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The economy of the Kurdistan region of Iraq fluctuates according to the state of relations between Baghdad and the Kurdistan Regional Government.
A key indicator of the region’s economy, real estate, has been sluggish but has seen a dramatic improvement in just the last few weeks since KRG Prime Minister Nechirvan Barzani negotiated an agreement with Baghdad in late April to end the boycott of the Iraqi government and Council of Representatives by Iraqi Kurdish ministers and members of parliament and cool tensions in Kirkuk and disputed areas.
