Mogadishu—The European Union (EU) is planning to release €20 million in budget support to Somalia, as concerns over rampant corruption in the country have escalated in recent months, prompting International partners to demand action, diplomats and Somali officials told The Horn Examiner.
According to officials familiar with the matter, €12 million of the total €20 million support earmarked for allocation will be directed towards the Federal Government of Somalia (FGS), while the remaining €8 million will be transferred to the Federal Member States (FMS).
This development comes amidst escalating tensions between the Somali Government and International partners, as donors such as the European Union express grave concerns over the rising levels of corruption within the Somali Government.
Meanwhile, it is worth noting that the EU Budgetary Support was originally disbursed in July 2022, even though, the Somali Government fell short of fulfilling the necessary benchmarks to effectively utilize the funds for almost a year.
The ongoing dispute has the potential to further strain the already delicate relationship between the two parties, potentially affecting both development projects and humanitarian aid.
The concerns surrounding corruption encompass a wide range of issues, including the misappropriation of public funds, instances of bribery and nepotism, hence sparking outrage among the International Community, which has invested substantial resources in aiding governance reforms and anti-corruption initiatives in Somalia.
According to a senior Western diplomat who spoke to the Horn Examiner, concerns about the ‘distressing’ extent of corruption in Somalia were raised during a recent meeting in Nairobi last week.
At the end of the emergency meeting, representatives from the International Monetary Fund (IMF), World Bank, United States and United Kingdom who were present at the meeting decided to take a more assertive approach with Somali leaders, with several steps including engaging directly with the Somali Government, in an attempt to push them to address the crisis at hand. The official who insisted to remain anonymous because he was not authorized to speak to the media said.
However, no specific date has been set for that particular meeting.
Furthermore, in another move emphasizing the growing donors’ concerns, they agreed to assess the situation firsthand, with Mouhamaddou Diagne, the Vice President of the World Bank for Integrity is expected to travel Somalia in the coming weeks.
However, the Somali Government, seemingly concerned about the visit has expressed its intention to assess the situation on its own before granting approval for Mr. Diagne’s visit.
Responding to mounting pressure and acknowledging the significance of preserving its relationships with International Financial Institutions (IFI), the Somali Council of Ministers has swiftly approved new anti-corruption guidelines. These guidelines, which have received official endorsement from the Presidency, demonstrate the government’s unwavering commitment to combatting corruption, with state house officials emphasizing the importance of this action in safeguarding those relationships and addressing concerns regarding financial mismanagement.
At the centre of the concerns raised by International Partners is the controversial appointment of Ahmed Isse Gutale as the new Auditor General.
Donors have argued that Gutale, a former journalist at a local radio station, lacks any prior experience or qualifications in public services or finances, thereby insisting his appointment was made without following due process and merit, thereby violating established guidelines.
In an attempt to ease the pressure, the Somali Government has since informally communicated to its partners that Gutale will be replaced, subject to the Audit Bill’s approval during the upcoming parliamentary session, according to two Villa Somalia officials who spoke to The Horn Examiner.
Furthermore, the disbandment of the Anti-Corruption Commission, which was established during President Mohamed Abdullahi Farmajo’s administration, has also raised concerns among the International partners.
Compounding the pressure, the Financial Governance Committee (FGC), a hybrid Somali-international body whose task is to improve financial governance in Somalia, has also raised alarms over the granting of non-competitive government contracts to individuals closely associated with the President, including family members and friends.
The Somali Parliament also intends to weigh into the matters, with the introduction of an Audit Bill upon return from recess.
Should this Bill receives approval from both Houses of the Parliament and be signed by the President, officials hope it will help ease pressure pertaining to financial transparency and accountability.
In addition, Somali Prime Minister Hamza Abdi Barre, has also established a Committee comprising eight members to undertake the crucial task of recovering public properties held privately. The committee has the mandate to identify, assess, and retrieve all public properties, including those belonging to state institutions, agencies, and enterprises, which are currently in private hands.
Despite the difficulties faced, the allotment of €20 million from the EU signifies the International Community’s willingness to assist Somalia in its efforts to tackle corruption and foster good governance.
The budget support is seen as a litmus test by the donors, who have issued warnings to the government, emphasizing the need for concrete actions to rebuild trust and effectively address the concerns raised by its International Partners.
In the face of corruption allegations within his government that have raised concerns about the country’s debt relief efforts, PM Barre has attributed the challenges to the Puntland, a semiautonomous region in northeastern Somalia, warning that if the debt relief process fails, the responsibility will rest with the regional state.
These comments have surfaced amidst the International Partners growing dissatisfaction with the performance of Barre’s government, which is nearing its one-year milestone since President Hassan Sheikh Mohamud assumed office.
We, at the Horn Examiner, are continuously striving to improve our reporting, and we genuinely appreciate your feedback.
We invite you to share your thoughts on what you enjoyed and any areas where we can further enhance our work.
Please feel free to send your tips to: [email protected].
Your feedback will be highly appreciated!
Facebook Comments