Somaliland’s Vice Minister of Finance HE Mohamed Ahmed Dahir, in a speech to the Inland Revenue Services team at a training event said the 20 largest businesses in Somaliland have paid a combined 0.4% of Payroll taxes in 2017.
The Vice Minister said “in 2017, the total Payroll Tax collected was 5.8 Million US Dollars, of which only 0.4% or less than 1% came from the 20 largest businesses in Somaliland”
He added that “99.4% of the payroll collected was paid by government NGO emplyees”.
To put this in perspective, the largest corporations in Somaliland including Dahabshiil, Telesom, Somtel, Salama Bank and many other multi million dollar companies collectively paid $23,200.00 in payroll taxes.
Deputy Minister Dahir asked the largest 20 corporations in Somaliland to deduct payroll taxes from their employees and added that Somaliland’s 6% payroll tax rate is one of cheapest in the world, while some countries payroll taxes are minimum of 15%.
“The only way to build our country is to abide by our laws and pay our fair share of taxes”
Deputy Finance Minister
The Deputy Minister stated that the employer is responsible for filling out the relevant forms for payroll tax assessment and will be penalized and will be prosecuted for any false declaration on these official government forms ie reporting false number of employees or their salaries.
Somaliland President with the Deputy and Minister of Finance
The Vice Minister concluded his remark “The only way to build out country is to abide by our laws and pay our fair share of taxes”.
Mr Dahir did not specify what kind of penalties the government would levy against companies for under-reporting their employees’ income to reduce their payroll tax obligations.
An Inland Revenue Services employee described the training as “learning how to fill forms!” adding “its like pushing a boulder uphill with oil under your feet, how I am going to ensure Dahabshiil and Telesom are not lying about how many employees they have?”
Deputy Finance Minister Mohamed Dahir
Others officials at the Ministry of Finance stated that enforcement is key to assessing payroll taxes while others complained about their own pay scales being less than a living wage.
“I seriously doubt anyone can prosecute Dahabshiil or Somcable, the owners have friends in high places, I guarantee someone will loose their job instantly if they complain about them” said a senior Finance Minister official on condition of anonymity.
Abdirashid Duale is the CEO of Dahabshiil
We have reached to an HR manager at one of these large corporations to ask him about the Vice Minister’s comment and if their organizations are positioned to deduct payroll taxes and he stated “I think the government needs to earn the trust of the people and that their taxes will not be used to private mansions but would go to health care and education”.
Despite millions of dollars spent by the World Bank on the Ministry of Finance’s PFM project, this effort to reenergize the payroll tax collection remains a manual process and is based entirely on physical forms.
Somali’s Prime Minister Hassan Ali Khaire arrived in Garowe today the capital of Puntland regional administration amid heavy security.
The purpose of the Prime Minister’s visit is unclear and coincides with the visit of the Somali President Farmajo’s visit to Eritrea. What is clear is that according to reports, Mr Khaire is in Garowe to show solidarity with Mr Abdiwali Gas.
Somali Prime Minister with Regional Governor of Puntland Abdiwali Gas.
Additionally, Mr Khaire’s visit is as provocative as Somali President’s visit to Garowe last January when hostilities in Tukeraq ignited with Somaliland on his second day of visiting Puntland. Since January, Somaliland forces in Tukeraq have been attacked multiple times by Puntland militias.
There are confirmed reports from Villa Somalia of power struggle between Prime Minister Khaire and President Farmajo. The two leaders of Somalia’s Federal Government have recently engaged in tit for tat sacking of officials from their government.
Somali President with Eritarian President Afawarqi in Asmara.
While Farmajo has disavowed any hand in supporting Puntland’s war with Somaliland, Mr. Khaire is said to be more directly involved if at least to undermine Mr. Farmajo, especially during his absence to his official state visit to Eritrea.
Puntland’s regional government is facing a host of issues including a resurgent Al-Shabaab and other groups associated with ISIL and an election in less than 5 months and has been accused of using the conflict with Somaliland as a delay tactic.
Somaliland Government has not addressed the visit of the Somali Prime Minister go Garowe, less than 50 km from Tukeraq.
Top @UNSOM official Raisedon Zenenga and IGAD Special Envoy Mohamed Ali Guyo were in #Garowe today as part of ongoing efforts to find peaceful solution to #Tukaraq conflict. They met #Puntland's President and Vice-President, and Sool region elders. They go to Hargeisa on Sunday. pic.twitter.com/IrbMff9vWg
International community is trying to mediate a truce between Somaliland and Somalia’s regional administration of Puntland.
Somaliland government has been clear about its desire to have a peaceful coexistence of its neighbors including Somalia but also that will defend the territorial integrity.
The Chairman of the opposition party UCID, Eng Faisal Ali Warabe returned to Hargeisa from a trip to Belgium where he met with the Somali President Mohamed Abdillahi Mohamed Farmajo in Brussels last week.
Eng Faisal Ali Warabe pictured with Somali President Farmajo together with Khatumo President Khalif Galayr in Brussels Belgium.
Mr. Warabe has also stopped in Dubai on his way back to Somaliland to attend the inauguration of the Somaliland Trade Office in UAE.
Mr Warabe was met by cheering crowds waving the UCID party flags at the Egal International airport to welcome him back to Somaliland.
Mr. Warabe’s return to Hargeisa.
