Investigative Reports

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Somaliland President Hosts EU and Swedish Ambassadors

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The President of the Republic of Somaliland HE Muse Bihi Abdi met with the European Union and Swedish Ambassadors to Somalia in the Presidential Palace.

According to an official statement from the Somaliland Presidency, the meeting with Ambassador Nicolás Berlanga Martinez and Ambassador Staffan Tillander of Sweden was to increase cooperation of the European Union and Sweden with Somaliland government on the changing geopolitical landscape of the Horn of Africa.

The statement added that the upcoming parliamentary and local government elections in Somaliland were also discussed since both the EU and Sweden are supporting Somaliland in the democratization process.

One issue discussed at length between the President and the Ambassadors was the ongoing dispute related to the selection of the new members of the National Election Commission. This is according to sources who were briefed on the discussion between the President and the visiting Ambassadors.

Abdirashid Mohamoud Ali (Riyo-raac)

The latest dispute between the government and the opposition parties centers on Mr. Abdirashid Mohamoud Ali (Riyo-raac) as one of President Bihi’s three nominees to the next Election Commission. 

Mr. Ali known as Riyo-raac is a member of the Kulmiye party and has been a vocal supporter of President Bihi during the bitter elections of 2017.

Exclusive – Disagreement between Somaliland and British Intelligence Services May Disrupt Cooperation

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According to sources, a major disagreement between Somaliland and British intelligent services may disrupt their close cooperation.

Sources speaking to Somaliland Chronicle on condition of anonymity due to the sensitivity of the issue, state that the British intelligence services object to the new working parameters set by President Bihi’s new appointee to head Somaliland intelligence services.

According to multiple sources, the disagreement issue has reached the President of Somaliland HE Muse Bihi Abdi and all indications are that he is backing up his intelligence chief.

Somaliland security services especially the intelligence apparatus has been accused in the past of being an extension of their foreign benefactors.

President of the Republic of Somaliland HE Muse Bihi Abdi has reappointed the current head of the intelligence services early this year to an experienced hand who had served multiple administration in the past who has also been known to not welcome foreign interference in his agency’s mandate. In the past, he has resigned from his position citing interference.

It is unclear if the issue is related but there is also an ongoing disagreement between Somaliland Police whose elite counter-terrorism units are trained and funded by Britain. According to sources, the British authorities have complained about the use of facilities they have financed for extrajudicial detentions such as that of Member of Parliament Ahmed Dhakool who was briefly detained in mid-May.

It is unclear how disruption of the close cooperation between Somaliland and British intelligence services would affect Somaliland’s effort in combating and terrorism.

Security insiders in Somaliland have declined to comment and efforts to get official statement from Somaliland authorities for the intelligence services and police-related matters were unsuccessful.

Force Multiplier – Somaliland Government’s Effort to Harness Information Technology

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The President of Somaliland HE Muse Bihi Abdi convened an extraordinary session of his cabinet meeting on Saturday to discuss implementation of a government wide e-government system.

This is the first time in Somaliland’s history where information technology is being considered as a tool to deliver government services to the public.

Besides the e-government, another issue that was discussed in this extraordinary session was the groundbreaking idea of including information technology in the national curriculum.

Because of deregulation and fierce competition among multiple telecom providers Somaliland has one of the highest rates of cellular phone adaption and coverage relative to its size and GDP in third world countries.

While meritocracy has been an issue in Somaliland, the Minister of Telecommunication and Technology Dr. Abdiweli Abdillahi Soufi is the exception, he holds a doctorate in information technology and is one of the most qualified candidates in President Bihi’s cabinet and has had added good fortune to be assigned to what seems to be his natural habitat.

Dr. Soufi has had few mishaps in his early days as the Minister of Telecommunication and Technology when he learned the hard way that it was difficult to get a top-level domain for Somaliland from ICANN and even harder to get Somaliland it’s country code. 

The Ministry of Telecommunication and Technology is one of the most anemic in terms of budget and is tasked with the Herculean task of regulating one of the most powerful industries in Somaliland – the telecom companies.

