Multilateral Trade System (MTS)

Somalia is a member of the Common Market for Eastern and Southern Africa (COMESA), has approved ratification of the African Continental Free Trade Area (AfCFTA), and is in the advanced stage of joining the East African Community.  Additionally, Somalia has signed bilateral trade agreements with several countries.

Regional Trade Agreements

Common Market for Eastern and Southern Africa (COMESA)

Somalia is one of the founders of COMESA but rejoined the institution in 2018.  COMESA is a regional trade bloc aimed at establishing a free trade area, among other things.  COMESA’s vision is to “be a fully integrated, internationally competitive regional economic community with high standards of living for all its people ready to merge into an African Economic Community.”  The block covers 19 Eastern, southern, and northern countries with a population of close to 400 million people.

Africa Continental Free Trade Agreement (AfCFTA)

Somalia was among the first African countries to have executive (cabinet) approval to join the Africa Continental Free Trade Area (AfCFTA) treaty, but the treaty has not been ratified by parliament.  The AfCFTA aims to create a single market for free trade in goods and services, to achieve free movement of traders and investors across the continent, and to expand business within Africa through better integration.  

Bilateral Trade Relations

In the last ten years, Somalia signed several trade treaties with neighboring and middle eastern countries.  Somalia has bilateral trade agreements with Turkey, Kenya, Uganda, Ethiopia, Djibouti, UAE, Qatar, South Africa, Italy, Saudi Arabia, Pakistan, Sudan, and China.