EXCLUSIVE: Iraq slams US “blatant interference” in Erbil-Baghdad budget issue

Shafaq News/ On Thursday, the Iraqi Parliament's Foreign Affairs Committee rejected statements from the US State Department urging Parliament to expedite the budget vote to resolve disputes between Baghdad and Erbil, describing them as an "unacceptable intervention."
On Wednesday, the US State Department urged the Iraqi Parliament to expedite the approval of Iraq's federal budget.
When asked for comments on the recent disputes between Erbil and Baghdad over oil and budget issues, State Department spokesperson Matthew Miller said, “We have engaged the Government of Iraq and the Kurdistan Regional Government to reach a durable budget agreement that would facilitate sustained oil production in the Iraqi Kurdistan region. We have seen the review of the budget amendment this week and urge its speedy adoption.”
In response, committee member Mukhtar Al-Mousawi told Shafaq News Agency, “The US State Department's statements are unacceptable. This blatant interference in Iraq’s internal affairs, including the budget and other issues, cannot be ignored and must be formally rejected by the relevant government bodies, parliament, and political forces.”
Al-Mousawi further affirmed, "The financial and oil disputes between Baghdad and Erbil are internal matters, and no external party should interfere, as such involvement only exacerbates the disagreements,” adding, “Therefore, the US State Department must avoid meddling."
"Any attempt to exert media pressure or other forms of influence has not, and will not, have an impact on Iraq's legislative institution,” he pointed out.
Erbil-Baghdad Disputes
The main points of disagreement between Baghdad and Erbil center on oil exports, budget allocations, and constitutional compliance.
A key issue has been the suspension of oil exports from the Kurdistan Region, which has been on hold since March 2023 due to a legal dispute over pipeline agreements. The Iraqi government proposed a budget amendment to restart these exports, but it has faced resistance in parliament.
Throughout 2024 and 2025, several high-level discussions have taken place to address these disputes. Notably, Kurdistan Region President Nechirvan Barzani visited Baghdad in April 2024 and January 2025 to meet with Iraqi officials and discuss the disagreements. However, no comprehensive solution has been reached yet.
Recently, the Iraqi Parliament's Finance Committee met with Finance Minister Taif Sami to discuss proposed amendments to certain articles of the 2025 Budget Law, including issues related to oil, salaries, and the Kurdistan Region's budget. Additionally, the Parliament has completed the review and second reading of the draft law for the first amendment to the federal Budget Law.