The role of banking reform in macroeconomic stability, experiences of selected countries, with reference to Iraq

A Thesis Submitted by

Samira Adel Hamza Al-Mutairi

to the Council Of the College of Adminittütion and Economics University of Karbaja

In partial Fulfillment of the Requirements for the Master Degree in

Economics

Supervised by prof. Dr. Talib Hussein Fares Al- Kuraiti

Abstract
The research deal with the role of banking reform in macroeconomic stability by studying the experiences of selected countries, represented by Algeria and Jordan, with special reference to Iraq, by examining the theoretical relationship between reforming the banking sector and the variables of macro stability, to find out the theoretical foundations provided by the economic literature for this relationship, and the possibility of employing it in an analysis The course of development of banking reform experiences in the sample countries and their impact on macroeconomic stability variables, based on a basic premise that banking reform is a basic pillar of economic stability and that the success of banking reform policies positively affects the levels of macroeconomic stability variables. The research was based on an approach that adopts the two approaches | Inductive and deductive through analyzing the data of banking reform indicators and some economic stability variables in the study sample countries during the period (2004-2020), the ARDL standard model was used to find out the common movements and the economic implications of that.

The research aims to study the economic literature on the relationship between banking reform and macro stability and to analyze the developments that affected banking reform in Algeria, Jordan and Iraq and its role in achieving macro stability. Total in the sample countries according to the circumstances and data of each experience and the structural characteristics of the banking system and the degree of its integration with the requirements of the development of the economic system, In Algeria, bank deposits, according to the short-term analysis, have an impact on the gross domestic product, as well as bank credit, with a co-integration relationship between the Algerian gross domestic product and the total bank deposits and bank credit, while in Jordan, bank deposits and the money supply have an impact on the gross domestic product, unlike the depth Financial, with a co-integration relationship between the aforementioned variables, gross domestic product, bank deposits and money supply.