Abstract
The following article examines the strained public sector that has aggravated the fragile economic condition in the Iraqi Kurdistan (KRI) area. The KRI has experienced the resource curse which burdens a lot of the oil-rich regions (Mahdi et al., 2015). An indicator of the curse is that the public sector is overwhelmed and ineffective and this situation may worsen if not addressed. More than half of workers in the region are employed by the public sector, and is increasing both for economic and political reasons. For this reason, the public sector of the Kurdistan Regional Government has become a financial burden on the central budget of the KRG. Recent articles have discussed strategies to resolve these difficulties, including equitable taxes and subsidy reforms. responding to reduced oil prices; dealing with the economic consequences of decreased oil prices.
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