SOMALIA and Ethiopia are negotiating a landmark agreement that could grant Ethiopia access to a port on the Indian Ocean. The move is seen as a potential breakthrough in easing tensions between the two nations, which have been at odds over Ethiopia’s push for a direct trade route to the sea.
Framework agreement expected by June
According to Somalia’s State Minister for Foreign Affairs, Ali Mohamed Omar, discussions are ongoing to finalise a framework agreement by June 2025. Speaking to Universal TV, Omar stated that the deal would determine the specific port location, its operational terms, and associated costs.
His remarks came after Somali President Hassan Sheikh Mohamud met with Ethiopian Prime Minister Abiy Ahmed in Mogadishu to discuss the issue. However, Ethiopian officials, including the Prime Minister’s press secretary and the foreign affairs spokesperson, have yet to comment on the negotiations.
Resolving a longstanding dispute
The talks come in the wake of heightened tensions earlier in 2024 when Ethiopia announced an agreement with Somaliland—an autonomous region that Somalia claims as its own—to secure port access and a military base in the Gulf of Aden. In exchange, Somaliland was promised a stake in Ethiopian Airlines.
Somalia strongly opposed the deal, arguing that it violated its sovereignty. However, diplomatic efforts led by Turkish President Recep Tayyip Erdoğan helped bring both sides to the negotiating table. Under Erdoğan’s mediation, Abiy and Mohamud agreed in December to find a resolution by the end of March 2025.
Why Ethiopia needs port access
Ethiopia, Africa’s third-largest economy, has been landlocked since Eritrea gained independence in 1993. Since then, it has relied on neighbouring countries’ ports—primarily Djibouti—for trade. The lack of direct sea access has increased transportation costs and hindered economic expansion.
To reduce dependency on Djibouti, Ethiopia has sought alternative trade routes, leading to its controversial engagement with Somaliland. Now, the potential deal with Somalia could provide a more stable long-term solution by offering a recognised port access point on the Indian Ocean.
What’s next for the deal?
If Somalia and Ethiopia reach an agreement, it could reshape regional trade and security dynamics. Ethiopia would gain a vital maritime route, while Somalia could benefit from increased trade, investment, and infrastructure development.
However, key details—such as the location of the port, operational terms, and financial arrangements—remain undecided. With the June deadline approaching, both nations must navigate political sensitivities and regional complexities to finalise a mutually beneficial agreement.
