The Kurdistan Region has officially completed the Kurdistan oil revenue transfer to Iraq’s federal treasury. This demonstrates growing financial cooperation and commitment to federal agreements with Baghdad.
On Thursday, August 28, 2025, the Kurdistan Regional Government (KRG) Ministry of Finance deposited 120 billion Iraqi dinars into the federal Ministry of Finance account at Iraq’s Central Bank in Erbil. This transfer shows that the region fulfills its obligations toward Baghdad. Consequently, Baghdad now distributes salaries for KRG employees according to prior agreements.
Earlier, on August 26, the Council of Iraqi Ministers approved June salaries for KRG employees. The council also set mechanisms to ensure that future payments occur on time. Additionally, it addressed ongoing discussions about Kurdistan’s oil exports and revenue sharing. It assigned dedicated committees to resolve these issues efficiently, ensuring smooth coordination between the federal government and the Kurdistan Region.
Over the past four months, the Kurdistan Region had received only one salary payment. The federal government sent it on July 24 for May salaries, and it reached employees the next day. Now, with the Kurdistan oil revenue transfer completed, the region expects smoother and more timely salary disbursements for all public sector employees.
This step reinforces the Kurdistan Region’s commitment to federal agreements and strengthens fiscal stability. Moreover, it builds trust between Baghdad and Erbil. It also highlights the importance of structured collaboration in managing oil income.
Furthermore, the Kurdistan oil revenue transfer marks a positive step in Iraq’s broader efforts to coordinate financial management. By meeting its obligations and enhancing transparency, the Kurdistan Region supports a more stable economic environment and improves relations with the federal government.
In conclusion, the transfer ensures timely salary payments for KRG employees. It reflects a shared commitment to financial discipline and cooperation. Therefore, these actions lay the groundwork for continued stability in Iraq’s economic and administrative affairs.
The Kurdistan oil revenue transfer is more than a financial procedure. It represents a strengthened partnership between Erbil and Baghdad and a step toward consistent economic stability across all regions of Iraq.
