Somalia’s Economy Expected to Grow Despite Significant Shocks
It's believed that massive corruption took place during Farmajo's presidency and so far no official has been held accountable. This makes Somalia one of the top corrupt nations in the globe.
MOGADISHU, Somalia - The Auditor General of Somalia has published the 2021 annual report on the financial situation of the Horn of Africa country as a new administration is put in place.
This auditor's report shows errors in the management of government expenditures, contracts, and the management of incoming and outgoing funds, as well as budget subsidies.
Mohamed Ali Afgoye, speaking to reporters in Mogadishu on Tuesday said his office investigated 29 ministries, other government agencies, and two embassies.
He said that the budget for the year 2021 was $666 million dollars but some $382 million dollars have been audited, while the remaining go unchecked and ended up in personal pockets.
The auditor said that all the 29 organizations that he investigated did not have the plan to deal with incoming expenses. A sum of $5 million was deposited into accounts outside the government treasury without authorization.
Continuing, the AG added that the previous administration led by Farmajo entered 105 deals that were valued at $14 million dollars and were not registered in the treasurer's office.
The auditor general's office audited an amount of US $1,327,780. Meanwhile, 8 of the 29 government agencies did not have supporting evidence for the expenses.
The Ministry of Finance borrowed $96,365,574 and a loan of $14,605,118 from the Central Bank of Somalia and the International Monetary Fund [IMF]. A large amount of the money totaling $96 million goes missing.
The Auditor General of the State has issued a report saying that 5 million dollars have been transferred to an account outside the government treasury.
It was also stated that 105 agreements worth $14M were not registered in the AG office and grants totaling $13M were not included in the national budget approved by Parliament.
It's believed that massive corruption took place during Farmajo's presidency and so far no official has been held accountable. This makes Somalia one of the top corrupt nations on the globe.
The latest Somalia Economic Update (SEU) report has a special focus on social protection which is seen to have a key role in addressing the widespread poverty and inequality across the country.