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Updated June 3, 2021
Djibouti
The small, arid East African country of Djibouti is
Figure 1. Djibouti
strategically located along one of the world’s busiest
shipping routes on the Bab el Mandeb Strait, which serves
as the gateway from the Red Sea to the Gulf of Aden and
the Indian Ocean. Djibouti has become a hub for foreign
militaries. It is home to U.S. Africa Command’s Combined
Joint Task Force-Horn of Africa (CJTF-HOA), based at
Camp Lemonnier, the only enduring U.S. military
installation in Africa. A former French colony, Djibouti
also hosts a sizable French military presence and provides
facilities for multinational antipiracy operations off
Somalia’s coast. In 2015, the North Atlantic Treaty
Organization (NATO) opened a liaison office in Djibouti to
enhance regional antipiracy efforts. Japan established its
first post-World War II overseas military base there in
2011. China opened its first military base abroad there in
2017. Italy also maintains military facilities in the country.
Source: CRS, using ESRI and U.S. State Department data.
With almost no arable land, few natural resources, and little
Political Situation
industry, Djibouti’s economy depends heavily on its
President Ismaël Omar Guelleh has led Djibouti since 1999,
services sector and trade through its busy international port
when he was elected after the retirement of the country’s
complex. Rents and related revenue from foreign militaries
first president, Hassan Gouled Aptidon (Guelleh’s uncle).
are an important source of revenue (reportedly over $125
Critics argue that Guelleh’s government is authoritarian and
million annually). The country is pursuing an ambitious
corrupt. His political opponents contend that opening the
agenda to become a commercial trade hub for the broader
country to foreign bases has shielded the president from
region. Neighboring Ethiopia, a landlocked country of over
greater Western criticism of abuses, allowing Guelleh to
100 million people, relies on Djibouti for the transit of 90%
tighten his hold on power, despite public discontent.
of its formal trade, recently facilitated by a new Chinese-
built rail line between the two countries.
In 2010, near the end of Guelleh’s second term in office,
the parliament amended the constitution to abolish term
China’s growing engagement with Djibouti is multifaceted,
limits. He has since won reelection three more times, in
ranging from major investments in infrastructure to China’s
2011, 2016 and 2021 (despite having vowed that his 2011
establishment of a geostrategic naval base there. China,
reelection would be his “third and final time”); he carried
which holds a majority of Djibouti’s external sovereign
the 2021 election with nearly 97% of the vote. As in
debt, considers the country as part of its Belt and Road
previous elections, opposition parties, most of which
Initiative, which aims to connect countries to Chinese
boycotted the elections, asserted that the results were
global trade routes. (For more detail, see CRS In Focus
rigged. Age limits in the current constitution would make
IF11304, China’s Engagement in Djibouti.)
Guelleh ineligible to run for reelection again.
Humanitarian and Development Situation
Guelleh’s governing Union for the Presidential Majority
Situated along Somalia’s northwest border and across the
coalition (UMP after its French acronym) maintains an
Mandeb strait from Yemen (Figure 1), Djibouti is host to
overwhelming majority in parliament, and power within the
more than 30,000 refugees and asylum seekers fleeing
coalition is heavily concentrated in the president’s own
conflict in neighboring states. Many refugees transit via
party. The main opposition parties boycotted the most
Djibouti to other countries, given limited access to
recent parliamentary elections, in early 2018.
livelihood opportunities there. Djibouti’s own population of
just under 1 million people grapples with chronic drought,
The State Department’s 2020 human rights report notes that
which contributes to a high prevalence of acute
“electoral processes had little relevance to the real
malnutrition. More than 90% of its food is imported.
distribution and exercise of power.” The report highlights
Djibouti is categorized as a lower-middle-income country,
arbitrary arrests of opposition members, journalists,
but it ranks near the bottom of the U.N. Development
academics, and demonstrators; suppression of the
Program’s Human Development Index (166 out of 189
opposition; and restrictions on freedom of speech and
countries). The official unemployment rate is nearly 40%,
assembly. The report also suggests that “officials engaged
and more than 40% of the population lives in extreme
in corrupt practices with impunity.”
poverty. Female genital mutilation/cutting is prevalent.
