Economic expert Dr. Safwan Qusay explained how Iraq’s budget could benefit if oil prices remain at $60 per barrel or higher.
Speaking to Dinar Opinions, Qusay said the government should set the budget’s oil price at no less than $60 per barrel. With oil exports exceeding 3 million barrels per day, he said, Iraq could cover legally required public spending, including salaries, social welfare payments, pensions, and food basket support.
He added that this level of oil prices and exports could also provide enough money to cover around $5 billion in other operating expenses planned for next year’s budget. Any remaining funds could then be used to finance investment projects.
Qusay said that if Iraqi oil prices reach $60 per barrel, the government could also rebuild the Central Bank’s foreign reserves to previous levels and repay domestic debts using the surplus.
However, if oil prices or export volumes fall below these levels, Iraq may continue to depend on domestic borrowing and payments in goods and services to address cash shortages and cover legally required spending.