Following Israel’s recognition of Somaliland, President Irro calls on Israeli entrepreneurs to invest in ports, energy, agriculture, and tourism as analysts point to Red Sea security and economic opportunity
DUBAI — Weeks after Israel became the first country to formally recognize the Republic of Somaliland, President Abdirahman Mohamed Abdullahi is seeking to rapidly convert diplomatic recognition into economic momentum, calling on Israeli entrepreneurs to invest across energy, ports, agriculture, tourism, and logistics.
“We are rich in resources, and we welcome investments,” Abdullahi said in an interview with ‘Israeli’ newspaper Globes on the sidelines of the World Governments Summit in Dubai. “Somaliland is open for business.”
Israel’s recognition last December — announced by Prime Minister Benjamin Netanyahu — marked a watershed moment for the self-governing territory in the Horn of Africa, which has functioned independently from Somalia since 1991 but had never before been recognized by a UN member state. The decision produced rare scenes in Hargeisa, where Israeli flags were raised alongside Somaliland’s national colors.
For Abdullahi, 70, widely known as “Irro,” the recognition is less an endpoint than an opening — particularly as security disruptions in the Red Sea elevate the value of reliable coastal partners.
Strategic Geography Meets Economic Opportunity
“Israeli energy companies can come here,” Abdullahi said, pointing to Somaliland’s 740-kilometer coastline along the Gulf of Aden. “We promise that we will welcome any investment.”
Analysts say the appeal is not merely symbolic.
“From Israel’s perspective, Somaliland checks several boxes at once — maritime access, political stability, and distance from Iran-backed actors operating elsewhere in the Red Sea,” said Joshua Meservey, a senior fellow at the Hudson Institute who specializes in the Horn of Africa. “Recognition creates a framework where economic and security cooperation can move from informal to structured.”
Roughly 12 percent of global maritime trade passed through the Bab el-Mandeb Strait before recent Houthi attacks disrupted shipping, forcing vessels to reroute around southern Africa. Somaliland’s proximity to the chokepoint has sharply raised its strategic profile.
“Countries that can offer ports, refueling, and logistics along that corridor are suddenly far more relevant,” said a former Israeli lawmaker and strategic affairs analyst. “For Israel, diversifying access points in the Red Sea is no longer theoretical — it’s operational.”
Resources, Ports, and Food Security
Somaliland, home to an estimated six million people, has built functioning institutions over three decades, including a constitution, two houses of parliament, and its own security forces. Freedom House rates Somaliland 42 out of 100, compared with Somalia’s score of 8.
Abdullahi argues that the country’s political stability underpins its economic case.
“Somaliland is a country rich in resources — minerals, oil, and gas,” he said. “We have a large maritime space. We are also rich in livestock, and our land is very suitable for agriculture. We can contribute to food security for the world in general and for Israel in particular.”
Israeli agribusiness and water-technology firms, analysts say, could find opportunities in Somaliland similar to earlier Israeli ventures in East Africa.
“Israel has a long track record of agricultural partnerships in arid environments,” said an Israeli economist and regional development advisor. “Somaliland’s climate and livestock economy align well with Israeli expertise in irrigation, food preservation, and export logistics.”
While large-scale oil and gas production has yet to materialize, the United Arab Emirates has already moved decisively. In 2019, Dubai-based DP World secured a 30-year concession to operate the Port of Berbera, a modern deep-water port near the Bab el-Mandeb.
Asked whether Israel could gain similar access, Abdullahi was explicit.
“We are open to business and investment for all countries in the world, including Israel,” he said.
Toward a Trade and Security Framework
Beyond individual investments, Abdullahi envisions a comprehensive bilateral framework.
“I believe and hope that a broad trade agreement will be signed between the countries,” he said. “It should include development, trade, tourism, mining, and more. The sky is the limit for Israel–Somaliland relations.”
U.S. analysts note that Washington is watching these developments closely, even if it has not yet followed Israel’s lead on recognition.
“Somaliland presents a case study in bottom-up state-building,” said a former U.S. intelligence official and senior fellow at the Center for Strategic and International Studies. “Economic integration — especially with Israel — could make recognition by other Western states easier to justify over time.”
Airspace Dispute Highlights Regional Tensions
The diplomatic breakthrough has intensified friction with Somalia, which continues to claim sovereignty over Somaliland. That tension resurfaced last week when Somalia delayed renewing a permit allowing Israel’s Arkia Airlines to transit Somali airspace — a route critical for Israeli flights to Asia.
“I think the world of civil aviation is meant for cooperation and security,” Abdullahi said, criticizing the move, which he attributed to Somali President Hassan Sheikh Mohamud. “Any move that disrupts civil air traffic is unacceptable.”
Israeli aviation experts warn that prolonged restrictions could raise costs and complicate long-haul travel.
“Airspace access is no longer just technical — it’s political leverage,” said an Israeli security and aviation analyst. “Somalia is signaling displeasure, but it also underscores why Israel is interested in alternative partners.”
Asked whether direct flights could be established, Abdullahi was enthusiastic.
“We would welcome direct flights from Tel Aviv to Hargeisa,” he said. “Israeli tourists would be welcome. We want to move forward and develop our tourism industry.”
A New Red Sea Axis?
Born in Hargeisa during British colonial rule, Abdullahi studied in Somalia and the United States, served as a Somali diplomat in Moscow, and later became a Finnish citizen before returning to Somaliland politics. After losing a presidential race in 2017, he won decisively in 2024.
Now, he is attempting to turn recognition into permanence — positioning Somaliland as a commercially viable, security-relevant partner at a moment when global trade routes are under strain.
“Recognition without investment is symbolism,” Abdullahi said. “Investment turns recognition into reality.”
