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‘Oil-for-Salaries’ Deal Ends Dispute Between Baghdad and Erbil

Kurdistan Regional Government Prime Minister Masrour Barzani stressed the need to put an end to attacks on the region, particularly targeting oil fields (Reuters)
Kurdistan Regional Government Prime Minister Masrour Barzani stressed the need to put an end to attacks on the region, particularly targeting oil fields (Reuters)
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‘Oil-for-Salaries’ Deal Ends Dispute Between Baghdad and Erbil

Kurdistan Regional Government Prime Minister Masrour Barzani stressed the need to put an end to attacks on the region, particularly targeting oil fields (Reuters)
Kurdistan Regional Government Prime Minister Masrour Barzani stressed the need to put an end to attacks on the region, particularly targeting oil fields (Reuters)

The Iraqi federal government and the Kurdistan Regional Government (KRG) reached a landmark agreement on Thursday that ends a years-long dispute over oil revenues and public sector salaries.

The deal, announced following an emergency cabinet meeting in Baghdad, covers oil production handover, non-oil revenue sharing, and the resumption of salary payments to KRG employees beginning with May 2025.

According to a government statement, the agreement was based on a recommendation by a ministerial committee and aligned with Kurdistan’s regional cabinet decision No. 285, issued on July 16.

KRG Prime Minister Masrour Barzani confirmed the breakthrough, stating that the federal government had approved a “mutual understanding regarding salaries and the region’s financial entitlements.”

Under the terms of the deal, the KRG will hand over all crude oil production - currently 280,000 barrels per day (bpd) - to Iraq’s State Oil Marketing Organization (SOMO), with the exception of 50,000 bpd reserved for domestic consumption. This marks the first such commitment in more than two years, during which oil exports were suspended amid ongoing disputes and recent drone strikes targeting northern oilfields operated mostly by US firms.

In return, the federal Ministry of Finance will pay $16 per barrel, in cash or in kind, to cover production costs. Revenues from locally consumed oil derivatives will go to the federal treasury after deducting production and transport expenses.

On non-oil revenues, the KRG will transfer an initial 120 billion Iraqi dinars (approx. $92 million) to the federal finance ministry, representing an estimate of Baghdad’s share for May. A joint audit team from both governments will verify and finalize the figures within two weeks.

To resolve long-standing disputes over public salaries, a new joint committee will oversee the localization of KRG employee payrolls, in line with a ruling from the Federal Supreme Court. The committee is expected to complete its work within three months.

As part of the agreement’s first phase, the federal government will begin disbursing May salaries following confirmation from SOMO that the agreed oil volumes have been received.

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Arab World

Yemeni Forces Consolidate West Coast Gains, Reinforce Bab al-Mandab Positions

Yemeni government fighters sit in the back of a vehicle near Dhubab, Taiz Governorate, Yemen, in this still image taken from video released October 5, 2026. Southern Giants Brigades/Handout via REUTERS
Yemeni government fighters sit in the back of a vehicle near Dhubab, Taiz Governorate, Yemen, in this still image taken from video released October 5, 2026. Southern Giants Brigades/Handout via REUTERS
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Yemeni Forces Consolidate West Coast Gains, Reinforce Bab al-Mandab Positions

Yemeni government fighters sit in the back of a vehicle near Dhubab, Taiz Governorate, Yemen, in this still image taken from video released October 5, 2026. Southern Giants Brigades/Handout via REUTERS
Yemeni government fighters sit in the back of a vehicle near Dhubab, Taiz Governorate, Yemen, in this still image taken from video released October 5, 2026. Southern Giants Brigades/Handout via REUTERS

Yemeni armed forces consolidated gains along the western coast and reinforced positions overlooking the Bab al-Mandab Strait as they pushed ahead in al-Wazi'iyah district in western Taiz province under Operation “Dawn of Yemen.” Fighting with the Houthis continued in the southern Taiz countryside and on fronts around the city.

The armed forces said they had neutralized more than 1,800 Houthi fighters in recent hours. Army figures put Houthi losses at nearly 10,000 killed or wounded over two weeks of air and ground strikes across multiple fronts.

Nation Shield forces, the Giants Brigades and the Joint Forces took full control of the Kahboub front, according to Yemeni military media. The advance strengthens government forces’ hold on heights overlooking Bab al-Mandab and boosts their ability to secure the strategic corridor as operations continue along the western coast.

Taiz province’s emergency committee suspended classes at public, community and private schools, institutes, colleges and universities in districts that have come under Houthi control. It also placed government employees there on temporary leave, citing exceptional security conditions.

