Mogadishu, Somalia – The Minister of Finance, Bihi Egeh, on Thursday officially closed a training program designed to strengthen government institutions’ capacity in Program-Based Budgeting (PBB), a move aimed at reshaping how the country prepares and manages its national budget.
The training, organized under the Ministry of Finance’s ongoing public financial management reform agenda, brought together officials from across key government agencies. Its objective was to equip them with the tools and knowledge necessary to prepare the 2026 national budget in line with PBB principles.
According to Egeh, the adoption of Program-Based Budgeting represents “a fundamental shift from traditional input-based methods to results-oriented planning,” ensuring that government resources are linked directly to service delivery and institutional mandates.
“This is not just a technical adjustment but a cultural transformation in how we view budgeting. The 2026 budget will be developed to reflect the real priorities of citizens, focusing on accountability, efficiency, and measurable outcomes,” Egeh emphasized.
PBB is widely regarded as an international best practice in public finance, allowing governments to better align expenditures with strategic objectives while improving transparency. For Somalia, where fiscal reforms are central to consolidating debt relief gains and attracting investment, the shift is expected to significantly enhance efficiency in public spending.
The training also marks another milestone in Somalia’s broader Public Financial Management (PFM) reform process, which has been supported by international partners. Officials say the reforms will help bridge gaps in planning, improve inter-ministerial coordination, and reinforce the link between policy and budget allocations.
Observers note that successful implementation of PBB in the 2026 budget will be a litmus test for Somalia’s reform drive, as the country seeks to build sustainable institutions, strengthen service delivery, and enhance public trust in state financial systems.