Dr. Soufi is described as a quiet operator who unlike many government officials does not enjoy attention has done something remarkable, he has convinced President Bihi that the silver bullet to deliver effective services to the public is by implementing an e-government system.

Somaliland is the perfect candidate for e-government, from allowing citizens to renew their driver’s licenses online to ordering a copy of their marriage certificate to the more complex civic duties such as local and national voting. 

The Challenges

Implementing an e-government project is no small feat and has many challenges, the biggest of which is a turf war with other ministries and other agencies that having a high-level sponsor such as The President himself is the solution and it seems Dr. Soufi already has the President’s ear. 

There are many IT heavy projects at various stages of completeness or failure – depending on your perspective. Mostly funded by the international community to the tune of tens of millions of dollars such as the government accounting system under the Ministry of Finance. 

Other critical systems are being managed or developed by foreign firms, these include the court system developed by the British firm Axiom International which was also awarded the implementation of the equally critical Justice Ministry’s judicial case management system by the UK.

Some are yet to start such as the Human Resource Management system that is part of the World Bank funded project for Somaliland’s Civil Service Commission.

Technically, none of the existing systems fall under the definition of an e-government system but it is important to understand that none of them fall under the jurisdiction of the Ministry of Telecommunications and Technology.

While most of the projects predate President Bihi and his Minister, Dr. Soufi, it is unclear if the Ministry’s technical advice in any of the above projects has been sought especially on ensuring that these systems are properly secured.

Critical Choices

Cloud vs Onprem – One of the most consequential decision that will determine the project cost and delivery timetable is if the e-government system is cloud based or a traditional on-premises route where Somaliland government will build data-centers, populate it with expensive gear and run dark fiber across the country to interconnect the system. 

Open source or Proprietar– Another equally critical decision is the choice of software where providers such as IBMOracle and Microsoft could cost millions and comparatively Open source products that serve the same purpose are free granted that the right technical experts are sourced.

Tight as a drum – One area that cannot be compromised on an e-government system is the security of the system because the slightest misconfiguration could make the system critical to exploitation that could include data manipulation of catastrophic magnitude. 

Source of funding – One of Somaliland weakness has been its reliance on foreign aid on many critical projects where spending the funds has been a priority and filing reports with donors instead of delivering a lasting solution built to address a specific need.

Another issue is the strings that come with foreign-funded projects through consultants or as in Axiom where entire companies have followed their country’s aid money to Somaliland.

Can The Doctor Deliver?

If anyone can make an e-government system a reality in Somaliland, it is Dr. Soufi but he will need the full support of the President to ensure the rest of his government falls in line to make this critical national infrastructure is implemented correctly, on budget and onetime.

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Coronation Fit for a King – Heavy Weight Delegations Converge on Jubaland for President Islam’s Inauguration

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The Federal Government of Somalia has gone to an extraordinary length to ensure the President of Jubaland State of Somalia Mr. Ahmed Mohamed Islam (Madobe) does not get reelected and has financed rival candidates to declare victory to ensure the election process in Jubaland is disputed and potentially destabilize the region. 

Somalia Minister of Air Transport and Aviation

According to media reports the President of Somalia Mohamed Abdillahi Farmajo handpicked his own Minister of Air Transport and Aviation to be the next President of Jubaland.

The Somali Federal Government even arrested the Security Minister of Jubaland while on transit on Mogadishu airport for unspecified and serious human rights violation. This despite, President Mohamed Abdillahi Farmajo’s open embrace of other convicted war criminals such as Colonel Tuke.

After the reelection of President Islam, the Ministry of Interior issued a directive nullifying the reelection of President Ahmed Mohamed Islam (Madobe) and ordered a redo of the election. President Islam promptly ignored the directive.

One of the most important variables in the widening political chasm between the Somali Federal Government and Jubaland administration is the maritime dispute between Kenya and Somalia which holds substantial petroleum reserves. Despite the Federal Government’s protest of President Islam’s reelection, Kenya promptly sent its congratulations.

