# Berbera Port $442m DP World Deal Reported in 2016

> On 21 July 2016, Somaliland Sun reported a $442 million DP World agreement for Berbera Port. The report does not establish subsequent developments.

- By: Editorial Team, Somali Construction Review (https://somaliconstructionreview.com/about)
- Published: 30 September 2026
- Format: News story (reported from one named public source)
- Publication: Somali Construction Review (https://somaliconstructionreview.com)
- Subject: Business and Costs
- Tags: construction-risk, procurement
- Web version: https://somaliconstructionreview.com/blog/berbera-port-442m-dp-world-deal-2016

## Key points

- Somaliland Sun reported on 21 July 2016 a $442 million DP World agreement for Berbera Port.
- The article claimed DP World would pay $5 million annually plus 10% of port revenue, but provided no evidence of implementation.
- Projected benefits, including Ethiopian trade diversion, were conditional on the port reaching full capacity.

On 21 July 2016, [Somaliland Sun](https://somalilandsun.com/somaliland-political-and-economic-impact-of-berbera-port-agreement-for-the-country-2/) reported that the Republic of Somaliland government had secured a $442 million investment agreement with Dubai Port World to operate Port of Berbera. The article by Fatheya Gelleh, headlined "Somaliland: Political and economic impact of Berbera Port agreement for the Country," stated the investment figure without source.

The report said a UK court ruling in March 2016 favouring DP World in a Djibouti port corruption case "facilitated alternative gateway into African markets by offering Somaliland a deal to modernize Berbera Port." It also said Somaliland had signed a bilateral deal with Ethiopia to boost trade through Berbera Port, with a joint committee overseeing operations as of March 2016.

Under the agreement, the article claimed, DP World was "expected to pay $5million a year plus 10% on port revenue to Somaliland government." The report projected that Ethiopia would begin using Berbera as an alternative to congested Djibouti Port once Berbera was operating at full capacity.

The 2016 article does not establish what has happened since. It provides no evidence that the $442 million investment was disbursed, that port modernization began, or that capacity, employment, or revenue changed. It does not confirm that DP World made the annual payments or that Ethiopian trade has shifted to Berbera. The economic projections remain conditional and unverified by the source.

> **Note:** The 2016-07-21 article by Fatheya Gelleh in Somaliland Sun is the sole source for all claims about the Berbera Port agreement and its anticipated impact.

## Questions

### What was the value of the Berbera Port agreement reported in 2016?

Somaliland Sun reported the agreement was worth $442 million in investment.

### What payments to Somaliland did the 2016 article claim DP World would make?

The article claimed DP World was expected to pay $5 million a year plus 10% of port revenue.

### Did the 2016 report say Ethiopia had already begun using Berbera Port?

No, the report said Ethiopia would use Berbera as an alternative route once the port was operating at full capacity.

## Sources

- [Somaliland: Political and economic impact of Berbera Port agreement for the Country](https://somalilandsun.com/somaliland-political-and-economic-impact-of-berbera-port-agreement-for-the-country-2/) — Somaliland Sun, 2016-07-21