Kurdish PM Blames Baghdad over Wages as Protests Rage

The headquarters of the Kurdistan Democratic party after it was burned during anti-government protests on Tuesday. (Reuters)
The headquarters of the Kurdistan Democratic party after it was burned during anti-government protests on Tuesday. (Reuters)
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Kurdish PM Blames Baghdad over Wages as Protests Rage

The headquarters of the Kurdistan Democratic party after it was burned during anti-government protests on Tuesday. (Reuters)
The headquarters of the Kurdistan Democratic party after it was burned during anti-government protests on Tuesday. (Reuters)

The prime minister of Iraq's northern Kurdish-run region on Wednesday blamed the federal government in Baghdad for delaying crucial budget transfers as violent protests over salary payments left eight dead in the past week.

In the province of Sulimaniyah in recent days, hundreds have been protesting in multiple towns against two main Kurdish political blocs over public salary payment delays and perceived corruption. Iraq's semi-official High Commission for Human Rights says a total of eight protesters were killed in the areas of Chamchamal, Kefri Darbendikan, Khormal and Saidsadiq. Demonstrators burned down party headquarters and other public offices.

Masrour Barzani, prime minister of the semi-autonomous Kurdish-controlled region, said the right to peaceful protest was “vital” and condemned the violence as “unacceptable," in a statement.

“It is our shared responsibility to maintain the safety and security of everyone, including protesters and public and private property,” he said.

The protests are largely driven by angry unemployed youth and public sector workers who have not been paid because of a severe fiscal crisis. The Kurdish administration has only paid four months of wages since the start of 2020, and has deducted 21% from the monthly pay to public workers.

Barzani's statement blamed the federal government, saying it has not made budget transfers needed to make wage payments.

“For many months now we have worked hard to reach a fair constitutional settlement with the federal government," he said. “We have not left any excuses for Baghdad to fail to deliver its obligations to Kurdistan.”

Previous governments in Baghdad have withheld budget allocations to the Kurdish region as punishment for its independent oil export policy. Apart from the federal transfers, the region’s oil exports are its main source of revenue. Under a new agreement inked earlier this year, the Kurdish region was to receive a share of the state budget, in exchange for half its customs revenues.

The federal government, meanwhile, has been crippled by a severe liquidity crisis in the wake of spiraling oil prices that have slashed state coffers. Iraqi lawmakers passed a second emergency internal borrowing bill last month, enabling Baghdad to access $10 billion indirectly from the country's foreign currency reserves.

But the law's adoption sparked a political crisis between Baghdad and Erbil, where the Kurdish regional government is based. Kurdish lawmakers nearly boycotted the vote after some of the other lawmakers sought to halt allocations to the northern region's administration.

“We have shown our willingness in practice to work with the budget deficit law despite reservations on its content and the way in which it was passed,” Barzani said. “We expect reciprocal steps from Baghdad to reach and implement an agreement.”

The UN on Tuesday condemned the violence in Sulimaniyah, calling for an investigation and urging Kurdish leaders to “safeguard the freedoms of assembly and expression.”



Yemen Crisis Meeting Seeks to Curb Impact of Houthi Terror Listing

Yemen’s Presidential Leadership Council (PLC) chief, Rashad al-Alimi, held a virtual meeting with the Economic and Humanitarian Crisis Committee (Saba News Agency)
Yemen’s Presidential Leadership Council (PLC) chief, Rashad al-Alimi, held a virtual meeting with the Economic and Humanitarian Crisis Committee (Saba News Agency)
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Yemen Crisis Meeting Seeks to Curb Impact of Houthi Terror Listing

Yemen’s Presidential Leadership Council (PLC) chief, Rashad al-Alimi, held a virtual meeting with the Economic and Humanitarian Crisis Committee (Saba News Agency)
Yemen’s Presidential Leadership Council (PLC) chief, Rashad al-Alimi, held a virtual meeting with the Economic and Humanitarian Crisis Committee (Saba News Agency)

Amid escalating military operations by the Iran-aligned Houthis in the Marib, Al-Jawf, and Taiz battlefronts, Yemen’s Presidential Leadership Council (PLC) chief, Rashad al-Alimi, held a virtual meeting with the Economic and Humanitarian Crisis Committee.

The meeting aimed to discuss measures aimed at mitigating humanitarian repercussions following Washington’s designation of the group as a “foreign terrorist organization.”

The US State Department confirmed on Tuesday that the executive order reinstating the Houthis’ terrorist designation—originally issued by former President Donald Trump upon his return to the White House—had come into effect.

Shortly after, the US Treasury imposed financial sanctions on seven senior Houthi figures, including the group’s spokesperson Mohammed Abdul Salam, its ruling council head Mehdi al-Mashat, and Mohammed Ali al-Houthi, a cousin of the group’s leader.

State media reported that Alimi held a meeting with the Economic and Humanitarian Crisis Management Committee, led by Prime Minister Ahmed Awad bin Mubarak, to discuss economic, monetary, and banking developments, as well as measures to address the US executive order designating the Houthis as a terrorist group.

According to official sources, the meeting focused on government measures to manage the designation, including exemptions and licenses issued to ensure the continued flow of humanitarian aid and mitigate potential humanitarian fallout from the decision, which took effect on Tuesday.

The meeting reaffirmed the Yemeni government’s commitment to working closely with the international community to minimize the impact of the US terrorist designation on citizens, national institutions, and key sectors, particularly the banking industry.

According to the state-run Saba news agency, Alimi was briefed by bin Mubarak, Central Bank Governor Ahmed Ghalib al-Maabqi, Foreign Minister Shaea al-Zindani, and Economic Team Head Hossam al-Sharjabi on the latest economic and living conditions.

They also outlined government efforts to meet essential obligations, especially during the holy month of Ramadan.

The briefing, Saba reported, covered key financial and monetary indicators, the efficiency of state institutions in securing public revenue, and measures to sustain essential services across provinces.

Addressing fresh sanctions on the Houthis, US State Department spokesperson Tammy Bruce said in a statement that Washington had imposed sanctions on seven senior members of the group for their involvement in smuggling weapons into Houthi-controlled areas and negotiating arms supply deals.

One of the sanctioned individuals and his company were also accused of recruiting Yemeni civilians to fight for Russia in Ukraine, generating additional resources to fund the Houthis’ military operations, Bruce added.

For its part, the UN confirmed that its special envoy to Yemen, Hans Grundberg, remains committed to continuing his mediation efforts under the mandate of the UN Security Council, working towards a comprehensive and peaceful resolution to the decade-long conflict in the country.

In a statement to Asharq Al-Awsat, Grundberg’s spokeswoman Ismini Palla said it was too early to assess the impact of the US decision to impose sanctions on Houthi leaders.

The envoy remains dedicated to his mediation efforts in line with the Security Council's mandate, pushing the dialogue towards a peaceful and inclusive resolution of the conflict in Yemen, she added.

Also speaking to Asharq Al-Awsat, US Ambassador to Yemen, Steven Fagin, reaffirmed that under Trump's leadership, the US remains committed to holding the Houthis accountable for their terrorist attacks and working with the international community to weaken their capabilities.