Trade Bank of Iraq (TBI; ) was established on the 17th of July 2003 to facilitate Iraq's domestic and international trade dealings once the United Nations Oil-for-Food Programme ended in 2003.
History
TBI was established by the Coalition Provisional Authority on the 17th of July 2003 as an independent government entity to provide financial services to facilitate import and export of goods and services to and from Iraq. TBI was licensed by the Central Bank of Iraq and commenced its operations one month after the decision to establish it as a government financial institution had been taken. Since then, TBI has grown into a leading bank in Iraq through strengthening its financial position, assets, and equity. TBI started with paid-up capital of US$5 million (authorised capital: USD 100 million) in July 2003 and the paid-up capital increased on 2020 to $3 billion from $2.3 billion in 2019 as part of its plan to raise the bank's financial strength in line with the new strategic vision for 2020–23. TBI recorded an annual profit of US$454 million during 2016. The bank quickly developed into an organization with an asset base of US$19.7 billion as at the close of 2016.[1]
In its first year of operation TBI was associated with a consortium of international banks led by JPMorgan Chase. During the startup period, the consortium offered TBI technical support and banking know-how and it has been issuing and confirming letters of credit and letters of guarantee on behalf of TBI. The consortium remains at the heart of TBI's correspondent network and has been a key element in the successful growth of TBI's trade business.
In a short period, TBI built relationships with an international network of 134 correspondent banks covering 63 cities spread over 39 countries.