By Abukar Osman - Reporter
Somalia (Dawan Africa) 2 May 2026 — Somalia is not yet prepared to manage potential oil revenues, Somali politician Abdirahman Aynte said, warning that weak institutions and governance challenges could undermine the benefits of resource wealth.
Speaking on Dawan Media’s Miizaan Podcast aired on Friday, Aynte, chairman of the Xaqsoor–Haybad Qaran alliance, said countries with internal divisions and low public trust often struggle to manage natural resources effectively.
“In contexts like ours, where institutions and legal frameworks are weak, natural resources can become a burden rather than a benefit,” he said, describing the remarks as his personal view.
Aynte said Somalia lacks the systems and governance structures needed to handle large-scale revenues, adding that existing political conditions could complicate resource management.
“If oil were discovered today under the current conditions, there is a risk it could worsen the situation rather than improve it,” he said.
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He pointed to the country’s reliance on external funding and limited domestic revenue as signs of broader institutional challenges.
“We are managing a budget where a large share comes from external support, and domestic revenues remain limited. Handling billions of dollars in oil income would require stronger accountability and transparency systems,” he said.
Aynte said Somalia should prioritise building institutions, strengthening legal frameworks and improving governance before expanding oil production.
Somalia is at an early stage of developing its oil and gas sector, with offshore exploration under way, while debate continues over how future revenues should be managed and shared.
Analysts have long warned that without reforms, resource wealth in fragile states can deepen inequality and instability rather than support broad-based development.