Cost Of Living in Somalia 2024

cost of living chart - average monthly expenditure in Somalia

Average monthly spending for singles, couples, students, and families in Somalia

Whether you're living in Somalia or planning to move there, it is very important to know the cost of living and the prices of things. Here we list the average spending for the four main population groups.

Average Monthly Expenditure

Currency: SOS
20,000 260,000 2.6M
MINIMUM AVERAGE MAXIMUM
$35 $460 $4,600

Monthly Expenditure ▶ Single

Currency: SOS
25,000 180,000 1.2M
MINIMUM AVERAGE MAXIMUM
$44 $320 $2,100

Monthly Expenditure ▶ Couple

Currency: SOS
100,000 300,000 1.6M
MINIMUM AVERAGE MAXIMUM
$180 $530 $2,800

Monthly Expenditure ▶ Family

Currency: SOS
140,000 400,000 2.6M
MINIMUM AVERAGE MAXIMUM
$250 $700 $4,600

Monthly Expenditure ▶ Student

Currency: SOS
20,000 130,000 890,000
MINIMUM AVERAGE MAXIMUM
$35 $230 $1,600
The figures displayed here are inclusive of everything: housing, travel, groceries, healthcare, etc.

Singles

The average monthly expense for a single person living in Somalia is 180,000 SOS. Expenses can range from 25,000 SOS at the minimum level to 1.2M SOS at the highest end.


Couples

The average monthly spending of couples in Somalia is 300,000 SOS. Expenditure can range from 100,000 SOS to 1.6M SOS per month.


Families

The average cost of living for families in Somalia is 400,000 SOS per month. Families spend anywhere from 140,000 SOS to 2.6M SOS.


Students

The average monthly expenditure for students in Somalia is 130,000 SOS. Students spend from 20,000 SOS to 890,000 SOS per month.


Spending behavior can change drastically from one person to another. It is best to consider the minimum, average, and maximum spending together.



Prices and cost of goods and services in Somalia


Chart showing the prices and cost of grocery, food, restaurant meals, market, and beverages in Somalia

Dining, food, and beverages costs


Fast food combo meal

260 SOS 520 SOS 870 SOS
MINIMUM AVERAGE MAXIMUM
$0.46 $0.91 $1.5

Restaurant meal for one

870 SOS 1,300 SOS 2,600 SOS
MINIMUM AVERAGE MAXIMUM
$1.5 $2.3 $4.6

Fine dining meal for one

1,700 SOS 2,600 SOS 10,000 SOS
MINIMUM AVERAGE MAXIMUM
$3 $4.6 $18

Cappuccino or latte

220 SOS 350 SOS 520 SOS
MINIMUM AVERAGE MAXIMUM
$0.38 $0.61 $0.91

Grocery and market costs


Milk large bottle

170 SOS 210 SOS 260 SOS
MINIMUM AVERAGE MAXIMUM
$0.30 $0.36 $0.46

12 eggs

130 SOS 170 SOS 260 SOS
MINIMUM AVERAGE MAXIMUM
$0.23 $0.30 $0.46

Fresh whole chicken

300 SOS 380 SOS 540 SOS
MINIMUM AVERAGE MAXIMUM
$0.52 $0.67 $0.95

Pack of beef

350 SOS 520 SOS 1,000 SOS
MINIMUM AVERAGE MAXIMUM
$0.61 $0.91 $1.8

Medium bag of rice

140 SOS 190 SOS 270 SOS
MINIMUM AVERAGE MAXIMUM
$0.25 $0.34 $0.48

Bag of tomatos

52 SOS 69 SOS 130 SOS
MINIMUM AVERAGE MAXIMUM
$0.09 $0.12 $0.23

Bag of apples

93 SOS 120 SOS 200 SOS
MINIMUM AVERAGE MAXIMUM
$0.16 $0.21 $0.35
Chart showing the prices and cost of commute, travel, and transportation in Somalia

