About the Ministry

The Ministry of Finance is the government institution responsible for setting, managing and overseeing the State's fiscal policy. It ensures that public revenue and expenditure are managed efficiently, fairly and in line with the law and the approved budget.

Its functions include:

• Preparing the State budget.
• Implementing the laws on public financial management.
• Developing and implementing fiscal policy.
• Establishing systems to control revenue collection and safeguard government revenue.
• Collecting taxes, and ensuring that no unlawful tax is levied.
• Stopping inappropriate expenditure and controlling government spending.
• Consolidating all government revenue and expenditure.
• Monitoring development projects and the support they require.
• Protecting and registering State assets.
• Supporting other branches of government on financial matters.
• Drafting financial legislation.
• Promoting equal and fair economic opportunity.

The Ministry's mandate, structure and the duties of its leadership and departments are set out in the Law on the Establishment and Organisational Structure of the Ministry of Finance.

Public finances are governed by the Public Financial Management Law (Law No. 1/2023), the Inland Revenue Law (Law No. 2/2023) and the customs law and tariff, which were promulgated on 11 January 2024. These laws, and the budgets of 2023–2025, were issued under the SSC-Khaatumo Administration.

Each year the Ministry prepares the State budget, which is approved by Parliament and published as the Budget Appropriation Act. The 2025 Act was approved by Parliament on 27 January 2025.

Objectives

• Grow domestic revenue by modernising the tax system.
• Set a State budget based on the needs of the people and the development of society.
• Build systems to control expenditure and prevent corruption.
• Develop the capacity of staff and financial institutions.
• Promote transparency and accountability in the financial system.

The Ministry's strategic plan sets five objectives:

• Institutional strengthening — a well-structured Ministry with clear roles, reporting lines and accountability.
• Fiscal responsibility — sound fiscal policies and efficient allocation and management of public resources.
• Economic development — growth and investment through financial planning, resource mobilisation and support for entrepreneurship.
• Transparency and accountability — transparent financial reporting, auditing and public expenditure management.
• Capacity building — stronger financial-management skills through training and professional development.

Priority areas

• Legal and regulatory framework — laws and regulations for financial management, taxation, budgeting and economic planning, aligned with national law.
• Financial planning and budgeting — a comprehensive, performance-based budget process aligned with the State's priorities.
• Revenue generation — expanding customs coverage to new regions and building inland revenue administration.
• Financial management systems — an integrated financial management information system for budgeting, accounting, procurement and reporting.
• Stakeholder engagement — open communication with government, the private sector, development partners and the public.
• Human resources — fair, merit-based recruitment and continuous professional development.
• Monitoring and evaluation — key performance indicators to measure results and guide improvements.
• Risk management — identifying risks early and planning how to reduce them.