Peregraf
Iraqi President Latif Rashid has warned that government spending on salaries poses a serious challenge to the country’s economy, consuming nearly 80 percent of state revenues.
In an interview with Alawla TV, Rashid stressed that providing wages is a constitutional duty of the state, but emphasized the urgent need for reforms. “It is the duty of the government to provide the salaries of all employees. At the same time, we have a big problem with government spending on salaries, which accounts for 80 percent of state revenue, while in other developed countries it does not exceed 6 percent. We need to solve this problem,” he said.
Rashid linked the salary crisis to broader structural issues in Iraq’s economy, underscoring the importance of passing the long-stalled Oil and Gas Law to regulate revenue distribution between Baghdad and the Kurdistan Regional Government (KRG). He said that while relations between the federal government and the KRG remain “good in all areas,” the unresolved law continues to hinder lasting solutions.
The president also rejected claims of postponing upcoming parliamentary elections or forming an emergency government, insisting instead on safeguarding fair and transparent polls.
On judicial and human rights matters, Rashid revealed that joint committees have decided the fate of 23,000 detainees who completed their sentences but remain in prison for administrative reasons, while more than 55,000 prisoners have already been released under the amnesty law.
Addressing Iraq’s water crisis, Rashid warned that climate change and upstream policies of neighboring countries are intensifying scarcity. He disclosed that the presidency has submitted draft legislation to Parliament, including the creation of a High Water Council and laws tackling women’s issues.
Despite the mounting challenges, Rashid maintained that Baghdad must strike a balance between guaranteeing salaries, diversifying the economy, and pressing forward with legislative reforms.