Mr. Warabe’s visit to Belgium has ignited a controversy when the opposition party leader met with the Somali President.
Somaliland government has declined to participate in the Somali Partnership Forum held in Brussels, Belgium by international donors for the Somali Federal government and its regional various regional administrations.
Mr. Warabe did not attend the meeting but indicated he was there to speak with the donors on behalf of Somaliland.
It is unclear how much of a political impact the meeting with Mr Farmajo has on Mr Warabe’s close working relationship with the President of Somaliland HE Muse Bihi Abdi, who expressed shock at the news of the meeting and the surfacing of the photos of the meeting.
Upon arrival Mr Warabe addressed the welcoming crowd and touched on many topics including the controversy surrounding his initial visit to Brussels and meeting with Mr. Farmajo. While not mentioning President Bihi by name, Mr. Warabe has aired a lot of grievances and recounted his long history of working for piece and reconciliation in Somaliland.
“it is not the visit that shocked the president, its the Farmajo meeting, this is where Mr Warabe went off script”
Mr Warabe return to Hargeisa
Mr Warabe, again without mentioning any names, took a swipe at the other opposition party leader in crying foul in their recent address to the media where they accused the ruling party of hypocrisy of labeling the Wadani party as a pro-Somalia party in the run up to the recent Somaliland elections.
According to sources close to the Somaliland Presidency, President HE Muse Bihi Abdi was aware of Mr Warabe’s visit to Brussels and that Mr Warabe himself has been part of every discussion including the rejection of the government to participate in the Brussels meeting. The source added “it is not the visit that shocked us, its the Farmajo meeting, this is where Mr Warabe went off script”. These sources did not wish to be identified for fear of loosing their jobs.
Professor Ahmed Ismail Samatar visiting Somaliland troops in Tukeraq
Additionally, Mr Warabe stated that the plan was for himself, Mr Galaydh and Professor Ahmed Ismail Samatar to go to Brussels to show a unified Somaliland represented by the total sum of its parts, he added that Mr Samatar could not make it because of prior commitments that included a visit to the troops in the frontlines in Tukeraq.
Mr. Warabe, addressed the crowd and explaining his visit to Brussels stated that he was simply doing his duty as a citizen and reiterated the atrocities that Somaliland people suffered under the union with Somalia and for Somalilanders to live in dignity is why he want to Brussels.
“I am the chairman of a national party and I am accountable to its charters and code of conduct, I am accountable to the Somaliland constitution but I take orders from no one” added Mr. Warabe to underscode his independence to speak on Somaliland’s bahalf in any venue.
“I have supported our government on its decision to secure our borders and Tukeraq is analogues to two bald men fighting over a comb, but 100 dead and wounded to achieve that goal is not something I have expected. You are all aware that we have lost the media and diplomatic wars and I have always responded to them to the point where some asked if I was the President’s Spokesman” said Mr. Warabe speaking of his continued war of words with Puntland.
Puntland leaders have called for the assassination of Mr Warabe in the recent past.
Mr Warabe referring to the current leadership in Mogadishu, pointed out that most of them have been out of the country and came from the United States and Europe and are still bitter over the toppling of the late dictator Siyad Barre.
“Ali Khalif and I have brought victory to Somaliland, out of the 500 millions that is allocated, 200 millions of it will be given to Somaliland” said Mr Warabe to a cheer from the crowd.
There is no official word from the EU donors in the Somalia Partnership Forum that any funds are specifically earmarked for Somaliland.
“if we see that the ones in charge do not have a capacity to lead this country, we will come up different plans” Mr Warabe
Mr Warabe spoke of the longtime he has known the Somali President and his family and said “He had requested to meet with us and we told him of the things that are said behind his back that he is beating the drum of tribalism and war and that he has been supporting Puntland’s Abdiwali morally and materially and he had swore that he was not involved in all of it. We have agreed that he will indirectly ensure others will withdraw support from Abdiwali, we agreed to restart Somaliland/Somalia talks immediately” Mr Warabe added that conditions of mutual trust must be worked on to ensure negotiations can be conducted, otherwise the parties will remain enemies in perpetual face-off.
Somaliland MP Abdiqadir Ismail Jirde.
“The President’s job is to bring people together and unite them and to bring them development and prosperity, this is the first President who prefers war of words and animosity to cooperating and working relationship, this is a first for us but I am not going to get into a back and forth with Muse Bihi, because if that happens the country will not exist” Mr Warabi said speaking of the President of Somaliland HE Muse Bihi Abdi.
“are we better off than we were seven months ago”
Finally, Mr Warabe concluded his speech with a question “What we need to ask ourselves is, are we better off than we were seven months ago, the questions is not that Faisal went Farmajo and said hello, what we are talking about is Muse has been President for seven months and it is time for evaluation, are we worse off than we were, or are we better of?”
Somaliland MP Kijandhe
In what seems like a direct response to the President Muse Bihi Abdi’s recent speech in which he spoke of his view of the meeting with Farmajo, Mr Warabe said “You have all heard MP Abdiqadir Jirde, who is one of those rare folks that know what they are talking about and MP Kajandhe and see how concerned they are about the state of the country, we we will see each other right after we are done with Tukeraq and if we see that the ones in charge do not have a capacity to lead this country, we will come up different plans.”
The criticism showed some scrapes in the so far good cooperation between the two political leaders since the election of president Bihi.
