Somaliland’s Ministry of Finance and Economic Development held a high-level quarterly erformance review on Monday, with senior officials emphasizing continued progress in fiscal reforms aimed at strengthening accountability, modernizing financial systems, and demonstrating the nation’s institutional maturity.
The meeting — chaired by Finance Minister Abdillahi Hasan Aden and attended by State Minister Ismail Mawlid Abdillahi, Director General Mohamed Hasan Suleiman and the Accountant General Hasan Muse Khalif — assessed departmental performance for the July–September 2025 period. Officials described the review as a critical step toward aligning the ministry’s operations with the government’s long-term economic and governance goals.
“These quarterly assessments are not merely procedural; they are instrumental in holding ourselves accountable to the people of Somaliland,” Minister Aden said in a statement following the closed-door session. “The progress documented in these reports reflects our unwavering commitment to ensuring that every shilling is accounted for and directed toward national priorities.”
The internal reports, though not released publicly, were said to outline achievements in revenue collection, digitalization of payment systems, and streamlining of government expenditures — reforms that officials say are designed to bring greater transparency and efficiency to public finance management.
The ministry also discussed persistent structural challenges, including integrating informal and traditional sectors into the formal economy, expanding the tax base, and curbing corruption within public institutions.
“Identifying challenges is only the first step,” said Director General Mohamed Hasan Suleiman. “The critical work lies in the actionable plans we are developing to overcome them, ensuring we build a more resilient and efficient financial framework for the future.”
Somaliland, which restored its independence from Somalia in 1991 but remains unrecognized internationally, has long sought to showcase its governance and fiscal stability as evidence of its readiness for statehood. The government frequently points to its ability to collect taxes, manage budgets, and maintain internal stability as indicators that it functions as a de facto state.
Economic analysts say the finance ministry’s emphasis on structured reviews and accountability is part of a larger effort to project Somaliland’s institutional credibility to international partners.
“For Somaliland, a well-run finance ministry is more than an administrative body; it’s a tool of strategic statecraft,” said Saed Ahmed, an economic analyst based in Hargeisa. “By championing transparency and efficiency, they’re strengthening their argument for recognition and investment.”
The Ministry of Finance has in recent years introduced electronic payment systems, automated customs collection, and digital payroll tracking, reducing cash handling and increasing oversight. Officials say these measures have improved domestic revenue performance and reduced leakages in public spending.
“Fiscal discipline is the foundation of economic independence,” said State Minister Ismail Mawlid Abdillahi, according to a statement shared by the ministry. “Each reform we implement strengthens public trust and moves us closer to international standards.”
Despite the absence of formal recognition, Somaliland operates its own currency, tax regime, and central bank, and maintains separate economic and political institutions from Mogadishu. Its government routinely invites international observers to review its fiscal processes as part of its effort to demonstrate compliance with global norms of financial governance.
Analysts say such initiatives not only bolster investor confidence but also signal a broader readiness for eventual integration into international economic systems.
“Somaliland is trying to show that governance is not about recognition — it’s about performance,” said Ahmed. “And on fiscal management, they’re increasingly walking the talk.”
Minister Aden concluded the session by urging continued collaboration between departments and stressing that the ministry’s mission extends beyond routine accounting.
“Every reform we implement serves a greater purpose,” he said. “It is about proving that Somaliland can govern itself responsibly, transparently, and effectively — as any sovereign nation should.”
