A high-level delegation from the Kurdistan Regional Government (KRG) is set to visit Baghdad on Tuesday to discuss a number of financial and energy-related issues.

According to sources, negotiations are scheduled to begin on Wednesday, with discussions centered on the implementation of the ASYCUDA system, declining non-oil revenues, and security guarantees for foreign oil companies.

Composition of the Delegation

Channel8 has learned from an informed source that the delegation will include the Minister of Finance and Economy, the Minister of Natural Resources, the President of the Diwan of the Council of Ministers, the Secretary of the Council of Ministers, and a representative from the Ministry of Interior.

Key Issues on the Negotiation Agenda

According to the available information, negotiations will officially begin on Wednesday and will focus on three main files: implementation of the ASYCUDA automated customs system, non-oil revenues and the federal treasury’s share, and the resumption of Kurdistan Region oil exports alongside meeting the requirements of international oil companies.

Previous Understandings on the ASYCUDA System

During previous rounds of talks between the KRG and the federal government, both sides reached an understanding regarding the ASYCUDA system, agreeing that the Kurdistan Region’s local regulations at border crossings concerning customs duties on goods and supplies should be taken into consideration.

The latest Council of Ministers meeting strongly reaffirmed the commitment to this understanding.

Dispute Over Non-Oil Revenues and Federal Demands

On non-oil revenues, the federal government continues to insist that the KRG transfer 120 billion Iraqi Dinars (IQD) each month.

The Kurdistan Regional Government, however, is seeking to reduce the fixed amount, arguing that local revenues have dropped by 70% due to wartime conditions in the region and the administrative transition to the ASYCUDA system.

Oil Output and Security Demands from Foreign Companies

Oil production and exports in the Kurdistan Region have declined sharply to approximately 75,000 barrels per day, with around 55,000 barrels allocated for domestic use and the remainder exported.

International oil companies have suspended most of their operations and are demanding stronger security guarantees from both Erbil and Baghdad before resuming full-scale production.