Iraq moves to settle KRG budget rift
Shafaq News - Baghdad
On Tuesday, Iraqi Prime Minister Mohammed Shia al-Sudani ordered the formation of a high-level ministerial committee to address pending financial arrangements between the Federal Government and the Kurdistan Regional Government (KRG).
According to a statement by the Prime Minister’s media office, the Council of Ministers reviewed two policy papers—one submitted by federal authorities and the other by the KRG. Both documents concern the transfer of oil and non-oil revenues from the Kurdistan Region and the mechanism for employee salary domiciliation.
The committee will present its recommendations to the Council of Ministers for immediate action.
In another statement, the Prime Minister’s office said the Cabinet further discussed key economic and service-related matters during the session.
As part of its strategy to boost electricity production, the Council of Ministers approved the Ministry of Electricity’s 2025 fuel plan, which includes supplying up to 17,240 cubic meters of light diesel oil (LDO) daily to generation units and activating a gas import agreement with Turkmenistan.
The cabinet also decided to raise domestic dry gas output by 190 million standard cubic feet per day in 2025, enabling an additional 600–700 megawatts of electricity in the southern and mid-Euphrates regions. Separately, the Maysan Investment and Amarah Gas Power Plants will be supplied with no less than 190 million standard cubic feet per day from the Halfaya field.
Moreover, the cabinet authorized moving forward with the proposed dam construction projects submitted by the Ministry of Water Resources.