200bn IQD stipend not sent by Baghdad; KRG hopes it will arrive later this week

KRG Spokesperson Jotiar Adil (Photo Credit: KRG)

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SULAIMANI — Kurdistan Regional Government (KRG) Spokesperson Jotiar Adil said on Sunday (October 3) that Iraq’s federal government has not yet sent an expected 200 billion Iraqi dinar ($137 million) transfer, which Erbil says enables it to pay the full salaries of public servants in the Kurdistan Region.

Adil said that the KRG hoped that the transfer will arrive by Thursday.

Under an agreement with Prime Minister Mustafa al-Kadhimi, the KRG began to receive a monthly stipend of 200 billion dinars per month in July. Both Erbil and Baghdad have emphasized that the transfer is not part of the budget law, but rather a separate agreement.

The 2021 Federal Budget Law passed in the spring, but has not been implemented because of disagreements between the federal government and the KRG over oil and customs income.

Adil said at a press conference that the Iraqi Council of Ministers has agreed to send the money, but technical problems have slowed down the process.

During 2020, the KRG struggled to pay its employees, missing five monthly disbursements entirely and cutting four others by nearly a quarter. Government employees had their pay cut by twenty-one percent during the first six months this year.

Workers were paid in full in July for the first time in more than a year, with another transfer in August.

In late September, the KRG said it expected a third transfer in time for the Iraqi parliamentary election, which will happen next Sunday.

(NRT Digital Media)