EXPLAINER-How Ethiopia's quarrel with Somalia could destabilise Horn of Africa

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Jun 17, 2007
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Ethiopia's deal to lease a port in Somalia's breakaway region of Somaliland has infuriated the government in Mogadishu and prompted concern it will further destabilise the Horn of Africa region. Under a memorandum of understanding signed on Jan. 1, landlocked Ethiopia would lease 20 km (12 miles) around Somaliland's port of Berbera for 50 years, in exchange for stakes in Ethiopian state-run companies and possible recognition as an independent nation. Somalia has responded by calling the deal an act of agression and says it will block it.
 
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