Somaliland: Minister of National Planning Denies Allegations of Embezzlement of Aid Money

HARGEISA(SomalilandPress)–The Minister of National Planning Dr Sa’ad Ali Shire has dismissed allegations of embezzlement of aid money by government officials. Dr Sa’ad said lately there has been a seemingly growing number of negative media stories highlighting the negative accusations of misappropriation of funds by certain individuals who work for the government.

The Minister went on to say the allegations are false and baseless, although we cherish the freedom of expression as part of democracy, it does not entitle one to behave in unethically manner. Dr Sa’ad added the media should check for fact before embarking on tarnishing the reputation of the government, one needs to understand how aid money is channeled and through whom, because a tarnished reputation can result in an exodus of donors.

The Minister acknowledged the recipients of international aid are mostly from developing countries, (bilateral aid) this form of aid or funds are given to one country from another or by international organizations. This is not the case with Somaliland which does not qualify for bilateral aid since we are not recognized internationally, we on the other hand abide by the current direct implementation funding model, where donors channeled the aid through the international implementing institutions with the minimal consultation of the Somaliland government, there are strict guidelines and criteria for applying for the funds, making this type of funding almost impossible to be diverted for personal means.

Dr Sa’ad Ali conveyed the Purpose of the Somaliland development cooperation(SDC) has been set up to facilitate international investment in Somaliland for the benefit of the Somaliland people. As a non-recognized State, foreign investors face considerable uncertainty about whether contacts the basis of secure business can be enforced or not. The SDC circumvents the problem of non-recognition by providing a transparent, accountable and enforceable means by which investors can participate in Somaliland ventures. A separate not-for-profit company has already been set up in the UK to act as the founding vehicle, with Minister of State Dr. Mohammed Rashid Hassan, former Ambassador Myles Wickstead CBE and Jeremy Carver CBE as founder Directors.

The SDC is to be owned by an incorporated trust, the Somaliland Development Corporations Trust (SDC). The approved Somalilander and international Trustees with control the shared of the two SDC companies on behalf of the people of Somaliland. Each of the companies (for profit and not for profit) with have its own board of directors. The Somaliland government and the political opposition will have seats on both boards.

Its main purpose will be the administering of the Somaliland Development Fund (SDF) which has been proposed jointly by DFID and DANIDA to support increased National Ownership of the aid agenda and development process by the government of Somaliland. The two donors have embarked in excess of 25 m dollars over a period of three years (2012 – 2015) for the fund and it is likely that other donors may chose to use this financing modality to support National Priorities once the fund is in operation.

The overall objective of SDF will be to support a more and prosperous Somaliland however, given the size of the fund, there is a need to prioritize , and thus the focus of the fund is still to be defined. However, it is hoped that SDF will contribute to a government with a better fiscal management, that will be in a position to fund National Priorities, allocated on objective basis and which will have an impact
on citizens lives.

The current government of president has zero tolerance policy for corruption .Too often, anticorruption programs overlook the fact that ethics and legal systems alone are not sufficient to effectively address corruption. Rather, it is properly established institutions that prove to be powerful anticorruption mechanisms. Such a systemic approach provides a framework for identifying both the sources of corruption and organizational behavior patterns which involve the political economic and social aspects to be addressed. A combination of ethical and legal anticorruption measures and an introduction of functional mechanisms that both suppress and protect against corruption makes the ethical and legal procedures effective.

Moreover, the existence of established anticorruption institutions provides a metric of both positive and negative incentives (rewards and sanctions) towards corruption and allows a more reliable measurement of anticorruption indicators – rather than indicators based solely on the perception of the public.

The Minister of National Planning Dr Sa’ad Ali Shire has dismissed allegations of embezzlement of aid money by government officials. Dr Sa’ad said lately there have been a seemingly growing number of negative media stories highlighting the negative accusations of misappropriation of funds by certain individuals who work for the government. The Minister this allegations false and baseless, although we cherish the freedom of expression as part of democracy, it does not entitle one to behave in unethically manner.

Dr Sa’ad added the media should check for fact before embarking on tarnishing the reputation of the government, one needs to understand how aid money is channeled and through whom, because a tarnished
reputation can result in an exodus of donors. The Minister said the recipients of international aid are mostly from developing countries, (bilateral aid) this form of aid or funds are given to one country from another or by international organizations. This is not the case with Somaliland which does not qualify for
bilateral aid since we are not recognized internationally, we on the other hand abide by the current direct implementation funding model, where donors channeled the aid through the international implementing
institutions with the minimal consultation of the Somaliland government, there are strict guidelines and criteria for applying for the funds, making this type of funding almost impossible to be diverted for personal means.

Dr sacad ali shire many questions are been asked about the Purpose of the Somaliland development cooperation(SDC) has been set up to facilitate international investment in Somaliland for the benefit of
the Somaliland people. As a non-recognized State, foreign investors face considerable uncertainty about whether contacts, the basis of secure business can be enforced or not. The SDC circumvents the problem of
non-recognition by providing a transparent, accountable and enforceable means by which investors can participate in Somaliland ventures. A separate not-for-profit company has already been set up in
the UK to act as the founding vehicle, with minister of State Dr. Mohammed Rashid Hassan, former Ambassador Myles Wickstead CBE and Jeremy Carver CBE as founder Directors.

The SDC is to be owned by an incorporated trust, the Somaliland Development Corporations Trust (SDC). The approved Somalilander and international Trustees with control the shared of the two SDC companies on behalf of the people of Somaliland. Each of the companies (for-profit and not- for-profit) with have its own board of directors. The Somaliland government and the political opposition will have seats on both boards.

Its main purpose will be the administering of the Somaliland Development Fund (SDF) which has been proposed jointly by DFID and DANIDA to support increased National Ownership of the aid agenda and development process by the government of Somaliland. The two donors have embarked in excess of 25 m dollars over a period of three years (2012 – 2015) for the fund and it is likely that other donors may chose to use this financing modality to support National Priorities once the fund is in operation.

The overall objective of SDF will be to support a more and prosperous Somaliland however, given the size of the fund, there is a need to prioritize , and thus the focus of the fund is still to be defined. However, it is hoped that SDF will contribute to a government with a better fiscal management, that will be in a position to fund National Priorities, allocated on objective basis and which will have an impact on citizens lives.

The current government of president has zero tolerance policy for corruption .Too often, anticorruption programs overlook the fact that ethics and legal systems alone are not sufficient to effectively
address corruption. Rather, it is properly established institutions that prove to be powerful anticorruption mechanisms. Such a systemic approach provides a framework for identifying both the sources of
corruption and organizational behavior patterns which involve the political economic and social aspects to be addressed. A combination of ethical and legal anticorruption measures and an introduction of functional mechanisms that both suppress and protect against corruption makes the ethical and legal procedures effective.

Moreover, the existence of established anticorruption institutions provides a metric of both positive and negative incentives (rewards and sanctions) towards corruption and allows a more reliable measurement of anticorruption indicators – rather than indicators based solely on the perception of the public.

Source: Somalilandpress.

About Balishire