The Service of Money and Economy in the Kurdistan Area reported on Saturday that it has presented the finance plan for public area representatives for June to the Government Service of Money for subsidizing.
In a press release, the ministry said that it had successfully completed the necessary steps to guarantee the salaries of all civilian and military workers, as well as retirees.
The Kurdistan Region previously had independent funding that partially covered salaries because of oil exports. However, since March 2023, a dispute between the federal government and Turkiye, through which the oil had been exported, has prevented the regional administration from utilizing that source of revenue.
Iraqi Kurdistan and Baghdad later concurred on a basic level that deals of Kurdish oil would go through the national government. In exchange, the autonomous region will receive 12.6% of Iraq’s public spending.
In addition, the court mandated an audit of relevant accounts and ordered the Kurdish government to hand over “all its oil and non-oil revenues” to the federal government in its ruling.
Taxes collected at border crossings with neighboring nations, such as Iran and Turkiye, two of Iraq’s primary regional trade partners, are currently the primary source of revenue for Kurdistan.
