The head of Iraq’s Parliamentary Finance Committee, Uday Awad, has revealed key details about the proposed 2027 federal budget, highlighting plans to introduce a program and performance budgeting system across selected government institutions.
According to Awad, the 2027 budget will mark an important step in modernizing Iraq’s public finance management by shifting part of the budgeting process toward a model that focuses on performance, measurable results, and the effectiveness of government spending.
He explained that the new approach will initially be implemented in the Ministry of Electricity and in the governorates of Salah al-Din and Diwaniyah as part of the first phase of the project.
Awad said the move is intended to improve the way budgets are prepared and managed, while increasing the efficiency of government expenditures and ensuring that public funds are directed toward achieving clear objectives.
Unlike traditional budgeting systems that focus mainly on allocating funds, a program and performance budget links spending to specific goals, outcomes, and performance indicators. This allows officials to better evaluate whether projects and services are delivering the intended results.
According to Awad, adopting this model will strengthen oversight of public spending and help improve the implementation of government projects and services.
He noted that the initiative is part of broader efforts to reform Iraq’s financial management system and enhance transparency, accountability, and efficiency within state institutions.
If successful, the first phase could pave the way for expanding the program and performance budgeting system to additional ministries and provinces in future budget cycles.
The proposal reflects ongoing efforts by Iraqi policymakers to modernize government operations, improve service delivery, and make better use of public resources as the country continues pursuing economic and administrative reforms.
