MOGADISHU, Somalia — July 29, 2026 —The Federal Government of Somalia and the World Bank are moving forward with the implementation of a $500 million national infrastructure development program designed to modernize key transport networks, airports, and urban infrastructure across several regions of the country. The multi-year initiative, approved in April 2026, is expected to continue through 2031 and represents one of Somalia’s largest externally financed infrastructure investments in recent years.
According to project documents released by the Federal Government and the World Bank, the program will finance upgrades to strategic roads, airports, and urban infrastructure in Puntland, Jubaland, Galmudug, Hirshabelle, Southwest State, Banadir Region, and Somaliland, with funding being released in phases as implementation progresses.
Authorities have begun implementing the first phase of the program, valued at approximately $160 million, marking the start of construction and modernization activities across multiple regions.
The largest share of the initial financing, approximately $138.2 million, has been allocated to resilient infrastructure projects, including major improvements to Somalia’s aviation sector and transport network.
Officials said the first phase will support the modernization and rehabilitation of airports serving Mogadishu, Baidoa, Kismayo, Garowe, Dhuusamareeb, Jowhar, Doolow, and Galkayo. The investments are intended to improve operational safety, strengthen connectivity between regions, and support economic activity.
The project also includes construction of a 63-kilometer paved road connecting Hargeisa with the Ethiopian border through the Haleya–Ina Guha corridor, an investment viewed as strategically important for cross-border trade within the Horn of Africa.
Somaliland Allocation
According to project information, Somaliland will receive approximately $54 million under the wider infrastructure initiative.
The funding is expected to finance construction of the Hargeisa-Ethiopia border road together with improvements to airport infrastructure within Somaliland.
Officials say the transport corridor is intended to strengthen commercial links between Somaliland and neighboring Ethiopia by improving access for cargo movement and regional trade.
Institutional Development
The second component of the program allocates $5.8 million to institutional strengthening and workforce development.
According to project documents, the funding will be used to improve the technical capacity of government institutions responsible for transport infrastructure, project management, and maintenance.
Training programs and technical assistance are also expected to enhance long-term management of national infrastructure assets.
Air Navigation and Maintenance Systems
A third component of the project, valued at $8.5 million, focuses on long-term operation and maintenance of infrastructure.
The investment includes installation of modern air traffic management technologies, including ADS-B and VSAT systems, intended to improve aviation safety and operational efficiency across Somalia’s airports.
The component will also support development of sustainable financing mechanisms designed to ensure continued maintenance of newly constructed infrastructure after project completion.
Government and World Bank Partnership
The infrastructure initiative follows the signing of financing agreements between the World Bank and the Federal Government of Somalia in April 2026.
According to the agreement, implementation will continue in stages through 2031, with additional financing expected to be released as milestones are achieved.
Officials say the phased approach is intended to ensure projects are completed according to agreed technical standards while strengthening oversight and accountability.
Somalia has faced decades of infrastructure challenges resulting from prolonged conflict, limited public investment, and repeated climate-related disasters.
Many regional airports require modernization to meet growing passenger demand and improve operational safety, while several strategic road corridors remain either unpaved or in poor condition, increasing transportation costs and limiting trade.
In recent years, the Federal Government and international development partners have expanded investment in transport, energy, and urban infrastructure as part of broader efforts to stimulate economic recovery and improve public services.
The World Bank has remained one of Somalia’s principal development partners, supporting projects focused on transport, governance, urban resilience, digital development, and economic reforms.
The $500 million infrastructure program represents one of Somalia’s most significant public investment initiatives in transport and aviation in recent years. Improved roads and airports are expected to reduce travel times, facilitate domestic and regional trade, and strengthen access to markets and public services.
Modernization of airports and installation of advanced air navigation systems could improve aviation safety while increasing the capacity of regional airports to support commercial flights and humanitarian operations.
The road linking Hargeisa with the Ethiopian border is expected to enhance cross-border trade and regional economic integration by improving freight movement between Somaliland and neighboring Ethiopia.
