The fiscal policy in Iraq is affected by the circumstances in which the economy is going through. For example, during the period of economic siege, the government resorted to financing its spending through inflationary financing in order to support the agricultural sector to provide food commodities as well as support the industry to compensate for the shortage of imported goods. After 2003, the government used fiscal policy to rebuild Iraq and raise salaries and wages through large budgets but failed to meet the desired targets. sing the ARDL model, we found that oil prices were the most influential variable in fiscal policy. This reflects the economic nature of the economy and then presents it with external shocks on an ongoing basis. There was also a long-term balance between macroeconomic variables and economic policy variables. The correction of the error in the two categories of public revenues and public expenditures was relatively rapid and was reported respectively (88% and 75%).