An Ethiopia-backed port is changing power dynamics in the Horn of Africa

[Factz]

Seems like Berbera has more potential than Djibouti despite the fact that Berbera is part of the unrecognized state.

Recently, however, the ground has been shifting. As we point out in a recent article, Ethiopia has attempted to take advantage of the recent involvement of various Arab Gulf States in the Horn of Africa’s coastal zone to reduce its dependency on Djibouti’s port. The port currently accounts for 95% of Ethiopia’s imports and exports. It has done so by actively trying to interest partners in the refurbishment and development of other ports in the region: Port Sudan in Sudan, Berbera in the Somaliland region of Somalia, and Mombasa in Kenya.

But it is Berbera, in particular, that will prove the most radical in terms of challenging regional power dynamics as well as international law. This is because a port deal involving Somaliland will challenge Djibouti’s virtual monopoly over maritime trade. In addition, it may entrench the de-facto Balkanization of Somalia and increase the prospects of Ethiopia becoming the regional hegemony.

Here: https://qz.com/1272108/ethiopias-djibouti-somaliland-ports-power-dynamics-in-horn-of-africa/

@Karbashhhh @Futurist @draco @Lordilord Looks like it's over for the crying anti-UAE project for Somaliland. Somaliland can now finally develop in peace.

 

[Futurist]

Interesting @Factz I never thought of it like that. Berbera has more potential and more to win in the short term. Because it is going from a low base. Its current revenues are from domestic Somaliland imports/exports. Atm it hardly get's a slice of Ethiopian trade

So even 20% of Ethiopian trade will be a big win for Somaliland


SL will be eating good

 

[Factz]

Interesting @Factz I never thought of it like that. Berbera has more potential and more to win in the short term. Because it is going from a low base. Its current revenues are from domestic Somaliland imports/exports. Atm it hardly get's a slice of Ethiopian trade

So even 20% of Ethiopian trade will be a big win for Somaliland


SL will be eating good

Once that happens Ethiopia will then double it and give us 40% trade for Ethiopia and we'll regain our full control all over Berbera. SL having 30% stake of Berbera is only temporary and stupid people must understand that.

 

[yaanyuur]

Once that happens Ethiopia will then double it and give us 40% trade for Ethiopia and we'll regain our full control all over Berbera. SL having 30% stake of Berbera is only temporary and stupid people must understand that.

Ethiopia just invested in Djibouti. Berbera needs to be built first. Ethiopia is worried about the security of their goods as well. Maybe they will wait after 20 years to invest as the contract is 30 years.

 

[Sleepy Hollow]

Eh better to change it to China is changing Horn of Africa power dynamics. China is the biggest foreign investors for Ethiopia, Kenya (Ethiopia just secured Lamu Port), Sudan, South Sudan and Djibouti.

https://www.standardmedia.co.ke/business/article/2001264331/chinas-investments-to-kenya-outdo-us-uk

Ethiopia would not be able to pull this off without China.

 

[Wei]

The port has massive potential but we currently have the wrong partners. Thanks to the corrupt government, Somaliland will be a miniority owner in its own port. Also, why give a percentage to what would have been your biggest customer.

Edit: Ethiopia is making a fool of the whole region. They played Djibouti into thinking a large percentage of their services was heading to Berbara. Djibouti gives the PM a grand ceremony and a percentage of their port, Ethiopia gives them reassurances that Djibouti will remain their primary port.

Then they get a percentage of the port in Sudan,Staking their claim in another regional port. props to Al Habash.

 

[Wei]

Nothing against the current Gov't, they just got outmaneuvered by the Tigray overlords. The tigray stooge Abiy is really cooling the tensions in the country as well. They are playing diplomatic chess to near perfection.