Hargeisa International Book Fair HIBF Turned to political platform that encourages public mobocracy; In the short history of HIBF, there has been always some controversy associated, albeit its contents or the guest it brings to the country.
Dr Michael Walls appearance on the HIBF synonymies the past success or in this case the future failure of HIBF, if he has any part in it, that is. Michael Walls has used Hargeisa International Book Fair HIBF as his public relation weapon, a platform to flex his academic prominence with the help of his long standing friends Ayan Mohamoud and the managing director of the cultural centre of Hargeisa Jama Muse.
https://www.youtube.com/watch?v=LtIfm3zhRVs
In gripping open letter posted on social media sites yesterday i.e. twitter and Facebook, with massive outpouring of allegations that has been the focus of discussions of recent documentary (Baadi Goob) released in Somaliland, which had claimed to investigated the outcome of the recent presidential election in Somaliland, and have prompted vigorous online debate about the partiality of the IEOM, in addition to other allegations of collusion with the ruling party (Kulmiye) to officiate the results on the favor of the ruling party.
The statement released yesterday by Dr Michael Walls head of the International Election observers mission IEOM, ahead of presenting the last presidential election report in ambassador Hotel, Hargeisa.
Michael had refuted the allegation presented by the documentary. However, what was striking about the sudden repudiate was the manners in which Dr Walls had presented tirades of counter argument indictment to Somaliland opposition party Waddani and the makers of the documentary.
He wrote “We have been following recent events closely, the release of documentary entitled Baadi Goob and subsequent press release from Waddani party; each associates with clan conference held in Gaxcan Libaax, Somaliland” Dr Walls went afar to bring Somaliland internal Clan structure in an issues that’s has both international and local political consequence.
This will have political dire consequences in the country that is in both political and tribal turmoil, no doubt that it will undermines the efforts of the government on dealing with the aftermath of what was a fiercely contested election, the government is working hard to bring people together of different political affiliation. It is also without a doubt that this will have an impact on the future of the book fair itself as consequences of his irrational outburst.
About the Author
Farah Egal is a Somaliland Political observer and has extensive knowledge of the political landscape of Somaliland. Mr Egal is a freelance political observer
How did two giants of Somaliland’s political elite end up being photographed flanking the Somali President Mohamed Abdillahi Farmaajo, hand in hand? Hold on to your hat, there is a lot to unpack.
What was another week of business as usual in Somaliland was shattered by the surfacing of a photo of UCID opposition party leader Faysal Ali Waraabe and President of Khatumo State Ali Khalif Galaydh, holding hands with Mr. Farmajo.
Somali President Mohamed Abdillahi Farmajo addressing the Somalia Partnership Conference in Brussels.
Prior to this now infamous photo, both Warabe and Galaydh have been spotted in Brussels, the site of Somalia Partnership Forum though the reason of their visit to Belgium was not clear.
https://www.youtube.com/watch?v=uZNqjHsi8Rg&t=36s
The uproar on social media was swift and intense, where some immediately accused the ruling party and the government of hypocrisy for not condemning Mr Warabe for meeting the Somali President. Others, including Mayor of Hargeisa Abdirahman Aideed “soltelco” have compared Mr. Warabe’s meeting with Farmajo with Prime Minister Abiye of Ethiopia and the President of Eritrea.
Mr Warabe has given a series of interviews explaining the reason for his visit to Brussels and the meeting with the Somali President and the reason for his presence in Brussels.
In the above short interview, Mr Waraabe made it clear that he did not attend the meeting and that Somaliland government has declined to attend the meeting. He stated that he came to Brussels to lobby for Somaliland interests and to apply pressure to the international community. He also discussed the specifics of the meeting with the Somali President and stated that Somalia and Somaliland talks should be kicked off immediately.
“We BelieveD Farmaajo” Mr Warabe
In a curious break with the position of official of Somaliland government of holding the Somali President responsible for the Tukeraq attacks on Somaliland, Mr. Warabe stated that he had confronted the Somali President and accused him of being behind the hostilities against Somaliland or at least has encouraged it. He added that Mr Farmajo has categorically denied any role in the hostilities and that they believe him and discussed his role in bringing an end to the hostilities since Garowe is part of Somalia.
Can Mr Warabe Negotiate on Behalf of Somaliland
It is unclear if Mr Warabe saw an opening to achieve results similar to what Mr Abiye has done in the region by reaching out to foes and rivals and though he is the leader of one of the only three political parties in Somaliland and commands a high regard, legally speaking, he does not represent Somaliland in any capacity to enter into binding agreements on it is behalf.
The UCID party while technically an opposition party, has been seen as enjoying close working relationship with the ruling party of Kulmiye and President Muse Abdi Bihi.
Wadani Leaders see an Opening
Mr. Abdillahi Abdirahman Cirro, the leader of the Wadani opposition leader swung into campaign mode and in speaking to the media quoted former President of the United States “If you have to win a campaign by dividing people, you’re not going to be able to govern them”.
Mr Irro went on to talk about the most stinging attacks leveled against him and his party during the bitter election campaign where Kulmiye accused them of being Pro-Somalia.
The Wadani leader, flanked by his deputies Abdiqadir Jirde and the General Secretary of the party, went on to describe the state of the nation which he called dire and ill-managed.
