PUK Lawmaker: Oil Export Resumption a Step Toward Solving Salary Crisis

Economy 11:54 AM - 2025-09-28

The moment Iraq–Türkiye pipeline was reopened, 27 September 2025.

The resumption of the Kurdistan Region's oil exports through the Iraq–Türkiye pipeline is a key step toward addressing long-running financial disputes between Erbil and Baghdad, particularly the delays in disbursing salaries for public employees in the Region, a Patriotic Union of Kurdistan (PUK) lawmaker in the Iraqi Parliament confirmed on Sunday, 28 September 2025.

PUK lawmaker Karim Shukr told PUKMEDIA: “The resumption of the Kurdistan Region’s oil exports is an important step toward resolving the outstanding financial issues between the Kurdistan Regional Government (KRG) and the Iraqi federal government, particularly the delay in disbursing salaries to public employees in the Kurdistan Region.”

He noted that the Iraqi Ministry of Finance is expected to release July salaries this week, with efforts underway to ensure the remaining months of 2025 are covered.

Shukr further stressed that Kurdish blocs must work diligently during discussions on the 2026 Iraqi budget law to guarantee the Region’s entitlements are fully included, not limited to salaries. He pointed to the most recent census, conduct late last year, which confirmed that the Kurdistan Region accounts for more than 14% of Iraq’s total population, as a basis for fair budget allocations.

190,000 Barrels per Day for Now

Iraqi Oil Minister Hayyan Abdul Ghani confirmed that the Kurdistan Region’s oil exports currently stand at 190,000 barrels per day.

“A tripartite agreement was signed between the Iraqi Ministry of Oil, the KRG’s Ministry of Natural Resources, and the companies operating in the Region’s producing fields to deliver 180,000–190,000 barrels per day to the Ministry of Oil, while reserving 50,000 barrels for domestic refineries,” Abdul Ghani said, noting the agreement went into effect on Saturday.

He added that crude was successfully pumped to the receiving point near Fish Khabur on the Iraqi-Turkish border, marking the official resumption of exports.

The Kurdistan Region’s oil exports had been suspended on 25 March 2023, following a ruling by the International Chamber of Commerce tribunal in Paris, which found that Türkiye had breached a 1973 pipeline transit agreement by allowing the KRG to export crude independently of Baghdad.

Since then, KRG delegations have conducted around 50 visits to Baghdad to resolve the impasse, culminating in the signing of the tripartite agreement last week.

Under the deal, the Kurdistan Region will produce 280,000 barrels of oil daily. Of this, 50,000 barrels are allocated for domestic consumption, while 230,000 barrels are delivered to Iraq’s State Oil Marketing Organization (SOMO) for export via the Turkish port of Ceyhan. However, the Region’s current production capacity is limited to 180,000–190,000 barrels daily due to drone attacks on its oil fields last summer.

Disputes between Baghdad and Erbil over the Kurdistan Region’s federal budget share have persisted for years, directly affecting the payment of public sector salaries. Over the past eight months, the federal government has transferred funds for only six salary payments in the Region.



PUKMEDIA