KRG Approves Plan to Tackle Economic Challenges Caused by Coronavirus
The KRG issued a statement detailing that the salaries for high-ranking officials on government payroll would be reduced. Those affected by the decision will be members of parliament, the Judicial Council, provincial councils, security forces while only normal base salaries will be paid to governors and mayors.
The decisions are part of a wide reform law that was proposed by the KRG and the parliament approved last January.
The Ministry of Finance and Economy is charged with submitting a list within 30 days of the salaries of only those registered in the government employee biometric system with a service record attached, an attempt to mitigate the effects of so-called "ghost employees.”
The plan also ordered the reduction of government expenditures. It will allow only necessary expenditure of funds on essential government services that include procurement of medicine, medical and laboratory equipment, running prisons and nursing homes, water supply, electricity production, and road construction and maintenance.
The Council of Ministers also ordered the revision of all border customs fees. It also called for a new tax system to be implemented in accordance with existing regulations on oil and gas firms, internet companies, and other businesses, as reported by Kurdistan 24.
Exemptions on rent payments were also ordered at government’s properties used for trade, industry, and agriculture, as well as tenants whose work has been affected by the regulations imposed to curb the spread of the coronavirus in Kurdistan Region and resulted in late fees and other fines.
