Somali Senate Passes Landmark Financial Reforms to Boost Investment and Growth

GOOBJOOG NEWS | MOGADISHU: Somalia’s Senate has approved a sweeping package of economic reform bills aimed at modernizing the country’s financial framework, boosting investor confidence, and accelerating growth.

Finance Minister Bihi Iman Igeh welcomed the passage of four key laws: the Insurance (Takaful) Bill, the Income Tax Bill, the Revised Financial Institutions Bill, and the Revised Anti-Money Laundering and Terrorist Financing Bill.

The legislation now awaits final approval by President Hassan Sheikh Mohamud.

“These Bills will be formally enacted into law upon the signature of H.E. President Hassan Sheikh Mohamud,” said Minister Igeh in a statement, calling the reforms a cornerstone of Somalia’s ongoing economic transformation.

The new legal framework is expected to strengthen oversight of financial institutions, enhance transparency, promote Islamic-compliant insurance services, and align Somalia with global standards on tax compliance and anti-money laundering.

The Finance Ministry said the measures are critical to unlocking domestic and foreign investment, deepening financial inclusion, and laying the groundwork for job creation and sustainable economic growth.

The reforms mark a significant milestone in Somalia’s state-building efforts as it seeks debt relief, builds institutional resilience, and repositions itself as a credible partner in the global economy.