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Emirati Firm NBHH Resumes Work on Somaliland’s Berbera Corridor, Reinforcing Ethiopia Trade Diversification

Emirati Firm NBHH Resumes Work on Somaliland’s Berbera Corridor, Reinforcing Ethiopia Trade Diversification

UAE-based NBHH has resumed work on Somaliland’s Berbera corridor after a flood-damaged bridge collapse, reinforcing Ethiopia’s push to diversify maritime trade routes beyond Djibouti

HARGEISA/BERBERA — An Emirati construction firm has resumed operations along Somaliland’s strategic Berbera corridor after reaching a new agreement with authorities to rebuild a bridge that collapsed during severe flooding late last year, a move with significant implications for Ethiopia’s efforts to diversify its maritime trade routes.

Nael & Bin Harmal Hydroexport (NBHH), a United Arab Emirates–based engineering company, restarted work after flash floods destroyed the bridge in late 2025, roughly four months before construction crews returned to the site, according to Africa Intelligence and Somaliland officials. The structure, inaugurated in 2022, formed part of a 250-kilometer transport artery linking the Port of Berbera to Hargeisa and onward to Tog Wajaale, the main commercial border crossing with Ethiopia.

“The agreement allows reconstruction to move forward under revised technical standards,” a senior Somaliland government official said, speaking on condition of anonymity because they were not authorized to brief the media. “Keeping this corridor operational is essential not just for Somaliland, but for regional trade.”

EU’s Global Gateway Targets Horn of Africa, With Eye on Strategic Berbera CorridorA growing outlet for Ethiopia’s imports and exports

For Ethiopia — Africa’s second-most populous country and one of the world’s largest landlocked economies — the Berbera corridor has become an increasingly important alternative to the Djibouti route, which has historically handled more than 90 percent of its maritime trade.

By early 2026, transit volumes through Berbera accounted for an estimated 22 percent of Ethiopia’s total maritime trade, according to regional logistics analysts. The shift reflects both congestion pressures in Djibouti and Addis Ababa’s long-standing strategy to reduce reliance on a single port for critical imports such as fuel, fertilizer, and wheat.

“Berbera is no longer a marginal outlet,” said an Ethiopian trade economist based in Addis Ababa. “For bulk cargo and time-sensitive goods, it has become a practical hedge against bottlenecks, geopolitical risk, and price shocks.”

Ethiopian exporters, particularly in livestock, oilseeds and manufactured goods from eastern industrial zones, have also increasingly used the corridor, benefiting from shorter overland distances to eastern and southeastern regions of the country.

Infrastructure and time-cost advantages

The Berbera corridor project was supported by a 262 million dirham ($71.4 million) grant from the Abu Dhabi Fund for Development as part of a broader logistics infrastructure linked to DP World’s concession at Berbera Port. The road is designed to accommodate heavy-duty, multi-axle trucks weighing up to 40 tonnes.

According to official figures, completion of the Hargeisa bypass alone has reduced transit times along the route by 38 percent — savings that logistics companies say translate directly into lower freight costs and improved reliability.

“When the corridor functions smoothly, it changes the economics of Ethiopian trade,” said a regional freight forwarder operating in Somaliland and eastern Ethiopia. “Delays of even a few days can ripple through supply chains and push up prices inland.”

The bridge collapse briefly reversed some of those gains, forcing rerouting and increasing transport costs, particularly for Ethiopian-bound cargo.

Emirati Firm NBHH Resumes Work on Somaliland’s Berbera Corridor, Reinforcing Ethiopia Trade Diversification
The bridge was damaged by floods

Engineering flaws and revised plans

According to Africa Intelligence, the collapsed bridge was criticized for a design that left insufficient spacing between pilings in the riverbed, making it vulnerable to the sudden water surges typical of the rainy season. Somaliland officials said the revised agreement with NBHH includes updated engineering specifications and flood-mitigation measures.

“Our focus is on resilience,” an NBHH representative said. “The rebuilt structure will be designed to withstand extreme weather patterns that are becoming more frequent across the Horn of Africa.”

Ownership, investment and scrutiny

NBHH is owned by Emirati entrepreneur Sheikh Nayel Rashed Saif Al-Shamsi, who has secured multiple infrastructure contracts in Somaliland, benefiting from preferential customs procedures. His portfolio includes road segments along the Berbera corridor and the Berbera Airport project.

That airport has attracted scrutiny from analysts. Satellite imagery analysis and official Somaliland sources have pointed to the site’s potential dual-use capacity, noting restricted access and a perimeter fence extending approximately 12 kilometers.

Somaliland authorities have consistently emphasized the economic rationale behind the investments. “Our objective is trade facilitation and regional connectivity,” another government source said. “The economic benefits for Somaliland and Ethiopia are tangible.”

Strategic implications

For Ethiopia, the resumption of work on the Berbera corridor comes amid renewed urgency to secure diversified access to global markets, particularly as Red Sea shipping lanes face periodic disruptions and regional competition for port services intensifies.

“Every additional functioning corridor strengthens Ethiopia’s bargaining position and economic resilience,” the Ethiopian trade economist said. “Berbera is now embedded in that calculus.”

Reconstruction of the bridge is expected to proceed in phases over the coming months, with Somaliland officials indicating that keeping the corridor fully operational remains a strategic priority for regional commerce.