KRG deposits half of February's tax, customs revenues into federal bank account

This step is part of a broader framework of mutual understanding and cooperation between Kurdistan Region’s Prime Minister Masrour Barzani and Iraq’s Prime Minister Mohammed Shia al-Sudani.
A citizen counting cash money. (Photo: Kurdistan 24)
A citizen counting cash money. (Photo: Kurdistan 24)

ERBIL (Kurdistan24) – The Ministry of Finance and Economy of the Kurdistan Regional Government (KRG) has announced the deposit of 85,199,634,000 dinars, representing 50% of the tax and customs revenues for February 2024, into the bank account of the Ministry of Finance of the Federal Government.

The deposit was made in cash at the Erbil Branch of the Central Bank of Iraq.

This step is part of a broader framework of mutual understanding and cooperation between Kurdistan Region’s Prime Minister Masrour Barzani and Iraq’s Prime Minister Mohammed Shia al-Sudani.

It marks the first time since 2003 that the Kurdistan Region has handed over part of its domestic non-oil revenues to the federal government.

This move follows significant progress and agreements on salaries and other financial issues between the two governments.

Deputy Prime Minister Qubad Talabani confirmed the agreement and highlighted ongoing discussions to finalize the delivery mechanism.

"They reached an agreement with Baghdad regarding the delivery of non-oil revenues," Talabani stated, emphasizing that the next step is to determine the specific mechanism for delivery.

Talabani assured that both KRG and federal government delegations are actively working to agree on this mechanism through mutual visits between Baghdad and Erbil.

He also clarified that the KRG has no objections to sending non-oil revenues to Baghdad, indicating a cooperative stance towards fulfilling the agreement's terms.

This deposit underscores a strengthened fiscal relationship between the Kurdistan Region and the federal government, aimed at enhancing economic stability and cooperation.

The understanding between Prime Minister Barzani and Prime Minister al-Sudani reflects a commitment to resolving financial issues and improving economic collaboration for the benefit of both regions.