Federal, regional finance ministers sign deal to end standoff

The statement from the forum announced that the sides agreed on how to share the $100 million package aimed at carrying out development projects given by the World Bank to Somalia.

News Keydmedia Online
13 September 2022

MOGADISHU, Somalia - On Tuesday, during a meeting in Mogadishu, the Minister of Finance of the Federal Government of Somalia and the finance ministers of the regional states inked a deal.

The week-long talks were wrapped up with the Federal Minister of Finance, Dr. Elmi Mohamed Nur accepted to break the barrier of cooperation and resolve the dispute over the donor funds.

Nur finally signed an agreement with the Finance Ministers Puntland, Hassan Shire Abgaal, Jubaland, Hussein Khersi Ahmed, HirShabelle Abdishakur Mohamed Hassan, Southwest, Ahmed Mohamed Hussein, and Galmudug Finance Minister Farhan Ali Mohamud.

During the meeting, the ministers at both Federal and regional levels focused on the unification of the country's tax system and the process of sharing financial aid from the international community.

The statement from the forum announced that the sides agreed on how to share the $100 million package aimed at carrying out development projects given by the World Bank to Somalia.

Finally, the ministers have agreed to work together to promote the country's economy and not politicize its financial sector, according to the 11 points-statement obtained by Keydmedia Online.

This comes after the regional finance ministers said they suspended cooperation with the Federal finance minister after failing to distribute the $100 million budgetary support from the World Bank in accordance with previous agreements which stipulate a 50% share.

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