Somalia is moving closer to producing oil for the first time in its history, marking a major economic turning point after decades of civil war and instability. President Hassan Sheikh Mohamud told Parliament on Monday that the Federal Government is determined to fully tap into the country’s confirmed vast petroleum reserves, describing the sector as a “light of economic transformation” for the nation.
The president announced that production at the country’s first oil well is expected to begin in the coming months, a milestone he described as “a critical step toward economic growth, job creation, and self-sufficiency.”
“We will benefit from our natural oil, which has been verified to be among the largest reserves found globally,” President Hassan Sheikh said in his address.
Türkiye’s Early Role in Supporting Somalia’s Energy Vision
Last year, Türkiye took a leading role in helping Somalia lay the groundwork for this moment. Ankara supported technical and strategic discussions to identify petroleum resources off the Somali coast — a move that gave renewed hope to a country that has struggled economically due to decades of conflict. The partnership between Mogadishu and Ankara aimed to help Somalia take its first steps toward energy independence.
Economic Potential and Domestic Revenue
President Hassan Sheikh emphasized that the government currently pays the salaries of nearly 100,000 people — including soldiers, MPs, teachers, and civil servants — through domestic tax revenues. He thanked Somali businesspeople for their tax compliance and underlined that sustainable national development depends on transparency and collective responsibility.
The combination of oil exploration and improved tax collection is seen as a strategic approach that could reshape Somalia’s future if managed transparently and inclusively.
A New Economic Era on the Horizon
The planned oil production is widely viewed as a symbol of hope for Somalia, which is seeking to rebuild its economy and institutions after years of conflict. If successful, it could generate significant revenues to fund public services, create jobs, and strengthen national stability.