Commute, travel, and transportation costs


20 minutes taxi ride

220 SOS 260 SOS 520 SOS
MINIMUM AVERAGE MAXIMUM
$0.38 $0.46 $0.91

Average car full tank

1,300 SOS 1,700 SOS 3,500 SOS
MINIMUM AVERAGE MAXIMUM
$2.3 $3 $6.1

Average car 1-day rental

1,300 SOS 1,700 SOS 2,600 SOS
MINIMUM AVERAGE MAXIMUM
$2.3 $3 $4.6

Average car price

650,000 SOS 1.3M SOS 1.7M SOS
MINIMUM AVERAGE MAXIMUM
$1,100 $2,300 $3,000

Bus ticket one way

43 SOS 65 SOS 130 SOS
MINIMUM AVERAGE MAXIMUM
$0.08 $0.11 $0.23

Car Service

1,700 SOS 2,600 SOS 5,200 SOS
MINIMUM AVERAGE MAXIMUM
$3 $4.6 $9.1
Chart showing the prices and cost of utility, energy, water, and gas for a family in Somalia

Utility cost (monthly)


Utility Bill - Individual

1,500 SOS 11,000 SOS 72,000 SOS
MINIMUM AVERAGE MAXIMUM
$2.7 $19 $130

Utility Bill - Couple

4,000 SOS 14,000 SOS 88,000 SOS
MINIMUM AVERAGE MAXIMUM
$7 $24 $150

Utility Bill - Family

7,000 SOS 20,000 SOS 130,000 SOS
MINIMUM AVERAGE MAXIMUM
$12 $35 $230

Internet and cable

1,300 SOS 2,600 SOS 3,500 SOS
MINIMUM AVERAGE MAXIMUM
$2.3 $4.6 $6.1

Mobile phone charges

1,000 SOS 1,700 SOS 5,200 SOS
MINIMUM AVERAGE MAXIMUM
$1.8 $3 $9.1

Leisure and activities costs


Movie ticket

650 SOS 870 SOS 1,300 SOS
MINIMUM AVERAGE MAXIMUM
$1.1 $1.5 $2.3

One month gym membership

2,100 SOS 2,600 SOS 5,200 SOS
MINIMUM AVERAGE MAXIMUM
$3.6 $4.6 $9.1
Chart showing the prices and cost of clothing and accessories in Somalia

Cloths and accessories costs


Pair of jeans or pants

1,500 SOS 2,200 SOS 3,300 SOS
MINIMUM AVERAGE MAXIMUM
$2.7 $3.8 $5.7

Woman dress

1,400 SOS 2,000 SOS 6,500 SOS
MINIMUM AVERAGE MAXIMUM
$2.5 $3.5 $11

Woman shoes

1,400 SOS 1,900 SOS 4,300 SOS
MINIMUM AVERAGE MAXIMUM
$2.4 $3.3 $7.6

Men's shoes

1,200 SOS 1,400 SOS 2,900 SOS
MINIMUM AVERAGE MAXIMUM
$2.1 $2.5 $5.1

Men suit

1,300 SOS 1,600 SOS 8,700 SOS
MINIMUM AVERAGE MAXIMUM
$2.3 $2.9 $15

Regular t-shirt

650 SOS 870 SOS 2,600 SOS
MINIMUM AVERAGE MAXIMUM
$1.1 $1.5 $4.6
Chart showing the prices and cost of housing, accommodation, and rent in Somalia

Housing costs / monthly rent


Studio apartment

22,000 SOS 33,000 SOS 87,000 SOS
MINIMUM AVERAGE MAXIMUM
$38 $57 $150

1-bedroom apartment

33,000 SOS 52,000 SOS 130,000 SOS
MINIMUM AVERAGE MAXIMUM
$57 $91 $230

2-bedroom apartment

43,000 SOS 65,000 SOS 170,000 SOS
MINIMUM AVERAGE MAXIMUM
$76 $110 $300

Housing costs / Buying


Studio apartment

4.3M SOS 6.5M SOS 13M SOS
MINIMUM AVERAGE MAXIMUM
$7,600 $11,000 $23,000

1-bedroom apartment

5.2M SOS 8.7M SOS 33M SOS
MINIMUM AVERAGE MAXIMUM
$9,100 $15,000 $57,000

2-bedroom apartment

8.7M SOS 26M SOS 52M SOS
MINIMUM AVERAGE MAXIMUM
$15,000 $46,000 $91,000
Chart showing the prices and cost of furniture in Somalia

