Iraqi MP: Baghdad Needs 8 Trillion Dinars a Month for Salaries as Hormuz Crisis Squeezes Oil Revenue

Ahmad al-Khazali, an Iraqi member of parliament and member of the security and defense committee, said on the Al-Sumaria TV program "Openly" on Friday, 7 Shahrivar 1405 (August 28, 2026), that Iraq faces a "clear economic problem" from the war's disruption of oil exports, and that the country's heavy reliance on oil revenue has made its economy more vulnerable to the current crisis. He said Iraq needs nearly 8 trillion dinars (about $6 billion) a month just to cover government salaries, and while the finance minister has confirmed salaries are funded, the economic pressure from the Strait of Hormuz crisis requires finding alternative solutions.

Al-Khazali said a committee of political leaders representing Iraq's different factions has been formed and will travel to Iran to negotiate the passage of Iraqi oil tankers. Separately, Sayyid Sadr al-Din al-Qabanji, the Friday prayer leader in Najaf, thanked Iran on Friday, according to Al-Furat network, for its position on Iraqi oil exports through the Strait of Hormuz, saying a delegation from Iran had traveled to Iraq to convey the Iranian leadership's thanks to the Iraqi people.