The United Nations did not help matters when its new Head of UNSOM and Special Representative appointment by United Nations Secretary-General António Guterres in May, Mr. James Swan also called on Jubaland to hold free and fair election in a move that echoed Villa Somalia’s sentiments .

Image result for james swan farmajo
United Nations Special Representative to Somalia and Head of UNSOM Mr. James Swan in Kismayo with Jubaland President.

As the adage of desperate times call for desperate measures goes, the Somali Federal Government has resorted to instituting a full blockage on Jubaland by instructing all flights to and from Jubaland’s regional Capital of Kismayo to make a mandatory stopover in Mogadishu International Airport. This order has only come into existence after the reelection of President Islam.

Villa Somalia’s air blockade of Jubaland has created a political headache when the former President of the Somali Transitional Federal Government Sharif Sheikh Ahmed was prevented from flying from Mogadishu Airport to Kismayo to attend the inauguration.

One of the unintended consequences of Villa Somalia’s attempt to prevent President Islam’s reelection and subsequently stop guests from attending his inauguration seems to be the unifying of all the Somali opposition factions.

Somali political elites including the President of Puntland Mr. Said Abdullahi Dani who is also having his own disagreements with the Federal government, former presidents and other opposition members all converged into Kismayo to attend the inauguration of President Islam.

Once again, the Somali Federal Government has protested by summoning the Kenyan Ambassador to Somalia Lt. General (Rtd) Lucas Tumbo to let him know that “Somalia strongly protests this violation and will not accept any encroachment on its air, sea and land borders, and calls on Kenya to respond to this breach while its troops stationed in the Lower Juba region are part of the African Union Mission in Somalia (AMISOM).”

Kenya’s Ministry of Foreign Affairs Principal Secretary Macharia Kamau denied that Kenya voilated Somalia airspace and called the issue “just a distraction.”.

The Kenyan government and specifically Somali Kenyans have thrown their weight behind President Islam by sending a delegation led by the outspoken Hon. Aden Dualeh, the Leader of the Majority in Kenyan Parliament, the Governor of Wajir County and many members of the parliament to the inauguration. 

The Somali Federal Government has not relented in issuing additional directives, warnings, and demands to ensure no direct flights went into Kismayo. The latest of these was a NOTAM that no one seemed to have heeded.

Speaking to the Jubaland Minister of Constitutional Affairs Mr. Ahmed Abdirahman on the inauguration and the massive support for President Islam “The President and the people of Jubaland are grateful for their support of Somalis everywhere. The Federal Government politicized this event and try to prevent participants, trying to make us bend to the will Villa Somalia is a misguided approach and is unhelpful, it’s precisely the mindset that led Somalia down this path 30 years ago,” he said.

The public opinion in Somaliland is split on the attendance of the inauguration of President Islam and support for Jubaland, some see it as a Somalia issue and any official overtures from Somaliland government would harm its cause and equate Somaliland to a Somali regional administration such as Puntland. This is the official position of the Waddani Opposition party.

Others, such as the leader of the opposition party of UCID, Mr. Faysal Ali Warabe, who initially floated the idea of a delegation from Somaliland to Jubaland has shown support though the visit to Kismayo did not materialize.

There was also a recanted statement from a member of Somaliland Parliament Mr. Nasir Ali Shire, who initially stated that he will be leading a delegation from Somaliland Parliament to Jubaland to attend the inauguration.

Image result for maxamed ilka case
Former Direct General of Ministry of Labor and Social Affairs Mr. Mohamed Elmi.

A prominent Somaliland politician who has served as a Director-General to multiple government ministries and is a member of the ruling party of Kulmiye Mr. Mohamed Adan Elmi (Ilkacase) attended President Islam’s inauguration in Kismayo.

Mr. Elmi, speaking to Somaliland Chronicle and other media outlets was clear that he was not representing the government of Somaliland and was there at a personal capacity but reiterated the importance of engaging in the regional geopolitics.

The next chapter of Jubaland’s history is still unfolding but President Islam seems to have proven to the rest of the Somali member states that Villa Somalia’s power to write strongly-worded statements has little effect in shaping events in Somalia.

