Measuring and Analyzing the Impact of Bank Cash Credit on the Growth of the Iraqi Economy for the Period (2004-2020)

Abstract

Bank credit is one of the most attractive banking activities for managing commercial banks and other intermediary financial institutions, but at the same time, it negatively affects the national economy if it does not improve its use, so through it it can achieve the largest part of profits and then increase investment to achieve economic growth. In Iraq, bank credit influences economic growth, given the credit facilities provided by commercial banks to the public and private sectors. Therefore, the research aimed to identify the role and importance of bank credit in economic growth, and then measure the relationship between them in Iraq during the period (2004- 2020) using the (Eviews-12) program through three main axes, and a set of conclusions was reached, the most important of which was the existence of a direct relationship between the expansion of the volume of bank credit and economic growth according to the (ARDL) methodology, that is, if there was a clear effect of the independent variable (CRE) in the long-run dependent variable GDP.