“The meeting focused on the political situation and recent developments both within the Kurdistan Region and across the broader area. The two also emphasized the importance of coordination among Iraqi parties to overcome crises, address instability, and resolve ongoing issues,” read a statement from Barzani headquarters.
“Relations between the Kurdistan Regional Government and the Iraqi Federal Government were another key topic of discussion,” it added.
Strengthening cooperation between the federal and regional governments was an issue discussed, according to a statement from Sudani’s office.
Sudani called for the swift formation of a new regional government, the statement added.
There is still no new government in place and the parliament has convened only once since the October 20 election. In its sole session on December 2, the legislature did not elect a speaker, deputy speaker, or secretary. No other sessions have been scheduled while they await a result from government formation talks between the Kurdistan Democratic Party (KDP) and Patriotic Union of Kurdistan (PUK) who came first and second in the election.
Sudani’s visit comes amid strained ties between Erbil and Baghdad over oil exports and often delayed payments of salaries for the Kurdistan Region’s civil servants. Their financial disputes have been ongoing for more than a decade.
The Iraqi government cut the Kurdistan Region’s share of the federal budget in 2014, after which Erbil began to export crude oil unilaterally and relied on these funds as its primary income. Low oil prices and the war with the Islamic State (ISIS), however, hit the government’s finances hard. Civil servants have borne the brunt of the government’s austerity measures. Their monthly salaries were frequently delayed or reduced and are now being paid by Baghdad.
The unpaid salaries crisis in the Kurdistan Region has been aggravated the past two years following the suspension of Kurdish oil exports in March 2023 as the result of a court ruling in favor of Baghdad that Ankara violated a 1973 pipeline agreement by allowing Erbil to export oil independently.
Negotiations between Iraqi and Kurdish officials, along with international oil companies operating in the Kurdistan Region, have yet to reach a conclusion. The oil companies demand payment guarantees and contractual security, Baghdad insists on federal oversight, and Erbil seeks a resolution that safeguards its economic interests.
