Iraq PM financial adviser warns recovered corruption funds cannot anchor budget

BAGHDAD, Iraq — Mazhar Mohammed Salih, financial adviser to the Iraqi Prime Minister, said funds recovered from corruption cases constitute non-recurring revenue and cannot be treated as a permanent source when drafting the state's general budgets. In remarks to the official Iraqi news agency, Salih described the money as a one-off income item that can support fiscal planning but should not be used to build the foundation of an annual budget under long-term financial policy. Salih said the recovered sums are typically directed toward closing budget deficits, financing specific projects that directly affect citizens' lives, or strengthening the country's financial reserves. He added that returning corruption proceeds to public finances reduces fiscal waste, supports the treasury, and reinforces confidence in the country's economic system among citizens, investors and the international financial community. The adviser nonetheless cautioned that recovered funds, while an important support tool for the national economy, are not a substitute for the general budget and remain tied to overall spending volumes and ceilings.