(30 March 2024) MOGADISHU (Halqabsi News) — The Federal Government of Somalia has submitted the required financial audit reports to the World Bank, averting potential sanctions threatened by the global lender. Ahmed Isse Gutale, the Auditor General, confirmed the submission through a press release, noting that the reports were provided ahead of the March 31 deadline imposed by the World Bank.
The World Bank had previously expressed concerns over the delay in submitting audited accounts related to the funds disbursed to Somalia. These reports, due by December 31, 2022, had not been received, leading to warnings from the bank of severe measures if the deadline was not met.
Among the punitive actions the World Bank had threatened were the withholding of planned project releases, suspension of ongoing projects, and a halt to all bilateral negotiations scheduled for April. Additionally, the bank indicated it would suspend grants and the directors of projects pending the submission of audit reports, and it also threatened to pause funding for three critical projects slated for April disbursement.
In response, the National Auditor General issued a statement highlighting the Somali government’s commitment to transparency and accountability. “This step encourages transparency and accountability, and reassures our supporters of Somalia’s dedication to the development and sustainability of its projects,” the statement conveyed, signalling a positive turn in the saga that had strained relations between Somalia and one of its key financial backers.
The submission of the audit reports comes at a critical time for Somalia, which has reported an increase in domestic revenue but continues to seek more support to bolster its economic and developmental efforts. The government’s timely action in meeting the World Bank’s requirements underscores its resolve to maintain the support of international partners and to advance the country’s development agenda.
Halqabsi News