Furniture Costs


King Size Bed

26,000 SOS 33,000 SOS 43,000 SOS
MINIMUM AVERAGE MAXIMUM
$46 $57 $76

Double Bed

17,000 SOS 26,000 SOS 33,000 SOS
MINIMUM AVERAGE MAXIMUM
$30 $46 $57

Single Bed

15,000 SOS 20,000 SOS 26,000 SOS
MINIMUM AVERAGE MAXIMUM
$27 $35 $46

Living Room

29,000 SOS 37,000 SOS 130,000 SOS
MINIMUM AVERAGE MAXIMUM
$51 $65 $230

Dining Table

13,000 SOS 17,000 SOS 33,000 SOS
MINIMUM AVERAGE MAXIMUM
$23 $30 $57

Sofa or Couch

17,000 SOS 24,000 SOS 52,000 SOS
MINIMUM AVERAGE MAXIMUM
$30 $41 $91
Chart showing the prices and cost of electronic devices and appliances in Somalia

Electronics and House Appliance Costs


TV Set

17,000 SOS 26,000 SOS 52,000 SOS
MINIMUM AVERAGE MAXIMUM
$30 $46 $91

Fridge or Freezer

15,000 SOS 24,000 SOS 33,000 SOS
MINIMUM AVERAGE MAXIMUM
$27 $41 $57

Washing Machine

20,000 SOS 29,000 SOS 52,000 SOS
MINIMUM AVERAGE MAXIMUM
$35 $51 $91

Stove or Cooker

19,000 SOS 24,000 SOS 33,000 SOS
MINIMUM AVERAGE MAXIMUM
$33 $41 $57

Mobile Phone

22,000 SOS 26,000 SOS 37,000 SOS
MINIMUM AVERAGE MAXIMUM
$38 $46 $65

Laptop or Computer

24,000 SOS 29,000 SOS 52,000 SOS
MINIMUM AVERAGE MAXIMUM
$41 $51 $91

Expenditure to Income Ratio in Somalia

One of the most definite ways to determine how affordable a place is measuring the ratio of expenses to salary. A high expense-to-income to ratio indicates a high cost-of-living index while a low expenditure-to-salary ratio means the place is affordable to live in.

Cost of living and expenditure to income ratio in Somalia

Spending to Income Ratio

86%

79% to 95%

( expenditure / income ) x 100


Expense to income distribution levels

Spending To Income Ratio% People
< 50%5%
50% - 60%10%
60% - 70%16%
70% - 80%25%
80% - 90%19%
90% - 100%10%
100% - 110%6%
110% - 120%4%
120% - 130%3%
130% - 140%2%
> 140%2%

Interpretation and Analysis

The average spending-to-salary ratio in Somalia is 86% This means that on average, people spend around 86% of their income for living. According to the distribution table, 16% of the population spend approximately 60% to 70% of their income every month.


How can spending be more than income?

A value higher than 100% means that the expenditure of those people is higher than their income. They are spending more than what they earn. This is possible in two scenarios. They are either borrowing from their savings to survive or they are borrowing from other sources (relatives, friends, banks, etc.). More about this in the debt section.



Individual
77%
Spending-Income-Ratio
71%
86%

Couple
82%
Spending-Income-Ratio
75%
90%

Family
90%
Spending-Income-Ratio
83%
100%
Distribution of monthly cost of living expenses in Somalia

How do people spend their money in Somalia?

We asked thousands of people about their spending habits and expenditure breaks. Below are their answers.

The percentage figures in this section are percentages of total spending not income. If you would like to see the percentage of expenses as related to income or salary, see other sections.

