The Kurdistan Regional Government (KRG) Council of Ministers held a meeting to discuss the tripartite oil agreement and salary payments. Prime Minister Masrour Barzani chaired the session. Officials focused on resuming oil exports and financial coordination with Baghdad.
The Council reviewed a tripartite agreement involving the KRG, Iraq’s federal government, and international oil companies. The deal follows amendments to Iraq’s federal budget law and a cabinet decision to facilitate Kurdistan oil exports. The Ministry of Natural Resources submitted the signed agreement to the federal government, with all companies except DNO signing. Acting Minister Kamal Mohammad Salih said the Region is ready to implement the agreement once the Iraqi Ministry of Oil approves it.
Salih emphasized that all oil produced in the Kurdistan Region will be exported, except for the portion reserved for local consumption. The State Oil Marketing Organization (SOMO) will oversee exports under the joint framework. The KRG Council stressed that implementing the tripartite oil agreement is crucial for financial stability. The Council welcomed Baghdad’s approval of the deal and the release of July salaries, noting that August and subsequent payments will follow soon.
In addition, the Council addressed non-oil revenues and financial transfers to Baghdad. Ministers confirmed their readiness to comply with federal laws and court rulings. They instructed the Kurdistan Region’s Minister of Finance and Economy to transfer 120 billion Iraqi dinars in non-oil revenues for July. A joint six-member ministerial committee in Baghdad will coordinate the process and resolve outstanding issues.
Oil exports from the Kurdistan Region were suspended in March 2023 following an International Chamber of Commerce ruling. The court required Kurdish crude exports via the Ceyhan pipeline to receive Baghdad’s approval. Negotiations between Erbil, Baghdad, and oil companies have continued since then.
Officials said the tripartite oil agreement will unlock overdue civil servant payments, stabilize financial relations, and restore vital revenues to Iraq’s federal budget. The KRG Council reaffirmed its commitment to fulfilling obligations and securing salaries and entitlements for the people of the Kurdistan Region.