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Erbil and Baghdad Seal Temporary Oil Deal but Deeper Rift Remains

Foreign Minister Fuad Hussein confirmed that Erbil and Baghdad reached a temporary oil agreement. He stressed, however, that this deal does not solve the deeper constitutional conflict between both sides. Speaking in a televised interview, Hussein explained that the agreement only provides a short-term fix until the end of the year.

He clarified that the arrangement links oil handovers to salary payments for public employees in the Kurdistan Region. This practice, he noted, has been part of earlier budget laws and continues to shape current negotiations. While the deal ensures short-term stability, he underlined that next year the issue must be resolved differently.

The minister also criticized the Federal Supreme Court for interfering in the Region’s affairs. He argued that deciding which employee receives a salary is the role of the regional government, not Baghdad. Hussein added that these interventions emerged from Kurdish internal disputes that later reached the federal court.

Furthermore, he highlighted a major legal gap that keeps centralist laws in place. According to Hussein, many constitutional articles meant to guarantee federalism have never been turned into laws. This failure, he argued, forces Baghdad to rely on outdated legislation rooted in centralist traditions.

Hussein called for parliament to pass long-delayed laws, including the long-promised oil and gas law and the Federation Council law. Without these reforms, he warned, the same disputes will continue to block progress.

He concluded that cooperation between Erbil and Baghdad requires more than temporary fixes. A true solution, he emphasized, lies in federalism and respect for regional authority.

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