Significant Decrease in Puntland's Budget

Garoowe (Caasimada Online) – The Puntland Cabinet has approved the administration's budget for the year 2027, which amounts to $308,213,973, marking a decrease of more than $7.5 million compared to the budget for the year 2026.

The meeting to approve the budget took place in the city of Garoowe, chaired by the President of Puntland, Siciid Cabdullaahi Deni, accompanied by the Deputy President of the administration, Ilyaas Cismaan Lugatoor.

During the meeting, the Cabinet was presented with the budget report prepared by the Ministry of Finance, along with additional reports submitted by technical committees that reviewed revenue growth and government expenditure management.

After discussion and analysis, the Cabinet approved the new budget with a majority vote, which was presented by the Ministry of Finance, consisting of domestic revenue and the funds allocated for ongoing projects.

The announced figures indicate that the 2027 budget is less than that of the year 2026 by an amount of $7,569,371, which corresponds to a decrease of nearly 2.4 percent. This year's budget was $315,783,344, while the one for the upcoming year has been approved at $308,213,973.

The Puntland Presidency stated that the new budget is built on a plan to strengthen domestic revenue growth and expenditure management, in order to mitigate the anticipated economic impact of conflicts in the Middle East.

It also noted that the overall decrease in the budget will not affect the rights and allowances, clarifying that there will be no reductions in the funds entitled to employees and other sectors of the government.

The approval of the new budget comes at a time when Puntland's economy is facing challenges related to the suspension of some international aid and the political disputes with the federal government, which have affected development projects and the administration's economy.