Dubai-owned ports and logistics company DP World said on Tuesday its operations at Berbera port in Somalia’s breakaway region of Somaliland were continuing under existing agreements. This comes amid regional tensions following an escalation in nearby Yemen.
Somalia's government said on Monday it was annulling all agreements with the UAE, including port deals and defence and security cooperation. It accused the Gulf country of undermining its national sovereignty.
The move followed an investigation that Mogadishu launched last week after a Saudi-led coalition in Yemen said the UAE had spirited a separatist leader out of Yemen via Somalia. Tensions between global oil heavyweights Saudi Arabia and the UAE have been running high in the region.
A crisis erupted last month in Yemen when the separatists swept through the south of the country, including the port city of Aden. They advanced within reach of the border with Saudi Arabia, prompting Riyadh to declare the move a threat to its national security.
"DP World remains focused on the safe, efficient operation of the port and on delivering trade facilitation and economic benefits for Somaliland and the wider Horn of Africa region," it said in a statement to Reuters.
It added that questions on, "political decisions, intergovernmental discussions, or diplomatic positions should be directed to the relevant authorities." The UAE has cultivated deep economic and security ties with Somaliland.
The centrepiece of this strategy is a $442 million investment by Dubai-based logistics company DP World to develop and operate the Port of Berbera in the breakaway region.
Last month, Israel became the first country to officially recognise Somaliland's independence. This was a diplomatic breakthrough that was facilitated by Abu Dhabi, according to an Axios report that cited Israeli officials.
(Reporting by Federico Maccioni; Editing by Louise Heavens)
