Garowe, Puntland — The newly approved 2026 budget for Puntland has raised eyebrows as official figures reveal a steep decline of over 30% compared to last year, despite government statements suggesting growth. According to official documents, the region’s 2025 budget totaled $466.84 million, while the 2026 allocation stands at $315.78 million, marking a 32.4% reduction year-on-year.
The discrepancy comes amid the Puntland presidency’s claim, issued after a cabinet meeting that endorsed the new budget, that the 2026 plan represents a 16% increase. The statement did not clarify whether the increase referred to specific segments of the budget, such as domestic revenue or development projects, leaving analysts puzzled.
Financial experts have urged the government to provide transparency, emphasizing that international best practice evaluates growth against the overall budget total. Many argue that without a detailed breakdown, it is difficult to understand how a sharply reduced overall budget could be described as an increase.
The budget shortfall has sparked concerns about the impact on Puntland’s public services, infrastructure projects, and civil servant salaries. Observers note that any miscommunication could affect public trust, especially as the region seeks to maintain economic stability in a challenging financial environment.
As Puntland moves forward with its 2026 budget, stakeholders are calling for clear explanations and accountability, highlighting the importance of transparency in ensuring both domestic and international confidence in the region’s economic planning.