Erbil-Baghdad financial talks expected to conclude soon: Ministry

ERBIL, Kurdistan Region - Ongoing talks with the federal government over budget amendments and salary payments for the Kurdistan Region’s civil servants are expected to wrap up soon, the Kurdistan Region’s interior ministry said on Saturday.

Meetings that began on Friday between a Kurdistan Regional Government (KRG) delegation and the Iraqi Ministry of Finance continued on Saturday “to resolve technical issues, and they are expected to complete their work in the near future,” read a statement from the ministry.

KRG Finance Minister Awat Sheikh Janab told reporters on Friday, following their meeting with Iraqi Finance Minister Taif Sami, that there was a “positive atmosphere” to their discussions.

Erbil and Baghdad have held several meetings to discuss amendments to the previously approved 2025 federal budget law and address obstacles to paying the Kurdistan Region’s civil servant salaries. The KRG has been working to redirect funds from its share of the federal budget to address salary shortfalls that persisted throughout last year. 

The KRG has failed to pay the salaries of its civil servants on time and in full for a decade due to a financial crisis that worsened when its oil exports were halted in March 2023.