Housing Expenditure25%

25% of total expenses on average (14% to 33%)

LOW$11   6,000 SOS
AVERAGE$140   78,000 SOS
HIGH$1,400   780,000 SOS
Per Month

People living in Somalia typically spend from 14% to 33% of their total monthly expenditure on housing with 25% being the average. The average spend on housing is 78,000 SOS with expenditure ranging from 6,000 SOS to 780,000 SOS. This cost mainly goes for rent but it also includes other accommodation-related expenses. Housing costs are highest for families and lowest for students as expected.

Utilities, Electricity, Water, Internet, Mobile7%

7% of total expenses on average (4% to 11%)

LOW$1.8   1,000 SOS
AVERAGE$23   13,000 SOS
HIGH$230   130,000 SOS
Per Month

Utility expenditure like electricity, water, and gas in Somalia ranges from 4% to 11% of total expenses with 7% being the average. The average monthly cost of utilities is 13,000 SOS with 1,000 SOS and 130,000 SOS being the upper and lower limits.

Transport, Fuel, Commute7%

7% of total expenses on average (3% to 11%)

LOW$3.5   2,000 SOS
AVERAGE$46   26,000 SOS
HIGH$460   260,000 SOS
Per Month

Fuel consumption and cost of transport depend heavily on whether you live near your work or school, but roughly speaking you would expect to spend from 2,000 SOS to 260,000 SOS on commuting with 26,000 SOS being the norm for most people in one month. This means that money spent on transport constitutes about 7% of total spending on average but can go as low as 3% or as high as 11%.

Food and Groceries Cost28%

28% of total expenses on average (20% to 34%)

LOW$8.8   5,000 SOS
AVERAGE$110   65,000 SOS
HIGH$1,100   650,000 SOS
Per Month

The average outlay on groceries in a month in Somalia is 65,000 SOS. The cost of groceries can range between 5,000 SOS to 650,000 SOS. People spend on average about 28% on food and groceries with upper and lower bounds of 20% and 34% respectively.

Healthcare and Medical Services10%

10% of total expenses on average (5% to 13%)

LOW$2.5   1,400 SOS
AVERAGE$32   18,000 SOS
HIGH$320   180,000 SOS
Per Month

People in Somalia allocate 5% to 13% of their total monthly expenditure to healthcare including health insurance and out-of-pocket medical expenses. The average spending is around 10%. The range of medical expenses range from 1,400 SOS to 180,000 SOS with 18,000 SOS being the norm.

Leisure and Shopping5%

5% of total expenses on average (2% to 9%)

LOW$1.4   800 SOS
AVERAGE$18   10,000 SOS
HIGH$180   100,000 SOS
Per Month

This category mostly contains discretionary or non-essential expenses but also some non-discretionary spending like furniture for example. The monthly expenses range from 800 SOS to 100,000 SOS with 10,000 SOS being the average. Speaking of percentages, that equates to 2% to 9% of total expenses with an average of 5% for most residents.

Education and Schooling5%

5% of total expenses on average (3% to 11%)

LOW$2.1   1,200 SOS
AVERAGE$27   16,000 SOS
HIGH$270   160,000 SOS
Per Month

Spending on education can vary drastically between different people. While working singles can spend 0% on education, families and students' expenditure can reach up to 22%. On average, education constitutes 5% of the monthly expenditure with 3% and 11% being the lower and upper bounds respectively. The average reported education cost is 16,000 SOS per month with 1,200 SOS being the minimum spent amount and 160,000 SOS being the maximum.

Other Expenses13%

13% of total expenses on average (8% to 20%)

LOW$4.6   2,600 SOS
AVERAGE$59   34,000 SOS
HIGH$590   340,000 SOS
Per Month
Percentage of people who manage to save money from their income every month in Somalia

How much money can you save in Somalia every month?

We asked thousands of people what percentage of their income can they save in a month. Below are the answers.


What percentage of people in Somalia manage to save money from their income every month?


Saving Money
57%
Not Saving
43%

Almost 57% of the surveyed people in Somalia said that they can save some money at the end of each month while 43% said that aren't saving anything.


