Iraqi lawmaker says budget at saturation, state cannot sustain new hiring

BAGHDAD, Iraq — Ammar al-Hakim, head of the National State Powers Alliance, said Iraq's general budget has reached a saturation point and the state no longer has the capacity to approve new appointments. Speaking at a press conference at the end of a visit to Diwaniyah, al-Hakim said more than 8 million people receive salaries or financial assistance, including civil servants, retirees and those covered by the social safety net, placing a heavy burden on the state budget. Al-Hakim said the government's employment policy is unsustainable in its current form and called for the creation of genuine, productive private-sector jobs. He argued that the Coordination Framework's decision to nominate Prime Minister Ali al-Zaydi was driven largely by al-Zaydi's private-sector background and business ties. He added that the proposed $250 billion development fund represents a step toward strengthening the private sector and shifting Iraq's economy from an importer to a producer. No further details on the fund's implementation timeline were immediately available.