According to Prime Minister Abiy Ahmed’s office, landlocked Ethiopia has signed an initial agreement with Somalia’s breakaway region of Somaliland on Monday to use its Red Sea port of Berbera. The Horn of Africa country currently relies on neighbouring Djibouti for most of its maritime trade.
Abiy announced at the signing ceremony with Somaliland President Muse Bihi Abdi in the Ethiopian capital, Addis Ababa, “This has been now agreed with our Somaliland brothers and an MoU (Memorandum of Understanding) has been signed today.”
The MoU will pave the way for Ethiopia to have commercial marine operations in the region by giving it access to a leased military base on the Red Sea, according to Abiy’s National Security Adviser Redwan Hussien.
Hussien also stated, “Somaliland would in return get a share of state-owned Ethiopian Airlines,” without providing further details. Somaliland declared autonomy from Somalia in 1991 but has not gained widespread international recognition. Somalia claims Somaliland is part of its territory.
Last week, Somalia’s SONNA state media agency reported that following mediation efforts led by Djibouti, Somalia and Somaliland had agreed to resume talks aimed at resolving their disputes.
The agreement between Ethiopia and Somaliland represents a significant development in regional geopolitics and trade dynamics. It also marks a potential shift in Ethiopia’s reliance on Djibouti for maritime trade.
The access to Berbera port will likely enhance Ethiopia’s economic and trade capabilities, allowing for more efficient shipping and logistics operations. This will have far-reaching implications for Ethiopia’s regional trade partnerships and economic ties.
The deal also indicates a willingness on both sides to engage in mutually beneficial partnerships and economic cooperation. Both Ethiopia and Somaliland stand to gain from the agreement through increased trade and investment opportunities.
While the agreement may face challenges and opposition from Somalia, it showcases the potential for regional cooperation and economic integration in the Horn of Africa. It also highlights the strategic importance of ports and maritime trade for landlocked countries like Ethiopia.
Overall, the signing of the initial agreement represents a significant step forward in enhancing regional trade and cooperation, and it has the potential to reshape the geopolitical and economic landscape of the Horn of Africa.
