Somalia Parliament Advances Central Bank Amendments and Judicial Bill

Somalia’s House of the People approved an international judicial cooperation bill and advanced Central Bank amendments during a parliamentary session in Mogadishu, as the Central Bank of Somalia signs a new regional memorandum of understanding with the National Bank of Rwanda to build financial resilience.

Somalia’s legislative and financial authorities are overhauling the nation’s legal foundations and cross-border partnerships.

Lawmakers Pass Judicial Cooperation Bill and Debate Bank Law

The international judicial cooperation bill secured broad backing from lawmakers during the parliamentary session. The measure passed with 130 votes in favor, while nine legislators voted against it and two abstained. Immediately following that vote, the House turned its attention to domestic monetary governance by giving a second reading to a bill that amends Somalia’s Central Bank Law No. 130, which was originally enacted on April 22, 2012.

Lawmakers engaged in direct debate over the proposed amendments. Officials from both the Ministry of Justice and Constitutional Affairs and the Central Bank of Somalia attended the session to answer questions from legislators, who also reviewed the second-reading report detailing agreements on international judicial cooperation struck between Somalia and Turkey.

Somalia Parliament Advances Central Bank Amendments and Judicial Bill — Photo: shabellemedia.com

Central Banks Forge Cross-Border Ties in Kigali

The Central Bank of Somalia and the National Bank of Rwanda signed a memorandum of understanding in Kigali to bolster bilateral cooperation within the financial sector.

Central Bank Governor Abdirahman Mohamed Abdullahi signed the agreement on behalf of Somalia, joined at the signing ceremony by the deputy governor and members of the bank’s board. According to an official statement released by the Central Bank of Somalia, the agreement forms part of a strategy to construct an efficient, resilient, and trusted financial system.

Private Digital Payments Meet Central Bank Oversight

Private-sector digital payments have expanded rapidly, lowering transaction costs, widening access, and enabling commerce in areas where conventional banking infrastructure remains limited. Yet this commercial success has generated concentration risk. Services have become deeply embedded in everyday economic life, used by households to buy food, pay school fees and rent, receive salaries and remittances, and settle business transactions.