Hiiraan Xog, The Norwegian Government has announced a commitment of $54.3 million to support the reconstruction, reform and development process in Somalia.
Channelled through the World Bank’s Multi-Partner Fund (MPF), the funds will provide resources through the Government’s systems to address the country’s most critical challenges on its path towards stability.
The additional financing from Norway comes two weeks after the approval of Somalia’s first Country Partnership Framework (FY 2019-2022), and the first International Development Association (IDA) financing for government in more than 30 years.
Nikolai Astrup, Norway’s Minister of International Development said her country recognised Somali government’s efforts to bring the country.
“This additional contribution from her country signals our recognition of the considerable progress the Somali authorities have made in bringing the country together,” said Nikolai Astrup.
“This contribution reflects our confidence in the country’s institutions. The reform momentum is bringing tangible dividends to the country. This is the time to advance on the back of the gains we have collectively achieved and to sustain progress towards peace and stability.”
The MPF has been investing in intergovernmental fiscal reform through the Recurrent Cost and Reform Financing (RCRF) Project.
This project brings the Federal Government and the Federal Member States together to discuss resource distribution, service delivery and financial reforms across the country.
In September this year, the World Bank Group Executive Board approved the expansion of the RCRF project using IDA pre-arrears clearance grants.
The RCRF project will, therefore, receive financing from both the MPF and IDA. The Norwegian contribution to the MPF will allow for a scale-up in the resources going through the RCRF project, which include transfers to the Federal Member States.