Despite a court mandate nearly six months ago, the Kurdistan Regional Government (KRG) has yet to implement the nationalisation of public salaries in the Kurdistan Region. The Supreme Federal Court ruling requires the KRG to hand over all revenues to Baghdad and cooperate in paying salaries through electronic disbursements via Iraqi public banks.
An Iraqi lawmaker, Soran Omar Saeed, revealed that the KRG is not ready to comply with the court’s decision, causing delays in the process. The KRG’s alternative, called ‘My Account’, is met with resistance from employees who fear it could be used for political pressure and unauthorized salary deductions.
The financial and political tensions between Baghdad and Erbil have further complicated the salary payment issue. The KRG’s reliance on Baghdad for timely payments has become more pronounced, especially after interruptions in oil exports to Turkey.
As the KRG continues to delay implementation, pressure is mounting to adhere to the court’s decision and stabilize the region’s financial operations. The federal government’s push for electronic payment systems through national banks is seen as a vital step in ensuring financial stability in the Kurdistan Region.
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