Somalia’s cabinet on Monday approved a budget of 340 million U.S. dollars for the 2018/2019 financial year which is 65 million dollars more than the previous fiscal year.
Finance minister Abdirahman Duale Beyle said the cabinet, which is chaired by Prime Minister Hassan Ali Khaire, noted that 55 percent of the budget will be financed by internal sources of revenue while the deficit will be financed by donor support.
Beyle said revenue increased to 143 million dollars in 2017 from 113 million dollars in the previous year. He said 42 million dollars has already been realized in the first quarter of 2018.
The prime minister attributed the rise in revenue to various fiscal reforms which were instituted by the government, thanks to the Somali people who worked with the government to collect taxes to achieve self-sufficiency.
“I am pleased that the cabinet has approved the 2019 national budget today. Our budget has now risen to 340 million dollars,” said Khaire.
“This progress is the result of our economic and fiscal reforms and focus on rising domestic revenue. Our reform will be supported by our commitment to good governance,” he added in a statement.