Somalia's economy is likely to expand by 2-2.5 percent this year, down from an estimated 3.4 percent last year, as drought cuts output in the important agriculture sector, the IMF's country representative said on Monday. Ravaged by decades of civil conflict, the Horn of Africa nation has started to attract investment from Somalis living abroad, encouraged by the modest progress made by regional troops trying to restore peace.
Samba Thiam, whose office is based in neighbouring Kenya, told Reuters drought in the region would drag down overall growth but its impact was partly offset by booming construction activity, and the telecoms and service sectors.