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Iraqi Council of Ministers meeting yields no decision on disbursal of Kurdistan Region salaries

The New Region

Jul. 08, 2025 • 2 min read
Image of Iraqi Council of Ministers meeting yields no decision on disbursal of Kurdistan Region salaries The regular session of the Iraqi Council of Ministers held on July 8, 2025. Photo: Iraqi PMO

A new committee, consisting of delegates from a plurality of Iraqi ministries, will be formed to engage with the Kurdistan Regional Government (KRG) on the Erbil-Baghdad funding dispute, with the Council of Ministers saying they will make a final decision on the issue upon the completion of the committee's report.

ERBIL, Kurdistan Region of Iraq – The Iraqi Council of Ministers on Tuesday held a regular session during which the subject of the Kurdistan Region’s civil servant salaries was discussed. The meeting concluded without reaching a decision to disburse the Kurdistan Region's civil servant salaries, according to a reporter from The New Region present at the session.

 

The salary issue was not initially on the agenda of the session; however, it was added to the schedule shortly before the start of proceedings.

 

The council decided that a committee, consisting of delegates from Iraq's ministries of planning, finance, justice, higher education, and health should be formed. The committee will then meet with relevant parties from the Kurdistan Region to discuss the outstanding issues.

 

It was also noted that other ministers are subject to be addded to the committee if required, and that Minister of Construction, Housing, and Municipalities Bangin Rekani has been appointed to the committee instead of Finance Minister Taif Sami.

 

After the committee’s meetings conclude, the Council of Ministers will hold a special session to make a final decision based on its reports.

 

The New Region understands that no deadline has been set for the committee by the Council of Ministers for it to finish its work.

 

The recent suspension of the Kurdistan Region’s civil servant salaries by the Iraqi finance ministry has sparked outrage among the Region’s public as well as the officials and politicians, who have slammed the decision as “political.”

 

The move has prompted civil servants from the Kurdistan Region to file a complaint to the Iraqi Federal Supreme Court, demanding uninterrupted funding of their salaries and timely payment on the agreed-upon dates as per a previous ruling of the court.

 

In a letter addressed to the Kurdistan Regional Government (KRG) in late May, Iraqi Finance Minister Taif Sami said that Baghdad was “unable to continue funding the Region” for the rest of the year, arguing that Erbil has already exceeded its share of the annual budget.

 

Spokesperson of the KRG Peshawa Hawramani said on Wednesday that funding the salaries of the Region’s employees by the federal government is contingent upon an agreement between international oil companies (IOCs) and Baghdad for the resumption of Erbil’s exports.

 

“The ball is now in Baghdad’s court,” Hawramani said. “The fate of one million employees awaits a signature” from Iraq’s Prime Minister Mohammed Shia’ al-Sudani.

 

Years of conflict and unresolved issues between Erbil and Baghdad, and economic sanctions and pressure on Erbil by federal authorities, have pushed employees in the Region to live from paycheck to paycheck.

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Author The New Region

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