Kurdish Policy Analysis

By Dr. Pshtiwan Faraj | Kurdish Policy Analysis Iraq faces a deep financial crisis as falling oil revenues and regional conflict threaten public sector salaries, exposing decades of economic mismanagement. For years, Iraq appeared financially secure. Soaring oil prices generated extraordinary state revenues, at times exceeding $150 billion annually , giving successive governments an opportunity to diversify the economy, strengthen financial institutions, and prepare for future crises. Today, however, Iraq finds itself confronting an unsettling question that few imagined would arise during years of record oil income: Will the government still be able to pay the salaries of its public employees? That question is no longer theoretical. A significant number of public sector employees have yet to receive their July salaries as Iraq grapples with one of its most severe financial crises in years. The immediate trigger has been the regional conflict following the outbreak of war between ...

  By Dr. Pshtiwan Faraj | Kurdish Policy Analysis   From oil revenues and public salaries to infrastructure spending and fiscal politics, here's how Iraq's federal budget is designed—and why it shapes every aspect of the country's economy. A comprehensive guide to how Iraq's federal budget works, including oil revenues, expenditure, budget preparation, ministries, and financial governance. How Iraq's Budget Works Every year, Iraq's federal budget becomes the country's most important political and economic document. It determines how nearly every dinar generated from oil exports will be collected, distributed, and spent. It decides how many teachers, soldiers, doctors, and civil servants will be paid, which infrastructure projects will move forward, and how much funding will be allocated to provinces, the Kurdistan Region, and state-owned enterprises. In Iraq, the budget is more than an accounting exercise—it is a reflection of political compromise, economi...

How Corruption, Party Rivalry, Economic Crisis, and Institutional Decay Are Testing the Future of the Kurdistan Region By Dr. Pshtiwan Faraj Political legitimacy in Iraq's Kurdistan Region is under growing pressure as corruption, economic crisis, governance failures, and party rivalry deepen public frustration. Governance Without Legitimacy: Is Iraqi Kurdistan Entering an Era of Political Stagnation? For decades, the Kurdistan Region of Iraq (KRI) was widely regarded as one of the Middle East's most successful experiments in autonomous governance. Following the 1991 uprising and the establishment of a protected zone under international protection, Iraqi Kurdistan developed institutions, attracted foreign investment, and projected itself as a relatively stable alternative to the turbulence affecting much of Iraq. Today, however, that narrative is facing increasing scrutiny. Political fragmentation, recurring fiscal crises, delayed public-sector salaries, declining public ...

By Dr. Pshtiwan Faraj | Kurdish Policy Analysis Iraq's anti-corruption campaign is entering a new phase. Authorities have launched financial audits into the Green Zone and the Rixos Hotel, signaling increased scrutiny of high-profile investment projects and alleged public fund embezzlement.   Iraqi political and economic centers are facing a new wave of financial reviews and audits after informed government sources said government committees intend to review investment cases involving suspected embezzlement of public funds. At the forefront of these expected investigations is the case of the seizure of important strategic land in the green zone of central Baghdad, which was sold at very low prices, most of which were reportedly given to Khamis Khanjar, leader of the Siyada coalition. The luxury hotel project "Rixos Baghdad" is at the forefront of this hot file and the committees are investigating it. A government source said the investigation will expand to include other ...