How Digital Banking is Transforming Somalia’s Economy

MOGADISHU, Somalia – The digital tidal wave sweeping through banking is poised to reshape Somalia’s economic landscape, which is currently on an upswing thanks to improved security in various locales.

Somalia’s National Digital ID initiative aims to revolutionize banking services, spurred on by a collaboration between the National Identification and Registration Authority (NIRA) and the Somali Bankers Association (SBA).

Abdiwali Tima’adde, the top honcho at NIRA, believes this alliance will not only bring local businesses up to snuff with international practices but also curtail the nefarious financial risks tied to old-school analog banking systems, like fraud and laundering.

Tima’adde stated, “The agenda here dives into the impacts of this partnership, strategizing to make registration and issuing National IDs a breeze for the public, and how key players will push the envelope on economic development by ensuring modern, rock-solid banking services that tick all the global boxes.”

He emphasized that by syncing national ID cards with bank systems, this teamwork promises heightened financial security and economic vitality for the Horn of Africa.

This feat, he acknowledged, wouldn’t have hit the bullseye without backing from the World Bank, whose significant support made the Somali National ID program roll smoothly.

Deputy Prime Minister Salah Jama Ahmed highlighted ongoing efforts to consolidate the national ID register, saying that once completed, it would align Somalia’s economy seamlessly with the global financial framework.

Meanwhile, with the nation battling Al-Shabaab, this integration might cut off financial lifelines to terror networks. Just a couple of years back, Somalia froze over 250 bank accounts tied to Al-Shabaab suspects and shut down more than 70 mobile money outfits.

AXADLETM