First Gathering of IGAD Steering Committee for the Horn of Africa Digital Markets Unification Initiative
The Horn of Africa Digital Market Integration (HDMI) Project, a central initiative aimed at promoting digital trade, e-commerce, and fostering regional economic integration, has begun its journey. Funded by the African Development Bank (AfDB) and executed by the Intergovernmental Authority on Development (IGAD) through its Economic Cooperation and Regional Integration Division (ECRID), the project targets Djibouti, Ethiopia, Somalia, and South Sudan.
The inaugural Project Steering Committee (PSC) meeting was held from 28 to 29 July 2025, in Arta, Republic of Djibouti. The meeting brought together representatives from IGAD member states, the AfDB, and IGAD's pool of experts to review implementation progress and set strategic directions for digital market integration in the region.
The HDMI Project is a flagship initiative aimed at accelerating regional economic integration in the Horn of Africa. It is designed to gradually implement the African Continental Free Trade Area (AfCFTA) Agreement. The project's focus on digital technology, infrastructure, regulatory harmonization, cybersecurity, and digital entrepreneurship is expected to reduce administrative and commercial transaction costs.
Phase I of the HDMI project aims to support the development of a single digital market in the Horn of Africa region. Key objectives include accelerating regional digital transformation, enhancing integration, stimulating economic growth, and fostering sustainable development across the IGAD region. Strategic recommendations adopted during the PSC meeting emphasize accelerating regional e-commerce and strengthening digital trust, which are critical enablers for successful digital market integration.
During the meeting, participants shared national experiences on digital transformation, and Mr. Ismail Guyo, Head of Trade, Industry and Tourism at IGAD, emphasized the strategic importance of the HDMI Project. The PSC, chaired by the Director of ECRID, has a vital oversight and policy guidance role in the implementation of the HDMI project.
The meeting discussed the HDMI project's 2025 Annual Work Plan, Procurement Plan, and budget. The PSC membership includes representatives from participating countries (Djibouti, Ethiopia, Somalia, South Sudan), non-participating Member States (Kenya, Uganda), IGAD Secretariat divisions, and the IGAD Business Forum. The Terms of Reference of the Steering Committee were also reviewed during the meeting.
The HDMI Project is not just about digital technology; it's about improving service delivery and supporting inclusive growth, particularly for women and youth, across the Horn of Africa. By promoting digital trade, e-commerce, the data economy, and digital trust, the project aims to create opportunities for all, fostering a more connected and prosperous region.
In summary, Phase I of the HDMI project is a foundational step toward unifying the digital markets of targeted Horn of Africa countries through coordinated efforts in digital trade facilitation, building digital infrastructure, and policy harmonization. With oversight and strategic guidance from IGAD and partners, the project is set to make a significant contribution to the region's digital transformation and economic growth.
The HDMI Project, in its focus on digital technology, infrastructure, regulatory harmonization, cybersecurity, and digital entrepreneurship, aims to reduce administrative and commercial transaction costs.
The strategic recommendations adopted during the PSC meeting highlight the importance of accelerating regional e-commerce and strengthening digital trust as critical enablers for successful digital market integration.
