Baghdad and Erbil Reach Deal on Kurdistan Region Civil Servants' May Salaries

Baghdad and Erbil have reached an agreement on the May salaries of civil servants in the Kurdistan Region, ending the latest payment dispute. The Federal Ministry of Finance has approved the disbursement for this month, clearing the way for the funds to be transferred. The allocated amount is expected to be deposited tomorrow into the financial account of the Kurdistan Region’s administration in Iraq, after which the salary list is expected to be published. The Region’s Finance Ministry said distribution will begin immediately once the payment is credited and will continue during the Eid holiday. Although four conditions had previously been set for salary financing, the fact that they were not all met did not prevent payment this month. The development removes an immediate source of tension over public-sector wages in the Region. The Kurdistan Region’s administration also said it will send non-oil revenues to Baghdad after the end of May. That commitment remains part of the financial understanding between the two sides.