Mr. Irro spoke about the upcoming parliamentary elections and that his party has not been part of the preparation since they have no confidence in the current Election Commission and have repeated asked the President to disband them.
Mr Irro at a campaign event last year
Finally, Mr Irro asked if Kulmiye party has reneged on the promise of nationhood.
While the leader of the opposition leader has touched on many important topics, aside from airing of grievances against the ruling party and its leader or the President, he has not offered any solutions of note.
The President and the Last Word
The President of Somaliland HE Muse Bihi Abdi in a brief speech yesterday during his visit to the courts has clarified his government’s position on the Brussels conference, Mr. Warabe’s meeting with Mr Farmaajo.
President Bihi visiting the Somaliland Supreme Court
President Bihi stated that the Brussels meeting was actually held for Somalia and their affairs and that Somaliland did not have a place in that conference. He added that his administration had disagreed with the EU on the format due to the fact that the host countries did not differentiate between Somaliland and Somalia.
“treat us as two separate countries” pRESIDENT bIHI
“They [EU] said we will be granted Special Arrangement, and we told them we do not know what that is, Somalia has not conquered or occupied us, Somaliland and Somalia use to be two countries which united. That union has not worked and we have won our independence back. Either treat us as two separate countries or otherwise deal with Somalia and you can get back to us when the conditions are right. They understood our position and have not tried to force the issue ” Said President Muse Bihi speaking on the invitation his administration received from the EU for the Brussels meeting.
“we are not going to trade our honor and independence for aid” President bihi
President Bihi with his Secretary of Defense, Agriculture, Mayor of Hargeisa and Chief of Police and other dignitaries visiting the Supreme Court
Continuing to address the Brussels meeting, President Bihi said “On the topic of aid, some said there are funds being allocated in this meeting and why are we not attending? First, we are not going to trade our honor and independence for aid, we are not going to trade our people’s determination for aid. We have determined to be a separate and an independent country.
“We were completely blindsided” President bihi
“It does not concern us if funds are being given the Americans or the Europeans, unless we are not getting a direct aid as a separate country. We have sacrificed something greater than money to win our independence back, we are not discussing aid and funding, we are talking about the case for indepence for Somaliland” The President added.
Finally, the President addressed the meeting of Mr. Warabe, the leader of the opposition party UCID and the Somali President said “Our international partners understood and that is where we concluded the discussion regarding the Brussels conference, be that as it may, the Chairman of UCID went to Brussels, we were unaware of it, he did not consult us and its an entirely new matter and it is something that needs to be examined and discussed. We were completely blindsided, we were not even aware that he traveled, we were beyond surprised to hear about his meeting with Farmajo, it just something unbelievable and we will see what comes out of that”
President Bihi who is known to not respond to the daily news cycle seemed genuinely upset by the meeting of a leader of a major political leader with the President of Somalia who has been applying pressure on Somaliland on multiple fronts in recent months.
The President’s speech and how he clarified Somaliland’s position was a major hit with most Somalilanders’ including some opposition party members. The former Governor of Awdal and Sanaag, Mustafe Issa wrote on his facebook how much he agreed with the President’s speech regarding aid to Somaliland and has condemned Mr Warabe’s meeting with the Somali President.
In a special segment to showcase the beating heart of Somaliland’s entrepreneurial spirit, we caught up with Saeed Sheikh Omar, the owner and operator of Summertime Enterprises to get him to divulge the secret to his success and advice the next generation of Somaliland entrepreneurs.
We suspect most people in Somaliland would’ve heard of you by now, but for those of us who live under a rock, Mr. Omer, tell us a little about yourself
Saeed Sh Omer At the Entrepreneurship Summit in Nairobi in 2015
Thank you, and call me Saeed, Sheikh Omar was my father! The best way I can describe myself is that I am a product of Somaliland and specially my beloved city of Hargeisa.
Take us back to how you get started in business, the very beginning
Well to be honest with you, starting a business was not my first plan, like most of my generation, I tried to go overseas on multiple occasions and though at the time, I felt very unlucky, in hindsight I am very glad that it did not work out.
It was terrifying at first, but going into business requires one to take some risk, so I sold a property I owned to use the funds as seed for my very first business which was a rental car to an Aid agency and it had its challenges where I could not get a permanent job with them, so just by chance, I was driving the employees to work one day and I saw a construction site which is where my restaurant is today and the rest is history.
What I learned when I look back and I am always mindful of how I got here, is you do your best when your back is against the wall.
What where some of the challenges in growing the business?
Vice President Saylici cutting the ribbon of Green Plaza event venue in 2014.
Distance was a big challenge for us, Summertime was the further restaurant in the city when we opened it, most people back in those days would go to the downtown area Gargaar area and the furthest would be Haraf and Ming Sing restaurants, and Summertime is a lot further than those so having people to come to Summertime was a challenge, not everyone drove back in those days.
The other major challenge of being in the hospitality business in general is knowing your customers, it took a bit of trial and error, for instance we started with just snacks at first and we saw many customers come in at night and turn around and leave. We had to quickly understand what the customers want and how to effective attract and retain customers . I think overcoming this challenge is to this day our secret sauce.
You have a construction of a large hotel in the Jijiga Yar area? Are you ready to challenge the big hotels in Hargeisa?
Naturally, I am a competitive guy but there is enough business for everyone in the hospitality industry in Hargeisa, after all it is the capital of Somaliland. From the mom who makes 50 Sambusas a day to Mansoor and anything in between.
