Ambiguity Surrounds Iraq's Budget with Expectations of Postponement to Next Year

The general budget file in Iraq faces severe ambiguity amid current financial challenges and fluctuating oil revenues, coinciding with ongoing political divergence over spending priorities. The proposed options oscillate between approving a mini-budget or postponing the entire file to next year. Parliamentary sources clarified that the features of the budget are not yet clear, noting that the incomplete formation of the government hinders the referral of the draft law to the relevant parliamentary committees. The sources added that the country is experiencing one of its most difficult financial situations in decades, affected by geopolitical tensions in the Gulf region and the Strait of Hormuz, which have cast a shadow over more than 90% of Iraqi oil exports. Observers suggest that the budget approval will likely be postponed to the coming year if these financial and political complications persist.