President Islam seems to have the wind on his back and fortune smiling up on him, what he does with this momentum will be a consequential even in the history of Jubaland.

Multiple Fatalities in a Head-on Collision East of Berbera

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A fatal car accident involving a people carrier and a truck transporting the popular narcotic of Khat have claimed 15 lives and wounded another 11 around the port city of Berbera.

The dead and wounded have been transported to Berbera General Hospital and the death may raise due to the nature of injuries according to medical staff currently treating the wounded. Most public hospitals in Somaliland do not have the capacity to deal with multiple shock trauma patients.

Reports from the scene of the accident state the majority of the dead were the passengers of the Toyota Noah minivan are Ethiopian nationals heading Bossasso, the regional capital of the Puntland State of Somalia.

According to multiple media reports, the eight-passenger seat Toyota Noah minivan was carrying at least double its intended passenger count. 

Authorities rarely enforce vehicle gross weight in Somaliland and many third world countries and it’s common to share a road with vehicles loaded with twice the cargo and passengers they were intended to carry.

Trucks transporting Khat are legendary for reckless driving and routinely travel at a high rate of speed and have been involved in multiple fatal accidents in the past. 

Image result for somaliland transportation minister abdillahi abokor
Somaliland Minister of Transportation and Road Development Hon. Abdullahi Abokor Osman

In a wide-ranging interview with Saab TV, the Minister of Transportation and Road Development of Somaliland Hon. Abdullahi Abokor Osman spoke about his ministry’s effort to curb the rate of accidents by targeting three contributing factors, driver expertise, a vehicle’s road-worthiness and road conditions and added that they are now working on tightening driving issuance while not hampering the sector.

The Minister added that in the first six months of 2019 the Ministry of Transportation and Road Development has achieved a 9.3% reduction of road accidents compared to 2018 and that is largely attributable to tightening of driving license issuance.

Saab TV, via You Tube

The Ministry of Transportation and Road Development did not respond to a request for data supporting the numbers cited by the Minister in his interview.

Minister Abokor did not mention that Somaliland is the country that has right hand side roads with majority of its vehicles are also right handed.

Despite the Minister’s claim of 9.3% reduction of traffic accidents and road fatalities in Somaliland, today’s accident is a reminder that automobile accidents is the leading cause of death in Somaliland.

There has been no official statement from the government of Somaliland on the cause of the accident.

Somalia’s Auditor General Reports Massive Corruption Under President Farmajo

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The Auditor General of the Federal Government of Somalia Mr. Mohamed M Ali has uncovered large scale corruption in his latest financial audit report for 2018

The Auditor General, in the Basis for the Adverse Opinion section of the audit report, stated that external donor contributions were understated or misreported to the treasury by nearly half of the 38 million dollars largely contributed by the European Union and the Kingdom of Saudi Arabia.

3.7 of the 17 million donated by the European Union ended up in offshore accounts according to the Auditor General “Whilst the European Union made a total of US $ 17,004,816 as external assistance to the Federal Government of Somalia for the year ended 31 December 2018, only a total amount of US $ 13,266,667 was disclosed in the annual financial statements because the SFMIS captured the latter amount whilst the balance of US $ 3,738,149 was in an offshore bank account.”.

The Saudi contribution of 20 million dollars seems to have fared the worst, in terms of misappropriation where almost 67% of it ended up in offshore private accounts.

The Auditor General’s report did not say what the 18 million dollars that ended up in offshore accounts were used for.

This report directly contradicts many statements by representatives of the United Kingdom Ben Fender and others who have praised Somalia on its financial transparency and anti-corruption posture to work towards debt relief and attracting more aid dollars.

United Kingdom Ambassador Mr. Ben Fender with Somalia’s Prime Minister Mr. Hassan Ali Khaire

One glaring omission from the Auditor General’s report is the contribution by the United States which is considered one of the largest donors to Somalia and has multiple ongoing projects it has been funding through its aid agency USAID. It is unclear if the United States directly contributes cash to Somalia’s Federal Government.