A dream nearing completion. Summertime’s Hotel and Resort nearing completion in Hargeisa.
Our hotel has been coming along for quite a while and everyone thought I went insane in embarking on a project of this scale, I think the fruits of our labor are nearing completion.
Our secret weapon has always been customer service with a personal touch, unlike the large hotels and entertainment venues in the country, while I have employees I personally run my businesses and attend to the smallest details. I think this is where we beat the competition who are mostly not involved in their business and are reliant on employees making major decisions.
Elaborate the last point, your secret weapon
Well, hospitality is a happy business, and unhappy customer will never come back to an establishment where they don’t think they were treated right. Unless you love the business you are in, chances of success are very low.
For instance, whether you are in my restaurant with your family or attending a wedding at our Green Plaza, we make sure our customers have the very best. It warms my heart when I see a bride and a groom having the best night of their life and we took a small part of making it as perfect as possible.
Saeed speaking to the Success Club about his start in business.
I have many friends who started a restaurant, a guesthouse or other types of businesses only to close down in a short period of time, it is not that they are not good at what they are doing, it is just that their heart was not in it. This is what I tell every entrepreneur , if you don’t love something, don’t do it because the end result will show.
So Our hotel, when it opens soon insha Allah, will be very different in many ways. Look, anyone can stick a bed in a room and call it a hotel, we are working to get international certifications to make sure our guests have the best amenities in Somaliland including an swimming pool.
Summertime Enterprises is a set of businesses that all build on one another, from the restaurant, the event venue, apartments and again very soon insha Allah the Hotel which will tie it all together.
What would you tell a young person who is aspiring to immigrate to western countries?
I have nothing against going overseas, but right now, Somaliland is where opportunities are. I ran into good friends of mine who are moving back from every corner of the globe back to Somaliland looking for opportunities. This is when I know I have made the right decision to stay and trust the motherland.
My advise to the young people is start a business, the size of the business does not matter, what matters is your passion for it and how much time you are willing to invest. Do what your peers would not do, that’s trick! do what others think is hard and stick with it and I guarantee that you will surprise what you can accomplish. And if you fail, do it all over again!
There is a good chance you have not heard of Anglo Somaliland Resources. It is the company that has the exclusive right to sell commercial fishing licenses on behalf of Somaliland. The Somaliland government has signed a 10 year agreement with Anglo Somaliland Resources on August 4th 2015.
Before we delve into Anglo Somaliland Resources, we need to understand its origin, its genesis and to do that, first we need to understand its founders, Mr Ian Fenwick and Sir Antony Brian Baldry.
Sir Antony Brian Baldry
Mr Baldry is a former British MP who has been in public service for more than 30 years.
For a sitting MP, while this is not illegal to have private business, the sheer volume makes it is highly unusual. What is even more puzzling is that the great majority of entities that Mr Baldry is involved with seem to be connected to foreign countries, especially third world or conflict zones. Here two particular entities we would like you to keep in mind.
Mr Baldry has been accused of range of improprieties, including corruption involving a Nigerian politician accused of money laundering and on another instance, the The Parliamentary Commissioner on Standards found him in breach of code of conduct when he failed to disclose that he was a partner in a firm trading in blood diamonds in Sierra Leone.
Mr Fenwick is the co-founder and the Chief Operating Officer of the Anglo Somaliland Resources. He is a former salesman turned businessman. Unfortunately, there isn’t much to go on about Mr. Fenwick on the public records except, the impressive number of companies he has been involved in.
Much like Mr. Baldry, he has been quite busy in starting and closing down businesses with shocking frequency, in fact, the two gentlemen have been in business together for years according to filings with the British government prior to co-founding Anglo Somaliland Resources.
The Somalia Connection
Ian Fenwick with former Somali President Hassan Sheikh
Sir Baldry and Mr. Fenwick have a long history in the Horn of Africa, in fact you dont have to look hard to find it. Before their arrival in Somaliland and Anglo Somaliland Resources, both gentleman have done extensive business with successive Somali Governments in Mogadishu.
Baldry with former Somali President Hassan Sheikh Mohamud in Mogadishu
Mr. Baldry has written and lobbied on behalf of Somalia and at times against the independence of Somaliland on the international stage so much that President Hassan Sheikh has granted him an honorary Somali citizenship.
Mr. Baldry singing an MOU with Somali Ambassador in Nov 2013
On February 24 2014, Mr. Baldry did mention Somaliland but not in the way one would assume, he wrote that Somaliland needs to remain a part of the larger Somalia “There appears to be no desire to rush talks with Hargeisa, but rather the hope that over time Somalilanders would recognise that there is again value in being part of a larger de jure state, but within a federal structure that gives them maximum autonomy.”
Mr Fenwick with the Somali Interior Minister, celebrating the sale of a biometric identification system.
Mr Fenwick has been part of everything Mr. Baldry has done in Somalia, including the sale of a biometric identification and a secure communication systems to the Government of Somalia.
Compartmentalized
Kim and Ian Fenwick with President Elect Muse Bihi Abdi.
Finding all the companies Mr Baldry and Fenwick started over the years takes some effort and there seems to be an effort to conceal some or create the appearance of not being connected to them. This is achieved by slight variation in how their names appear on the Company House registry.
