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KRG says committed to implementing obligations of Iraq’s budget

  2021-04-19  | 
 Zhyan News Network
Logos of the Kurdistan Regional Government (KRG) and Government of Iraq Graphic by Zhyan News Network
 Zhyan News Network

SULAIMANI – Kurdistan Regional Government (KRG) Department of Media and Information said on Monday (April 19) that the KRG is committed to implementing its obligations under Iraq’s budget law passed by the Iraqi parliament in March.

“The Kurdistan Regional Government’s Ministry of Finance and Economy sent a written document to the Iraqi Ministry of Finance on April 13 and has expressed its consent and taking practical steps to implement its financial obligations in the framework of Iraq’s general budget law for 2021,” the KRG department said in a statement.

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.

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. 

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. 

The cash-strapped KRG cabinet of Prime Minister Masrour Barzani is still unable to pay its wage payroll on in full without cuts following the rise of the global crude oil prices.

Throughout 2020, the KRG 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 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., according to the KRG finance ministry. 

(Zhyan English)