Badmaal Project Gaps

Project Gaps

Somalia has embarked on a major investment in advancing sustainable fisheries management through the Badmaal Project, a six-year, US$55 million initiative designed to strengthen fisheries governance, improve coastal livelihoods, and develop fisheries infrastructure. A key outcome of the project is to increase private sector participation and investment in fisheries and blue economy industries.

While the project correctly recognizes the importance of private sector engagement, the mechanism for attracting and mobilizing private investment remains unclear. Current project activities place significant emphasis on governance capacity building and engagement of small-scale fishers, community groups, and fisheries associations. These stakeholders play a critical role in policy and regulatory development, fisheries production and community development; however, they generally lack the financial resources, technical expertise, and investment capacity required to develop and operate major infrastructure such as fishery ports, cold storage facilities, processing plants, and logistics systems.

The challenge is not whether small-scale operators should participate—they should. Rather, the question is how to complement community participation with private sector investment capable of financing and operating commercially viable infrastructure and value-added industries. Without a clear framework for engaging investors, financial institutions, seafood companies, logistics operators, and infrastructure developers, there is a risk that new infrastructure may be underutilized or struggle to achieve long-term financial sustainability.

Private Sector Participation Framework

To maximize the project's long-term impact, greater attention should be given to developing a structured private sector engagement strategy that moves beyond stakeholder consultation and creates clear pathways for commercial investment. While public investment can help establish the foundations for sector growth, the scale of infrastructure, technology, and market development required to transform Somalia's fisheries sector will ultimately depend on attracting private capital, expertise, and innovation.

A comprehensive strategy should begin with the identification and preparation of bankable investment opportunities across fisheries value chains, including fishery ports, landing sites, cold storage facilities, seafood processing plants, logistics hubs, and export-oriented businesses. These opportunities should be supported by feasibility studies, business cases, market assessments, and financial models that provide investors with the information needed to make informed investment decisions.

The strategy should also establish clear Public-Private Partnership (PPP) models that define the respective roles of government, communities, and private investors. For example, government and development partners may finance the construction of core infrastructure, while private companies are responsible for operating, maintaining, and expanding facilities through lease agreements, concessions, or build-operate-transfer arrangements. Such models can improve efficiency, ensure long-term sustainability, and reduce the financial burden on government.

Creating an attractive investment environment will also require measures to reduce investor risks and improve investor confidence. This may include transparent regulatory frameworks, long-term concession agreements, investment protection measures, streamlined licensing procedures, and access to blended finance or risk-sharing mechanisms. Given Somalia's evolving investment environment, reducing perceived risks will be essential to attracting both domestic and international investors.

Equally important is the establishment of a dedicated Blue Economy Investment Platform that actively promotes opportunities, facilitates investor engagement, coordinates approvals, and connects investors with government agencies, local businesses, and coastal communities. Such a platform could serve as a central mechanism for investment promotion and project development, helping to transform project concepts into commercially viable ventures.

Finally, private sector participation should be designed to complement—not replace—community development objectives. Small-scale fishers, cooperatives, and fisheries associations play an important role in production and local economic development, but they often lack the capital required for major infrastructure investments. A more effective approach is to create partnerships where communities participate as suppliers, service providers, employees, and local business partners, while larger private investors provide the capital, management expertise, technology, and market access needed to scale op

About the Author

Mr. Siad-Omar is the Founder and Managing Director of Blue Ocean Group, a company dedicated to advancing Somalia's blue economy through sustainable business development, investment promotion, and marine enterprise growth. He brings more than 20 years of professional experience as a development practitioner specializing in natural resource management, infrastructure development, economic development, and community resilience.

Throughout his career, Mr. Siad-Omar has worked on a wide range of initiatives involving fisheries, water resources, land management, environmental sustainability, rural development, and infrastructure planning. He is passionate about unlocking the economic potential of Somalia's marine and coastal resources while creating opportunities for investment, job creation, and sustainable livelihoods.

Drawing on extensive experience working with governments, communities, private sector organizations, and development partners, Mr. Siad-Omar advocates for practical, investment-driven approaches that connect economic growth with social impact. Through Blue Ocean Group, he is committed to promoting innovative solutions that transform Somalia's blue economy into a driver of prosperity, resilience, and long-term national development.

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