Shafaq News/ Dozens of civil activists protested on Wednesday in front of the United Nations building in Erbil, the capital of the Kurdistan Region, against the Iraqi Ministry of Finance for failing to send full salaries for government employees and private sector workers in the Region.

Shafaq News correspondent reported that the activists submitted a protest memorandum to the United Nations and several foreign consulates, including those of the US, France, the UK, and Italy, addressing the delay in paying employees' salaries in the Kurdistan Region.

In this regard, Rezkar Sheikh Ali, head of the International Peshmerga Organization, said in a press conference that the Iraqi government's delay in paying salaries “punishes the Kurdistan Region’s government and people,” calling the action “chauvinistic and intentional” by the federal government and officials like Finance Minister Taif Sami.

Moreover, Al-Sulaymaniyah province and its suburbs are witnessing widespread strikes in several institutions due to a two-month delay in salary payments.

Shafaq News' correspondent in the province stated that this delay, which affects Al-Sulaymaniyah, Halabja, and the independent administrations in Garmian and Raperin, has led many institutions to announce a work stoppage.

“The strike affected not only schools but also service institutions like the electricity and forestry departments, as well as the West Kurdistan Municipality and Garmian Administration, which suspended their operations,” he explained.

Salaries Dilemma

The issue of salaries for Kurdistan’s civil servants has long been a contentious and complex challenge. The Kurdistan Regional Government (KRG) has grappled with a severe financial crisis, worsened by the suspension of its oil exports in March 2023 following a court ruling on a dispute between Iraq and Turkiye.

In February 2024, Iraq's Federal Supreme Court ordered the KRG to provide detailed salary data to enable Baghdad to release the Region's share of the federal budget. However, delays in payments have persisted, with the KRG accusing Baghdad of irregular disbursements.

The court also mandated the "domicilization" of salaries, requiring KRG employees to open accounts in Iraqi state-owned banks. This measure aimed to improve payment transparency but has faced significant implementation challenges.

In September 2024, high-level delegations from Baghdad and Erbil met to address unresolved issues, including salaries. While Baghdad has since disbursed salaries to KRG employees, delays remain frequent, leaving the Region reliant on local revenues and its disputed 12.6% federal budget allocation.