The federal government of Somalia has now set its on the economic opportunities presented by Hobyo Port and the Freezone in Mogadishu to boost regional trade.
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This follows the signing of a deal between Hobyo Investment Company and Turkish conglomerate Metag Holding to develop the Hobyo Port in Mogadishu.
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Galmudug State president Ahmed Abdi Karie was among leaders who attended the official signing of the 80-years long agreement.
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Galmudug State president Ahmed Abdi Karie highlighted the potential of the port to transform Somalia’s central coastline into a major trade hub.
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He emphasized the strategic importance of Hobyo Port, especially for Ethiopia, which lacks a direct seaport and relies heavily on Djibouti for 90 per cent of its imports and exports.
“Ethiopia does not have a port, and Hobyo presents an exceptional business opportunity. We will soon overcome the challenges we face, and Hobyo will emerge as one of the largest ports in Somalia, serving multiple cities across the nation,” he stated.
The Hobyo project has been under discussion for a number of years. In 2020, that a Qatar-backed project had been superseded by a public-private plan, which resulted four years later in the Metag contract.