The population of Somaliland is estimated at 3.5 Million with GDP income per capita of around $429.
This has increased from an estimated income of $290 in 2003 and that is mainly due to peace and stability which enabled faster recovery and economic growth. People in the age group of 15 to 64 who are working or are available for work are considered to be the economically active population. According to World Bank figures (2011), this group constitutes 56.4% of the total population. This is about 1.6 million people out of the estimated 3.5 million in all of Somaliland. The weighted national employment rate is estimated at 52.6%. Total employment (comprising self-employment and salaried employment) among the economically active population is estimated at 38.5% in urban areas and 59.3% in rural areas. Therefore, unemployment rates are 61.5% in urban areas and 40.7% in rural areas. The market size is relatively small but Somaliland has a steadily increasing middle-class whose income is growing and their desire to buy consumer goods is equally growing.
Reliance on remittance money and livestock exports is matched by reliance on imported food and consumer goods which means that Somaliland is import-dependent as a result of both preference for imported food and marginal grain production and a limited domestic processing and manufacturing base. That is why the investment guide has conducted research in major sectors of the economy with a view to find out more information about the investment needs of the sectors and to provide investors with the practical and up-to-date information. It is expected that the more investors are given the right information about the challenges and opportunities in these sectors the more they could make an informed decision about investing in Somaliland.