The Finance Committee in the Iraqi Parliament is studying a draft law to compensate for the absence of the federal budget for the current year, allowing the government to borrow internally and externally and provide a legal cover for public finances.
The head of the Parliamentary Finance Committee, Uday Awad, told the government newspaper “Al-Sabah” that the committee is examining the borrowing and grants law for the year 2026, with the aim of securing the necessary legal basis for managing the financial situation in the country.
Awad indicated that Parliament is working in cooperation with the government to approve the law to compensate for the absence of the budget, explaining that internal borrowing will be done through the Central Bank of Iraq, while external borrowing will be secured from friendly countries or the World Bank.
He pointed out that the proposal was discussed extensively with the Minister of Finance and executive officials, in preparation for its approval and granting the government the powers to secure funding sources and address the financial deficit.
