DJIBOUTI: STRONG PUSH TO REDUCE DEPENDENCE ON ETHIOPIA AMID SOMALILAND PORT COMPETITION

   Thu, 12 December 2024

Djibouti’s maritime dispute with Somaliland reflects its concerns over losing regional trade dominance. Somaliland’s new leadership under the Wadani Party shows signs of diplomatic recalibration, potentially reshaping relations and impacting Somalia-Somaliland negotiations. Concurrently, Djibouti’s proposal to involve Ethiopia in the operation of the underutilised Tadjoura Port seeks to counter Ethiopia’s growing reliance on rival ports in Somaliland and Puntland. Still, competition for Ethiopia’s trade flows persists. To mitigate its economic vulnerabilities, Djibouti is diversifying partnerships, including facilitating South Sudan’s oil exports and advancing renewable energy projects with Egypt.

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