Somalia is one of the world’s poorest and most fragile states and one of the most challenging operating environments in which the UK works. Improving security is a priority, including managing the threat that terrorism poses to Somalia, the region and potentially further afield. It sits at the bottom of most development league tables, with widespread poverty and inequality, very low human development indicators, endemic violence and discrimination against women and girls, a persistent humanitarian crisis, a weak economy, and a tiny public purse. Four out of 5 Somalis live below the national poverty line, and more than 1 in 10 of Somalia’s 12 million people are now internally displaced as a result of conflict and humanitarian crisis. State capability and financial governance are weak, and corruption is a concern. Environmental conditions in many parts of Somalia are extreme and the effects of climate shocks add significantly to the risks to lives and livelihoods. Somalia is on the road to recovery, but it will take determined efforts on the parts of Somalis themselves and the international community. The London Conference on Somalia, hosted by the UK in May 2017, helped set the direction that these efforts should take over the coming years.