High school teacher Dana Abdoul takes part in a demonstration in Iraq’s Kurdish region against delayed salary payments. Photo: Dana Abdoul
High school teacher Dana Abdoul takes part in a demonstration in Iraq’s Kurdish region against delayed salary payments. Photo: Dana Abdoul
High school teacher Dana Abdoul takes part in a demonstration in Iraq’s Kurdish region against delayed salary payments. Photo: Dana Abdoul
High school teacher Dana Abdoul takes part in a demonstration in Iraq’s Kurdish region against delayed salary payments. Photo: Dana Abdoul

Teachers in Iraqi Kurdistan strike over delayed salaries


Sinan Mahmoud
  • English
  • Arabic

Dana Abdoul, an Arabic language and Islamic studies teacher at a high school in Iraq's Kurdish region, finds himself at the epicentre of a prolonged economic crisis.

As a Kurd living in Kurdistan, Mr Abdoul faces a double blow – the impact of skyrocketing commodity prices driven by the fluctuated exchange rate that is affecting the whole country, and the long-running economic dispute between the federal government and the region that has left its coffers empty.

“The economic situation is very deteriorated and bad,” the 49-year-old father-of-four told The National.

Like other teachers, he has not yet been paid for August or September. His salary is 1.5 million Iraqi dinar (about $1,000).

“It’s a heavy burden,” he said, adding that he also helps his sister and brother from his wages.

The three-province Kurdish region has been involved in prolonged wrangling with Baghdad over revenue sharing. That has left the regional government unable to dispense full salaries and social service payments.

Meanwhile, the Iraqi dinar has wavered against the dollar since late last year after the Federal Reserve Bank of New York introduced measures to stop the flow of dollars to sanctioned countries through the currency auction run by the Central Bank of Iraq.

It has blacklisted several Iraqi banks over suspicious foreign transactions, while measures have been brought in to scrutinise the release of money from the US to cover imports and other needs.

That has pushed the exchange rate on the black market to 1,560 Iraqi dinar to one dollar, far from the official rate of 1,320, fuelling public anger over the soaring price of goods.

The teachers in Sulaymaniyah, one of three provinces that make up the Kurdish region under the Patriotic Union of Kurdistan (PUK), started their strike on September 13 and continued their action into the new academic year, which began on Sunday.

Teachers in Erbil and Duhok provinces, which are under PUK rival the Kurdistan Democratic Party (KDP), returned to work, fearing reprisals from authorities.

The PUK and KDP are the most influential Kurdish parties and run the region under a power-sharing deal.

On Tuesday, the Kurdistan region’s Education Ministry called on the teachers to return to class, but they refused.

The salary is “one of the basic rights of teachers”, the ministry said, calling on teachers to end their strike “because last year’s boycotts were harmful”.

“We notify all general directorates of education to start the academic year as soon as possible,” it added.

Under a temporary deal, Baghdad last month approved a request by the cash-strapped Kurdish region to release more funds. The first payment allowed the region to pay July salaries this week.

Every month the debt increases, and there is no hope to pay all the debt
Dana Abdoul

Early this year, the Iraqi Planning Ministry put the national poverty rate at 25 per cent. This was down from 31 per cent in 2020, during the outbreak of the coronavirus pandemic. Iraq’s population stands at about 43 million.

The inflation rate was 5 per cent in 2022, according to the World Bank.

Mr Abdoul’s plight is shared by many middle-class families who are feeling the pinch as they struggle to pay bills.

His eldest son, 21, tried to help out the family by working at a takeaway restaurant for 120,000 Iraqi dinars (around $77) a month, but he was laid off after three months.

“This summer, we didn’t travel abroad, and we didn’t even leave our house for any entertainment. We don’t have enough money to meet our daily needs and we have not even bought anything for the kids for school,” Mr Abdoul said.

“Some of the families are not sending their children to the schools because they don’t have enough money to buy their needs, from stationary to clothes, or even to give them pocket money,” he said.

Like many others, he buys goods and services on credit and repays it when he is paid. He currently owes $7,000.

“When we receive our salaries, we pay some of the debt and keep the rest,” he added. “Every month the debt increases, and there is no hope to pay all the debt, this is the case for all employees, unfortunately,” he said.

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Director:Matt Reeves

Rating: 5/5

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Daniella Weiss and Nachala
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Harel Libi & Libi Construction and Infrastructure
Libi has been involved in threatening and perpetuating acts of aggression and violence against Palestinians. His firm has provided logistical and financial support for the establishment of illegal outposts.

Zohar Sabah
Runs a settler outpost named Zohar’s Farm and has previously faced charges of violence against Palestinians. He was indicted by Israel’s State Attorney’s Office in September for allegedly participating in a violent attack against Palestinians and activists in the West Bank village of Muarrajat.

Coco’s Farm and Neria’s Farm
These are illegal outposts in the West Bank, which are at the vanguard of the settler movement. According to the UK, they are associated with people who have been involved in enabling, inciting, promoting or providing support for activities that amount to “serious abuse”.

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The National will broadcast live from the IMF on Friday October 13 at 7pm UAE time (3pm GMT) as our Editor-in-Chief Mina Al-Oraibi moderates a panel on how technology can help growth in MENA.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

The biog

Hometown: Cairo

Age: 37

Favourite TV series: The Handmaid’s Tale, Black Mirror

Favourite anime series: Death Note, One Piece and Hellsing

Favourite book: Designing Brand Identity, Fifth Edition

The Birkin bag is made by Hermès. 
It is named after actress and singer Jane Birkin
Noone from Hermès will go on record to say how much a new Birkin costs, how long one would have to wait to get one, and how many bags are actually made each year.

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Director: Bryan Singer

Starring: Rami Malek, Lucy Boynton, Gwilym Lee

Rating: 3/5

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Price, base / as tested: Dhxxx
Engine: 5.7L V8
Transmission: Eight-speed automatic
Power: 395hp @ 5,600rpm
Torque: 556Nm @ 3,950rpm
Fuel economy, combined: 12.7L / 100km

Warlight,
Michael Ondaatje, Knopf 

What is a robo-adviser?

Robo-advisers use an online sign-up process to gauge an investor’s risk tolerance by feeding information such as their age, income, saving goals and investment history into an algorithm, which then assigns them an investment portfolio, ranging from more conservative to higher risk ones.

These portfolios are made up of exchange traded funds (ETFs) with exposure to indices such as US and global equities, fixed-income products like bonds, though exposure to real estate, commodity ETFs or gold is also possible.

Investing in ETFs allows robo-advisers to offer fees far lower than traditional investments, such as actively managed mutual funds bought through a bank or broker. Investors can buy ETFs directly via a brokerage, but with robo-advisers they benefit from investment portfolios matched to their risk tolerance as well as being user friendly.

Many robo-advisers charge what are called wrap fees, meaning there are no additional fees such as subscription or withdrawal fees, success fees or fees for rebalancing.

Dr Amal Khalid Alias revealed a recent case of a woman with daughters, who specifically wanted a boy.

A semen analysis of the father showed abnormal sperm so the couple required IVF.

Out of 21 eggs collected, six were unused leaving 15 suitable for IVF.

A specific procedure was used, called intracytoplasmic sperm injection where a single sperm cell is inserted into the egg.

On day three of the process, 14 embryos were biopsied for gender selection.

The next day, a pre-implantation genetic report revealed four normal male embryos, three female and seven abnormal samples.

Day five of the treatment saw two male embryos transferred to the patient.

The woman recorded a positive pregnancy test two weeks later. 

Updated: October 05, 2023, 11:12 AM