Somalia, Fed. Rep. Tax Revenue

Somalia's Federal Republic has struggled to establish a stable tax revenue system, with the country ranking among the lowest globally. As of 2025, the nation's tax revenue stands at 0.00 percent of its GDP, a figure that has remained unchanged since 2017. This dismal performance is even more concerning when compared to its peer countries, with the United Arab Emirates boasting a tax revenue of 0.62 percent in 2025. The stark contrast highlights the significant challenges Somalia faces in developing a robust tax collection system. The all-time peak and trough of 0.00 percent also underscore the lack of progress in this area. A stable tax base is essential for financing public goods and services, and Somalia's inability to generate revenue from taxation has hindered its development prospects. To alter this trajectory, Somalia would need to implement effective tax policies and institutions, which would require significant institutional and capacity-building efforts.