Diyala demands $298M in overdue federal funds

Shafaq News- Diyala

Iraq's federal government owes Diyala province about 450 billion dinars ($298 million) in overdue funding, Governor Adnan Al-Shammari told reporters on Tuesday.

The province has not received its share of border crossing revenues since June 2025, with outstanding payments exceeding 120 billion dinars (about $79.5 million), in addition to regional development allocations, according to al-Shammari.

The governor said Diyala's local administration would continue pressing for the funds, citing the province's 50% share of border crossing revenues. He said the local government could not provide services without the funds.

Regarding the planned closure of the Mandali border crossing, al-Shammari said provincial officials would meet with the federal government on Wednesday to discuss the decision with the prime minister. “If the decision is based on economic considerations, it falls under federal authority. If it concerns a provincial matter, we will intervene to address it.”

Funding shortages previously halted work on the 90%-complete, 100-bed Mandali General Hospital in Diyala, intended to serve more than 60,000 residents, under Iraq’s 1/12 spending rule, which restricts funding for infrastructure projects.