Baghdad (IraqiNews.com) \u2013 Iraq plans to allocate 20 trillion Iraqi dinars (about $15 billion) in its draft 2027 budget primarily to complete delayed projects while entirely blocking funds for new projects.<\/p>\n
The state budget approach indicates a clear shift toward performance-based expenditure, cost savings, and meeting long-term infrastructure obligations.<\/p>\n
The entire capital expenditure portion of the budget focuses on revitalizing infrastructure. Mazhar Saleh, the financial adviser to Prime Minister Ali al-Zaidi, stated in an interview with Iraq\u2019s official newspaper al-Sabah that there will be no funding allocated for new development projects.<\/p>\n
The proposed budget offers a low-risk average oil price target of $60 to $70 per barrel.<\/p>\n
Hospitals, schools, bridges, tunnels, and water networks are among the critical public services targeted by the multibillion-dollar commitment.<\/p>\n
Following the decision to skip a formal 2026 budget due to regional disturbances, the Iraqi parliament\u2019s financial committee anticipates the official 2027 draft being submitted for approval between late October and early November 2026.<\/p>\n
While focusing on current projects gives a more direct path to infrastructure improvement, Iraq is reorganizing its budget due to severe financial pressures.<\/p>\n
The Iraqi Ministry of Finance is working with the World Bank to shift from traditional line-item expenditure to a program-and-performance approach.<\/p>\n
Iraq\u2019s budget deficit exceeded 21 trillion Iraqi dinars (approximately $16.1 billion) in the first half of the year due to huge governmental payroll expenditures. As a result, more than 1,800 development projects have been canceled or suspended.<\/p>\n
Military operations in the region and shipping restrictions via the Strait of Hormuz have slashed marine crude exports, which account for more than 85 percent of state revenue.<\/p>\n
To secure cash for the 2027 budget, Baghdad has allowed three-month temporary marketing mechanisms to diversify export outlets and is focusing on pipelines through Turkey and Syria to increase oil exports.<\/p>\n","protected":false},"excerpt":{"rendered":"Baghdad (IraqiNews.com) \u2013 Iraq plans to allocate 20 trillion Iraqi dinars (about $15 billion) in its draft 2027…\n","protected":false},"author":2,"featured_media":148680,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[14],"tags":[31823,3654,72706,72707,694,94,72708,1205,11991,15744,95,16585,1176,8494],"class_list":["post-264498","post","type-post","status-publish","format-standard","has-post-thumbnail","category-iraq","tag-2027-budget","tag-crude-exports","tag-development-projects","tag-financial-pressures","tag-infrastructure","tag-iraq","tag-new-projects","tag-oil-exports","tag-pipelines","tag-shipping-restrictions","tag-syria","tag-the-strait-of-hormuz","tag-turkey","tag-world-bank"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@iran\/117157622170650452","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts\/264498","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/comments?post=264498"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/posts\/264498\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/media\/148680"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/media?parent=264498"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/categories?post=264498"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/iran\/wp-json\/wp\/v2\/tags?post=264498"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}