ERBIL, Kurdistan Region - Iraqi and Kurdish delegations released a joint statement after two days of meetings in Erbil on Monday, outlining key issues including salary payments and customs policies.
“The Federal Economic Council decided to submit a recommendation to the Federal Council of Ministers to address the Ministry of Finance regarding the disbursement of the Kurdistan Region's suspended salaries, which had been delayed due to unresolved biometric discrepancies,” read the joint statement from the delegations following the conclusion of meetings on Monday evening.
The Iraqi delegation was led by Foreign Minister Fuad Hussein, who also heads the ministerial council for the economy, and Finance Minister Taif Sami. On Sunday and Monday, the Iraq representatives met with the Kurdistan Regional Government’s (KRG) economic council, chaired by Prime Minister Masrour Barzani
Rudaw reported earlier on Monday that the two sides agreed on resolving the August salary issue - the KRG finance ministry will send the payroll list for August to Baghdad, and the federal government will send the salaries for August based on July’s verified list.
The talks also included discussions on agricultural policies, export and import licenses, company registration, investor regulations, border crossings and customs, oil, energy, and the banking sector, according to the statement.
The two sides also agreed on continuing the work of their joint committees.
“The council also proposed a high-level meeting to address oil, energy, border crossings and customs issues,” continued the statement, while adding that the KRG economic council is invited for another round of meetings in Baghdad.
Baghdad and Erbil are at odds over several financial issues, most prominently the disbursement of salaries for the Kurdistan Region’s public employees.
After two months of delay, civil servants began receiving their July salaries on Tuesday; the KRG delayed the disbursement, arguing with Baghdad over the amount sent for that month. The Iraqi government sent only a partial payment and pointed to a report from the Federal Board of Supreme Audit that indicated KRG has received an extra 600 billion dinars this year - the board argued that this amount, combined with the KRG’s local income, should suffice to cover July’s salaries.
The Kurdistan Region is currently financially dependent on local income sources and its controversial federal budget share.