Percentage of people saving money by population group in Somalia

GroupSaversNon Savers
Singles57%43%
Couples52%48%
Families47%53%

Savings-to-Income Ratio

The savings-to-income ratio is measured as the percentage of income that people save over a specific period and it is simply calculated by dividing the saved money by total income and then multiplying the result by 100. (Savings / Income) x 100.


Savings to income ratio in Somalia

Saving to Income Ratio

11% 18% of income 31%
MINIMUM AVERAGE MAXIMUM

Average Monthly Saved Amount

6,000 SOS
$10
78,000 SOS
$140
780,000 SOS
$1,400
MINIMUM AVERAGE MAXIMUM

For most people, 11% to 31% of their monthly income is what they can allocate to their savings, with 18% being the average. The amount of money that people can save is approximately 78,000 SOS on average with savings ranging from 6,000 SOS to 780,000 SOS.

57% of surveyed singles reported some of their income going to savings while 52% of couples said the same. 47% of families confirmed their ability to save money.


How much money do people actually save in Somalia?

The amount of money that people can afford to save depends hugely on their income. It is better to focus on the percentage when trying to understand saving patterns.


Singles

Saving to Income Ratio

14% 22% of income 33%
MINIMUM AVERAGE MAXIMUM

Average Monthly Saved Amount

6,000 SOS
$10
54,000 SOS
$94
360,000 SOS
$630
MINIMUM AVERAGE MAXIMUM

Savings to income distribution levels for singles

Saving To Income Ratio% Singles
0% - 10%30%
10% - 20%24%
20% - 30%16%
30% - 40%15%
40% - 50%11%
> 50%4%

Interpretation and Analysis

Singles who can afford to save reported that they allocate from 14% to 33% of their monthly income to savings, with 22% being the average for most singles. The average amount of money that singles are able to save is 54,000 SOS with 6,000 SOS and 360,000 SOS being the minimum and maximum respectively.


Couples

Saving to Income Ratio

12% 20% of income 32%
MINIMUM AVERAGE MAXIMUM

Average Monthly Saved Amount

30,000 SOS
$52
89,000 SOS
$160
480,000 SOS
$840
MINIMUM AVERAGE MAXIMUM

Savings to income distribution levels for couples

Saving To Income Ratio% Couples
0% - 10%34%
10% - 20%26%
20% - 30%19%
30% - 40%10%
40% - 50%8%
> 50%3%

Interpretation and Analysis

Couples who confirmed their ability to save reported saving equivalent to 12% to 32% of their monthly income, with 20% being the average for most couples. The average amount of money that couples can save is 89,000 SOS with 30,000 SOS and 480,000 SOS being the minimum and maximum respectively.


Families

Saving to Income Ratio

10% 17% of income 28%
MINIMUM AVERAGE MAXIMUM

Average Monthly Saved Amount

42,000 SOS
$73
120,000 SOS
$210
780,000 SOS
$1,400
MINIMUM AVERAGE MAXIMUM

Savings to income distribution levels for families

Saving To Income Ratio% Families
0% - 10%37%
10% - 20%29%
20% - 30%20%
30% - 40%7%
40% - 50%5%
> 50%2%

Interpretation and Analysis

Families in Somalia can save anywhere between 10% to 28% of their monthly income, with 17% being the average for most families. The average amount of money that families can put aside is 120,000 SOS with 42,000 SOS and 780,000 SOS being the minimum and maximum respectively.

Reasons that make it difficult for people to save money in Somalia

Saving Challenges in Somalia

Reasons that make it difficult for people to save money

We wanted to understand what is stopping people from maximizing their savings in Somalia. Listed below are the answers given by the survey participants.


