Kurdistan Region's revenue sources to be put in one bank account

KRG

The Council of Ministers' meeting.

On Monday, May 22, 2023, the Prime Minister of the Kurdistan Region, Masrour Barzani, in the presence of Deputy Prime Minister Qubad Talabani, supervised a meeting on the reorganization of public finances in the Kurdistan Region and it was decided to consolidate all of the region's revenue sources into a single bank account.

The meeting reviewed the decision to reorganize public finances across the Region, which was approved by the Council of Ministers at its most recent weekly meeting. The Prime Minister and his deputy were given the go-ahead to specify an appropriate mechanism to hasten the implementation of the decision, according to a statement released by the Kurdistan Regional Government's (KRG) media.

The KRG's statement also said that discussions about creating a mechanism for reorganizing public revenues and expenditures across the Kurdistan Region also took place at the meeting. It was emphasized that paying salaries is a priority in spending and that they should be treated as sovereign expenditures, while other public expenditures needed to be distributed fairly based on the number of residents in the governorates and independent administrations. In light of this and following deliberation, it was agreed to stop the proportionate distribution and combine all revenue streams in the Kurdistan Region into a single bank account.

In order to safeguard public funds and increase transparency in the management of revenues and expenditures, the meeting also decided to begin the process of linking the banks and treasuries of the Kurdistan Region through an electronic system as soon as possible. It also decided to work toward developing a spending plan with the goal of striking a balance between revenues and expenditures.

In this regard, the Prime Minister stated that initiatives are being made to set up a cutting-edge and contemporary banking and financial system in the Kurdistan Region, working with local and international specialists.

The discussion also covered the rights and financial entitlements of the Kurdistan Region under the draft federal budget law for Iraq that is presently being reviewed by the Parliamentary Finance Committee. The regional government's stance on adhering to the oil agreement reached on April 4, 2023, as well as the sections and clauses in the draft budget law, were also discussed during the meeting.

The meeting thanked everyone who helped remove barriers preventing sending the share of the budget that is owed to the region. It also commended the members of the Council of Ministers and the representatives of the Kurdish blocs who united in their defense of the region's constitutional rights and entitlements and joined their efforts to secure salaries and subsistence for residents of the region from the budget.

The federal government and the major political parties from which the administration was formed were urged at the meeting to uphold the agreements and ensure that the Kurdistan Region has the same entitlements and rights as the rest of Iraq, as provided for in the constitution.



PUKMEDIA