Public Finance

Public Finance

Public Finance

Public Finance

- Constitution of Somalia

CHAPTER 13: PUBLIC FINANCE

Article 122. Principles of public finance

The Principles of the public finance will be discussed between the Federal Government and Federal Member State in accordance with the constitution.

Article 123. The Federal Central Bank

(1) A law passed by the Federal Parliament shall establish the Federal Central Bank of the Federal Republic of Somalia.
(2) The Federal Central Bank of the Federal Republic of Somalia shall be responsible for formulating and implementing financial policies and monetary policies and all the banks shall abide by the regulations set by the Federal Central Bank.
(3) The main functions of the Federal Central Bank of the Federal Republic of Somalia are to:
(a) Produce currency;
(b) Control inflation;
(c) Stabilize exchange rates; and
(d) Establish a sound banking system.
(4) The financial policy shall be based on the market forces and lending shall not be based on administrative decisions.
(5) The Federal Central Bank of the Federal Republic of Somalia has full authority to execute the monetary policy.
(6) The Federal Central Bank is the National Reserve Bank

Article 124. Federal Legislation on Financial Matters

A law enacted by the Federal Parliament shall provide the framework for financial management with the following characteristics among others:
(a) The preparation, timetable and procedure for presenting the budgets of Federal Member States and districts in a transparent, accountable and efficient manner;
(b) Guarantees by the Federal Government for loans raised by Federal Member States;
(c) Procedures which the Government will follow for public procurements;
(d) Auditing of accounts of non-governmental bodies that receive government funding; and
(e) General measures necessary for the implementation of this chapter.

Article 125. The National Treasury

(1) A law enacted by the Federal Parliament shall establish a national treasury. That law shall also determine legitimate revenue collection and expenditure disbursement relating to institutions at all levels within the Federal Republic of Somalia. That law shall be based on an accountability system that has been tested worldwide and is known to have standards related to financial reserve and expenditure that can equally be implemented in every part of the Federal Republic of Somalia.
(2) The National Treasury shall ensure the implementation of the principle stated in Clause (1) and it shall stop disbursement of funds to any government department that commits major violations or constantly violates the law of national treasury.

Constitution of Somalia

Declaration of the Federal Republic of Somalia
Fundamental Rights and the Duties of the Citizen
General Principles of Human Rights
Rights Basic Personal Liberties and its Limitations
Duties of Citizens
Land Property and Environment
Public Representation
General Principles of Public Representation
Elections
Devolution of the Powers of Government
Federal Parliament
General Provisions
House of the People of the Federal Parliament
Legislative Powers of the Upper House
Legislative Procedures In Parliament
President of the Federal Republic
Executive
Judicial Authority
Independent Commissions
Civil Service
Federal Member States
Public Finance
Peace and Security
Final and Transitional Provisions
Amending the Constitution
Miscellaneous Provisions
Somali Flag
Somali Emblem
Proposed Amendments to the Constitution
First Term of the Somali Federal Parliament
Priority Laws to be Enacted in the First Term
Constitution Somalia Public Finance 2023
Trends driving humanitarian crises in 2023 (and what to do about ... The New Humanitarian
Key Elections, Events to Watch in Africa in 2023 Foreign Policy
Customs reforms help Somalia increase tax revenue despite COVID ... World Bank
How a U.S. Law Allows for Continuing Commitments to Somalia Cato Institute