Shafaq News / On Saturday, the Prime Minister of the Kurdistan Region, Masrour Barzani, expressed his concerns about the possibility of Iraq getting involved in the ongoing regional conflict.

On the second day of the Peace and Security in the Middle East forum held in Duhok, PM Barzani said, "There is no doubt that we are concerned" about the Israeli threats to Iraq, adding, "We do not want Iraq to become involved in this ongoing war in the region.”

He emphasized that “Iraq should play a constructive role in supporting peace and bridging differences between the conflicting parties, not fueling the flames of war or complicating issues and crises, as this does not serve the interests of the Iraqi people,” adding, "The Iraqi government must prioritize the interests of its people."

As the Iraqi Islamic Resistance (IRI), an umbrella group of Iran-backed armed factions escalated its military actions against Israel, Israeli Foreign Minister Gideon Sa’ar blamed Iraq for the situation, asserting Israel's right to self-defense. In response, Iraqi Commander-in-Chief Mohammed Shia Al-Sudani ordered a crackdown on unauthorized military activities following Israeli threats against Iraq.

A government source revealed US pressure on Iraq to prevent armed factions from launching attacks on Israeli targets from Iraqi territory, warning that Israel might respond within Iraq. Israeli media reported that Israel’s strategy against Iraq could involve targeting infrastructure and key figures within Iran-backed Iraqi militias, particularly as these groups have supported Palestinian resistance efforts in Gaza.

In another context, the Kurdish Prime Minister also expressed concern over Iraq's reliance on oil as the country's sole source of income, stating that this is always problematic due to the volatility of oil prices.

He continued, "Here in the Kurdistan Region, we have worked to diversify the economy and income sources. Iraq should also do this and not rely solely on oil as a source of income."

Iraq, the second-largest oil producer in OPEC, heavily depends on oil revenues. The hydrocarbons sector makes up the majority of export earnings and about 90% of government income. This heavy reliance leaves Iraq highly exposed to changes in global oil prices.

Further, Masrour Barzani pointed out that the suspension of the Kurdistan Region's oil exports has caused the Iraqi state treasury to lose 20 billion dollars so far, stressing that the Iraqi government has not compensated us and the sending of employees' salaries is delayed every month by Baghdad.

Notably, the Kurdish government has faced significant challenges in meeting the timely and complete payment of salaries to its civil servants for the past decade. This financial strain intensified following a ruling by a Paris-based arbitration court that suspended the KRG's oil exports to international markets a year ago, exacerbating its financial crisis.

As a result, the KRG has been heavily reliant on local income sources and its allocated share from the federal budget, which has been a subject of controversy. Despite efforts to manage its fiscal situation, the KRG has consistently struggled to meet its salary obligations.