Erbil-Baghdad Salary Deal Nearing Finalization; Oil Export Mechanism Key to Agreement

  Erbil-Baghdad Salary Deal Nearing Finalization; Oil Export Mechanism Key to Agreement

KRG and Baghdad near deal to resume oil exports and release delayed salaries. A KRG delegation met with top Iraqi officials, including Oil Minister Abdul-Ghani. Baghdad may release May salaries this week; debt to oil firms and export terms remain key issues.

 The Kurdistan Regional Government (KRG) and the federal government in Baghdad are reportedly on the verge of reaching a pivotal agreement that could pave the way for the disbursement of delayed salaries to public sector employees in the Kurdistan Region as early as this week.

According to a well-informed source familiar with the high-level negotiations, a senior KRG delegation has been in Baghdad for three consecutive days holding crucial meetings with Iraqi government officials.

The source, speaking to Kurdistan24’s Dilan Barzan, stated: "A high-level KRG delegation has been in Baghdad for three days and has held a series of top-level meetings with Iraqi government officials. As of 1:00 PM today, Monday, June 30, 2025, the KRG delegation is scheduled to meet with Iraq’s Oil Minister, Hayan Abdul-Ghani, at the Council of Ministers."

One of the central issues under discussion is the mechanism for resuming oil exports from the Kurdistan Region, which were halted following a 2023 ruling by the Paris-based International Court of Arbitration.

The same source told Kurdistan24 that while "Erbil and Baghdad have reached a mechanism for exporting Kurdistan’s oil," several outstanding points of disagreement remain. Nonetheless, expectations are high that a comprehensive agreement will be reached during Monday’s meetings.

Under Iraq’s general budget law, the KRG is required to deliver 400,000 barrels of oil per day to Iraq’s state marketing company, SOMO. However, the current negotiations appear to have adjusted these terms.

The Kurdistan24 source noted: "About 280,000 barrels are to be delivered to SOMO daily, and the remaining 120,000 barrels are to be allocated for internal consumption by both Iraq and the Kurdistan Region."

A major hurdle yet to be resolved is the significant debt owed to oil-producing companies operating in the Kurdistan Region. This debt—estimated to be close to $1 billion—has become a critical issue following the aforementioned court ruling.

"This debt became a sticking point after a 2023 ruling by the Paris International Court. It is hoped that today’s meeting will also resolve this issue, as the companies are unwilling to resume oil exports without first being repaid," the source said.

Meanwhile, optimism remains high that the progress achieved thus far will translate into immediate economic relief for civil servants in the Kurdistan Region.

Sabah Sobhi, a member of the Iraqi Parliament’s Oil and Gas Committee, confirmed to Kurdistan24: "Tomorrow, Tuesday, July 1, 2025, the Iraqi Council of Ministers is scheduled to convene. It is expected that a decision will be made during the meeting to release the salaries of Kurdistan Region employees, with payment for the month of May to be issued by the end of this week."

The potential breakthrough comes after months of tension and repeated negotiations over oil revenue sharing, salary payments, and administrative control, which have strained relations between Erbil and Baghdad. If finalized, the agreement could mark a significant step forward in stabilizing financial relations between the two governments and alleviating public discontent in the Kurdistan Region.  link

SUMMARY: Dinar: Dr. Shabibi answering revaluation and redenomination questions

 SUMMARY: Dinar: Dr. Shabibi answering revaluation and redenomination questions

Date: Abril 19, 2011

Location: US Chamber of Commerce Washington, DC

🌍 Iraq’s Economic Outlook

The Central Bank of Iraq is carefully evaluating the future of the Iraqi dinar. While there are questions about a potential revaluation, the top priority remains controlling inflation and maintaining economic stability.

📈 Inflation and Stability

Inflation has slightly increased from 2–3% to around 5%. Although still manageable, the central bank is closely monitoring it to protect purchasing power and public confidence.

🔄 Revaluation?

Whether to revalue the currency depends on multiple factors: inflation, trade balance, and overall macroeconomic stability. It's not a decision taken lightly.

💵 Removing Zeros?

A redenomination is being planned to remove three zeros from the dinar. This does not mean devaluing the currency—it’s meant to simplify daily transactions and accounting.

🕰 Why So Many Zeros?

In the 1980s, high inflation forced Iraq to add zeros to its currency. Now, with a more stable economy, it’s possible to modernize the currency system by removing them.

🤝 A Complex Process

This change requires coordination among the government, security forces, and a strong public education campaign. Everything must be clearly communicated to avoid confusion or mistrust.

📢 Clear Communication

Public awareness is critical. People need to understand this is a technical change, not a sign of economic weakness. It’s a move toward a more efficient and modern system.

⏳ No Fixed Date

While the decision has been made, no exact timeline has been set. The government is waiting for the right economic and political conditions to implement the change properly.

---

✅ Conclusion

Iraq is preparing for an important monetary update. With inflation under control and a more stable economy, removing zeros aims to make daily financial activities easier without affecting the currency’s real value. It’s a technical step forward—but it must be done with care, planning, and transparency.

@DINARREVALUATION

@DinaresGurus

https://dinarevaluation.blogspot.com/2025/04/dr-shabibi-answering-iraq-revaluation.html

A2Z UPDATE : Trigger groups have been activated and are receiving funds!!! #iraq #iraqidinar

 

After being withdrawn for security reasons, a portion of the US embassy staff in Baghdad has returned.

   After being withdrawn for security reasons, a portion of the US embassy staff in Baghdad has returned.

 A portion of the US embassy staff in Baghdad has returned to work after being temporarily evacuated due to security concerns surrounding the war between Israel and Iran.

 A video recording on Saturday showed two helicopters landing at the US embassy compound in the Green Zone in central Baghdad, with a number of employees disembarking from them.

