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Baghdad Erbil Relations Progress as Oil and Budget Talks Advance

The Baghdad and Erbil relations progress continues as both governments work to resolve long-standing disputes. Recently, talks have centered on oil exports, budget allocations, and the formation of a new cabinet in the Kurdistan Region.

Essentially, officials from Erbil and Baghdad have met regularly in recent weeks. They have emphasized dialogue and compromise as key tools for easing tensions. Encouragingly, both sides have shown political will to find lasting solutions.

Notably, one of the central issues under discussion is oil. Erbil is seeking clarity on the export mechanism and revenue-sharing terms. In response, Baghdad has indicated a willingness to review existing frameworks, provided that legal and financial transparency are ensured.

In addition, budget allocations remain a top priority. Kurdish officials have requested consistent monthly payments from the federal budget. To address this, Baghdad has acknowledged the concern and proposed forming technical committees to evaluate funding formulas.

Furthermore, the Baghdad-Erbil relations progress also includes political coordination. Discussions have touched on the formation of the next Kurdistan Regional Government (KRG) cabinet. From Baghdad’s perspective, inclusive governance in Erbil is essential.

Moreover, both governments are exploring joint infrastructure and economic development initiatives. These projects aim to improve services and promote economic growth in disputed and underserved areas.

Importantly, officials on both sides have praised the tone of recent meetings. They described the atmosphere as constructive and cooperative. Although challenges remain, the ongoing dialogue has created a foundation for trust-building.

Meanwhile, international observers have welcomed the progress. Diplomats from the U.S. and the EU have encouraged both sides to maintain open communication and avoid unilateral decisions.

Looking ahead, more talks are expected in the coming weeks. Technical teams will continue reviewing oil data, legal texts, and budget plans. Ultimately, the focus will remain on finding balanced and transparent solutions.

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