 
the Agricultural Bank.  The sixth bank, which exists in name 
only in an abandoned office, is the quasi state-owned Iraqi 
Islamic Bank.  (Note: Prior to regime change, the Iraqi 
Islamic Bank was 50 percent owned by the Baath party; this 
ownership has shifted to the Ministry of Finance.  End note.) 
 
 
--------------------------------------------- --------- 
Ag Bank: Almost Free Money for Farmers (And Officials) 
--------------------------------------------- --------- 
 
4. (U) The Agricultural Bank opened its first Fallujah branch 
in 2001.  It temporarily closed after 2003 and reopened its 
doors in September 2007.  According to its management, the 
Agricultural Bank plans to open offices in Karmah, 
Amiriyah-Ferris and Saqlawiyah. 
 
5. (SBU) The Agricultural Bank's stated goal is to act as a 
policy bank subsidizing the agricultural sector.  To this 
end, the Fallujah branch has cut its interest rates from 14 
percent to two percent on many of its financial products 
intended to assist the agricultural economy.  The two percent 
annual charge serves as an administration fee.  (Note: With 
inflation running at 15.8 percent in April 2008, the 
Agricultural Bank's terms represent essentially free money. 
End note.)  Farmers are arriving at the bank before it opens 
for financial assistance, according to bank management.  The 
money to finance these loans arrived at the bank 
approximately 30 days ago and they have received many 
applications loans.  However, the Agriculture Bank has yet to 
issue any of these loans, though they expect to begin this 
process in the near future. 
 
6. (SBU) In June, the bank received a capital infusion of IQD 
1 billion (USD 800,000) from the Ministry of Finance.  Prior 
to this recapitalization, it had lent IQD 225 million (USD 
188,000) to roughly 135 farmers and 15 businessmen and IQD 50 
million (USD 42,000) to approximately 50 government 
employees.  During the four years of conflict from 2003 to 
2007, delinquency rates peaked at 40 percent in early 2007 
for farmers/businessmen.  Over the past couple of months, 
late payments have declined to an estimated 25 percent based 
on discussions in June 2008 with Agricultural Bank senior 
management.  Government employees continue to pay off loans 
in a timely manner. 
 
7. (SBU) A committee of three people reviews loan 
applications for agricultural or business projects, and 
conducts a site visit if required.  The committee usually 
includes a member from the Agricultural Bank, the Ministry of 
Agriculture and a surveyor.  The branch manager has approval 
authority up to IQD 3 million (USD 2,400).  Bank financing is 
collateralized with real estate and the bank will lend up to 
80 percent of the project's value.  Bank officials say that 
60 percent of its loans, by value, support the summer and 
winter planting seasons. 
 
- Winter and summer crops are financed at two percent per 
annum for amounts up to IQD 3 million (USD 2,500) for a 
period of six to twelve months. 
 
- Livestock and poultry, including supporting-infrastructure, 
 
BAGHDAD 00002107  002 OF 002 
 
 
are financed at two percent per annum for a period up to four 
years. 
 
- Fruit orchards, including supporting-infrastructure, are 
financed at two percent per annum for a period up to five 
years. 
 
- Fish farms, and supporting-infrastructure, are financed at 
two percent per annum for up to two years. 
 
8. (SBU) The Agriculture Bank also offers 2 percent loans up 
to USD 17,000 for 25 calves; up to USD 47,000 for 500 sheep; 
up to USD 12,500 for chicken farms; up to USD 8,400 for 
refrigerated green houses; and up to USD 4,200 on other green 
houses. 
 
------------------------------------------ 
Fallujah's Al Warkaa Bank: Making Its Move 
------------------------------------------ 
 
9. (SBU) Prior to October 2007, there were no Al Warkaa 
branches in Fallujah District.  It now has a total of five 
branches there; four out five of these branches have opened 
since the beginning of May 2008.  There are two branches in 
Fallujah city and one branch each in Karmah, Amiriyah-Ferris 
and Saqlawiyah.  A third branch in Fallujah is scheduled to 
open in the next couple of months.  (EPRT Note: Al Warkaa's 
branches compare extremely favorably to the USD 300,000 
expenditure made by the USG, in the immediate post-kinetic 
phase, to refurbish a similar building to house the 
state-owned Rasheed Bank.  End note.) 
 
10. (SBU) The EPRT has worked closely with Al Warkaa in 
opening these branches, providing advice and facilitation on 
non-financial matters.  Al Warkaa has been responsive to the 
EPRT's request to open branches in the small towns around 
Fallujah as well as expanding its presence in Fallujah city. 
According to Branch Manager Mohammed Faz'a Farhan, Al Warkaa 
Bank opened branches in the small towns of Karmah, 
Amiriyah-Ferris and Saqlawiyah "due to the security ring zone 
around Fallujah which has limited economic activities in the 
city." 
 
11. (SBU) According to bank officials, a substantial portion 
of Al Warkaa's revenue stream is driven by electronic funds 
transfer (EFT) through letters of guarantee (domestic) and 
credit (foreign).   This activity is historically the most 
important bank activity in Iraq since it supports the 
efficient allocation of capital to support commerce 
throughout the country, they said. 
 
---------------- 
Embassy Comment: 
---------------- 
 
12. (SBU) Cheap credit from government banks and new 
financial services from private banks will help resuscitate 
Anbar's economy.  This good news will become better news when 
conditions allow the private banks to expand beyond 
transaction services and mobilize resources for investment. 
The GOI appears to be moving forward on providing finance to 
jump-start Anbar's post-kinetic economy.  Now the GOI needs 
to push the structural reforms that let the private sector 
take the lead. 
 
 
CROCKER