Somaliland authority set to introduce tough policies aimed at curbing the rising inflation

[Deeq A.]

HARGEISA-— Somaliland authority under the new leadership led by President Hon. Musa Bihi is due to introduce new measures aimed at reducing the inflation which impacted the standard of living in the country. The new president announced recently that his administration will apply new steps in order to curb the skyrocketing food prices and the decline of Somaliland Shillings in terms of the Dollar. The Head of State has said that the measures will be a lasting solution to the long standing issue of inflation in Somaliland. Somaliland’s Central Bank in conjunction with telecommunication firms have held serious of discussions in order to ease the rise of food prices and the decline of Shilling.

The following points have been agreed in order to reduce the inflation:-

1. Firms in charge of Mobile money have been apprised not to circulate more than 100 dollars in Zaad accounts but they agreed that Somaliland Shilling must be widely used for circulation.
2. The Central Bank will have the powers to monitor the movements of rate of exchange of local currency in terms of the dollar. The ministry of treasury used to do that.
3. All money exchange firms will be closed while the central bank will do the money exchange.
4. Taxes imposed on Khat importing firms will be increased.

The new government is due to impose these policies in order to curb the rising inflation which impacted Somaliland’s cost of living. Silanyo’s administration failed to tackle the inflation which became out if control due to lack of remedies from his government.