Baghdad, Iraq- Iraqi Deputy Finance Minister Rebaz Hamlan has resigned, ending a month-long absence marked by escalating disputes over salary payments to the Kurdistan Region. Hamlan’s resignation, submitted to the Iraqi Cabinet Secretariat and awaiting approval, highlights the deep-seated financial tensions between Baghdad and Erbil.
Hamlan’s decision stems from a series of unresolved issues, primarily the chronic delays in salary disbursements to public sector employees in the Kurdistan Region. He cited the persistent issue of delayed salaries over the past 12 months, culminating in the failure to release the December 2024 salaries, fueling widespread discontent and economic hardship.
Furthermore, reports indicate significant friction between Hamlan and Finance Minister Tayf Sami, centered on differing approaches to managing the Kurdistan Region’s financial affairs. Hamlan also expressed dissatisfaction with the Prime Minister’s methods for addressing the salary dispute, suggesting a fundamental disagreement on the path to resolving the crisis.
The core of Hamlan’s concern was his desire to secure control over the Kurdistan Region’s salary file, believing that direct oversight would enable him to effectively address the long-standing financial conflicts and ensure timely payments to public sector employees.
This resignation throws into sharp relief the fragile state of financial relations between the federal government in Baghdad and the Kurdistan Regional Government (KRG). The issue of salary payments has become a recurring point of contention, exacerbating existing political and economic tensions.
The implications of Hamlan’s departure remain to be seen. The Iraqi Cabinet Secretariat’s decision on his resignation will be closely watched, as will the government’s response to the escalating salary crisis in the Kurdistan Region. The need for a sustainable and equitable solution to the financial disputes is now more urgent than ever, as the region grapples with the economic consequences of these ongoing delays.