The Kurdistan Region and the federal government delegations have yet to reach an agreement regarding the handover of oil and non-oil revenues, as well as the disbursement of salaries, a source familiar with the talks told Channel8.

According to the source, the Kurdistan Region has refused to hand over its oil to Baghdad—contrary to the existing agreement between the two sides.

The Kurdistan Region has agreed to transfer 120 billion dinars in domestic revenue to the federal government for this month only, and only on the condition that salaries are sent. However, the Kurdish side has rejected doing the same for the coming months, claiming the amount is excessive.

Another point of contention is Baghdad’s demand to audit the Kurdistan Region’s non-oil revenues. The source noted that the Kurdish delegation that recently visited Baghdad officially informed their Iraqi counterparts that they are not permitted to conduct such audits. In response, the Iraqi delegation submitted a report to Prime Minister Mohammed Shia al-Sudani outlining the issue.

Four joint committees have been formed between Erbil and Baghdad to oversee the implementation of the revenue and salary agreement.

The Iraqi Council of Ministers is expected to review the reports and decide on the salary issue during its Tuesday meeting.