2013 Somaliland Budget $174 Million USD

[The Sage]

Exepert from State of the Union Speech

 

Since my election, one of my top priorities was to focus on the economy and increase government revenue through increased efficiency measures. We have streamlined the tax rules and lowered tax on basic necessities which impact the lives of our people. We fought with and reduced the corruption and the theft of public property and assets. We provided development training for government employees, awareness programs to the public at large, we have had consultation meetings with private businesses, and with wealthy Importers. These activities allowed us to grow government revenue annually. We have instituted new tax collection processes in all the regions as of April 12, 2012. We have also appointed a new National Budget Committee which is responsible for drafting our national budget.

 

We inherited a large deficit and debt from the previous administration and the 2010 budget presented to us was a mere 330,909,580,627 SL Shillings ($50 million dollars). The 2013 government budget is $174 million dollars (one trillion SL Shillings). This is the largest budget in the history of Somaliland and it is also a balanced budget.

Mr. Chairman and Honourable members;

 

"We have introduced new retirement pension accounts and implemented the collection of additional 1% tax on income which is a law this Chamber approved last year. This tax will pay for new established retirement pension for the Central Government employees who qualify for retirement. We have also implemented a new 5% tax on sales of Cigarette and Qad (Chat) at the wholesale level, we introduced new revenue sources to sectors of the economy that have not been paying their fair share of the taxes, such as new payroll income tax for teachers and administrators of private schools, and we established new rules for renting government houses.

 

My government has increased payments to local governments in both 2011 and 2012 by approximately 20%. This allowed local governments to increase their services to the people in the last two years by implementing new projects such as roads, garbage collection, and other new projects.

 

As required by law, we have submitted a full balanced budget report for the years 2008, 2009, 2010, and 2011; this has not been done since 2002. The government is required by law to provide accountability and issue a complete report on all the government budgeted expenses for the previous budget year."

 

Other Developments:

 

- Increased armed forces by 1800 soldiers and 3900 new police officers with new equipment, armored vehicles

 

- 75 new police stations who are fully equipped and 95 police Centres

 

- Military hospitals in Hargeisa and Burco

 

- Armed forces training school in Dardarweyne

 

- New Special Forces Unit in Army

 

- New three floor office building with 40 offices for the Immigration Agency

 

- 145 new primary and middle schools and rehabilitated 10 high schools with new classes in the regions, 24 new schools that are under construction now

 

- 6,646 students who graduated from Somaliland Universities in 2012

 

- Training program for 2000 farmers within the last two years who received training in better farming techniques that would improve their farm output

 

- Veterinary services including immunization to 500,000 heads of sheep and goats last year

 

- New transmitters, for Radio Hargeisa, which has the capacity to reach all the regions of Somaliland and neighbouring countries

 

- 42 new deep wells in the last two years compared to 89 wells in the previous 20 years

 

- $21.3 million dollars to rehabilitate Hargeisa's water system

 

- Eastern Development Stimulus Project in 2013: Sool Region ($500,000 to fund15 projects), Eastern Sanaag ($500, 00 to fund15 projects), and Buhodle Region ($300,000 to fund 10 projects)

 

http://somalilandsun.com/index.php/politics/government/2210-somaliland-state-of-union-address-joint-meeting-of-guurti-and-parliament

 

Pretty good for 2012, but I want 2013 to pick up the pace even more, still satisfied overall

[Che -Guevara]

"We have also implemented a new 5% tax on sales of Cigarette and Qad (Chat) at the wholesale level"

 

Good!

[The Sage]

Yeah I don't know how big of an impact this sin tax will have on consumption but I hope the cost will be passed on to the consumers from wholesalers and affect their purchasing habits....and the government will get more action on the revenue side

[Jacaylbaro]

5% is too small but it is a good start ..... we can increase that rate a bit by bit ....

[Abu-Salman]

Exactely, we will get serious when this is roughly doubled/quadrupled at the very least and with less than 20% going to administration, discretionary budgets, security or presidence (solely healthcare, training and infrastructure).

This, because budget figures in themselves are meaningless if spent outside vital basics.

 

Good progress though and kudos to decent men like Mr Samale.

[Xaaji Xunjuf]

Looks good lets hope we reach 250 million by the year 2015.

[The Sage]

I think in the national development plan the goal is to increase revenue to that number by 2016, so it's definitely doable