According to the Washington Post, the United States has contributed a total of 441 million US dollars to Somalia in 2018. 

The Auditor General also produced two separate Compliance Audit reports for security and non-security related sector in which most of Somalia’s Federal Government entities such as the Ministry of Defense, Somali National Army and NISA did not bother to submit annual accounts for auditing in 2018.

Somali government officials frequently travel overseas and even to other towns short distances from the Capital Mogadishu on private jets due security concerns.

Somalia’s President Mohamed Abdullahi Farmajo has inaugurated a 4.3 million US dollar embassy in Washington DC while it has a little over 5 million budgetted for all embassies for 2019. It is unclear if subsequent Auditor General reports will shed light on source of the US embassy funding.

SOLTELCO: Hargeisa’s Delusional Mayor

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The Mayor of Hargeisa Mr. Abdirahman M. Aideed “Soltelco” has embarked on a media blitz to explain away why Somaliland’s capital city of Hargeisa is a disaster zone and blamed everyone but his utter incompetency.

The Mayor seems to suffer from a delusion that he is convinced he has accomplished more than any other mayor in the history of Somaliland. Perhaps including Eng. Mohamed Hashi Elmi.

Image result for maxamed xaashi cilmi
Former Mayor of Hargeisa Eng. Mohamed Hashi Elmi.

In an interview with Horn Cable, the Mayor explained all the ills of Hargeisa are someone else’s fault, mainly the citizens. He thrown in a zinger involving cats and car bombs in Mogadishu.

On social media, many allies and defenders of the Mayor are asking those criticizing him “instead of taking a photo of a pothole why not fix it? It’s your city too”. There is something wrong with this nonsensical defense. It is not the job of an ordinary citizen to stop traffic and get the road construction material and crews and start doing the job of the Mayor and the local government. This is what they have been elected to do and this argument defeats the purpose for their existence.

This is as if the police told the people of Hargeisa they are too busy but to go ahead and solve their law enforcement needs themselves. Makes no sense.

In a different promotional video, the mayor claimed that the Hargeisa Local Government, under his leadership has built 274 kilometers of new roads in Hargeisa. That is roughly the distance between Hargeisa and Burao when traveling through Berbera and Sheikh.

We suspect that the Mayor is lying outright or has lost his tenuous grasp on reality or there is a remote chance the 274 kilometers of road are made of a new invisible material. What is more alarming is his blissful ignorance of how dangerous the road conditions are in Hargeisa. Especially in the current rainy season.

Flooded center of Hargeisa, between Gargaar and Jirdeh hotels

The Mayor has clearly no shame, for if he did, he would have gracefully resigned but that brings another interesting question; how does the President see all of this? Could he be equally clueless? Could it be possible that the Mayor has campaigned for President Bihi’s election and is being rewarded with zero accountability?

Image result for soltelco+biixi+kulmiye
President Muse Bihi Abdi with Mayor Soltelco and his deputy during his presidential campaign in 2017.

We don’t know, but the Mayor reminds us of Hans Christian Andersen’s classic tale of THE EMPEROR’S NEW CLOTHES. No one seems to bother telling him he is criminally incompetent.

Somaliland Chronicle is responsible for the content of this editorial.

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Somaliland fulfilled many of the basic requirements to attract foreign direct investment and winning investor confidence.

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Stability, strategic location, government pro-Investments policies are good Ingredients to attract foreign investors. Horn of African Country (Somaliland, separated from the Former Somali Republic after the collapse of the union in 1991). In the three past decades it made notable progresses in many fronts. Stability, Democratic Process, Rule of Law and Economic dev’t.

Twenty years ago Somaliland was a country emerging from a civil war, there were hardly good schools, hospitals and parts of the country was not easily accessible. Access to clean water, health and education were difficult. Today, Somaliland is an stable, democratic and prosperous country, its economy is growing very fast thanks to a booming private sector. The private sector in Somaliland is the fastest growing private sector in the region. Nearly more then quarter century on from the collapse of the “Somali Republic and The Re-Birth of Somaliland Republic”, Somaliland has more going for it than any of its neighboring countries i.e Yemen, Somalia. The future of this young country is bright and foreign investors are beginning to see that Somaliland is potential destination for their investments.

