Why is Somaliland strategically important and why has Israel officially recognised it?

Israeli Foreign Minister Gideon Saar met with the president of Somaliland on Tuesday, just ten days after Israel became the first nation to formally recognise the breakaway Horn of Africa region as an independent and sovereign state.

This landmark recognition has sparked speculation that other countries are poised to follow suit, according to a Somaliland government source and a regional diplomat. Such moves, however, have drawn strong condemnation from Somalia, which views them as a direct threat to its sovereignty.

U.S. Sen. Ted Cruz voiced his support on X on Monday, stating that recognising Somaliland aligns with US security interests, describing it as “an ally that shares our values in a region vital to global trade and counterterrorism.”

Somaliland, which declared independence from Somalia in 1991, boasts a crucial strategic location at the confluence of the Indian Ocean and Red Sea. Its Berbera port offers access to some of the world’s busiest shipping lanes.

Analysts suggest that countering threats from Yemen’s Houthi militia, who have targeted vessels in these routes, is a key driver behind Israel’s recognition and could pave the way for military cooperation. Somaliland, however, has explicitly denied that recognition would permit Israel to establish military bases or facilitate the resettlement of Palestinians from Gaza.

The potential for further recognition extends to landlocked Ethiopia, Africa’s second most populous nation. In 2024, Ethiopia announced a memorandum of understanding to lease an area around the Berbera port, reportedly in exchange for Addis Ababa recognising Somaliland’s independence.

This proposed deal provoked an angry reaction from Somalia, pushing the Mogadishu government closer to Egypt, a long-standing rival of Ethiopia over its Nile River dam, and to Eritrea, another of Ethiopia’s historical adversaries.

Turkey, which maintains close ties with both Ethiopia and Somalia, training Somali security forces and providing development aid, mediated talks in December 2024 where Ethiopia agreed to work with Somalia to resolve the dispute.

Despite this, Ethiopia is now rumoured to be preparing to recognise Somaliland. India has dismissed online speculation that it is also preparing for recognition, though some analysts argue it should do so to counter China’s growing economic influence in the Horn of Africa, particularly in Djibouti, as well as in Kenya and Tanzania.

The United Arab Emirates, which normalised relations with Israel in 2020 under the US-brokered Abraham Accords, has already established a significant sphere of influence in the region.

Through Dubai’s state-owned DP World, it operates the Berbera port, the city’s airport, and a free-trade zone situated between the port and the airport.

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