A Memorandum of Understanding was signed between the Government of Somaliland and its Somaliland Development Fund (SDF) development partners

Today the Somaliland authorities, along with the UK’s Department for International Development and DANIDA, committed to working together to improve the lives of the people of Somaliland. A Memorandum of Understanding was signed between the Government of Somaliland and its Somaliland Development Fund development partners at the Presidential Palace in Hargeisa.


The SDF provides a single channel through which donors can support Somaliland’s development goals. It supplements Somaliland’s own resources to help deliver the National Development Plan (2012-2016) and associated Somaliland Special Arrangement. It demonstrates a level of confidence and trust in the level of progress achieved in Somaliland. The SDF aims to reduce the fragmentation of development assistance going to Somaliland, and give the Somaliland Government ownership over how and where the funds are spent.

Speaking at the event President Sillanyo welcomed the agreement.

“Somaliland has demonstrated its commitment to ensuring, peace, stability and development over the years and has been supported by its partners and close friends, specially the UK and the Danish Government’s. The SDF is a vote of confidence in Somaliland’s efforts to meet the Millennium Development Goals and create a strong and sustainable country. We thank the UK and Danish Government’s for their commitment and faith in our people and our systems.” The SDF aims to contribute to a more stable and prosperous Somaliland. Achieving stability and prosperity is dependent on citizens receiving core public services and the Government engaging with their citizens through transparent and accountable systems.

The SDF will deliver the following headline results:

  • Delivery of core state functions by Central and local government in Somaliland
  • Improving service delivery – initially focused on roads, livestock, water, and the environment. This will include:
  • Rehabilitation of Hargeisa to Berbera road, and feasibility study of Burao – Erigavo road providing much needed infrastructure and links to Berbera port and regional markets
  • Upgrading of Hargeisa urban water supply to benefit an additional 500,000 people as well rural potable water supply to 200,000 people
  • Construction of two livestock holding grounds to support exports and the livestock sector which is the mainstay of the Somaliland economy
  • Regeneration and protection of rangelands to enhance productivity
  • Promotion of reforestation through community managed tree nurseries
  • Political commitment delivers public financial management and wider public sector reforms, leading to improved accountability and government strengthening.

UK Ambassador Mr. Neil Wigan and Danish Ambassador Mr Geert A. Andersen, signed the MOU together with the Head of DFID Somalia Ms Joanna Reid.

“Our visit represents the continued commitment of the UK and Denmark to support Somaliland. We recognize the efforts the government is making to strengthen governance, and providing access to equitable basic services for all citizens of Somaliland,” said Mr Wigan

“The Somaliland Development Fund will ensure that ordinary people in Hargeisa and across Somaliland will benefit from improved services. For example 500,000 men, women and children will soon have access to a clean water supply,” added Ms Reid.

Mr Geert A. Andersen said, “Having visited Somaliland on several occasions, I am truly impressed by the progress seen in so many areas. Our support to SDF and other areas is based on a close partnership with Somaliland having demonstrated leadership and ownership. SDF is the New Deal in practice.”

Notes to editors

  • The Somaliland Development Fund (SDF) provides a single vehicle through which donors can support Somaliland’s development goals. The SDF supports the Government of Somaliland (GoSL) fill a critical gap through funding projects that are fully aligned to the National Development Plan (NDP) 2012 -2016 while at the same time recognizing the role of GoSL in the delivery of basic services.
  • The Fund supports recurrent and Capital costs. The SDF will also support GoSL’s communication of results to build accountability and transparency. Furthermore, the SDF is designed to strengthen the state-citizenship relationship and enhance accountability and domestic revenue generation. This, in turn, should lead to more stability and prosperity in Somaliland.
  • Current donor contributions to the fund stand at the $60.5 million provided by the UK’s Department for International Development ($40.5m), and DANIDA ($20m).
  • This is a clear demonstration of confidence and commitment on the part of contributing donors to the Fund. However, this fund is only 4.2% of the $ 1.19 billion required for funding the National Development Plan.
  • Further information is available at

Media contact: Ifrah, Somaliland Government Communications Office or Amanda Lawrence-Brown, Communications Unit British Embassy Mogadishu

Published 28 November 2013

From: Foreign & Commonwealth Office

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