Baghdad and Erbil agree on unified digital customs system across Iraq

BAGHDAD, Iraq — Iraq's federal government and the Kurdistan Regional Government have agreed to fully implement the digital ASYCUDA customs system at border crossings, with non-oil border revenues to be split equally between the two administrations. The deal follows months of budget and revenue-sharing talks between Baghdad and Erbil, tying financial oversight at the border gates to a joint mechanism. The Iraqi Council of Ministers approved the principles of the agreement during a meeting with a Kurdistan Region delegation and decided to establish technical working groups to begin implementation. Officials said the system would increase transparency in customs procedures and help curb informal trade. The framework is intended to prevent the payment disputes that have strained relations between Baghdad and Erbil in previous years. Both sides will set up a joint monitoring mechanism to track implementation of the accord. No further details on the rollout timeline were immediately available.