Economic expert Nasser al-Kinani warned on Monday that growing budget requests from Iraqi ministries and state institutions could put additional pressure on the country’s finances.
Al-Kinani said each ministry had submitted its budget needs to the government. The Ministry of Planning is responsible for reviewing these requests and distributing funds based on each ministry’s requirements. The same process applies to the provinces and the Kurdistan Region.
He said Iraq should be focusing on cutting spending across government institutions, especially given the country’s difficult financial situation. Al-Kinani argued that ministries, state institutions and government presidencies should reduce their spending by at least 25 percent.
Instead, he said, budget requests are increasing even though the government may struggle to meet them.
Al-Kinani warned that higher spending demands could force Iraq to borrow more and increase its debt to cover the gap. He pointed to ongoing problems with oil exports and government revenues falling short of planned targets.
He called for action to control spending and prevent additional financial demands from putting further pressure on the state budget.
