File Photo/Somali Times
Villa Somalia has thwarted a plan by Bahane Roble to open Banque Misr in Mogadishu, Sources told Somali Times.
The opening of the new bank was aimed at removing the Turkish SWIFT used by the Central Bank of Somalia and replacing it with an Emirati one. SWIFT is an international system that connects international banks and facilitates electronic transfers.
The agreement to open the Bank of Egypt Dubai (Banque Misr) in Mogadishu was signed in late February by the Governor of the Central Bank of Somalia and representatives of the Bank of Egypt.
Establishing an Egyptian bank in Dubai in Mogadishu would facilitate the flow of funds from the United Arab Emirates, especially for election campaigns, as the Central Bank is under the control of President Farmajo.
However, it was eventually rejected by the deputy governor and five board members, leaving the governor in a state of disarray, following a campaign by Villa Somalia to thwart Roble’s plan.
Villa Somalia sees the plan as an economic threat that could cast doubt on the election and Farmajo’s hopes of being re-elected.
The governor of the Somali Central Bank, who traveled to Djibouti, Egypt and the United Arab Emirates, eventually met with opposition from Farmajo, who told him that it was unwise to open the bank in Mogadishu at this time.
Roble and his associates, who were also under intense pressure from rival local banks and Turkey, eventually appeared to be defeated in their attempt to make millions of dollars in profits every month.