Somali Business Community contests Cabinet appointment to Chamber leadership, cites legal process

The Cabinet recently named Yasin Mahmoud Ibar as interim chairman of the SCCI, replacing Mahmoud Abdi Gabeyre. However, the Chamber has rejected the appointment, maintaining that its leadership can only be chosen through a democratic election by the business community and regional chambers of commerce.

In a statement, the SCCI said the appointment contravenes the legal framework establishing the Chamber as an independent private-sector institution.

"The Somali Chamber of Commerce and Industry is an independent institution representing the business community, and its leadership must be elected by its members in accordance with the law, not appointed," the Chamber said.

The SCCI cited the law governing the Chamber, together with directives issued by the Office of the Prime Minister and the Ministry of Commerce in 2017, saying they provide for the election of the chairman and other office bearers by members of the business community.

According to the Chamber, Somalia's federal system also requires regional chambers of commerce to participate in electing the national leadership, ensuring representation from across the country. It argued that following the prescribed legal process is essential to preserving the Chamber's independence, credibility and legitimacy.

The Chamber warned that government appointments to its leadership could erode confidence among investors, development partners and international business organisations at a time when Somalia is gaining recognition as an emerging commercial hub in the Horn of Africa.

The country's economy has recorded growing regional integration, with trade between Somalia, Kenya and Ethiopia expanding steadily in recent years. Somali entrepreneurs continue to play a significant role in cross-border commerce, logistics, livestock exports, telecommunications, construction and financial services, reinforcing the country's importance in regional trade.

Analysts say independent business institutions are vital to attracting investment and sustaining Somalia's economic reforms. They note that adherence to established legal procedures strengthens investor confidence and demonstrates respect for the rule of law.

The SCCI has urged the Federal Government to respect the legal framework governing the Chamber and facilitate a transparent electoral process. It said it would not recognise an interim chairman or administration appointed outside the procedures set out in law, insisting that only leaders elected by the business community have the mandate to represent Somalia's private sector nationally and internationally.

Business leaders have credited Mohammed Gabeyre with helping reposition Somalia as an emerging business destination in the Horn of Africa. During his tenure, Gabeyre has represented Somalia at regional and international investment forums, championed trade and private-sector reforms, and promoted the country as an attractive destination for investment.