Reason% People
Low Income5%
High Expenses8%
Debt and Loans15%
Lack of Budgeting Skills11%
Impulsive Spending11%
Financial Emergencies7%
Living the moment6%
Will do it later20%
Inflation12%
Social Pressure3%
Market Instability2%

Around 5% of the people said that their salary is too low to accommodate a portion for savings while 8% said that the high cost of living leaves little room for savings. 15% of the residents said that they are burdened with debt and find it challenging to save money. 11% reported that they just don't have the knowledge or discipline to create and stick to a budget, leading to overspending and an inability to save. 11% blamed impulsive spending as the reason for saving inability. Around 7% said that unexpected expenses like medical bills or car repairs are derailing their savings goals. 6% bluntly said that they don't see the purpose of it and prefer to live each day to the fullest. 20% reported that they understand the value of saving but are putting off saving for the future, thinking they have plenty of time to start later. 12% blamed inflation, saying that every time they save some money they end up using it immediately. A surprising 3% said that social pressure and keeping up with peers or social expectations makes them overspend. Lastly, 2% blamed market instability and price fluctuations.

Where do people choose to put their savings in Somalia

Typical saving choices for people in Somalia

Where do people choose to put their savings?


Saving Type% People
Emergency Funds12%
Gold12%
Savings Accounts17%
Retirement Accounts10%
Cash Savings19%
Real Estate9%
Investment5%
Stocks5%
Bonds5%
Mutual Funds2%
Certificates of Deposit3%
A typical and healthy budgeting structure. The 50-30-20 rule

A typical and healthy budgeting structure

The 50/30/20 rule

Spending among different people can vary significantly based on factors such as their income, lifestyle, location, and personal preferences. A commonly used guideline for budgeting is the 50/30/20 rule, which suggests allocating your income into three main categories in the following percentages.

  • 50% for needs and financial obligations

    This category includes essential expenses like housing, utilities, groceries, transportation, and healthcare.

  • 30% for wants and discretionary spending

    This category covers discretionary spending on non-essential items, such as dining out, entertainment, travel, and other lifestyle choices.

  • 20% for savings and emergency fund

    This is the percentage that must be allocated to savings, emergency funds, and retirement accounts.

About financial planning, money management, and household budgeting

The 50/30/20 rule is used as a general guideline but may not be the best choice for all people. There are in fact many budgeting plans out there like the 70/20/10 and the 60/20/20 rules, all claiming to be the best. More important than all of this is to establish financial discipline by creating a budget tailored to your specific financial goals and situation. It is very important that your financial outflow be less than your income to maintain a healthy cash flow.

Income and cost of living compatibility. Is it affordable or economical to live in Somalia

Affordable living in Somalia

Income and cost of living compatibility

We asked residents one simple question and recorded their answers.

Is it affordable or economical to live in Somalia?


Yes
50%
No
50%

Around 50% of surveyed residents think that living in Somalia is affordable with proper budgeting while 50% reported that it is just too expensive and not affordable even with frugality and thriftness.

How easily is cost-cutting. Are there plenty of low-cost options in Somalia

Low-cost alternatives in Somalia

People are always looking for ways to cut down expenses and reduce expenditures. The hallmark of any affordable place is the availability of discount stores, bargain deals, smart or secondhand shopping, refurbished items, and couponing. We asked residents how easily cost-cutting is and the answers were distributed as follows:

Plenty of low-cost options56%

Few low-cost options44%


Based on the survey, 56% of the people living in Somalia have no problem finding low-cost alternatives to support a frugal lifestyle while 44% think that thriftness is difficult due to scarcity in discount markets and secondhand outlets.

Emergency Funds

An emergency fund is a financial safety net comprised of easily accessible savings set aside to cover unexpected expenses or financial emergencies, typically amounting to three to six months' worth of living expenses. We asked residents of Somalia whether they have an emergency fund and the answers were as follows.

Yes50%

No50%


Based on the survey, 50% of the people living in Somalia said that they don't have an emergency fund while 50% said that they do.

Financial literacy and difficulty in budgeting and financial planning in Somalia

Financial Literacy in Somalia

Financial literacy is the knowledge of concepts and principles related to personal finance that allow individuals to make informed decisions regarding their money such as budgeting, saving, investing, borrowing, managing debt, financial risk management, and planning.

Financial Leteracy45%


We asked residents of Somalia whether they acquired any adequate personal financial training in their lives. Approximately 55% of the people who participated in the survey said that they are not well informed about the topics of budgeting, saving, etc., and just manage things based on their own experience, while 45% said that they know about the general principles of personal finance from sources other than their own experience.


