Iraqi parliament's finance committee hosts high-level officials to address financial challenges
Key topics include salaries of Kurdistan Region employees, cash shortages in Iraq, theft and smuggling of money, and delays in salary payments to employees and retirees in the Kurdistan Region.
ERBIL (Kurdistan 24) – The Iraqi Parliament's Finance Committee is hosting a crucial meeting today with top government officials, including the Minister of Finance, the Minister of Oil, the Minister of Planning, and the Governor of the Central Bank of Iraq.
The meeting, scheduled for Tuesday, at 10:00 am, aims to address the country's financial situation, with a focus on the obstacles and problems it faces.
Key topics on the agenda include the salaries of Kurdistan Region employees, rumors of cash shortages in Iraq, issues related to theft and smuggling of money, and the delays in salary payments to employees and retirees in the Kurdistan Region.
This meeting comes on the heels of a recent clarification issued by the Federal Ministry of Finance on Sunday, August 11, 2024, regarding the state budget for the year 2023.
Finance Minister Taif Sami responded to concerns raised by Representative Mustafa Al-Karawi about the 2023 expenditures, which totaled 145 trillion dinars, compared to oil and non-oil revenues of 135 trillion dinars. The difference, according to Sami, was financed from the carryover from 2022 to 2023 and additional borrowing as stipulated in the 2023 Budget Law.
Sami emphasized that all funding requests from various spending units were implemented, and noted that allocations after December 31, 2023, cannot be financed according to Article 23/A of the Financial Administration Law and the Federal Budget Law for 2023.
She also clarified that the Ministry of Finance has coordinated with governorates to ensure that remaining funds for unfinanced investment projects were transferred to trust accounts for continued disbursement in the following year. This transfer amounted to 9.4 trillion dinars.
Addressing concerns about a potential lack of financial liquidity in 2024, particularly for July and subsequent months, Sami assured that the statement was inaccurate. She highlighted that the Ministry of Finance prioritizes salary payments, financing approximately 7.5 trillion dinars per month for employee compensation, retirement salaries, social welfare, and other related expenses.
Furthermore, Sami reiterated the Ministry's commitment to the program and performance budget, which has been in implementation for over two years. She clarified that this does not mean the cancellation of the item budget but rather complements it, as outlined in the Federal Budget Law's Schedule (E).
This high-level meeting reflects the Iraqi government's proactive approach to addressing financial challenges and ensuring the stability of the country's economy amidst ongoing concerns.
