Shafaq News- Baghdad
A new borrowing, grants, and subsidies bill is set to serve in place of Iraq’s 2026 federal budget after the Parliamentary Finance Committee approved referring it to Parliament, committee chairman Uday Awad told Shafaq News on Monday.
Awad said the committee reviewed the bill with Finance Minister Faleh Al-Sari before voting by majority to place it on the agenda of upcoming parliamentary sessions.
The draft allows domestic and foreign borrowing without setting a specific amount or financial ceiling, grants individual ministers defined spending powers, and gives the Council of Ministers additional authority under the law.
The government began preparing the 2027 budget after two years without an enforceable federal budget. Although Iraq enacted a three-year budget law covering 2023, 2024, and 2025 under former Prime Minister Mohammed Shia Al-Sudani, Parliament failed to approve the 2025 spending schedules before the fiscal year ended, preventing implementation of that year's budget. No budget law was passed for 2026.
: Delayed 2026 budget pushes Iraq toward 2027 plan