Shafaq News-Diyala

Around 70% ofinfrastructure and service projects in Diyala province have stalled because offunding shortages and the continued delay in approving Iraq’s federal budget,Deputy Governor Hassan Mohammed al-Jubouri said on Sunday, warning that unpaiddues owed by Baghdad now exceed 200 billion dinars (about $130.5 million).

Al-Jubouri toldShafaq News that the financial crisis had severely disrupted projects acrossthe province, particularly in infrastructure sectors. He said Diyala had alsostopped receiving revenues from border crossings since July 2025, despite localauthorities previously relying on those funds to finance part of theirdevelopment projects.

The fundingshortages have also affected electricity plans, including three proposed solarenergy projects that remain suspended pending financing and administrativeapprovals, according to al-Jubouri.

Iraq continuesoperating without a formally approved federal budget for a second consecutiveyear, forcing provinces and ministries to rely on restricted emergency spendingmechanisms.

: Iraq enters 16th month without budget as 4,500 projects stall