Investing.com -- Iraq's government has proposed a 2027 budget based on an oil price of $58 per barrel, with total spending projected at 217 trillion Iraqi dinars ($166 billion), according to a Reuters report Tuesday citing an Iraqi lawmaker.

The proposals would result in a budget deficit exceeding 40 trillion dinars.

Four members of the parliamentary finance committee said the legislation projects crude oil exports of approximately 4 million barrels per day, including shipments from the Kurdistan region.

The government is also considering adjusting the dinar's exchange rate to between 1,400 and 1,500 per US dollar from approximately 1,300 currently, the lawmakers said.

Oil sales represent the majority of Iraq's state revenues.

The Iran war and resulting disruption to shipping through the Strait of Hormuz have led Iraq to seek alternative routes and transport options after its Gulf crude shipments were interrupted.

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