The fundamentals (to attract FDI) are certainly in place in Somaliland. Somaliland is a country with a population of 3.5 million people, half of whom are a working age and two thirds are under 35 years old. The young generation are relatively well educated and ambitious. Country’s GDP is growing at 3% a year1 and is expected to continue doing so for the coming few years. In large the growth is driven by the unregulated economy (private sector) and increasing inflow of foreign direct investment, notably the heavy investment from Dubai for their operation in Berbera Port, Corridor and Berbera Airport. The return of diaspora population is also having a positive impact in the local economy. Diaspora population not only brought back capital but they are creating new opportunities and transferring of the much needed skills that was missing in the country in the past. The recently restored livestock export can boost the economy significantly.

Following the improvement of the Berbera Port Capacity, the goods flow from Berbera to mainland Ethiopia has increased exponentially, as a result more jobs are likely to be created, other businesses will see the benefits from the increased economic activity (movement of goods and people), government itself will see increased revenues which it can use to invest in the public infrastructure. DP world invested heavily in Berbera port in the hope that the already booming and purchasing power of Ethiopian population is continuing to increase in the foreseeable future. Ethiopian economy is not showing any sign of slowing down, and if the country avoids internal political instability, it will need more corridors as Djibouti is almost operating at its maximum capacity and the demand for more imports is becoming inevitable as more and more Ethiopians start seeing increasing income which will increase the demand of goods. This presents huge opportunities for Somaliland and its foreign and domestic investors.

The other attraction for foreign investors considering to invest in Somaliland is the, unsurprisingly, the cheap labor. The main attraction is however the geography. Somaliland is located Ethiopia’s eastern flank; it has access to that country’s massive consumer market. With the long coastline, too, Somaliland has the potential to create smaller and functioning ports which can serve fisheries industry. Somaliland’s infrastructure is relatively poor but it is recently improving, Berbera Corridor, Erigavo Road, Rehabilitation of Burao-Berbera Road, Potential Djibouti-Borama Road, Telecom is owned by the private sector and access to internet and telephone is not expensive compare to the other countries in the region. The number of flights is growing, the upgrade of Berbera International Airport has been completed, and the capacity of Egal Airport has also improved in the past years and so the number of airlines and flights. Internet usage and access is the highest in the region, energy is relatively expensive but solar energy infrastructure is becoming widely available and if this trend of using alternative energy continues its likely the energy costs will decrease.

Another Somaliland’s attraction is the relative political stability. Somaliland has no external debt which is a positive thing, but there are areas of concern which can put off foreign investors namely, currency stability, inflation. The domestic consumption is also growing as the rate of urbanization is growing rapidly, estimated figure is putting urbanization rate at 50%. For investors watching Somaliland, key development will be the completion of the Berbera Port Upgrade, Berbera International Airport, Berbera Corridor And The early successes of the new investments i.e Cement Factory in Sahil Region, And Other Middle Size investments made in recent years, if all the above ventures fair fairly then it’s inevitable we will see more and more inflow of foreign direct investment in Somaliland in the coming few years.

About the Author 
Awale Shirwa served as Minister of Planning and National Development for the current government, he studied development economy with the focus on Sub Saharan Countries., holds Msc Degree From University of London and MA Degree from University of Surrey. and is currently Trade and Investment Analyst, Commentator and Horn Of Africa Economic Development Specialist.

Disclaimer: The viewpoints expressed by the authors do not necessarily reflect the opinions, viewpoints of Somaliland Chronicle and it’s staff. 

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Major Reshuffle Imminent

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According to multiple sources President Bihi is finalizing a major reshuffle of his administration. If it materializes, this would be the third reshuffle President Muse Bihi Abdi since taking office nearly two years.

