Iraq recorded a budget deficit of more than 21 trillion Iraqi dinars, or roughly $16 billion, during the first half of 2026, according to a report released by the Ministry of Finance.
The report showed that government spending between January and June reached approximately 57.18 trillion dinars, equivalent to about $43.5 billion. During the same period, total revenues amounted to around 35.14 trillion dinars, or about $26.7 billion.
The gap between spending and revenue resulted in a deficit exceeding 21 trillion dinars over the six-month period, highlighting the ongoing pressure on Iraq’s public finances.
The figures reflect a situation in which government expenditures continue to outpace income, creating a significant funding shortfall. Iraq’s budget remains heavily influenced by oil revenues, making public finances sensitive to changes in global energy prices and export earnings.
The latest data provides an early picture of the country’s fiscal performance in 2026 and may shape discussions over spending priorities, revenue generation, and budget management in the months ahead.
