Ethiopia and Somaliland Commit to Economic Cooperation
In August 2025, the heads of the central banks of Somaliland and Ethiopia held talks in Addis Ababa with a focus on strengthening financial and economic cooperation, including cross-border trade and banking ties.
Somaliland’s Central Bank Governor, Abdinasir Ahmed Hersi, and Mamo Esmelealem Mihretu, former governor of the National Bank of Ethiopia (NBE), met at NBE headquarters to discuss collaboration on payments and settlement systems, foreign exchange and trade financing, anti-money laundering measures, fintech licensing, and forex operations.
The two sides agreed to establish a joint technical working group to follow up on these initiatives. Governor Hersi highlighted the strategic importance of Somaliland’s Berbera Port and trade corridor for Ethiopia’s regional commerce, urging swift progress on banking and insurance protocols to facilitate port-use agreements. Governor Mamo, who resigned from his post in the days following the talks with his Somaliland counterpart, welcomed the initiative and pledged to raise the matter with Ethiopia’s Ministry of Foreign Affairs.
he meeting also addressed strengthening financial flows, formalizing the khat trade across the border, and the potential opening of a branch of Ethiopia’s state-owned Commercial Bank in Somaliland. Both governors emphasized their commitment to deepening cooperation to support economic growth and regional stability. Yared Nigussie of The Reporter Magazine caught up with Abdinasir Ahmed to learn more.