The United Nations warned of a worsening humanitarian situation in Taiz as Houthi attacks spread, displacement rises and aid access faces growing restrictions. Major roads remain closed, adding to pressure on services and limited resources.

The eastern road into Taiz city remains closed, the United Nations said in a recent report. Road closures between Aden and Taiz have disrupted a major supply route from warehouses in Aden, hampering aid agencies’ ability to reach those affected and meet growing needs.

Arab World

Iraq Rejects Syrian Request to Repatriate 4,000 Suspected ISIS Detainees

Members of the Iraqi border forces patrol along a concrete wall on the Iraqi-Syrian border, in the town of al-Baghuz in the Al-Qaim district of western Iraq, on January 21, 2026. (AFP)
Members of the Iraqi border forces patrol along a concrete wall on the Iraqi-Syrian border, in the town of al-Baghuz in the Al-Qaim district of western Iraq, on January 21, 2026. (AFP)
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Iraq Rejects Syrian Request to Repatriate 4,000 Suspected ISIS Detainees

Members of the Iraqi border forces patrol along a concrete wall on the Iraqi-Syrian border, in the town of al-Baghuz in the Al-Qaim district of western Iraq, on January 21, 2026. (AFP)
Members of the Iraqi border forces patrol along a concrete wall on the Iraqi-Syrian border, in the town of al-Baghuz in the Al-Qaim district of western Iraq, on January 21, 2026. (AFP)

Iraq has rejected Syria's request to repatriate thousands of suspected ISIS members transferred from Syrian detention centers to Iraqi custody earlier this year, a senior Iraqi security official said on Wednesday.

Iraqi National Security Advisor Qasim al-Aboudi said that a meeting had been held recently between Syria, Iraq and the United States to discuss the fate of the prisoners.

Al-Aboudi said Syria had requested that the 4,000 Syrian prisoners be handed over to be tried in Syria, but Iraq refused. Iraq has repatriated about 50 Syrian detainees who were determined not to be ISIS members, he told The Associated Press, while the Syrian prisoners remaining in Iraq include about 400 who are believed to be high-level members of the extremist group.

“Iraq is conducting investigations, and anyone proved to have committed crimes in Iraq will be tried under Iraqi law,” he said.

Some prisoners could later be transferred to their home countries to complete their sentences, he said.

Syria did not immediately respond to requests for comment.

More than 5,700 prisoners with alleged ISIS ties — including some 4,000 Syrians — were transferred from northeast Syria to Iraq after fighting broke out in January between Syrian government forces and the Kurdish-led Syrian Democratic Forces, which had long guarded the detention centers where they were held.

Some ISIS-linked prisoners managed to flee during the chaos of the clashes, and there were fears that a larger-scale escape would take place. While the extremist group lost control of the territory it once seized in Iraq and Syria years ago, its cells still periodically carry out attacks in both countries.

The discussions about the prisoners' fate come as the United States has ended a 12-year mission to fight ISIS in Iraq, with the last US troops withdrawing from the country last month.

Al-Aboudi said Iraq has asked for financial support from the US and other countries taking part in the global coalition against ISIS to help with the costs of housing the prisoners.

“Iraq asked for an allocation of $500 million. The coalition promised support, but Iraq is still waiting,” he said.

A US defense official and the office of Tom Barrack, the US envoy to Syria and Iraq, referred questions about the prisoners to Iraqi and Syrian authorities.

Many of the prisoners transferred to Iraq had been held in Syria for years without charges. Rights groups have raised concerns about detention conditions in both countries.

Arab World

Arab Parliament President Stresses Houthi Attacks on Saudi Arabia Pose Direct Threat to Regional Security

Arab Parliament President Stresses Houthi Attacks on Saudi Arabia Pose Direct Threat to Regional Security
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Arab Parliament President Stresses Houthi Attacks on Saudi Arabia Pose Direct Threat to Regional Security

Arab Parliament President Stresses Houthi Attacks on Saudi Arabia Pose Direct Threat to Regional Security

President of the Arab Parliament Mohammed bin Ahmed Al-Yamahi stressed that repeated terrorist attacks by the Houthi militia against Saudi Arabia and its civilian and oil facilities pose a direct threat to regional security.

During his speech at the 153rd Assembly of the Inter-Parliamentary Union in Arusha, United Republic of Tanzania, Al-Yamahi addressed Iranian attacks that targeted several Arab countries and threatened civilians, infrastructure, and vital facilities, SPA reported.

He also discussed regional escalation and related threats to the security of Arab countries. He called on the international community to move beyond condemnation and take measures to protect states and their sovereignty and compel the parties to respect international law.