Iraqi FM tackles finance, KRG oil with US diplomat
Shafaq News - Baghdad
Iraqi Deputy Prime Minister and Foreign Minister Fuad Hussein met on Thursday with Steven Fagin, the Chargé d’Affaires at the US Embassy in Baghdad, to discuss ongoing financial disputes with the Kurdistan Regional Government (KRG), as well as the management of oil fields located within the Kurdistan Region.
According to a statement from the Iraqi Ministry of Foreign Affairs, the two sides reviewed the latest political developments in Iraq, with particular attention to the relationship between Baghdad and Erbil and the financial challenges tied to that relationship.
The talks also touched on the status of US companies operating in the Kurdistan Region and the broader issue of oil governance in the area. Minister Hussein emphasized the need for “practical solutions that ensure fair management of national resources and deliver benefits to all Iraqis.”
He also reaffirmed the Iraqi government’s commitment to strengthening cooperation with the United States across various sectors and supporting political and economic stability in the country, in line with shared national interests.
Tensions between Erbil and Baghdad have escalated sharply following the Iraqi Ministry of Finance’s decision to halt salary disbursements for the Kurdistan Region’s May 2025 payroll. The ministry cited the KRG’s alleged failure to remit both oil and non-oil revenues to the federal treasury and exceeding its budget allocation.
