Salaries Ignite Numerical Dispute Between Iraqi Parliament and Finance Ministry

A renewed debate has emerged in Iraq over salaries, after a lawmaker questioned the accuracy of figures released by the Ministry of Finance regarding employee compensation, pensions, and social grants, warning of a monthly fiscal gap that could undermine financial stability.

The lawmaker argued that officially published data indicate actual monthly spending on salaries and benefits exceeds the announced figures, noting that once additional obligations such as debt interest and repayments are included, the real outlays are significantly higher, resulting in a monthly deficit of up to two trillion dinars.

He cautioned that continued spending under the current framework could deepen the deficit if the full budget plan is implemented, urging the Finance Ministry to move beyond denying figures and instead adopt concrete policies to boost non-oil revenues and rationalize expenditures, particularly those related to salaries.

The Finance Ministry, however, maintained that monthly spending on wages, pensions, and social protection is capped at six trillion dinars, arguing that the amounts described as a deficit are part of the normal cash flow cycle tied to oil revenues allocated for subsequent salary payments.