Somaliland Currency

Somaliland Currency

The Somaliland shilling is the official currency of the country. Approximately 8500 Somaliland shillings are equivalent to one dollar USD. There is a central bank in Somaliland that is known as Baanka Dhexe ee Somaliland, meaning the Central Bank of Somaliland. The Somaliland Constitution established the bank in 1994 under Article 13. 

It was in 1994 that Baanka Somaliland introduced its first series of banknotes into the market. It is important to note that these notes replaced the Somali shillings, which had ceased to be legal tender in January 1995. Serial numbers are assigned to each note and a two-letter prefix is given to each note. 

The reverse side depicted two nomads traversing a desert with the twin hills of Naasa Hablood and an image of the Supreme Court building on the obverse. There was an increase in the size of the 50 shilling note in 1996. A commemorative note was issued the same year. In commemoration of Somaliland’s 5th anniversary of independence, these notes were issued. 

The 5th Anniversary of Independence was overprinted in gold ink in both English and Somali on one series, while the same was overprinted in silver ink on the other. There were some modifications made to the 500 shilling note in 2002, which included a windowed security thread as well as a different color scheme. There were introduced 1,000 and 5,000 shilling notes in 2011.

Mobile Money in Somaliland

Somaliland’s first mobile money platform, Zaad, was launched in 2009 and has quickly become one of the biggest players in a financial landscape previously dominated by remittance companies. Zaad Mobile Money service is reshaping livelihoods and business practices, as well as implications of its popularity for the relationship between state and non-state actors, and the effect this might have on Somaliland’s political and financial institutions. 

In Somaliland’s state-building process, the narrative of the role of mobile systems in supporting financial inclusion risks obscuring complicated political and economic dynamics. Zaad’s popularity is partly due to its specific context as well as the business model and outreach strategy of its parent company Telesom. Zaad fills a widespread demand to help people cope with a volatile economic environment in the absence of international banks.

Somali Remittances or Money Transfer Services Online

Somali immigrants working in the United States, Europe, and the Gulf states send roughly $1 billion in remittances each year to Somalia, according to the World Bank. As much as half of this amount reaches Somaliland alone through Dahabshiil, analysts say.

Improvements in service delivery have been attributed to a number of factors since the late 1990s, including limited government provision, contributions from non-governmental organizations, religious groups, and the international community (especially the Diaspora), as well as the development of the private sector. The local and municipal governments have developed public services, such as water in Hargeisa and education, electricity, and security in Berbera.

Most people consider agribusiness to be one of the most successful industries, especially when it comes to cereals and horticulture. The livestock industry plays an important role in the economy. It is estimated that there are 24 million livestock in the country. Saudi Arabia, which is the main market for livestock exports, imported 3.5 million heads of livestock in 1998.

It is important to note that, despite the fact that there are extensive mineral deposits, most of the current mining operations are confined to simple quarrying. The current mining industry consists solely of quarrying. The following minerals have been confirmed as deposits: Oil, Gas, Gypsum, Lime, Mica, Quartz, Lignite Coal, Lead, Gold, and Sulfur.