Peregraf- Two and a half months after their due date, August salaries for Kurdistan Region employees remain unpaid. Baghdad has demanded that the KRG transfer 120 billion Iraqi Dinars in non-oil revenues before disbursing the funds. In today’s Council of Ministers meeting, the KRG decided to prepare the amount and instructed the Ministry of Finance to prioritize its monthly transfer to Baghdad.
According to government spokesperson Peshawa Hawramani, the Iraqi Ministry of Finance has assured that there is "no problem" in sending the August salaries of KRG employees, but a liquidity issue in Baghdad has caused delays. He said the issue "will be resolved quickly," though at best, salaries will only reach the Kurdistan Region in the coming week.
Despite these assurances, concerns are mounting. As of mid-October, KRG employees have yet to receive their August salaries, and five months’ worth of wages remain outstanding in 2025. With only two months left in the year, many fear that, as in previous years, several salaries will go unpaid.
An informed source told Peregraf that Iraqi Finance Minister Taif Sami has set two conditions for releasing the funds: the KRG must promptly transfer 120 billion Iraqi Dinars in non-oil revenues for August, and it must send a six-month financial review covering expenditures and revenues from April 1 to October 1. Only after these conditions are met will the Iraqi Ministry of Finance disburse salaries to the Kurdistan Region.
"Even if the KRG fulfills the demands immediately, the transfer of salaries will not happen before next week, and payments are likely to fall in the final 10 days of this month," the source said.
During today’s meeting, the KRG Council of Ministers instructed the Ministry of Finance to prioritize the monthly preparation of 120 billion Dinars in non-oil revenues for Baghdad. The session also reviewed the Ministry of Finance’s assessment of the Kurdistan Region’s financial situation and steps for disbursing 2025 salaries.
The Council of Ministers is expected to make a decision soon on Baghdad’s demands and clarify its stance to the public.