The Iraqi parliament will convene on Monday to vote on the 2024 budget bill, the legislature’s media office announced on Friday. This follows the Iraqi cabinet’s approval of a draft budget bill earlier this month, which aims to increase spending for the coming year.

The draft budget, finalized by Prime Minister Mohammed Shia’ al-Sudani and his cabinet, proposes significant fiscal expansions for 2024. According to Abdul Zahra al-Hindawi, spokesperson for the Iraqi planning ministry, the government has earmarked 211 trillion dinars (approximately $161 billion) for the federal budget. This budget reflects an increase from the previous year's record spending of $152 billion, which allocated 12.6 percent to the Kurdistan Region.

For 2024, the Kurdistan Region’s share has been set at 14 percent of the total budget. The planning ministry announced on Saturday that the federal investment funds allocated to the Kurdistan Region amount to 4.8 trillion dinars ($3.67 billion). Of this, approximately 2.7 trillion dinars ($2.1 billion) are contingent upon the resumption of the Region’s oil exports, which have been suspended since March 2023.

“The total investment expenditure allocated for the Kurdistan Region amounts to 4.875 trillion dinars. The ministry affirmed the government's commitment to the proportion allocated to the Kurdistan Region in all areas of expenditure,” read a statement from the planning ministry.

Negotiations between Erbil and Baghdad over federal budgets have historically been contentious. The Kurdistan Regional Government (KRG) has frequently accused Baghdad of failing to make regular payments of its allocated share of federal funds. Conversely, Baghdad insists it has met its financial obligations to the KRG.

Despite these tensions, efforts are ongoing to reach a resolution. Last month, Kurdistan Region Prime Minister Masrour Barzani expressed optimism about finding an "appropriate" solution with the assistance of Prime Minister Sudani. Additionally, a delegation from the Kurdistan Region recently participated in committee meetings on budget amendments. Following their return, they issued a statement expressing confidence that the amendments would protect the rights of the Kurdistan Region.

The parliamentary session on Monday will be closely watched, as the approval of the budget bill is crucial for both the federal and regional governments.