Somaliland’s constitution stipulates a multi-party, pluralistic democratic system, with a presidential executive branch, a bicameral parliament and an independent judiciary. Since the approval of the constitution, Somaliland has held four successive peaceful, fair and free elections: one municipal, one parliamentary and three presidential elections. The absence of recognition creates a host of challenges which Somaliland faces, including:
- Lack of access to direct bilateral and multilateral aid
- Lack of access to international credit facilities
- Limited access to commercial services of international financial institutions
- Limitations on attracting direct international foreign investment
- In ability to participate in regional trade blocks and customs unions
- Travel restrictions on national passport
