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Djibouti

Yearbook 2018

Djibouti. Tensions in the Horn of Africa eased during the year, especially since Eritrea made peace with Ethiopia and thawed relations with her neighbor Djibouti.

2018 Djibouti

However, the establishment of the Chinese military base in Djibouti 2017 led to increased concern. In May, for example, Chinese nationals, according to US Pentagon headquarters, fired military lasers against American pilots on numerous occasions. According to Countryaah.com, the US, Japan and France also have military bases in the country.

Due to the strained security situation in Yemen, the International Red Cross was forced in June to relocate 71 foreign workers to Djibouti.

At the African Union (AU) Summit in Rwanda in March, Djibouti, along with 44 other African states, signed a free trade agreement, the African Continental Free Trade Area (AfCFTA). For Djibouti, the free trade zone means that in the future the country's three major ports can be linked to the railroad between Djibouti and Ethiopia's capital Addis Ababa, thus making the country a hub for international trade. And it is needed, as the International Monetary Fund (IMF) has expressed fears that the country's national debt will rise rapidly, from 50 percent of GDP in 2014 to 85 percent of GDP in 2017.

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