It appears that the Kurdish citizen has become accustomed to witnessing crises, as the ongoing economic crisis since 2014 resurfaces periodically without any fundamental solutions on the horizon. After a temporary relief in salary disbursement and the joy during the last Eid al-Fitr, when Kurdish employees received their salaries for February and March within a week, the crisis has struck the region's cities and main markets again. There is still no specific date for the salary disbursement for April, with the Kurdistan government blaming its counterpart in Baghdad and the latter holding Erbil responsible.
The spokesperson for the Ministry of Finance in the Kurdistan Regional Government (KRG), Honor Jamal, confirmed that the ministry had sent all details to Baghdad. Jamal stated in an interview with "Baghdad Today," “The Ministry of Finance in the Kurdistan government provided the payroll lists over a week ago, and the delay in sending the salaries is due to Baghdad.” He added, “We have shown full readiness to deliver non-oil revenues, but the Iraqi government should not delay sending the salaries as this concerns the fate and life of the citizens.”
He indicated that the changes made to the payroll lists for April were not significant, and they hope that salaries will be sent as soon as possible, noting that their lists and schedules are ready, just waiting for the funds to release the payments. Former financial committee member Ahmad Haji Rashid holds the Kurdistan government responsible for the delay in salary disbursement. Haji pointed out in his remarks to "Baghdad Today" that “The Kurdistan government has no intention to resolve the crisis and is procrastinating; if it truly wanted a solution, it would have facilitated the process of salary disbursement through federal banks.”
He noted that “The agreement was in place and functioning properly, but changes were made to the payroll lists for April by the Kurdistan government, which delayed the finalization of salary payments and their transfer by Baghdad.” The scene of governmental departments striking in Sulaymaniyah and its outskirts has resurfaced, with employees of the Social Security Department going on strike due to the delay in salary payments.
After a brief economic revival in the markets of Sulaymaniyah and Erbil, the scene of stagnation returns, with several traders and shop owners complaining about the lack of customers, which severely impacts market activity that has once again come to a standstill. The Federal Court had ruled on February 21, 2024, obliging Prime Minister Muhammad Shia al-Sudani and the Kurdistan Regional Government Prime Minister Masrour Barzani to localize the salaries of Kurdistan employees at the widespread outlets in the region or the banks authorized by the Central Bank of Iraq, which should be deducted from this year's budget for the region and future years.
The Federal Court also obligated the Iraqi government to release funding for the region’s salaries after localizing them and not to finance employee salaries through loans, in addition to requiring all regulatory bodies to audit the data of Kurdistan's employees. The court emphasized the obligation to submit the monthly budget for the region's employees to the federal Ministry of Finance, and that the decision to localize the salaries of Kurdistan's employees is final and binding.
