Iraqi MP Accuses Baghdad of Politicizing Salaries in Kurdistan Region
Khalil Ghazi warned that institutional corruption continues to cripple Iraq’s financial system. “Due to pervasive corruption, revenues generated by state institutions are not being redirected to the national treasury.”
By Ahora Qadi
ERBIL (Kurdistan24) — A member of the Iraqi Parliament’s Finance Committee, Khalil Ghazi, has accused Baghdad of manufacturing salary delays in the Kurdistan Region for political purposes, despite there being no liquidity crisis in the country.
Speaking to Kurdistan24 on Friday, Ghazi asserted that “Iraq creates problems for the Kurdistan Region’s public salaries under various pretexts, but all of them are politically motivated.” The lawmaker stressed that such challenges are not rooted in financial shortfalls but rather in deliberate obstruction by Baghdad.
“All of Iraq’s problems are politically driven,” he added. “There is no liquidity issue. The Central Bank of Iraq injects $300 million into the market every day.”
Oil Revenues Held by Contractors
Ghazi also pointed to the accumulation of substantial funds by oil companies working in Iraq. He claimed that the government is unable to access over $4 billion owed to it due to a lack of enforcement over contractual obligations.
“These funds are sitting with oil companies. Due to negligence and lack of control, the government is forced to draw on public revenue accounts,” Ghazi said.
Corruption Draining State Revenues
The parliamentarian warned that institutional corruption continues to cripple Iraq’s financial system. “Due to pervasive corruption, revenues generated by state institutions are not being redirected to the national treasury,” he stated.
ATM Project Delays Undermine Trust
This criticism comes in the wake of growing frustration in Erbil over delayed implementation of financial infrastructure promised by Baghdad. The Kurdistan Regional Government (KRG) recently raised concerns over the Trade Bank of Iraq’s (TBI) failure to install 100 ATMs across the Region, despite commitments made under the KRG’s MyAccount initiative.
Aziz Ahmad, Deputy Chief of Staff to Prime Minister Masrour Barzani, said in a statement on X that while more than 40,000 government employees have registered for ATM services, the TBI has not issued a single card, nor made any purchase orders.
Ahmad emphasized that the KRG has formally addressed the issue with the Central Bank of Iraq and the Federal Ministry of Finance, calling for accountability and the provision of basic banking services for civil servants.
The MyAccount initiative is part of the KRG’s broader effort to digitize salary disbursement and increase access to modern financial tools. However, the ongoing delay threatens to further strain already tense relations between Erbil and Baghdad.
