Analysis of the Reality and Possible Integration of Private Banks in Iraq

Abstract

Globalization has affected all sectors of the economy, including the banking sector, which has been affected by financial globalization through its tools of financial liberalization, i.e. deregulation of laws and legislation that are facing the expansion of banking activities. The banking sector witnessed many developments, Bank privatization, banking maturity. As for the banking sector in Iraq adopted the role of banking reform after 2003 there was an expansion in the number of private banks, but this was caused by a number of problems, including lack of ownership of the banking sector of technical and technical capabilities and infrastructure because of the absence of strategic plans require reconsideration of the legislative environment, In spite of this, the Central Bank prepared an analytical study in 2015 to review the reality of private banks and to take decisions to merge banks that suffer from problems except small or weak banking activity in them with large banks .During our research, which touched on the concept of merger and the types and mechanisms used to reach. The reasons and results of the merger process, so the practical side was to analyze the synergies and cost analysis of the merger, which is owned by cash or stocks, and determines the merger options for the private banks.