The Cabinet holds the 2nd Regular Session, decisions included

Baghdad-INA
 
Prime Minister Mohammed S. Al-Sudani chaired today, Monday, the 2nd regular session of the Council of Ministers for the current year, during which the general situation in the country was discussed, along with key files and priorities of the government program. The session also involved deliberations on the items listed on the agenda and necessary decisions were made.

The Media Office of The Prime Minister stated in a statement, received by The Iraqi News Agency-INA that “The Council of Ministers voted to exempt pensioners from its Decision No. 24888 regarding the 1% salary deduction to support Gaza and Lebanon, retroactive from November 24, 2024. The deducted amounts will be fully refunded due to the pensioners’ difficulty in submitting requests to opt out of the donation, unlike employees who can submit such requests through their respective departments”.

As part of the government’s environmental initiatives, the Council of Ministers approved recommendations from the Ministry of Environment’s report on addressing air pollution and foul odors as follows:
Immediate recommendations:

1. Enhancing human resources and logistical infrastructure in environmental directorates, rehabilitating air quality monitoring stations in Baghdad and other provinces, establishing a national center for monitoring and processing emissions, and providing portable supporting devices.
2. Securing necessary funding to support inspection activities and establishing a sustainable financing mechanism for the Ministry of Environment, with a portion of the state budget allocated to strengthening environmental inspection systems.
3. Requiring polluting activities to install efficient emission control systems and comply with applicable environmental regulations.
4. Coordinating between security and environmental authorities to develop a long-term plan for ongoing monitoring and closure of non-compliant activities.
5. Employing the best available technological solutions to improve fuel combustion efficiency in various operations.
6. Engaging security forces alongside technical teams to monitor non-compliant industrial activities and take legal actions against them.
Medium- and long-term recommendations:
1. Developing a comprehensive national program to address air pollution, analyze data, review legislation, estimate health impacts, and calculate damage costs, with the involvement of relevant stakeholders to achieve sustainable goals.
2. Supplying industrial and service activities with low-sulfur treated fuel to reduce emissions to permissible levels.
3. Updating environmental laws and regulations to mandate the application of modern technologies in industrial facilities and devising national action plans to reduce air pollution.
4. Supporting scientific research to identify pollution sources and impacts and developing emission control solutions.
5. Increasing green spaces through afforestation and protecting natural areas.
6. Implementing proper waste management practices, establishing regulated landfill sites, promoting recycling, and adopting zero-waste policies, along with awareness campaigns on eco-friendly practices.
The Council of Ministers also approved recommendations from the meeting of Diwani Order Committee No. 23577 regarding the appointment of educational supervisors and specialists. This includes confirming the appointment of supervisors and specialists from the graduates of the “Peace, Building, Innovation, and Challenge” program, with the Ministry of Finance handling job deletions and creations based on data provided by the Ministry of Education. The ministries will jointly develop criteria for selecting candidates for educational supervision roles, ensuring a clear distinction between job titles and grades.
To legalize informal housing, the Council approved the following:
1. “These strategic operations underscore our intensified commitment to neutralize all remnants of Daesh and secure the nation against further terrorist threats,” CTS added.
 
The operations highlight Iraq’s ongoing counter-terrorism measures as security forces strive to maintain stability and prevent the resurgence of militant activities.
 
Authorizing the Mayor of Baghdad and governors to sell officially allocated residential plots owned by the relevant municipalities to squatters who built houses on them before December 10, 2024 (the date when housing units were identified by census committees), within the master plan boundaries, exempt from public bidding as per the amended Law on the Sale and Lease of State Property (No. 21 of 2013).
2. The sale is subject to the following conditions:
a. The land must be within the master plan boundaries.
b. The construction must be of permanent structures.
c. The sale is only to the current occupant or their legal heirs.
d. The occupant must submit a request to the municipal directorate within 180 working days of the issuance of regulations by the Ministry of Construction, Housing, and Municipalities.
e. A notarized written declaration confirming that the applicant, their spouse, or minor children do not own another residence, or residential plot must be attached.
f. The sale price will be determined by an appraisal committee under the amended Law on the Sale and Lease of State Property (No. 21 of 2013), exempt from public bidding.
g. The payment terms will follow the provisions of the above law.
3. Only one plot can be sold to a single applicant, and the decision does not apply to Kirkuk Governorate.
4. Committees formed under Legislative Decision No. 154 of 2001 will be legally responsible for removing future encroachments on municipal lands.
In the context of banking reforms, the Council approved the following:
1. Establishing a new joint-stock bank named Rafidain First Bank, designed to serve as a financial partner for businesses inside and outside Iraq, offering comprehensive digital financial services and aiming to become a leading regional bank.
2. Setting the bank’s capital at 1 trillion dinars, with 24% of the nominal capital owned by the state (public and private sectors and individuals).
3. Starting the bank with a paid-up capital of no less than 500 billion dinars.
4. Retaining the existing Rafidain Bank as the primary channel for executing all government transactions, while continuing its restructuring in coordination with Ernst & Young.
5. Authorizing the Central Bank of Iraq to contract a consultancy firm to support the establishment and operations of the new bank.
6. Forming a committee led by the Governor of the Central Bank and including senior officials from the Ministry of Finance and Rafidain Bank to oversee the bank’s establishment.
7. Proceeding with the plan to transform the Industrial Bank into a private joint-stock company with a strategic partner.
8. Maintaining the current status of the Agricultural and Real Estate Banks and the Housing Fund.
In the electricity sector, the Council of Ministers approved amending Council of Ministers Decision No. 393 of 2019, reaffirmed by Decision No. 24210 of 2024, regarding the implementation of electricity projects on government-owned lands. The amendment ensures that projects can proceed after obtaining initial approvals from the land-owning entities and other relevant authorities before completing land allocation or ownership transfer processes. Key points include:
1. Preliminary handover of lands owned by the Ministry of Finance to the Ministry of Electricity for substation projects, with the latter responsible for completing necessary procedures.
2. Forming a task force to expedite land allocation procedures and register them with the relevant real estate registration departments.
 
