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Somalia and US sign $300m development assistance pact, a first in 30 years

Storyline:Business, National News

The Ministry of Planning will from now on co-authorize all US development assistance to Somalia

Planning Minister Gamal Hassan (L) and Finance Minister Abdirahman Beileh (R) sign the agreement Tuesday. Photo: courtesy|Nov 5, 2018

Somalia and the US have signed a $300 million development assistance agreement, a first in 30 years that will see Ministry of Planning co-authorize all US development assistance to Somalia.

The Development Objective Assistance Agreement (DOAG) represents the first comprehensive bilateral development agreement signed between the U.S. government and the Federal Government of Somalia in over 30 years, USAID said in a statement Tuesday.

USAID Deputy Assistant Administrator for Africa (DAA) Julie Koenen said the assistance will be instrumental in supporting Somalia’s recovery process.

“The U.S. Government is committed to support the Federal Government of Somalia’s efforts in achieving stability through good governance, economic recovery, education and health.” said DAA Julie Koenen. “We believe that this agreement demonstrates our steadfast commitment to Somalia’s recovery and long term development goals.”

Planning Minister Gamal Hassan said in a tweet the agreement was a landmark achievement as the country will now have approval rights of all US development assistance to Somalia.

“Today I had the honor of co-signing a landmark development agreement (DOAG) with the US Gov’t (USAID). First in over 30 years and worth over $300mln. From now on, will co-authorize all US dev’t assistance to Somalia. Another milestone in the Somali-US relations.”

The Ministry of Planning, Investment and Economic Development maintains the  twitter handle.

Activities funded under this Agreement will be implemented in close coordination with the Federal Government of Somalia, USAID said.

“This agreement marks a tremendous moment for the U.S. – Somali partnership, and underscores the U.S. commitment to helping the Somali people realize their aspirations for a more peaceful and prosperous future,” U.S. Charge d’Affaires to Somalia, Martin Dale.

Since 2011, USAID has provided over $1.3 billion in humanitarian assistance and $328 million in development assistance to the people of Somalia