Iraq’s governorates reject 2019 draft budget
Iraq's 2019 draft budget is the target of major criticism by the Iraqi governorates and Kurdistan Region for not fulfilling their needs and demands.
Iraq’s draft federal budget for 2019, which parliament has yet to pass, ignited major disapproval among the country’s political parties, as well as in the governorates and the Kurdistan Region of Iraq.
The southern governorates, mainly Basra, believe that the budget allocations are unfair, particularly since the Basra governorate is desperately in need of services. The Iraqi governorates that have been liberated from the Islamic State (IS) and that continue to witness the effects of such devastation have also firmly opposed the budget allocations.
Following dwindling oil prices, the war against IS and the subsequent years of austerity, the proposed budget for 2019 is considered “explosive” due to the huge sums involved: It amounts to nearly $107 billion, with an estimated deficit of $19 billion.
Iraq’s oil revenues cover 88% of the draft budget. Oil prices are estimated at nearly $56 per barrel, and Iraq exports an average of 3.8 million barrels per day from its oil fields, including those located in the Kurdistan region.
