Iraqi Government Finally Approves 2026 Federal Budget Bill and Directs Immediate Disbursement of Development Allocations

The General Secretariat of the Iraqi Council of Ministers announced in an official statement today, Friday, that the Council of Ministers has finally approved the draft federal budget law for the fiscal year 2026. The approval took place during an extraordinary session chaired by Prime Minister Mohammed Shia' al-Sudani, which witnessed intensive discussions regarding the mechanism for distributing financial allocations among governorates. Consensus was reached on giving top priority to stalled projects in the electricity, water, roads, and bridges sectors. The official government spokesman stated that development allocations will begin actual disbursement starting next week, affirming that the government will not tolerate any party that delays in paying contractors' dues. He explained that the budget included an increase in health and education allocations by 12% compared to last year, aimed at responding to the urgent needs of citizens. The budget also included a special provision for supporting food security and enhancing the strategic reserve of grains. The spokesman referred to the Council's approval to establish an emergency fund worth 500 billion dinars to address natural disasters and sudden crises. The statement concluded by affirming that this budget reflects the government's vision in achieving sustainable development and combating financial and administrative corruption.