Mr Fenwick, for any business intended for business with Somalia has used Ian Leonard Fenwick, this variation in name makes a huge difference. When looking at the registry, we found that Ms Kim Fenwick is also part of playing this game of musical Chairs.
Mr Baldry has done the same where companies are registered under variations of his name, there is Tony Baldry, Sir Anthony Brian Baldry and Sir Tony Baldry. All in an attempt to conceal and compartmentalize their various business dealings with Somalia.
We are not sure what happened with Somalia, but both Mr Fenwick and Baldry seem to have closed up shop in Somalia and had a sudden change of heart and pivoted to Somaliland.
They come bearing gifts (and Aid)
A post from ASR showing “kind” donations for Edna Adan Hospital
Besides lots of photos with Somaliland Government officials and civic leaders such as Edna Adan, there isn’t much in terms of what Anglo Somaliland Resources has done in the public domain.
It’s charitable arm Anglo Somaliland Foundation, however seems to be humming with activities mostly directed to Edna Hospital. Mr Fenwick has given extensive interviews together with the Director of Edna Foundation on donations that he had personally collected from hospitals in England.
Ms Edna Adan and Edna Foundation receiving a container of donations from Ian Fenwick
A total of one container that has been extensively photographed and documented was valued to contain around 200,000 British Pounds worth of donations by Mr Fenwick and its transportation costs were covered by the Somaliland community in England.
Anglo Somaliland Resources’ website has an impressive collection of photos featuring its charitable work but nothing related to the fishing contract it has signed with Somaliland.
In fact, one would immediately notice the gratuitous use of Ms Edna Adan’s photos as an endorsement of Anglo Somaliland Resources and or Anglo Somaliland Foundation.
Unwanted Publicity
Anglo Somaliland Resources’s contract with the Somaliland government has come under scrutiny and was criticized by the United Nations Security Council.
This report contains the most amount of detail that has come to the public regarding this contract.
The only page that is publicly available of the Somaliland Gov and ASR
To push back on the accusation of the report, for the first time, Mr Baldry and Mr Fenwick have given a lengthy interview to Somaliland TV to answer the allegations. But mostly characterizing the accusation as an anti-Somaliland effort.
Tony Baldry and Ian Fenwick with Former President Siilaanyo
Mr Baldry has stated that since Somaliland is unrecognized, it is unable to sell fishing licenses itself which is where his firm comes in. The reporter from Somaliland National TV, does not seem to be asking any questions related to the substance of the contract but just the allegations in the Security Council Report.
An excerpt from the UN Security Council report regarding the ASR contract with Somaliland.
The United Nations Security Council’s report states that Anglo Somaliland Resources gets 60% of every fishing contract it sells on behalf of Somaliland, where Somaliland gets 40%. Additionally, Somaliland has been paid 500 US Dollars on the signing on the contract and a 2000 annual fee.
“It is a classic case of bananas for your gold”
A commercial fishing is worth several hundred thousand dollars each but it is essential that fishing fleets are properly supervised to ensure only sustainable method of harvesting fish stocks are employed. Something Anglo Somaliland Resources promised to do in their contract but does not seem to have any sign of operation on the ground in Somaliland.
It is unclear how many licenses Anglo Somaliland Resources has sold on behalf of Somaliland over the three years the contract has been in effect.
President Muse Bihi
Kim and Ian Fenwick with President Elect Muse Bihi Abdi in November 2017
While the contract that grants Anglo Somaliland Resources the exclusive right to sell commercial fishing license at 60% commission, was signed under President Siilaanyo’s Administration, the contract seems to be in full effect under President Muse Bihi Abdi.
Mr Baldry and Fenwick has met with President Muse Bihi Abdi at least three times, once as a President Elect and twice as President.
Mr Fenwick and Vinay Ganga of Zhong Lun Law with President Muse Bihi Abdi
On one of the most recent meetings of Mr Fenwick with President Bihi was on May 18 celebration at the Presidential Palace. Mr Fenwick announced ASR’s partnership with Zhong Lun Law, a major Chinese law firm.
It is unclear why Mr Fenwick would meet the President of Somaliland with lawyers in tow. What is clear is that HE Muse Bihi Abdi is aware of this contract and Anglo Somaliland Resources.
Mr Fenwick, Baldry after meeting with the President together with teh Minister of Fisheries Hassan Gafadhi.
We have reached out to Somaliland officials from the Ministry of Fisheries to ask about the contract with ASR, how many contracts it has sold on behalf of Somaliland so far, what sort of “development and preservation” ASR is conducting and we have informed that they are unaware of the contract we are referring to and are unable to locate it.
“Somaliland leaders are either too incompetent to have signed this sort of contract or are CRIMINALLY complicit”
Somaliland, once again, seems to taken advantage of by sophisticated con men, who came through the classic paths of helping seek recognition and international aid and Development.
“Somaliland leaders are either too incompetent to have signed this sort of contract or are criminally complicit” is how a former high ranking official of the Ministry of Fishery described the contract. “They already had the contract written and the Minster simply signed it, we assume they had friends at higher places” he added.
A young lady who is involved with humanitarian work and is affiliated with NAGAAD network, under condition of anonymity told us “It is a classic case of bananas for your gold”
Reverting back to their old game of shell companies, Messrs Baldry and Fenwick have created yet another entity called BERBERA MARITIME RESOURCES LTD
Somaliland has been seeking recognition from the world community for 27 years, it has compelling case for recognition and consistently met every condition for statehood. In search of this elusive goal, it has put itself smack in the middle of the Gulf conflict, conceded 19% stake of its Berbera port to its Ethiopian neighbor. It has bent over backwards for the smallest glimmer of recognition only to be taken advantage time after time.
