Hargeisa, Somalia – The Central Bank of Somaliland has officially announced the commencement of a cash injection operation into the foreign exchange market to stabilize and strengthen the Somaliland Shilling amid rising inflationary pressures. The initiative began on April 6, 2025, and was detailed in a press release issued by the Bank on April 22.
According to the statement, the move is part of a broader plan aimed at restoring public confidence in the local currency and maintaining economic stability. “This operation is part of a broader plan to enhance the confidence in the Somaliland Shilling,” the Bank declared.
The Central Bank revealed that it injected $4.6 million into the market, which resulted in the collection of SLSH 49.4 billion from circulation. Following this intervention, the Somaliland Shilling appreciated by 1.7%, with the exchange rate dropping from 10,870 SLSH/USD to 10,690 SLSH/USD.
The Bank emphasized that stabilizing the exchange rate is crucial for supporting trade and investment and contributes to broader development strategies. It also noted the importance of reducing the impact of foreign currencies on the local economy.
In conclusion, the Bank urged the public and the business community to back the stabilization efforts to ensure long-term economic growth and financial resilience in Somaliland.
