Iraqi parliament ends discussion of the 2021 budget bill

Economy 09:14 PM - 2021-01-16

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The Iraqi Council of Representatives, in its thirty-fifth session, which was resumed on Saturday, ended the discussion of the budget bill for 2021, while the parliament presidency called for coordination and cooperation between the political blocs in order to solve the outstanding problems between the Iraqi federal government and the Kurdistan Regional Government (KRG).

 

According to a statement issued after raising the session, the parliament's presidency called the parliamentary blocs and committees to make efforts in cooperation with the Finance Committee to pass the general federal budget law, as it is in the service of citizens in general and in the interest of all governorates without exception, stressing the need for the government to follow a policy of reducing expenses and consolidating revenues to reduce the financial deficit in the budget, especially with the instability of the economic situation in Iraq, as well as coordination and cooperation to solve the outstanding problems between the federal government and the Kurdistan Regional Government.

 

The Iraqi parliament has raised its session to an unknown date.

 

Iraq, which largely relies on oil sales, is facing large budget deficit due to the drop in oil prices as a result of the corona pandemic, where the Iraqi government has deducted government employees salaries, as well as a currency devaluation by almost 20% in the yet to be voted on 2021 budget to address the problem.

 

As for the share of the Kurdistan Region in the 2021 federal budget, last December Mr. Qubad Talabani, Deputy Prime Minister of the KRG, announced reaching an agreement with the Iraqi Government after two weeks of negotiations between KRG delegation, headed by Mr. Qubad Talabani, and Iraqi officials in Baghdad.

 

According to the budget bill that was sent to the Iraqi parliament after its been approved by the Iraqi council of ministers, the Kurdistan Region's share is 12.67% on conditions that the Kurdistan Region must deliver a daily 250,000 barrels of oil to the Iraqi oil marketing company SOMO and 50 % of non oil revenues to the Iraqi government.

 

Last Saturday, the Iraqi parliament has ended conducting the first reading of the draft federal budget law for the year 2021.

 

 

 

PUKmedia