Kurdistan’s share of federal budget is being used as political tool: PM

KRG Prime Minister Masrour Barzani meets U.N. Envoy to Iraq Jeanine Hennis-Plasschaert in Erbil, December 20, 2020. (KRG)

SULAIMANI (ESTA) — Kurdistan Regional Government (KRG) Prime Minister Masrour Barzani accused the federal government of using the Region’s share of the federal budget as a “political tool” against people.

Barzani met with Special Representative of the U.N. Secretary-General for Iraq Jeanine Hennis-Plasschaert in Erbil on Sunday, KRG said in a statement.

The two sides discussed the latest developments in the region and ongoing talks between Baghdad and Erbil, according to the statement.

PM Barzani reiterated the KRG’s commitment to resolving disputes with the federal government within the framework of Iraqi constitution.

“The Prime Minister warned that Erbil’s share of the federal budget is being used as a political tool against the people of the Kurdistan Region,” Barzani was quoted as saying.

Barzani also called on the United Nations to help Erbil reach a “constitutional agreement” with Baghdad.

A KRG delegation led by Deputy Prime Minister Qubad Talabani has been in Baghdad since December 9 in an effort to reach a final agreement with the federal government over their suspending issues.

On Saturday, Iraqi Finance Minister Ali Allawi said Baghdad and Erbil has reached a deal over the federal budget for fiscal year 2021.

He also said the federal government’s officials and the KRG delegation continued negotiations on the Region’s financial entitlements for 2020.

During a televised interview with Dijla channel broadcast on Friday, Talabani said he was “optimistic” that the KRG would reach a deal with Baghdad over the Region’s rights and financial entitlements.

The Kurdish official further said the upcoming election scheduled for June 2021 has made an “unhealthy political situation” in Iraq.

“There is political pressure on all parties. The process of negotiations with Baghdad to resolve all the issues is not easy,” Talabani added.

Talabani added that the KRG is ready to abide by the fiscal deficit financing law, adopted by the Iraqi Council of Representatives last month, without Kurds’ consent.

The law commits the Kurdistan Region to hand over non-oil revenues and an amount of oil that SOMO indicates to the federal government in exchange for an amount of money as payment for the Region’s public servants.

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