Iraq’s cabinet approved funding for public sector salaries in the Kurdistan Region this week. The decision links June payments to the transfer of revenues and oil deliveries, as outlined in the 2023-2025 Federal Budget Law. Prime Minister Mohammed Shia al-Sudani’s media office released a statement confirming this update.
This approval extends an earlier measure that allowed payroll funding for the Kurdistan Region. Meanwhile, committees managing the process must submit reports within one week. Additionally, a technical team will calculate the federal treasury’s share of the Region’s non-oil revenues. This step ensures transparency and accountability in revenue transfers.
Unlike previous months, the Kurdistan Regional Government (KRG) will no longer transfer a fixed amount. Instead, it must send its share of non-oil revenues directly to the federal treasury. To oversee this, the Ministry of Finance and the Federal Board of Supreme Audit will closely monitor the process.
The cabinet also instructed the KRG to guarantee that oil companies operating in the Region deliver crude oil according to the Federal Budget Law. This move reinforces the link between revenue transfers and monthly budget allocations.
The law requires the KRG to provide both oil and non-oil revenues to the federal treasury. In return, the Region receives monthly salary payments for public employees. However, political disputes and claims of non-compliance have often delayed these transfers.
This latest decision aims to improve the process and reduce delays. Iraqi officials stress the importance of following the Federal Budget Law strictly. It is a key factor in maintaining stability and ensuring public sector workers receive timely salaries.
In summary, Iraq’s cabinet links Kurdistan Region salary payments with revenue transfers and oil deliveries. This change reflects efforts to enhance transparency and enforce the 2023-2025 Federal Budget Law.
Moving forward, both the federal government and the Kurdistan Regional Government must cooperate closely to ensure smooth revenue transfers. Success in this process will help build trust and support Iraq’s overall economic stability. Officials hope these measures will create a more reliable system for public sector payments across the country.
