Baghdad may waive oil shortfall blocking June budget transfers to Erbil: KRG source
PM Sudani discusses recent attacks in Baghdad meeting
KRG says not consulted on Iraq-UN poverty report
Iraqi president, PM stress state resources must not be used for election purposes
Iraqi women's party seeks to contest elections through empowerment
A+ A-
ERBIL, Kurdistan Region - Baghdad may overlook the volume of oil currently being delivered by the Kurdistan Region despite it falling short of the agreed-upon quota, potentially paving the way for the disbursement of June salaries, a source from the Kurdistan Regional Government (KRG) told Rudaw on Wednesday.
'Sending June salaries is tied to oil delivery, but it's possible Baghdad may overlook the amount of oil being delivered, given that current production does not reach 280,000 barrels and it's decided to reach that level gradually,' the source said, on the condition of anonymity.
Under a July 17 agreement approved by Iraq's Council of Ministers, the KRG is required to deliver 280,000 barrels of oil per day, with 50,000 barrels allocated for domestic use. In return, Baghdad is to send monthly salary payments.
More than 1.2 million civil servants in the Kurdistan Region remain unpaid for June.
Aziz Ahmad, deputy chief of staff to KRG Prime Minister Masrour Barzani, said earlier this month that nearly 200,000 barrels of oil production had been lost due to the 'spate of drone attacks.'
A Baghdad technical team is expected to visit oil fields in the Kurdistan Region to assess current production levels and inspect damage from the strikes. A KRG source told Rudaw the delegation had already visited some fields and will now inspect the remaining ones.
Rudaw has recorded dozens of drone and rocket attacks on the Kurdistan Region in recent weeks, many of which targeted oil infrastructure. While no group has claimed responsibility, the KRG interior ministry has accused the Popular Mobilization Forces (PMF or Hashd al-Shaabi) of involvement - a charge Baghdad has rejected as 'unacceptable.'
Despite these challenges, a source from the oil companies operating in the Kurdistan Region told Rudaw on Tuesday that they received a proposal detailing how to produce the 50,000 barrels for domestic use and how their financial entitlements will be paid. According to the deal, companies are to be paid $16 per barrel.
However, Rudaw has learned that firms raised objections over the fixed rate. They want their payments after the initial two-month period to reflect their contractual shares and be linked to market prices, rather than a flat rate.
Beyond oil, non-oil revenue also remains a sticking point. Baghdad has demanded 120 billion dinars in non-oil revenue for both May and June. While that amount has been delivered for May, a KRG source said June's contribution 'will be provided somehow,' but added that the Region 'cannot deliver that amount of revenue for July.'
According to Rudaw's information, a joint committee from both governments' finance ministries and financial oversight bodies is now tasked with assessing and determining the Region's actual monthly non-oil revenues. The outcome could change future targets.
Baghdad's expectations are based on a March 12 report to the prime minister's office that estimated the Kurdistan Region's 2024 non-oil revenues at 4.702 trillion dinars, or about 391.8 billion dinars per month. But a KRG finance ministry source told Rudaw the figure is misleading.
'The problem is that the calculated revenue amount has not all been returned to the government in cash. Part of that revenue, such as electricity money, has not been paid by citizens, so it's difficult to deliver the same estimated amount of money,' the source said.
Tensions between Erbil and Baghdad escalated in late May when the federal finance ministry halted budget transfers, accusing the KRG of exceeding its 12.67 percent share and failing to meet oil commitments.
The standoff began to ease earlier this month after Baghdad sent 975 billion dinars (around $737 million) to cover May salaries. But the deal's implementation has faced delays over unresolved technical and financial details.
Hastyar Qadir contributed to this report.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Shafaq News
8 hours ago
- Shafaq News
Amnesty International: Iraq must block or amend protest bill
Shafaq News – Baghdad On Friday, Amnesty International called on Iraqi lawmakers to reject or amend a proposed law on freedom of expression and peaceful assembly, warning that it could further restrict civic space and violate fundamental rights. The draft legislation is scheduled for a parliamentary vote on August 2. Amnesty's Iraq researcher, Razaw Salihy, cautioned that the bill—if passed in its current form—would add to the tools already used by authorities to suppress dissent and silence critical voices. She emphasized that the law threatens Iraq's obligations under both its constitution and international human rights agreements. 'Lawmakers must not allow this proposal to become another mechanism for stifling public discourse,' Salihy said. Human rights defenders, journalists, and protesters across Iraq already face harassment, intimidation, and arrest—often under vague defamation laws and penal code articles incompatible with free speech protections. Amnesty highlighted that those speaking out against corruption or poor services are frequently targeted, especially in the context of worsening living conditions and persistent shortages of water, electricity, and basic infrastructure.
Rudaw Net
8 hours ago
- Rudaw Net
Amnesty urges Iraq's parliament to reject controversial free speech bill
Also in Iraq Iraqi parliament to vote on controversial protest bill Iraq arrests accused Anfal executioner Kirkuk court hands suspended sentence to Kurdish villager over disputed land Baghdad may waive oil shortfall blocking June budget transfers to Erbil: KRG source A+ A- ERBIL, Kurdistan Region - Amnesty International on Friday urged Iraqi lawmakers to reject a controversial freedom of expression bill that is scheduled to be put to a vote on Saturday, warning it could be used to restrict protests and limit free speech. 'Lawmakers must vote against or propose amendments to any laws that would add to the arsenal of tools that the authorities are already using to restrict civic space or betray Iraq's constitutional and international commitments to protect freedoms of expression and peaceful assembly,' said Razaw Salihy, Amnesty International's Iraq researcher. The bill would criminalize hate speech and insults to religious sects, ban nighttime protests, and restrict gatherings near hospitals, schools, and government buildings. The parliament's human rights committee has called for amendments or removal of numerous sections. Salihy warned that unofficial drafts reviewed by civil society groups suggest the law could lead to violations of the rights to free expression and peaceful assembly. She also criticized the lack of transparency surrounding the bill, saying it is being 'surreptitiously snuck through in a shroud of secrecy' and with 'no public debate.' The bill defines peaceful demonstration as a lawful public gathering to express opinions or demand rights, requiring prior approval from local authorities at least five days in advance. Denied requests for a demonstration can be appealed through the courts. Salihy warned that activists and journalists in Iraq face increasing repression, with arrests, harassment, and intimidation severely undermining free speech.
Iraqi News
9 hours ago
- Iraqi News
Iraq studies green hydrogen, low-emissions cement initiatives
Baghdad ( – Iraq has launched a study that will examine the feasibility of green hydrogen generation as part of its clean energy policy. According to the state-run news agency (INA), the Ministry of Industry and Minerals is conducting the research in partnership with the Ministry of Electricity and the Ministry of Oil, as well as the National Investment Commission (NIC), with the participation of the private sector in the initiative. The Iraqi government is also studying approaches to build low-emission cement-producing plants. These efforts are part of Iraq's national energy strategy, which aims to reduce emissions by improving the utilization of energy and expanding the use of renewable sources, notably solar energy, in industrial operations. The ministry stated that its affiliated firms are prepared to develop solar power projects, with the government's goal of generating 12,000 megawatts of electricity from solar energy by 2030, as indicated in the statement. The Iraqi government is establishing a solar power plant in the central desert area as part of attempts to alleviate persistent electricity shortages caused by declining gas supplies from neighboring Iran. The new solar power plant will generate 300 megawatts of electricity using 500,000 solar panels, 39,000 of which have already been installed.
