Policy Briefs

The economic implications of sales tax reform are twofold. While it can increase government revenue and support public service delivery, it may also raise the cost of goods, burden consumers, and impact small businesses operating in the informal sector. Ensuring equitable tax enforcement across regions and coordinating federal and state-level…

Corruption remains a major obstacle to Somalia’s governance, economic growth, and public service delivery, ranking 11/100 on the 2023 Corruption Perceptions Index. Weak institutions, lack of political commitment, and centralized financial control have fueled bribery, nepotism, embezzlement, and aid diversion, further undermining public trust and economic stability. This paper examines…

Somalia’s stabilization efforts are critical to ensuring long-term peace, governance, and economic recovery in the aftermath of conflict and insecurity. This policy brief examines key lessons and insights from the Inter-Governmental Learning on Early Recovery and Immediate Stabilization (ILEIS) Conference in Baidoa, where federal and state-level actors, development partners, and…

Somalia’s transition to a fiscal federalism model has been marked by challenges in revenue allocation, governance structures, and financial management. The National Consultative Council (NCC) has played a key role in negotiating revenue-sharing agreements between the Federal Government of Somalia (FGS) and Federal Member States (FMSs). However, inconsistencies in tax…