The financial revenues in Iraq have surpassed $35 billion within the first five months of 2025. This impressive figure highlights Iraq’s continued reliance on oil as its primary source of income. The Ministry of Finance confirmed that total federal revenues reached over 46 trillion Iraqi dinars, equal to around $35.72 billion.
According to the Ministry’s latest data, oil sales made up the overwhelming majority of income. Oil revenues alone brought in 42 trillion dinars, or roughly $32 billion. That accounts for 91% of the total revenue collected between January and May. This underscores Iraq’s heavy dependence on oil exports to support its budget.
Meanwhile, non-oil revenues added just over 4 trillion dinars, or about $3.05 billion. While this is a smaller share, it still plays a vital role in diversifying the national income. Officials continue to stress the need to increase this portion in future years.
Spending during the same period also remained high. Public sector salaries reached more than 27 trillion dinars, equivalent to $21.1 billion. Pension payments followed at around 8 trillion dinars, or $6.1 billion. Social welfare programs, aimed at assisting low-income families, received more than 2 trillion dinars—about $1.78 billion.
In total, current expenditures added up to 44 trillion dinars, equal to roughly $33.55 billion. This figure includes salaries, pensions, and welfare, along with other operating expenses across various government departments.
While the rise in financial revenues in Iraq shows strong income from oil, experts warn about continued overspending. The gap between oil dependency and investment in non-oil sectors remains wide. Many call for reforms to increase non-oil contributions to the national budget.
Furthermore, with global oil prices often unpredictable, Iraq’s economy faces potential risks. A sudden drop in prices could lead to financial shortfalls and impact the delivery of essential public services. Therefore, many economists urge the government to manage spending wisely and invest more in renewable income sources.
Even with these concerns, Iraq’s financial results for the first five months of 2025 remain solid. The country’s fiscal stability depends largely on oil exports, but future growth may rely on expanding non-oil sectors and controlling expenditures tied to public payroll.