Criticism Continues to Plague the 2024 Federal Budget Due to Various Changes Compared to 2023
The most notable issue is the allocations for the Popular Mobilization Forces (PMF). Hussein Moneis, a member of the Parliamentary Finance Committee, revealed on Sunday that the total deficit in PMF salaries and discrepancies exceeds one trillion dinars.
On June 3, the Parliament voted on the 2024 budget tables. The hours leading up to the vote saw heated debates within the Finance Committee, resulting in two rounds of voting on the budget tables due to disagreements.
Moneis, in a statement followed by “Al-Alam Al-Jadid,” said, “There is a discrepancy in the PMF salary allocations in the budget, with a deficit exceeding 600 billion dinars.” He pointed out that the PMF has 238,000 members, each earning a salary of 1,565,000 dinars, resulting in an annual salary cost of 4.4 trillion dinars.
He added, “However, the amount allocated for PMF salaries in the 2024 budget tables is approximately 600 billion dinars less than needed.”
Moneis considered the salary deficit not a significant problem, as the government has the authority to make transfers. He reassured PMF members that “there is no concern about their salaries this year.”
However, Moneis noted another issue: compensations. He explained that this issue arises annually due to the lack of a law regulating the PMF’s structure like other security institutions in Iraq.
He stated that “the 2015 PMF discrepancies amount to more than 100 billion dinars, and the 2023 discrepancies are 150,000 dinars per member, totaling over 392 billion dinars for 2023.” He noted that these amounts were not allocated in the budget tables.
He pointed out that “the total deficit for discrepancies and salaries exceeds one trillion dinars.” While he assured that salaries will not be affected this year, he noted that discrepancy amounts were not allocated. He mentioned that next year’s PMF salaries will be addressed after the legislation of a PMF law regarding the organization of its structure.
The Parliamentary Finance Committee’s report on June 3 revealed allocations of 3.9 trillion dinars for the PMF, 13.2 trillion dinars for the Ministry of Interior, and 8.3 trillion dinars for the Ministry of Defense. Current expenditures amounted to 157 trillion dinars, and investment expenditures were 55 trillion dinars.
The budget also allocated 27.3 trillion dinars for social welfare, with non-oil revenues totaling 27.3 trillion dinars. Employee salaries took the largest share of the budget revenues, amounting to 62 trillion dinars.
The budget faced criticism, with MPs from Basra claiming the tables were unfair to the province, which is the source of most Iraqi oil. The Parliamentary Finance Committee asserted after the vote that there were sufficient funds for provinces and ministries. MP Mustafa Sand criticized the allocation of 6.4 trillion dinars for the Basra-Aqaba pipeline. Iraqi HuffPost noted criticism for allocating nearly $5 billion to political parties.
The 2024 budget is the second approved by the current government, with mixed opinions on its fairness and distribution of funds across provinces and sectors.
On May 25, the Ministry of Planning clarified the disparities in the 2024 budget allocations, stating that more than 41 trillion dinars were available for provinces. It noted that comparing regional development allocations for provinces with the total investment spending for the Kurdistan Region was “incorrect.”
Parliamentary Finance Committee member Moeen Al-Kadhimi previously told “Al-Alam Al-Jadid” that passing the 2024 budget as submitted by the government is very difficult. He said it cannot be voted on without amendments, which they have the authority to make through reallocations among various expenditure categories. He noted significant parliamentary objections from all political directions, which are technical and financial in nature.
On June 12, 2023, Parliament voted on the federal budget law for 2023, 2024, and 2025, marking the first time a three-year budget was voted on in advance, as well as the unprecedented size of operating and investment expenses.
