Iraq’s Ministry of Finance has released the July salary allocation for employees and other salary recipients in the Kurdistan Region.
A source at the Kurdistan Region’s Ministry of Finance said that Baghdad transferred around 841 billion Iraqi dinars for the July salary payments.
The transfer covers part of the Kurdistan Region’s salary requirements for the month. Officials now expect the regional government to complete the remaining procedures before starting distribution.
The Kurdistan Region’s Ministry of Finance may publish the salary schedule on Monday if all transfer procedures finish on time.
The ministry could begin salary distribution on Tuesday. Officials expect the process to continue for around three days.
Most salary recipients now receive their payments through digital banking systems. Around 950,000 employees and other beneficiaries have already collected MyAccount cards.
More than 900,000 salary recipients currently withdraw their salaries through ATMs, showing the growing use of digital salary payments across the region.
The July salary allocation remains below the amount required to cover the region’s full salary bill.
The Kurdistan Region expected Iraq’s Finance Ministry to provide around 961 billion dinars for July salaries. However, Baghdad deducted 120 billion dinars from the allocation because of the Kurdistan Region’s non-oil revenues.
As a result, the federal ministry transferred around 841 billion dinars for the month.
The shortfall means the Kurdistan Regional Government must use domestic revenues to cover the remaining salary requirements.
This arrangement has continued in recent months as Erbil and Baghdad work through their financial disagreements. More than 900,000 salary recipients will receive their payments through the MyAccount system this month.
Meanwhile, the Kurdistan Regional Government also funds the salaries of 86,731 contract teachers and employees through domestic revenues.
These workers could again face delays because the government must prioritize domestic income to cover gaps in the salaries of permanent public-sector employees.
The latest federal transfer therefore represents an important step toward completing July salary payments. Once the regional government receives and processes the funds, officials expect the distribution process to begin quickly.
Authorities plan to complete most payments digitally, continuing the government’s transition away from cash-based salary distribution.
