Iraq’s Finance Ministry has proposed a preliminary budget of $118bn for 2013, with a projected $15.5bn deficit.

The budget has now been put before Iraq’s cabinet for approval, according to Deputy Finance Minister Fadhil Nabi, Reuters news agency reports.

The budget is based on projected oil exports of 2.9 million barrels a day (b/d), which would include 175,000 b/d from the semi-autonomous Kurdistan region of northern Iraq. The ministry forecasts average oil prices of $90 a barrel.

The budget includes a $45.5bn allocation for investment projects and $644m for oil companies working in the Kurdistan region.

Iraq had a budget of $115bn in 2012, based on an oil price of $85 a barrel and exports averaging at least 2.625 million b/d. The country has earned more than $61bn in revenues from crude oil exports for the year up to September, with exports averaging 2.36 million b/d and oil prices at an average of $106.7 a barrel.