Baghdad – US urges dialogue on Iraq-Kurdistan dispute as tensions grow over delayed salary payments and political disagreement. On Tuesday, the U.S. State Department made a direct appeal to both governments. It called for a consistent and constructive approach to resolving the standoff.
During a press briefing in Washington, spokesperson Tammy Bruce addressed the issue. She said the United States is closely monitoring the Kurdistan Region’s financial situation. She stressed that responsible dialogue is essential to resolving the crisis.
Bruce explained that resolving the salary dispute in line with Iraq’s constitution would send a strong signal. That signal would show Iraq is serious about creating a stable investment environment. According to her, this includes welcoming American companies.
US urges dialogue on Iraq-Kurdistan dispute also to strengthen broader cooperation between Erbil and Baghdad. Bruce mentioned several strategic goals. These include reopening the Iraq–Turkiye oil pipeline and expanding joint energy projects.
However, relations between the two governments remain strained. The federal government has demanded full oil exports from the Kurdistan Region. It also wants tighter oversight of revenue collected outside the oil sector. These conditions, however, have been rejected by the KRG.
The Kurdistan Regional Government believes those terms violate previous agreements. Officials there argue that Baghdad’s conditions are both excessive and politically driven. As a result, salary disbursements have been delayed for thousands of public employees.
In response to growing frustration, Prime Minister Mohammed Shia al-Sudani took emergency action. He approved a temporary solution by authorizing May salary payments through a federal loan. This step, however, is not a long-term fix.
Meanwhile, public concern is rising in both Baghdad and Erbil. Citizens demand a resolution that protects livelihoods and ensures financial stability. Business leaders also warn that uncertainty harms investor confidence across Iraq.
US urges dialogue on Iraq-Kurdistan dispute as a way to avoid further economic disruption. The State Department believes transparent communication is vital. Both sides must commit to a fair and lasting agreement.
With tensions high and public patience low, time is running out for a peaceful resolution. Clear dialogue could restore trust and boost confidence in Iraq’s political and economic future.