A customer holds banknotes at a bank in Mogadishu, Somalia. The country is preparing to reissue new Somali shilling banknotes for the first time in 26 years (photo: Abdulfitah Hashi Nor/Getty)
April 11, 2017
Somalia’s economic progress, challenged by the recent drought, will depend on implementation of policy reforms along with continued support from donors to develop capacity and preserve security, said the IMF in its latest assessment of the country.
Somalia faces numerous challenges on its quest for peace, stability, and economic prosperity. The recent drought and famine will test the country’s resilience to provide humanitarian assistance and will require help from the international community. The government’s recent policies demonstrate its strong commitment to improving the state of the country and Somalis’ livelihoods.
Here are the six things to know about Somalia’s economy since the country resumed relations with the international community five years ago.
Somalia is a fragile state, located in the horn of Africa, that has emerged from a two-decade-long civil war that caused significant damage to the country’s economic and social infrastructures. In 2012, the Federal Government of Somalia was elected and recognized by the international community. Postwar conditions continue to be difficult, however, with poverty widespread and weak institutional capacity.
