Hargeisa, Somaliland – Somaliland’s Minister of Planning and National Development, Kaltuun Sh. Hassan Cabdi, has presented a comprehensive report analyzing inflation trends during the first eight months of 2025. The report, grounded in data from the Consumer Price Index (CPI), offers a detailed look at the economic pressures facing households across the country.
According to the findings, fluctuations in food prices remain the most significant driver of inflation, exacerbated by dependence on imports and disruptions in regional trade. Rising costs in energy and fuel were also highlighted, with global market volatility contributing to higher transport and service charges. The report noted that these factors collectively pushed up overall price levels, straining the purchasing power of ordinary citizens.
In her presentation, Kaltuun emphasized that while inflation has been moderate compared to regional averages, proactive steps are essential to prevent further escalation. She outlined three key recommendations: boosting domestic agricultural and industrial production to reduce reliance on imports, introducing structural reforms in the energy sector with a strong focus on renewable sources, and preserving monetary stability to protect the value of the Somaliland Shilling.
“Safeguarding economic stability requires balancing short-term responses with long-term resilience,” the minister stated, stressing that coordinated policies across government institutions will be critical to sustaining growth and protecting vulnerable households.
The report is expected to serve as a blueprint for policymakers as Somaliland navigates both internal challenges and external economic shocks in the months ahead.