Introduction – Background on PFM Reform
The Puntland Constitution which was enacted in 2012 specifies that Puntland is a federal member state of the Federal Republic of Somalia. The state is managed by an elected president and supported by a three-tier structure of government consisting of the state executive, regional governors, and district councils. There are currently nine regions each headed by a governor. The region, which is an administrative level funded through the budget of the Ministry of Local Government and Rural Development, performs mainly coordination, security, and political functions. Below the nine regions, the state is divided into 40 districts. Each district is led by a district council, which is chaired by a district commissioner/mayor. Puntland witnessed a peaceful transition of power on January 8th 2014.