Sema
he Kurdistan Democratic Party (KDP) and the Patriotic Union of Kurdistan (PUK) have reached a political agreement over the MyAccount initiative, easing a major point of contention in the Kurdistan Region’s financial reform efforts and government formation talks, according to sources familiar with the negotiations.
The agreement grants oversight of MyAccount to the Kurdistan Regional Government’s (KRG) Ministry of Finance, removing it from the direct purview of the prime minister’s office. In addition, the government will cease deducting fees from civil servants’ accounts, and all contract details signed with participating banks will be shared with the PUK.
These changes have paved the way for the PUK to support the project, marking a major shift from the party’s earlier opposition. For months, the PUK had resisted MyAccount, instead promoting Baghdad’s Tawtin (localization) system as a more trustworthy alternative for public sector salary payments, particularly in areas like Sulaymaniyah.
First launched in March 2023, MyAccount was developed by the KRG as a digital salary payment system designed to increase transparency, reduce cash handling, and integrate public sector employees into the formal banking system. It was positioned as an alternative to the Iraqi federal government’s Tawtin initiative, which also seeks to pay state employees via bank transfers rather than in cash.
However, political rivalries delayed its acceptance. Critics, including prominent PUK leaders, claimed the initiative lacked transparency and centralized too much authority under the office of Prime Minister Masrour Barzani. During the 2024 election campaign, the PUK strongly urged civil servants in its strongholds not to register for MyAccount, arguing it was politically driven and unreliable.
The deadlock softened earlier this year, as negotiations over government formation created new opportunities for compromise. PUK President Bafel Talabani acknowledged in February that discussions over both MyAccount and Tawtin were progressing constructively, citing the cooperation of PM Barzani.
The political thaw now appears to be delivering results. As of March, more than 732,000 public sector employees had registered for MyAccount across the Kurdistan Region. Over 405,000 had received debit cards, and more than 550 ATMs had been installed to support the program.
The agreement not only removes a major partisan stumbling block but also signals broader willingness among Kurdistan Region parties to cooperate on financial and administrative reforms amid ongoing efforts to secure regular federal budget transfers from Baghdad and improve public services.