This is not another appeal for recognition from the west, Gulf states, Djibouti or Ethiopia, this is a radical bold approach that will bring a giant into the Horn of Africa, forever altering the landscape and will ultimately get Somaliland the right partner, a reliable partner. We are speaking of Russia and Vladimir Putin ofcourse.
Nothing makes the west sit up and take notice than a direct engagement with their strategic foes like China and Russia, especially Russia.
Learn From Djibouti
Djibouti has played this game very well to the point where it has become the smallest country with the largest concentration of foreign troops in the world. Bruno Maçães wrote a piece for Politico and described Djibouti as the most valuable military real estate in the world and opened it with “World War III will start here”.
“World War III will start here”
Back in February this year, Djibouti has unilaterally withdrawn from agreement with DP World to manage its Doraleh Container Terminal and immediately struck a new deal with a Chinese owned enterprise.
Gen Waldhauser testifying before US Congress
In a congressional testimony, US Marine General Thomas Waldhauser, the top U.S. military commander overseeing troops in Africa, said that if China placed restrictions on the port’s use, it could affect resupplying the U.S. base in Djibouti and the ability of Navy ships to refuel there. Separately, U.S. House Intelligence Committee Chairman Devin Nunes said his committee will investigate China’s efforts to gain military and economic power in Africa.
Besides the military basis, Djibouti has commissioned a $3.5 billion, Chinese-built free trade zone on Thursday deepening concerns from its traditional western allies.
Djibouti has publicly admitted DP World’s Berbera deal was its main reason for ending its longstanding relationship with the world’s largest port terminal operator. And soon after pivoted to Mogadishu.
Somaliland and Djibouti while both are vying for foreign investment in large scale infrastructure, Somaliland remains unrecognized. And it is this basic need that hampers its ability to function at the global stage.
External Pressures
Somaliland is facing the most severe external pressures it has ever seen. An intense asymmetrical war from Somalia on its border with Puntland Regional Administration, an attempt to cut off international aid to complaints to the UN Security Council about the UAE military base in Berbera.
Prime Minister Abiy with President Farmaajo in Mogadishu
Ethiopia which acquired a 19% stake in Berbera Port has taken a different direction where its new Prime Minister Dr Ahmed Abiye has completely ignored Somaliland and has publicly embraced Somalia instead, and in a joint communique issued with President Farmajo stated that Ethiopia will be investing in four Somali ports. Strategically something that makes sense to Ethiopia, why rent from Somaliland when I Ethiopia can acquire Somalia whole.
Djibouti has also shown a similar pivot to Mogadishu recently where it has even shipped armament to Somalia despite weapons embargo.
BREAKING: Houthi-bound illicit weapons seized by Djibouti has been sold to the Somali Govt. The Govt was required to notify U.N. Security Council about the weapons 5 days prior to importation, that didn’t happen, according to source familiar w UN sanctionshttps://t.co/cOoHYXIb7Z
The euphoria of the public in Somaliland has quickly wore off as the speculations of imminent recognition from the UAE and or Saudi Arabia has not materialized, and the public mood is slowly souring regarding the new Ethiopian Prime Minister.
Despite a fruitless search for recognition for Somaliland, there has been no fresh ideas or new efforts to explore new avenues for recognition. In fact Somaliland needs to take a hard look at both its foreign policy and its foreign services team. Both have been less than effective in recent years.
New and Higher Paths
People’s Republic of China
His Holiness the Dalai Lama (or Why China will not recognize Somaliland)
There was an incident back in Feb 2017 where Chinese broadcaster CGTN put up a map showing Somalia and Somaliland as separate countries, briefly however unintentionally recognizing Somaliland, they immediately issues a retraction and an apology.
While China has recently taken a lot of interest in Africa and would have been a good fit, unfortunately China has no tolerance for secession of any kind as it has its own territories that demand independence including the thorn on its side better known as Tibet. There are trade and other opportunities but seeking a direct engagement with China is out for the moment.
Russia
For starters, Somaliland has large intelligentsia who understand Russia better than they understand anywhere else, they most likely read Dostoevsky’s Crime and Punishment in Russian. These are either ex-military officers trained in the former Soviet Republic or have spent significant amount of time working there, these includes the current President His Excellency Muse Bihi Abdi, the Interior Minister Mohamed Kahin, the opposition leader Abdirahman Mohamed Abdullahi, his deputy Abdiqadir Jirde and many many more. All of these leaders are fluent in Russian.
Somaliland Foreign Minister Dr Saad Ali Shire meeting Russian diplomat Yury Kourchakov in 2017
We have spoken to a number of high regarded Somaliland politicians, including former State Minister for Health Amb Mahmoud Adam Jama “Galaal” ho is a very strong proponent of a strategy which involves The Russian Federation.
So why have we not engaged with Russia?
