Joseph Inokotong, Abuja

The World Bank has re-established relations with Somalia after a 30-year break, paving the way for the country to have access to development aid.

This will open up opportunities for Somalia to access concessional financing from the World Bank’s International Development Association (IDA) and to work closely with all arms of the World Bank Group to attract investment that will support the country’s stability and development.

The World Bank Managing Director of Operations, Axel Trotsenburg, said this in a statement issued weekend in Mogadishu. Trotsenburg said the decision would facilitate full resumption of operations so that the lender can provide the strongest possible support to Somalia’s efforts toward economic and social recovery.

“This milestone is the result of several years of close cooperation with the Federal Government.

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“We now look forward to taking our relationship to the next level with deeper and broader financial and technical support from across the Bank Group,” Trotsenburg said.

The Bank said its decision to reengage is based on the Somalia government’s strong record of fiscal, political, social and economic reforms in recent years.

It said Somalia’s fiscal management agenda now covers revenue mobilisation, budgeting, procurement, auditing, and cash management, as well as accountability over Public Financial Management.

“Somalia has made important reforms and has demonstrated strong commitment to staying the course,” World Bank Vice President for Africa, Hafez Ghanem, said. “These reforms lay the foundation for sustained poverty reduction and better lives for the Somali people, and open the door to private sector investment that can create jobs and drive the economy forward,” Ghanem added.