Notable changes brought by President Bihi’s earlier reshuffles are the ouster of the entire leadership of the Ministry of Finance, the sacking of the Ministers of Information and Defense over corruption allegations and a defense forces related changes that did not affect the top brass of the police of the military.

Both allies and opposition figures have criticized the President for picking too many political neophytes with little to no expertise in their respective portfolios.

Important positions, such as the heads of Somaliland’s Military, Police forces, and Judiciary have remained unchanged since their nomination by former President Ahmed Mohamoud Silanyo.

Health issues have led the former Minister of Health to resign, where current the Minister of planning have been on medical leave only days since his appointment. 

According to multiple administration officials who spoke to Somaliland Chronicle on condition of anonymity, the upcoming reshuffle would affect many ministries including Interior, Education, Youth and Sport, Livestock and Fisheries.

Though we have been unable to confirm directly from the Presidency, sources have pointed out that this could be the biggest reshuffle of President Bihi’s presidency and may include changes to Military, Police and Judiciary.

Sources add that President Bihi may also restructure some ministries such as the Livestock and Fisheries Development.

The Chongqin Foreign and the Corruption-Polluted Contracts

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By Edward John

Some Chinese firms had invested mainly in Africa’s ongoing development but Choqqin Foreign (International) Construction Corporation (CICO), a state-owned firm exploited the legal loopholes and played by the playbook until caught red-handed. This company has been mired in notorious dealings and contracts for road constructions across East Africa; most of its contracts were done through backdoor channels. Its first project deemed a lawful but ever since, any following contracts they won were scandalous and a breach of the contract processing laws. They were accused of bribery of the award-contracting committee but fell short of feeding their road construction workers afterwards.

22 August 2017, the African Development Bank ADB delisted Chongqin International Construction Corporation (CICO) the bank’s investigation found that the Chinese company engaged in fraudulent activities in regard to the ADB –funded projects. In their operational resume, the company falsely claimed of fitting work experience to the project requirements to desperately win the contract an experience which later turned out to be nonexistent. The construction by this firm was suspended for a year.

This company involves in series of financial scams and cooked their books disregarding the investment laws in East Africa. A falsely established firm known as EUTAW received a road construction contract but immediately sub-contracted 100% of the works to CICO which was against the law; the firm may change their name to evade a detection of the real notorious name firm. This company has been blacklisted for committing financial crimes regularly. Anyone complicit in the Ponzi scheme was persecuted.

The Public Procurement and Disposal of Public Assets Authority (PPDA) of Uganda accused this firm of tinkering and asked for the persecution of the contractor for the violating of the laws.

After all, violate any laws in any the country they operated for financial greed, the Chongqin International Construction Corporation (CICO) is said to get attained in the finalists list in Somaliland road construction bid. Independent observers and foreign investors keen on Somaliland upcoming business opportunities are worried that this unethical firm may apply the same deception techniques to win the project of Hargeisa Bypass Road (Route 200). Already the company has been shortlisted for the contract based on operational expertise that didn’t materialize followed a humble scrutiny of the google obvious data. The investigative expertise of Somaliland Award-contract Committee is limited if not virtually nil.

This company also mistreated its workers in so many ways.

Trademark East Africa should aware of the corruption practices and deal with it swiftly.

Using fraud and manipulation, Chongqin International Construction Corporation (CICO) will try to win the internationally-funded road construction of Hargeisa Bypass Road that’s a part of the Berbera seaport to the rest of Africa particularly Ethiopia’s vast market. 

The inclusion of this firm into a list of the contractors list reflects the weak institutions of Somaliland government, which failed to detect the murky background of this corrupt firm.

The World Bank, the EU donors and other stakeholders should carefully watch the bidding system of Somaliland in the light of this corrupt company.

About the Author 
Edward John is a member of Anti-Corruption International ACI

Disclaimer: The viewpoints expressed by the authors do not necessarily reflect the opinions, viewpoints of Somaliland Chronicle and it’s staff. 

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Notice: This article by Somaliland Chronicle is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License. Under this license, all reprints and non-commercial distribution of this work is permitted.