Nairobi, Kenya – Somalia’s Minister of Finance, Bihi Iman Egeh, on Sunday officially opened the fourth review meeting of the Extended Credit Facility (ECF) with the International Monetary Fund (IMF) in Nairobi. The high-level discussions bring together Somali government officials and IMF experts to assess the country’s progress under the economic reform program and map the way forward.
The meeting comes at a critical stage in Somalia’s reform journey, following the country’s historic debt relief under the Heavily Indebted Poor Countries (HIPC) initiative in late 2023. Since then, Mogadishu has been working to consolidate economic stability, improve public financial management (PFM), and strengthen institutions to support sustainable growth.
Egeh underscored the government’s determination to maintain fiscal discipline while advancing reforms that can unlock investment and broaden the tax base. He highlighted that Somalia has increasingly relied on domestic revenues to cover salaries and basic expenditures, a shift that signals growing financial independence.
“Somalia is committed to keeping the reform momentum on track. We are determined to strengthen transparency, accountability, and efficiency in public spending to deliver better services for our people,” Egeh said in his opening remarks.
The fourth review under the ECF will examine progress in implementing revenue mobilization measures, modernizing customs and tax administration, strengthening the central bank, and improving governance in state-owned enterprises. It will also evaluate the resilience of Somalia’s economy in the face of external shocks, including climate change impacts, regional instability, and global inflationary pressures.
IMF officials praised Somalia’s reform progress so far but noted that consistent implementation will be key to maintaining economic stability. Successful completion of the review will unlock additional financial support and reinforce confidence among international partners.
The Nairobi meetings are expected to run for several days, with outcomes that could shape Somalia’s fiscal policy priorities for the coming year and determine the pace of external financing.