Somali government cancels contract with five companies

Somalia government has canceled a contract with five companies to provide transport-related services.

A letter from the Ministry of Transport and Civil Aviation informed the companies namely, General Motor, Bilqisa General, Barwaqo, Sawasiya and Gagale termination of the terms of the contract.

The companies were previously contracted by the government to provide the MOT test mainly vehicle safety, roadworthiness aspects.

The statement from Ministry of Transport didn’t say why the main reason for the cancellation of the contract but some reports suggest complaints from the car owners, others refer to a dispute over the armed guards employed by the companies.

Due to underdeveloped government institutions, Somali government contracts private companies to provide some key government services in recent years.

They include the management of airports and seaports as well as the logistics for the armed forces.