Politics

KRG to visit Baghdad again for budget, salary talks

The Erbil and Baghdad officials “will most likely” reach a deal on the Kurdish region’s salaries and budget share, which has not yet been implemented, the source added.

Kurdistan 24 2023/07/23 10:37

KRG and Iraqi federal government officials are pictured in a meeting, July 19, 2023. (Photo: Courtesy of Omed Sabah)

Kurdistan Iraq KRG Budget

ERBIL (Kurdistan 24) – A Kurdistan Regional Government (KRG) delegation is set to visit Baghdad on Monday to continue budget implementation and salary talks that are underway between two the governments, an informed source told Kurdistan 24.

The delegation was supposed to visit Baghdad on Sunday, but the visit has been postponed, the source added, without elaborating further details on the cause of the delay.

The Erbil and Baghdad officials “will most likely” reach a deal on the Kurdish region’s salaries and budget share, which has not yet been implemented months after adopting the three-year budget law, the source added.

A high-level KRG delegation last week visited Baghdad and officially requested the federal authorities to spend the Kurdish region’s salaries for the upcoming months, as the Kurdish oil export has halted since March 25.

Per the budget deal, the Kurdish oil will be marketed via the Iraqi oil marketing company known as SOMO.

Despite having objectives on certain provisions of the law, which Kurdish leaders cited as undermining the Region's status as a federal entity, Kurdish lawmakers voted to pass the bill in early June following several delays.

Hailed as one of the country’s biggest budgets, the state expenditures set at 198.91 trillion Iraqi dinars ($153 billion) with a deficit of more than 64 trillion dinars (over $48 billion).

The Kurdistan Region’s share in the federal budget is set at 12.67 percent, amounting to more than $12 billion annually.

The management of oil and gas has been among the thorny issues between Erbil and Baghdad for over a decade, leading to the suspension of the Region’s share in previous federal budgets.