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Baghdad to send Kurdistan Region’s budget share next week: MP

  2021-04-18  | 
 Zhyan News Network
File Photo - Member of Iraq’s Council of Representatives’ Finance Committee Bakhtiar Shaways - File Photo
 Zhyan News Network

SULAIMANI – Member of Iraq’s Council of Representatives’ Finance Committee Bakhtiar Shaways said on Sunday (April 18) that the federal government will send the Kurdistan Region’s budget share next week after the passed 2021 Federal Law was logged in the federal gazette.

Earlier on Sunday, Iraq’s Ministry of Justice issued the gazette’s publication 4,625 covering the budget law for 2021 after Iraqi President Barham Salih ratified it on April 8. 

On March 31, Iraq's Council of Representative passed the belated budget bill after several delays in recent months and disputes among the political blocs, especially between the Kurdistan KRG and the federal authority.

The budget’s article 11 stipulates that the Kurdistan Regional Government (KRG) should abide by its obligations to hand over not less than 250,000 barrels of oil per day (bpd) and an amount of non-oil incomes to the federal authority.

The Region will receive 13.9 percent share from the estimated at 129 Iraqi dinars trillion ($89 billion) budget if it obeys its obligations in the budget law. Unlike the previous years, the KRG will not get any share if it fails to live up to its duties. 

“With publishing the law in the Official Waqai Newspaper [state gazette] and the issuance of the instructions by the [federal] Ministry of Finance, Iraq’s 2021 budget will be put into effect,” Haifa Shakir Mahmoud told Zhyan News Network. 

Shaways said that federal government will send the budget shares if the Kurdistan Regional Government abides by its obligations.

“It is impossible Erbil abides by the clause in the budget law that specifies about the transfer of the staffs of nationality, civil status, dams and climate offices to the Government of Iraq,” the lawmaker, said, who is from the Patriotic Union of Kurdistan (PUK).

“The Shias [blocs] may use that excuse for the federal government not to abide by its deal with Erbil.”

The cash-strapped KRG still struggles to pay its wage payroll on time and in full following the rise of the global crude oil prices.

It missed five months’ worth of salaries to its public servants and paid one in full and slashed others by either eighteen or twenty-one percent in 2020 citing the COVID-19 pandemic, budget with Baghdad and low oil prices.

It is expected to pay the public servants by 21 percent cuts for this month.  

(Zhyan English)