As part of efforts to enhance state revenues, the Council of Ministers approved the following:
 
1. Granting the Minister of Construction, Housing, Municipalities, and Public Works the authority to issue tenders for leasing spaces allocated for advertising billboards on public roads located outside the jurisdiction of the Baghdad Municipality and the Directorate of General Municipalities, as well as on bridges.
 
2. The leasing process is to be carried out with a single company, one company per governorate, or multiple companies, as determined by advertising needs.
 
3. Restricting tender applications to companies officially registered with the Ministry of Trade/ Registration of Companies Directorate and specializing in the field of advertising.
 
4.  Rental allowances for advertising spaces are determined through committees formed under the Roads and Bridges Directorate within the Ministry of Construction, Housing, Municipalities, and Public Works, in line with the provisions of the amended State Property Sale and Lease Law No. 21 of 2013.
5. To meet the needs of displaced families and returnees and to ease their burdens, the Council of Ministers approved the continued implementation of the Ministry of Migration and Displacement’s initiatives under Paragraph (1) of Council of Ministers Resolution No. 24007 of 2024. These initiatives include these groups into programs for social welfare payments, full-time caregiver salaries, and access to soft loans.
 
In the energy sector, the Council of Ministers approved a contract between the Iraqi Drilling Company and subcontractors EBS and China Oilfield Services Limited (COSL) under revised contractual terms. The approval includes an exemption from the contracting procedures outlined in the Government Contracts Execution Guidelines (No. 2 of 2014) to facilitate the implementation of a project for drilling 18 wells.
As part of the government’s steps to complete stalled and halted projects, the Council of Ministers approved the following:
1. Omitting components that have not been awarded or lack an estimated cost, as outlined in the Ministry of Planning’s letter dated December 30, 2024.
 
2. Excluding completed components that are not covered under Council of Ministers Resolution No. 301 of 2021, as specified in the Ministry of Planning’s letter, and based on cumulative expenditures.
 
3. Components assigned to investment projects or handed over to beneficiary entities, that do not fall under Council of Ministers Resolution (No. 301 of 2021), will be excluded based on cumulative expenditures.
 
4. Adding four supplementary work components, as detailed in the table attached to the Ministry of Planning’s letter dated December 30, 2024.
 
5. Reducing the total cost of the project titled “Construction of 20 Model Youth and Women’s Centers in Districts and Subdistricts of Baghdad Province and Other Governorates” within the 2024 investment budget of the Ministry of Youth and Sports. The project name will be revised to “Construction of 14 Model Youth and Women’s Centers in Districts and Subdistricts of Baghdad Province and Other Governorates,” replacing the original name to construct 20 centers.
 
The Council of Ministers also approved the exemption of the projects for the Rehabilitation of the Main Sewage Pumping Station in Dora and the Rehabilitation of 22 Pumping Stations in Rusafa from Council of Ministers Resolution No. 24217 of 2024. It also approved the continuation of funding for these projects through the World Bank loan, with assurances of the World Bank’s commitment to funding and directives to Baghdad Municipality to expedite the completion of these projects.
 
Further approvals include the following:
1. Allocating USD 390,000 from the Ministry of Finance for Iraq’s contribution to the Arab Labor Organization, in accordance with the provisions of the Federal General Budget Law No. 13 of 2023.
2. Appointing administrative staff in alignment with Iraq’s contribution of 10% to the organization’s budget, consistent with the contributions of other member states to the Arab Labor Organization’s approved budget.
 
Additionally, the Council of Ministers voted to approve the bill for Iraq’s accession to the Cooperative Agreement for Arab States in Asia for Research, Development and Training related to Nuclear Science and Technology (ARASIA) for 2017, which entered into force on July 28, 2020. The bill was referred to the Council of Representatives in accordance with the provisions of the constitution.