Iraq said, on Sunday, it would reduce dependence on oil revenues, which currently provide 95 percent of the federal budget, by 10 percent.
Oil revenues will now contribute 85 percent to the budget, as Baghdad looks to diversify its sources of income, as a result of the changes, government spokesperson, Saad Al-Hadithi, said.
The government took the decision, due to the collapse of oil prices across global markets, which has led to a domestic financial crisis.
This crisis has forced the government to assume austerity measures, in order to meet its financial obligations.
These responsibilities include arming soldiers in their anti-terrorism operations, paying the wages of state employees - comprising some seven million - and government spending on other sectors, said the official.
Due to the austerity measures, the government has successfully reduced public spending by around 50-60 percent, he added
Source: NAM News Network