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Djibouti
The Economy
The U.S. military has expanded its infrastructure in Djibouti
The International Monetary Fund (IMF) estimates
since it originally deployed forces in 2002, and in 2015, the
Djibouti’s GDP at $3.4 billion in 2020, or $3,074 per
Navy opened the first permanent U.S. military barracks in
capita. The IMF has assessed that Djibouti’s strategy of
Africa there. In 2014, the Obama Administration negotiated
investing in infrastructure to transform itself into a logistics
terms with the Guelleh government to renew the U.S. lease
and commercial hub “offers great opportunity for economic
for these facilities, which provide jobs to more than 1,000
growth and development.” The IMF cautions, however, that
local workers and third-country nationals. Under the terms
the country faces a high risk of debt distress, with public
of a previous lease agreement, the United States paid
debt estimated at over $2.4 billion. After economic shocks
Djibouti more than $30 million annually. Under the follow-
due to the Coronavirus Disease 2019 (COVID-
on 20-year deal, the United States reportedly pays over $60
19) pandemic, the IMF expects GDP growth of 5% in 2021.
million annually. At the time of the lease negotiations, there
A $43.4 million IMF loan and a $41.2 million African
were rumors that both China and Russia were considering
Development Bank grant were approved in 2020 to support
the establishment of military facilities in Djibouti, spurring
the country’s pandemic response and relieve debt.
speculation that these prospects may have factored into the
increased cost. To reinforce the strategic partnership with
Regional Relations
Djibouti and maintain basing access, Congress provided
Djibouti’s relations with its neighbors in the Horn of Africa
enhanced authority in P.L. 113-291 for the Department of
are evolving, amid shifting alignments in the broader region
Defense (DOD) to acquire goods and services from
around the Red Sea. The Arab Gulf countries, Turkey, and
Djibouti for activities in AFRICOM’s area of
China are playing a growing role in the region, as countries
responsibilities.
in the Horn, each facing various domestic challenges, look
abroad for investment, development financing, and
USAID’s Food for Peace program maintains a warehouse in
diplomatic support. Djibouti’s relationship with the United
Djibouti for pre-positioned food assistance commodities; it
Arab Emirates (UAE)—an increasingly important player in
serves as a hub for rapid response to humanitarian
the Horn—is strained over a dispute with UAE state-owned
emergencies in the broader region.
port operator DP World. DP World is in a legal battle with
U.S. Assistance and Security Cooperation
Djibouti over its 2018 termination of DP World’s 30-year
contract to operate the Doraleh Container Terminal, which
U.S. bilateral aid administered by the State Department and
per a new World Bank and HIS Markit index is Africa’s
USAID totaled over $17 million in FY2020 with some
most efficient port.
additional funding allocated from regionally and centrally
managed programs, including for food aid. The State
Djibouti has generally enjoyed good relations with East
Department has requested almost $16 million for the
African governments, with the exception of neighboring
country for FY2022, with almost $7 million for military aid
Eritrea. Djibouti and Eritrea fought a brief border conflict in
and $9 million in development aid.
2008 over the remote but strategically important peninsula
of Ras Doumeira, near the Bab al Mandeb Strait. After
Djibouti receives security assistance from the United States
various negotiations and prisoner of war exchanges, Eritrea
through a variety of programs administered by the State
and Djibouti declared an end to their dispute and an intent
Department and DOD, most of which are not reflected in
the State Department’s annual bilateral request
to normalize relations in September 2018, but there has
. These
been little sign of progress since then.
programs have included border and coastal security and
related regional stabilization and counterterrorism
U.S. Relations
initiatives, which aim to protect both the host country and
The State Department characterizes Djibouti as a “key U.S.
U.S. forces stationed there and to promote military
partner on security, regional stability, and humanitarian
professionalization. U.S. security assistance funding has
efforts across the region.” U.S. military facilities in Djibouti
significantly outweighed development aid to Djibouti.
serve as an important base for U.S. operations in the region,
In 2011, Djibouti deployed military forces to join the AU
elevating the tiny country’s importance for U.S. officials.
Mission in Somalia (AMISOM). Its forces have received
The Horn of Africa is a hub for U.S. counterterrorism
U.S. training and assistance in support of that deployment,
efforts: U.S. officials estimate that regional Al Qaeda
including through State Department Peacekeeping
affiliates such as Al Shabaab in neighboring Somalia and
Operations (PKO) funds. The State Department has also
Al Qaeda in the Arabian Peninsula (AQAP) in nearby
provided some security assistance through a regional
Yemen continue to pose a significant transnational threat.
initiative, the Partnership for Regional East Africa Counter-
The presence of elements of the Islamic State (IS/ISIS) in
Terrorism (PREACT). State Department antiterrorism funds
the region has also been raised as a concern.
for civilian security forces have supported efforts to
More than 4,000 U.S. military and civilian personnel are
improve port and airport security and refurbish border
deployed at Camp Lemonnier, an enduring forward
posts. DOD has notified Congress of roughly $145 million
operating site maintained by the U.S. Navy. Some of these
in “global train-and-equip” counterterrorism assistance to
forces are deployed to support CJTF-HOA, which serves as
Djibouti since FY2006.
an operational headquarters for countering violent extremist
Lauren Ploch Blanchard, Specialist in African Affairs
groups in East Africa, conducting security cooperation,
crisis response, and personnel recovery/casualty evacuation
Sarah R. Collins, Research Assistant
missions.
IF11303
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Djibouti
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https://crsreports.congress.gov | IF11303 · VERSION 4 · UPDATED