In this photo taken on Tuesday, Oct. 20, 2015, Russian President Vladimir Putin, right, shakes hand with Syrian President Bashar Assad in the Kremlin in Moscow, Russia. Assad was in Moscow, in his first known trip abroad since the war broke out in Syria in 2011, to meet his strongest ally Russian leader Vladimir Putin. The two leaders stressed that the military operations in Syria_ in which Moscow is the latest and most powerful addition_ must lead to a political process. (Alexei Druzhinin, RIA-Novosti, Kremlin Pool Photo via AP)
Because western countries, especially the EU block consider Putin and Russia a threat to their national security and perhaps we would invite the collective wrath of Angela Merkel and Theresa May and Hillary Clinton. Perhaps Somaliland will become a pariah state in the west.
This is nonsense, and geopolitics are not one dimensional or moral, they are shades of intersecting interests.
It is precisely this sort of thought process that has kept Somaliland under the spell of hope, waiting for the west and the Gulf states to recognize it for 27 years. It is time we stop worrying about what 10 Downing Street thinks about Somaliland and seek better and more equitable alliance than the United Arab Emirates.
Besides seeking recognition from Moscow, perhaps a more compelling reason is to inoculate Somaliland from the gathering storm and regional pressures from our immediate neighbors including Ethiopia, which will undoubtedly have an expeditious change of attitude towards Somaliland with Putin on our side.
Presidents Trump and Putin
The current climate of traditional US Russian rivalry has entered a new era with the election of Donald Trump. This means, support from Russia will not face much resistance from Washington at least in the next few years at least while Mr. Trump is in office.
What Does Putin Want?
Lets start with the obvious, real estate. There has been multiple reports of Russian acquisition of naval base in Somaliland, all unconfirmed of course despite the fact that dozens of news outlets reported this in April this year.
The Admiral Grigorovich frigate
The location of this purported base is the most western tip of Somaliland coast – Zeila. While most have not heard of this town, it is located at a strategic Suez trade route and would arguably give Russia its best naval base outside of Russia.
Let’s make Russia and President Putin an offer they cannot refuse, on condition of immediate recognition of Somaliland, lets give them a foothold in the Red Sea, let’s help Russia flex its muscle and invite them to build a naval and an air base in Zeila.
What Somaliland have been doing in terms of recognition, clearly has not worked. Its time we stop “begging the beggars” and take a step that will produce immediate results for our country and people. It is time to take our rightful place among the world community. Mr. President it is time to make that phone call to the Kremlin.
In a visit to the Somaliland armed forces stationed in Tukeraq, Professor Ahmed Ismail Samatar accompanied by high level delegation from Somaliland government thanked the troops for the valuable service to their country and conveyed deep gratitude from Somaliland diaspora.
Somaliland Speaker of the House and Military Commanders with Professor Samatar in Tukeraq
In his trademark eloquence, the Professor said “From what I seen around the world, I have spoken in 59 universities around the world, troops, weather police of military have two prime directives and the first one is defend their country and to protect peace. That is why you are all here, its that responsibility that brought you all here.”
“Peace through STRENGTH”
Professor Samatar thanked the troops from the people of Somaliland and continued “Peace that is not defended is vulnerable, so in that case peace through strength is our posture. May God be with you and seeing you brought joy and happiness to my heart”
Abdiwali Gaas, leader of Puntland regional administration.
Speaking about Puntland whose capital Garowe lies few Kilometers from where he was speaking “Our brothers in Puntland, i know many people from Puntland including Dr Abdiwali [Gaas], he has been behind me in university few classes but I know him very well, they are our people, they are Somalis, we share culture, language and religion but we are two separate nations much like the Arab countries, they are all Arabs and the Islamic faith and some are neighbors and they live side by side in peace. Our contest should be by waging war at each other but we should compete in economic development, building of higher education institutions and making our lands productive”
Dr Saad Ali Shire, Somaliland’s current Minister of Foreign Affairs.
Professor Samatar is back in Somaliland at a time where there is speculation of cabinet reshuffle, though he had played a huge role in the election of President Muse Bihi, he has been left out of his initial cabinet appointments. Sources tell Somaliland Chronicle that he might be appointed the next Minister of Foreign Affairs.
At 12 people were reported to have died in an attack on Somalia’s Interior Ministry today in Mogadishu. Ministry employees are among the casualties and the injured. Others sustained injuries while leaping from building windows and balconies.
The number of casualties could rise as new figures are still being reported from Mogadishu.
Destroyed vehicle at the scene of the attack
This latest brazen assault at the seat of Somalia’s power started when a suicide car bomber detonated at the gates of the Interior Ministry compound, which is less than 2 kilometers away from Villa Somalia and parliament headquarters. The Ministry of Interior is the home of Somalia’s entire security services including the National Intelligence and Security Agency.
A second blast occurred in Somalia’s capital Mogadishu on Saturday, opposite a police building, minutes after a suicide car bombing occurred near the presidential palace, a police official told Reuters.
“A second blast occurred outside Sayidka Hotel which is opposite the police building where the first blast took place,” Major Nur Ali, a police officer told Reuters. A Reuters witness heard the second blast and saw the huge clouds of smoke rising above the scene.
Al-Shabaab terrorist network has claimed responsibility for the attack on Ministry of interior adding they have killed over 20 ministry employees.
In a separate incident on Saturday, a roadside bomb killed a former district commissioner in the Lower Shabelle region and wounded three others, according to police. Al shabaab also claimed responsibility for that attack.
No official statement from Somalia’s Government or AMISOM about the attack at the heart of Mogadishu.
