Mogadishu (Dawan Africa) A new report by Somali Public Agenda (SPA) has revealed that the Benadir Regional Administration (BRA) is operating a tax-funded governance model increasingly resembling a patronage system, where public revenues primarily serve internal payroll rather than citizens.
The July 2025 report, titled “Examining BRA Tax Revenue,” finds that BRA collected $58.5 million in taxes in 2024, yet spent 85% of its $68 million budget on salaries for 3,000–3,400 employees. This left just 15% for development or services, with no evidence that these funds improved public infrastructure, health, or education.
Report Links Benadir Tax Collection to Growing Patronage System
SPA warns that the system benefits the administration more than the public. “The bulk of BRA’s tax revenue is used to pay salaries rather than finance public services,” the report states.
While the administration collects taxes across the city—including property and land fees—residents still pay out-of-pocket for essential services like trash collection, water access, and school supplies. Waste collection is handled by a private firm, Ifi Waste Management, which charges households $5–$10 monthly.
BRA has no legal framework for tax collection and operates through mayoral directives rather than formal legislation. SPA identifies this as a major accountability gap, allowing tax enforcement without oversight or clear public benefit.
The report also highlights the absence of a public financial management (PFM) system, lack of published budgets, and fragmentation of tax collection across multiple departments and private firms. Residents report coercion, confusion, and no recourse for grievances.
SPA concludes that the BRA’s current model reflects bureaucratic capture—where public funds are consumed internally, while public services are neglected. It recommends legal reform, financial transparency, and investment in basic services to restore public trust.
With revenue expected to exceed $100 million by end of 2025, SPA warns that without reform, BRA’s expanding tax base could reinforce a system that is “financially active but institutionally hollow.”