On June 12, the day before the outbreak of the 12-day war between Israel and Iran, the US State Department ordered the withdrawal of non-essential staff from its embassy in Baghdad and its consulate in Erbil.

A US official confirmed that additional personnel were withdrawn later on June 21 and 22.

 On June 21, the US Embassy in Baghdad warned its citizens against traveling to Iraq for any reason.

She explained that both the embassy in Baghdad and the consulate in Erbil have temporarily suspended routine visa services, but remain open for consular services to US citizens.

Some news websites close to armed factions in Iraq had previously reported that all US embassy staff had left the embassy compound last Friday.  link

TIDBIT FROM FRANK26: The fear of Iran is gone!!!!

  Frank26  

Trump quickly removed Iran and you quickly had security and stability [In Iraq] for one reason only...a new exchange rate IMO. 

 You should see who has dinars.  The fear of Iran is gone. 

 This bombardment we thought was going to create spillage into your country and maybe mess up the monetary remove, never under the command of Donald Trump.  Donald Trump wants America to get repaid.

WALKINGSTICK: this will be all done by the end of the 2nd quarter!! #iraqidinar #iqd

 

“Development Road"... The First Direct Freight Transport Through Iraq

 “Development Road"... The First Direct Freight Transport Through Iraq

 
Economy    2025-06-28 | Source:  Russia Today   8,755 views Istanbul, Turkey, hosted a ceremony to launch truck transport operations between Turkey, Iraq, Kuwait, Germany, and Jordan.

The ceremony was held on the sidelines of the Global Transport Corridors Forum,
held at the Istanbul Congress Center.  Agency reported Anadolu that  the transit route through Iraq had been closed to transportation since 2003,preventing transit through Iraq.

 She added that with Baghdad implementing the truck system, the transit route was opened,
with three vehicles departing on June 25 to transport goods to Kuwait via Iraq,
marking the first direct shipment to Kuwait in 22 years.
 
Since the transit route through Syria has been closed since 2011,
direct land transport to Jordan has not been possible. 

The agency noted that on June 27, 2025, a vehicle carrying goods from Germany was transported to Jordan via the Turkey-Iraq route,  marking the first direct land transport to Jordan in 14 years.
 
Speaking at the ceremony,
Turkish Minister of Transport and Infrastructure Abdulkadir Oraloğlu said
 
they want trucks to travel by land     from Turkey to Iraq,     then Kuwait and Jordan
r-unique-id="83" style="max-width: 100%;" />as the first stage of the "development road." 

He added,  "We have made a preliminary start.
This is a rehearsal for the development path.
 
We will have implemented the initial project to maintain the vitality of the corridors.
 
We will track the trucks departing from Türkiye."
 
For his part, Nasser Al-Asadi, advisor the Iraqi Prime Minister's on transportation,
said his country seeks to connect the East and West through its territory. He added,
 
"We fully support the development path and congratulate Türkiye.]

This is the first step, and we await the next steps."
 
The "Development Road" is a land and railway route extending from Iraq to Turkey and its ports.
 
It   is 1,200 km long inside Iraq and
     aims to transport goods between Europe and the Arab Gulf states.     
  
https://www.alsumaria.tv/news/economy/531639/طريق-التنمية-أول-نقل-مباشر-للبضائع-عبر-العراق  

Popular Satisfaction
 
Economic 06/30/2025  Yasser Al-Mutawali  It seems that the agricultural policy in Iraq has achieved good results in the field of providing agricultural crops, especially vegetables, in good abundance and at prices suitable for all segments.
 
This is what I have witnessed with my own eyes and touch as I observe and look on my way to the fruit and vegetable markets, and I see satisfaction on the faces of shoppers regarding the    products and   prices  in the conversations of men and women during the current season,  despite some variation in prices between one seller and another. 

However, overall, the prices are acceptable to the consumer on average.
 
It is noteworthy that the 
limited-income segments are happy with this achievement when shopping and
they see an increase in the level of shopping on their part.
 
Instead of buying half a kilo of tomatoes, cucumbers, or eggplant,
the purchase has increased to more than a kilo,
which indicates the possibility of purchasing power in the family budget.
 
To get more items.
 
It confirms the truth of what I have gone to, that there is relief
 
Drawn on faces
 
My focus here is on low-income groups, as they are the true indicator of the level of satisfaction with prices.
 
This is because the demands of well-off families remain in acquiring a surplus of what they need,
according to their purchasing power, and this is the reality.
 
This phenomenon indicates the Sudanese people's support and interest in the agricultural sector, as
they are from this class decline first, and
then their specialization as agricultural engineers and their reliance on expert advice.

Veteran Farming.
 
On the other hand, the government's wise policy in dealing with the water issue with neighboring Türkiye has achieved  a somewhat acceptable water level to cover the farmers' water quotas.
 
In addition to the unlimited support for the agricultural sector, both agricultural and irrigation,  
it has had a positive impact on the country's agricultural policy in achieving a balance between imports and local production.
 
We expect agriculture to have a bright future if it continues to achieve this balance,
achieving reasonable prices for consumers, producers, and intermediary sellers.
 
Perhaps one of the results of the development in agricultural policies,
which is a reflection of the unlimited support from the government,
is the increase in the rate of production of strategic crops (wheat, barley, corn, and other crops).
 
Fodder and barley.
 
It must be noted that this support has also been reflected in
     encouraging farmers and agriculturalists to adopt modern irrigation techniques, as well as
     agricultural mechanization,
which the government has supported the provision and importation of,
along with ongoing guidance programs on their uses.
 
We hope to maintain this happy model that   achieves food security and  brings joy to low-income groups in obtaining it. On her daily sustenance easily.      https://alsabaah.iq/116712-.html