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DP World stirs diplomatic row, dismisses Somalia over Berbera Port pact

Storyline:Business, National News

Bin Sulayem went further to state Somaliland was an independent country

File Photo: DP World Group Chairman and CEO Sultan-Ahmed-Bin-Sulayem

By T.Roble

In what could spark a full diplomatic fall-out between Somalia and the United Arab Emirates, the Chief Executive Officer of DP World which is at the centre of the controversial Berbera Port deal has dismissed as ‘mere statements’ Somali government’s rejection of the recently unveiled Berbera Port shareholding pact.

Sultan Ahmed Bin Sulayem who also doubles up as Group Chairman of the state owned DP World said in a TV interview in Dubai Sunday the declaration by the Federal Government as null and void the shareholding agreement with Ethiopia and Somaliland would not affect the implementation of the concession.

Bin Sulayem went further to state Somaliland was an independent country.

“The decision of the Federal Government of Somalia does not concern DP World,” said Sulayem. “Somaliland is an independent country for more than 28 years and makes its own decision and its parliament approved this project.”

NULL AND VOID

Prime Minister Hassan Khaire and earlier Transport Minister both declared the agreement a nullity. “I  want to make one thing clear to Somali citizens that the Federal Government didn’t have any knowledge of the Berbera port,” said Khaire .As you have seen in the previous press statement  the Minister of Port has released under the permission of the Prime Minister, the position of the Somali government is clear in that statement.”

The ministry of Transport had Friday issued a statement rubbishing the shareholding agreement as it termed it devoid of any legal basis.

But the DP World CEO said the implementation of the 30 year concession will go on as planned noting, ‘The Federal Government of Somalia cannot change the pact. That reaction is just a statement,” Bin Sulayem added.

DIPLOMATIC ROW

Although Bin Sulayem’s statement especially on the sovereignty question of Somaliland may not necessarily represent the official position of the gulf nation, the fact that DP World is owned by the Emirati government raises further questions as to the relationship between Somalia and UAE.

In a quick rejoinder, former interior minister and current MP Abdirahman Odowaa lashed out at Bin Sulayem noting the sovereignty and territorial integrity of Somalia was not subject to question. “The sovereignty and the independent of Somalia is sacred and it is unacceptable for anyone to interfere with our independence,” the lawmaker said.

Odowaa also questioned the rationale of the agreement noting Somaliland was getting a raw deal with only 30% of the shareholding.

The three partners in the Berbera Port agreement-DP World, Somaliland and the new entrant Ethiopia unveiled a sharing holding agreement last Thursday in which Ethiopia will have a 19% stake while Somaliland will maintain 30% as DP World becomes the majority shareholder with 65%. According to the concession agreement approved by Somaliland parliament late 2016, the 30 year concession is billed at $442 million.

DP World’s response adds to Somaliland’s Saturday’s rejoinder calling on the Federal Government to keep off the deal. Somaliland opposition leader Feisal Warabe also fired a similar shot noting Mogadishu was not party to it.

Goobjoog News sought DP World’s position on the matter but is yet to receive any correspondence.