Cairo, Jumada II 17, 1435, Apr 17, 2014, SPA -- The two biggest parties in Iraqi Kurdistan Thursday reached an agreement on forming a new government, almost seven months after legislative elections in the autonomous region, dpa quoted local media reports. The Kurdistan Democratic Party (KDP) of regional president Masoud Barzani is to retain the premiership while the reformist Gorran (Change) party enters the government for the first time, the Kurdish Bas News agency reported. The finance and defence portfolios will go to Gorran, a relative newcomer to the political scene, the report said. Alsumaria television reported that the Natural Resources Ministry - in charge of the region's oil wealth - and the Interior Ministry would go to the KDP. The KDP won 38 seats of 111 in the region's legislative polls last September, with Gorran coming second on 24. The elections marked a major defeat for the Patriotic Union of Kurdistan (PUK) of Iraqi President Jalal Talabani, which slid to third place after its long-standing power-sharing agreement and electoral pact with the KDP ended. -- SPA 21:55 LOCAL TIME 18:55 GMT www.spa.gov.sa/1221975