Djibouti is a key transit point for the region and an international transshipment and refueling center.  With an arid climate, few natural resources, and low industrial development, the nation is dependent on foreign assistance to finance development projects.

Djibouti is making a bid to become the Horn of Africa's main regional shipping terminal through expansion of its port.  President Ismael Omar Guellah laid a foundation stone in November 2006 for a second phase of the $400-million facility upgrade to Doraleh port.  The expansion, expected to be completed and operational by late 2008, includes the construction of a 2-kilometer container jetty for deep water anchorage.  The port's current capacity of 10 million tons of general cargo and 400,000 container units per year will be boosted by an additional 1.5 million off-loads a year.

Somalia's ports have been negatively affected by recent fighting there, leaving Djibouti as the only major port with direct access to Addis Ababa and other Ethiopian cities.

Links

Djibouti Chamber of Commerce and Industry
Country Commercial Guide (pdf)
CIA Factbook
World Bank
Embassy in the U.S.
U.S. Embassy in Djibouti