KRG Will Transfer 120 Billion Dinars to Federal Government Following Tripartite Oil Agreement

Peregraf 

The Kurdistan Regional Government (KRG) announced today that it has ordered the Ministry of Finance to transfer 120 billion dinars to the account of the Federal Ministry of Finance, as part of ongoing financial and oil export arrangements with Baghdad.

The decision was taken during a meeting of the KRG Council of Ministers, chaired by Prime Minister Masrour Barzani. The Council welcomed yesterday’s approval by the Federal Council of Ministers of the tripartite agreement between the federal government, the KRG, and international oil companies to resume oil exports under the amended federal budget law. The agreement also includes the payment of July 2025 salaries to employees of the Kurdistan Region.

Prime Minister Barzani said in a statement: “Today we chaired a meeting of the Council of Ministers. The first item on the agenda focused on the tripartite agreement to resume oil exports. We welcome the federal government’s approval of the agreement and the payment of July salaries to the Kurdistan Region. The Council reaffirmed its readiness to implement its obligations to ensure the timely delivery of salaries and entitlements.”

The meeting also addressed ongoing discussions regarding the classification of non-oil revenues and the appointment of the Federal Treasury Department. “The Council expressed its readiness to resolve these issues in line with the Federal Financial Management Law, the Federal General Budget Law, and the Federal Court’s recent decisions,” Barzani said. 

As part of these directives, the KRG instructed its Ministry of Finance and Economy to immediately transfer 120 billion dinars to the Federal Ministry of Finance. The funds will be coordinated with the six-member ministerial committee in Baghdad overseeing non-oil revenue management.

This move comes amid broader efforts to strengthen financial cooperation between Erbil and Baghdad, ensuring stability in oil exports and timely payment of public sector salaries in the Kurdistan Region.