RT: And that’s the thing actually because the Baiji refinery was supplying northern Iraq, effectively, with most of its refined fuel products and of course that’s now out of action. I guess there’s maybe one or two refineries in the Kurdish region. I know they're planning to build a few more, like Iraq as a whole but I guess until that happens they’re dependent largely on imported refined products.
Yes they are. I mean, things have stabilised now in Kurdistan, fuel-wise, obviously prices have gone up from 500 dinars per litre and now it’s 1,250 IQ per litre. But the long queues have stopped and there is talk about returning the old prices which I’m against - subsidies are a burden on the budget.
RT: Just going back to security, a number of the oil companies have pulled out the foreign staff, they’ve temporarily stopped operations, PETROCELTIC are a company in the KRG that pulled out non-essential staff in the last couple of days. Do you think that this is a kind of foreign perspective that’s not really following the security situation? It seems a little bit over cautious from my perspective. What do you think?
Well I think the thinking behind it is that it is better to be safe than sorry. I think most of those executives made those decisions for security reasons. I believe that now the USA has entered the fray, they will feel more confident that Erbil will not be falling.
RT: Are you doing anything in particular to support the development of the banking sector there, or are you a fairly independent entity?
We’re a fairly independent company. We obviously work closely with some banks in order to do the transactions. But unfortunately the banking sector is in massive need of modernisation, our regulations need to be improved and enforced. I don’t know where to begin.
RT: Did you work with foreign companies or was it really all Kurdish and Iraqi?
I’m working with an American company, but we have a lot of Kurdish and Iraqi Arab clients. In fact, every single one is Iraqi.
RT: And are you dealing with that culture shock within the Middle East, with Middle Eastern businessmen coming to the Kurdish region? Because one might expect a Western company/ investors going to the Kurdish region and being shocked that it is largely a cash run society and that kind of thing. But are you also encountering that culture shock from other Middle Easterners?
I think we kind of expected it to be a cash based economy, I’ve been to Iraq several times before I took this job. It makes life a lot more difficult but it’ll take time. I know the Iraqi government is working on mobile payments, only 0.2% of the Iraqi population have bank cards, debit cards etc. and only 4% have bank accounts.
So I think the way they are going to try and do it is through mobile payment. 97% of the population have mobile phones .I know they are working on that and pilot schemes are happening in Baghdad. Then they’re planning to do it in a few months in Kurdistan, if I remember correctly.
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