KRG Says Baghdad Sent Only 42% of Kurdistan Region's Budget Share Over Seven Years

25-06-2026 04:23

Peregraf- The Kurdistan Regional Government (KRG) Ministry of Finance says Iraq's federal government has transferred only 33 trillion Iraqi dinars—about 42% of the Kurdistan Region's budget share—over the past seven years, while more than 48 trillion dinars remain unpaid.

The figures were published in the KRG Ministry of Finance's Book of Activities and Reforms (2019–2025), a copy of which was provided to Peregraf.

According to the ministry, after deducting sovereign and governing expenditures, the Kurdistan Region's total share of the federal budget between 2019 and 2025 amounted to approximately 79 trillion Iraqi dinars.

Of that amount, Baghdad transferred 33 trillion dinars to finance the salaries of public employees in the Kurdistan Region, leaving more than 48 trillion dinars unpaid, according to the ministry.

The KRG also said the federal government did not release any funding for operational or investment expenditures during the seven-year period.

The ministry argued that the irregular transfer of budget allocations contributed to repeated delays in salary payments and increased financial pressure on the Kurdistan Region's public finances.

Budget Transfers Frequently Delayed

According to the KRG Ministry of Finance, the federal government did not regularly transfer the Kurdistan Region's budget allocations, resulting in repeated delays in salary payments between 2019 and 2025.

The ministry said the amount of the Region's budget share that was not transferred by Baghdad totaled:

  • 2019: 5.32 trillion IQD

  • 2020: 2.19 trillion IQD

  • 2021: 1.20 trillion IQD

  • 2022: 400 billion IQD

  • 2023: 4.70 trillion IQD

  • 2024: 10.03 trillion IQD

  • 2025: 9.60 trillion IQD

Budget Overview (2019–2025)

According to the KRG Ministry of Finance:

  • Kurdistan Region's budget share (after deducting sovereign and governing expenditures): More than 79 trillion IQD

  • Transferred by Baghdad for public-sector salaries: 33 trillion IQD (42%)

  • Amount remaining unpaid: More than 48 trillion IQD (58%)

  • Federal funding for operational expenditures: None

  • Federal funding for investment expenditures: None

The report comes amid continuing disputes between Baghdad and Erbil over the implementation of Iraq's federal budget law and the financial relationship between the two governments.

The federal government, for its part, has repeatedly accused the Kurdistan Regional Government of failing to transfer oil export revenues and the required share of non-oil revenues to the federal treasury, as stipulated under the budget law and bilateral agreements.

The long-running budget dispute remains closely tied to disagreements over oil exports, local revenues, and the implementation of financial agreements between Baghdad and Erbil, with both sides accusing the other of failing to meet their obligations.