The African Development Bank (AfDB) has released its new Country Strategy Paper (CSP) for Somalia (2025–2030), setting out plans to strengthen state institutions, expand critical infrastructure, and support inclusive economic growth in a country navigating a fragile but hopeful transition, the Bank said in a recent statement. The strategy was developed with Somalia’s government, civil society, the private sector, and development partners, and comes at a moment when improved security and reform momentum are opening new opportunities—but persistent challenges remain.
Somalia still faces deep structural problems: a huge infrastructure gap, climate shocks, weak institutions, high borrowing costs for businesses, and limited fiscal space. For millions of people, these constraints shape daily life. The new strategy aims to tackle those issues head-on by focusing on two priorities: building sustainable, quality infrastructure to support a resilient economy, and strengthening financial and economic governance to build a more capable state and inclusive economy.
Over the next five years, the Bank will step up investments in energy, transport, and water and sanitation—the backbone of Somalia’s economy. That means more reliable and affordable electricity to power businesses, better roads and transport links to connect rural communities to markets, and expanded access to clean water and sanitation to improve public health and reduce vulnerability to drought and displacement.
The strategy also puts fresh emphasis on economic governance reforms. AfDB will support Somalia in deepening public financial management, improving tax collection, modernizing customs systems, and building the institutional and human capacity needed to attract private investment. Together, these efforts aim to tackle the root causes of fragility—weak institutions, low productivity, poor infrastructure, and climate vulnerability—while building diversification and resilience across all sectors.
The CSP aligns with Somalia’s Centennial Vision 2060, its National Transformation Plan (2025–2029), and the Bank’s own Ten-Year Strategy.
“This strategy is about unlocking Somalia’s potential by investing in the foundations of private sector competitiveness—strong institutions, resilient infrastructure, and inclusive growth that reaches every community,” said Bubacarr Sankareh, AfDB Lead Operations Advisor for Somalia.
He noted that the plan was shaped by a detailed diagnostic that identified Somalia’s key challenges, including large infrastructure deficits, climate shocks, weak institutional capacity, and limited access to affordable finance for businesses.
“This CSP was developed in close collaboration with government, civil society, the private sector, and development partners to increase economic opportunities and job creation while improving climate resilience and strengthening the state’s ability to deliver essential services,” he said.
