Iraq's Finance Ministry begins funding July salaries for KRI employees
Shafaq News / On Sunday, the FederalMinistry of Finance announced that it will start funding part of the Julysalaries for public sector employees in the Kurdistan Region (KRI).
Masoud Haider, Deputy Minister ofFinance, announced that "the Ministry will disburse part of the Julysalaries for Kurdistan Regional Government (KRG) employees today, following thecompletion of most of the Federal Financial Control Bureau's work."
Previously, the KRI relied onindependent funding from oil exports to partially cover salaries. However, adispute with the federal government and Turkiye, through which the oil wasexported, has blocked this income source since March 2023.
A preliminary agreement was laterreached between KRI and Baghdad, allowing Kurdish oil sales to pass through thefederal government in exchange for 12.6 percent of Iraq's public spending.
A court ruling also mandated theKurdish administration to transfer all its oil and non-oil revenues to thefederal government and submit to an audit.
Withoil revenues halted, Kurdistan's primary revenue now comes from taxes collectedat border crossings with neighboring countries, including Iran and Turkiye,Iraq's major regional trade partners.
