The Iraqi parliament has approved the 2019 state budget after an hours-long vote early on Thursday.
The approval ends weeks of deadlock over allocations to different provinces and privatization of state projects.
The budget projected oil exports of 3.88 million barrels per day (
Estimated at USD 112bln, the budget includes payment of salaries for the Kurdish Peshmerga forces, a step that lawmakers said might help ease tension between Baghdad and Erbil.
Kurdish lawmakers welcomed the move to pay salaries of their forces. "We are satisfied with the budget after approving the salaries for Peshmerga and the region's civil servants," Kurdish MP Aram Balati told Reuters news agency.
The infrastructure in Iraq is destroyed after years of war against ISIS and alleged corruption that has left thousands of people without services like power and water, especially in the southern city of Basra.