WASHINGTON Rep. John Rose (R-Tenn.), a prominent member of the House Financial Services Committee who is currently campaigning for governor of Tennessee, is spearheading a legislative effort to have the United States formally recognize Somaliland as an independent and sovereign state.
This initiative represents a significant escalation in the decades-long quest for sovereignty by the Republic of Somaliland in the Horn of Africa.
Rose’s initiative follows a diplomatic shift in December, when Israel became the first nation to officially recognize the Republic of Somaliland, breaking a long-standing international consensus that favored the territorial integrity of Somalia despite Somaliland’s functional independence since 1991.
In an interview, Rose characterized the cause of Somaliland as “meritorious,” arguing that a formal bilateral relationship is not merely a moral imperative but a necessity for U.S. national security.
“We believe it is in the best interest of the United States to develop a stronger relationship and to provide a path forward for what I would ultimately hope might be full recognition of Somaliland as an independent nation,” Rose stated.
On March 19, Rose filed the Somaliland Economic Access and Opportunity Act. Joined by co-sponsors Reps. Andrew Ogles (R-Tenn.), Pat Harrigan (R-N.C.), and Addison McDowell (R-N.C.), the bill seeks to dismantle the financial barriers that have stifled Somaliland’s economy for over thirty years.
The legislation would require the Treasury Department to submit a comprehensive report to the House Financial Services Committee and the Senate Banking Committee. This report would outline the specific challenges Somaliland faces in accessing the global financial system, challenges largely stemming from its lack of international recognition, which leaves its banks in a regulatory gray zone.
Central to this effort is the SWIFT (Society for Worldwide Interbank Financial Telecommunication) network. Founded in 1973, SWIFT connects more than 11,000 financial institutions globally. Without access, Somaliland remains effectively isolated from rapid, secure international fund transfers.
“What is the landscape? We want them to tell us that,” Rose explained. “How does that lack of recognition affect its financial access? What is Somaliland’s current compliance with international banking norms, such as anti-money laundering and counter-terrorism financing standards? What steps would it take to incorporate Somaliland into the SWIFT system, which would really improve their capabilities?”
The strategic underpinnings of the bill are rooted in the increasingly volatile geopolitics of the Red Sea. Rose described the region as “one of the most dangerous areas” in the world, positioned along vital sea lanes that sustain global commerce.
Rose framed the partnership with Somaliland as a necessary “opportunity to respond to what Beijing is doing in the Horn of Africa.”
China has aggressively expanded its footprint in the region, establishing its only overseas military base in neighboring Djibouti in 2017. Through its Belt and Road Initiative, China has also invested heavily in Djibouti’s infrastructure, including the Doraleh Multi-Purpose Port. Currently, China acts as Djibouti’s primary banker, holding 70 percent of the country’s $1.4 billion external debt.
In December, Beijing voiced its opposition to Israel’s recognition of Somaliland, asserting that no country should “support internal separatist forces.”
In contrast, Somaliland offers a stable, democratic alternative. With its own passports, currency, and military, the territory has maintained relative peace while the rest of Somalia has struggled with the insurgency of Al-Shabaab. Somaliland officials have expressed a willingness to offer the U.S. a strategic military base and access to critical minerals in exchange for formal recognition.
The urgency of Rose’s proposal is underscored by the current maritime crisis. Iranian-backed Houthi rebels in Yemen recently joined the regional conflict, launching missile attacks and threatening the Bab el-Mandeb Strait, a 70-mile-long chokepoint that handles 12 percent of the world’s seaborne oil trade.
“So much of the world’s commerce passes through the Gulf of Aden and you want that to be peaceful,” Rose said. “When you consider the geopolitics as it relates to China and nearby Yemen, then you know that it is in the interest of the United States to develop peaceful relationships with countries that are demonstrating the right path forward.”
Nayeem Noor, vice president for business development at GMS, noted that any threat to the Bab el-Mandeb Strait affects the entire Asia-Europe route, raising insurance premiums and impacting vessel availability across all sectors of shipping.
Critics of Somaliland recognition often cite the risk of encouraging separatist movements across Africa. However, Rose urged a more nuanced reading of the region’s history, pointing out that Somaliland was briefly an independent state in 1960 before a failed unification with Italian Somalia.
“You have to understand the deep history,” Rose said. “Italian Somalia took over and reneged essentially on the promise of a peaceful Somalia. For 35 years, Somaliland has been trying to assert its independence… I think this is a lot less controversial once you realize that.”
Rose also drew a parallel to the Abraham Accords, suggesting that Somaliland recognition fits the mold of modern diplomacy where countries choose to embrace peace and economic cooperation.
“I think this does fit that mold,” Rose said. “It is another example of how countries that want to embrace peace and cultivate meaningful relationships, particularly economic ones, can move forward. I see this as a piece that fits into that larger puzzle.”
For Rose, the issue also carries a personal resonance. During his time at Purdue University in the late 1980s, he befriended students from across East Africa.
“I had a number of fellow students that I got to know and worked with extensively from that region,” Rose recalled. “I came to understand some of the challenges they face. I think there is a real opportunity to create a success story there.”
As the bill moves toward committee review, Rose expressed optimism for bipartisan support in the House.
“I don’t think there’s any real political angle here that ought to cause either side to wince,” he said. “I think it makes good sense for the United States, and I think it should make good sense on a bipartisan basis without compromising American interests.”