Iraq’s financial reserves are expected to reach $40 billion in case the current fiscal year ends without enacting a budget law, according to Mazhar Muhammad Salih, advisor to Iraq’s Prime Minister Mustafa al-Kadhimi.
Local media reports quoted Salih as saying that “it is not possible to pass any law by the government before the executive authority completes its constitutional entity according to the results of 10-10-2021 elections.”
He added, “The recent Federal Court decision cut off the way even for the House of Representatives itself in discussing any bill unless it is passed according to the constitutional contexts, and from a government produced by the election results.”
He pointed out that “the caretaker government will work hard to support Iraq’s food security through the financial actions as determined by the current Financial Management Law No. 6 of 2019, the amended”.
Salih added that “the annual government spending in the general budget constitutes nearly half of the gross domestic product, which means that economic activity depends in its greatest weight on government spending”.