The Finance Committee in the Iraqi Parliament has indicated that the 2026 federal budget is unlikely to be approved, with attention now shifting toward preparing the 2027 budget.
Committee member Ribwar Karim said that both parliament and the government are expected to focus their efforts on studying and drafting next year’s budget rather than continuing work on the current one.
Despite concerns that such a move could affect government spending, Karim reassured citizens that salary payments will continue without interruption.
He stressed that employee salaries and other essential financial obligations are not at risk and that the government has several options available to manage its finances if needed.
According to Karim, Iraq has enough financial tools to deal with any potential budget shortfall. These options include domestic borrowing, external financing, and coordination with the Central Bank of Iraq to maintain financial stability.
He explained that the government is capable of responding to emergency financial pressures and ensuring that basic state commitments continue to be met.
The comments come as Iraq continues to face economic challenges linked to fluctuations in oil revenues and broader regional and international developments. However, officials insist that measures are in place to prevent any disruption to public sector salaries and key government operations.
For now, lawmakers appear to be concentrating on creating a stronger financial plan for 2027 while relying on available resources and financial mechanisms to manage the current situation.
