SULAIMANI – Kurdistan Regional Government (KRG) Ministry of Finance and Economy said on Tuesday (May 11) that it had approved the Kurdistan region’s draft budget law for 2021, first in eight years.
Finance Minister Awat Janab signed on
the budget and referred it to the Council of Ministers for approval, the ministry said in a statement.
“After eight years, Awat Sheikh Janab Minister of Finance and Economy signed on the Kurdistan Region’s budget bill and submitted to the Council of Ministers of the Kurdistan Regional Government (KRG),” the statement reads.
The budget bill should be approved by the Kurdistan Parliament before put to implementation.
The KRG has not had a budget law since 2013. The KRG’s 2013 budget bill, after subtracting sovereign and governance costs, was based on its 16.9 trillion dinars of income – 14.4 trillion of which was from its budget share in Baghdad.
KRG depends on oil ales for most of its revenue as well as cash transfers from Baghdad to pay public sector employees and conduct infrastructure projects.
The cash-strapped KRG cabinet of Prime Minister Masrour Barzani 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 paid March and April salaries by 21 percent.