Iraq’s PM: Spending rises amid budget deficit
Shafaq News – Baghdad
Iraqi Prime Minister Mohammed Shia al-Sudani on Friday said there is a rise in government spending alongside the budget deficit.
During a meeting with tribal leaders, clerics, academics, and community figures from southern Baghdad, al-Sudani said that Iraq cannot rely solely on oil revenues in the long term, noting that oil remains vulnerable to price fluctuations and regional instability.
“The state spending in 2024 amounted to 150 trillion dinars (approximately $115B) out of a total budget of 220 trillion dinars (approximately $169B),” al-Sudani stated, adding that his government is committed to “implementing reforms across various sectors, in a way that wouldn’t affect limited-income citizens.”
He also revealed that his government inherited 2,582 stalled projects worth 131 trillion dinars (Approximately $101B), some dating back to 2005.
According to official data, Iraq’s total revenues in the federal budget for the first half of 2025 exceeded 65 trillion dinars ($49.4B), with oil maintaining a dominant 89% share despite a slight decline in its contribution.
