Somalia Eyes East African Markets to Drive Private Sector Growth

GOOBJOOG NEWS | NAIROBI: Somalia is looking to expand its economic footprint across East Africa, banking on its entrepreneurial community, diaspora investment and closer regional trade ties to drive growth in a country seeking to overcome decades of economic disruption.

The push comes as Somali businesses seek greater access to regional markets and investment opportunities, with the country’s membership in the East African Community (EAC) offering new prospects for cross-border trade and commercial partnerships.

Somalia’s Minister of Commerce and Industry, Gamal Mohamed Hassan, outlined the country’s private sector ambitions at the third Global Somali Entrepreneurship Forum (GSEF 2026) in Nairobi, where entrepreneurs, investors and policymakers gathered to explore opportunities for economic cooperation.

Despite years of conflict and political instability, Somalia has developed a resilient private sector, with businesses operating across telecommunications, banking, trade and other services.

Its extensive diaspora networks have also helped sustain commercial activity, providing capital, business connections and access to international markets.

But limited infrastructure, financing constraints and security challenges continue to hinder investment and business expansion, leaving much of the country’s economic potential untapped.

Somalia’s Ambassador to Kenya, Jabril Ibrahim Abdulle, called for stronger regional integration to help Somali businesses reach larger markets and attract investment.

The country’s entry into the EAC in 2023 marked a significant step towards closer economic cooperation with its neighbours, although translating membership into tangible benefits will depend on improvements in trade facilitation, infrastructure and the business environment.

The Nairobi forum also highlighted the growing importance of linking Somali entrepreneurs at home with business communities across East Africa and the diaspora.

Abdulle proposed hosting the next edition of the forum in Somalia, a move that could bring regional investors closer to the country’s emerging commercial opportunities.

Such a gathering would also offer Somalia an opportunity to showcase its private sector at a time when the government is seeking to strengthen economic ties beyond its traditional trading networks.

No new investment deals were announced at the forum, but the discussions reflected Somalia’s broader ambition to turn its entrepreneurial strength and regional connections into sustained economic growth.