Difficulty in Budgeting and Financial Planning

We wanted to understand whether residents of Somalia have problems or difficulties in managing their expenditures and savings so we asked people one simple question: do you struggle with your personal finances? 45% of the participants reported that they indeed struggle in creating budgets and in organizing their finances while 55% said that they have everything under control.

Struggles with finance45%

Easily manages finances55%

Financial goals and targets of people living in Somalia

Financial goals of people in Somalia

In an attempt to understand the economic situation in Somalia, we asked participants about their financial targets. By knowing what the population in general is trying to achieve, we can shed light on the economic outlook, cost of living, and quality of life in general.


Financial Goal% People
Emergency Fund8%
Debt Reduction39%
Retirement Savings9%
Education Funding7%
Homeownership18%
Investing7%
Travel or Lifestyle8%
Healthcare Expenses12%
Financial Independence6%

Around 8% of those who participated in the survey said that their main goal is to establish an emergency fund to cover unexpected expenses while 39% said their number one priority is to pay off high-interest debt or loans and improve credit. 9% of surveyed people confirmed that saving for retirement to ensure a comfortable lifestyle in the final years is their main target. Around 7% reported that their priority is saving for the tuition fees and education costs of their children while 18% choose to buy a home or pay off existing mortgage before other things. 7% of the population would like to build wealth through investments such as stocks, bonds, mutual funds, or real estate. For 8% of people, saving for vacations or upgrading their lifestyle is the number one concern. Approximately 12% of the residents said that saving for healthcare expenses including insurance premiums is their main goal.

Retirement, pension plans, and life after work in Somalia

What does the retirement lifestyle look like in Somalia and how much retirement savings are required?

Retirement age

The retirement age for most employees in Somalia is 65 years. Specific retirement ages can vary based on factors like occupation, gender, years of contribution, and location. It is not entirely unlikely for people to retire either before or after this age.

Retirement planning and savings

There are many retirement saving options, some are personally initiated and others are government-sponsered. Regardless of the source of savings, the minimum amount of money that needs to be put aside to ensure a peaceful and comfortable retirement at each age can be found in the table below. This data is largely approximated and can vary drastically based on individual needs and situations. Treat these figures as a general guideline.


The typical saved amount of money you should have at every age as multiples of monthly salary:
AgeAmount
255x monthly salary at age 25
3010x monthly salary at age 30
3515x monthly salary at age 35
4025x monthly salary at age 40
4532x monthly salary at age 45
5048x monthly salary at age 50
5556x monthly salary at age 55
6064x monthly salary at age 60
6578x monthly salary at age 65

The typical average saved amount of money you should have at every age in Somalia:
AgeAmount
25680,000 SOS
301.4M SOS
352.4M SOS
403.4M SOS
455.1M SOS
507.1M SOS
558.5M SOS
6010M SOS
6513M SOS

Retirement Income Distribution

We asked residents of Somalia about their retirement income sources and below are the results.

Source% People
Pensions12%
Savings23%
Investments12%
Social Security7%
Annuities7%
Part-time Job13%
Real Estate18%
Dividends and Interest7%

Retirement Monthly Expenses in Somalia

15,000 SOS
$26
130,000 SOS
$230
890,000 SOS
$1,600
MINIMUM AVERAGE MAXIMUM
Chart showing the percentage of people who are in debt in Somalia

Debt, loans, and mortgages in Somalia


Percentage of people who are in debt


In Debt
27%
Debt Free
73%

According to the survey, 27% of the people in Somalia have some kind of debt, loan, mortgage, or credit card payments while 73% reported that they don't have financial obligations to banks.


Chart showing debt-to-income ratio in Somalia

Debt-to-income ratio in Somalia

Debt to income ratio

31%

23% to 40%

( monthly debt payment / monthly income ) x 100

Interpretation

The debt-to-income ratio measures the percentage of income being paid as debt settlement across the population. It is calculated by dividing the monthly debt settlement payment of an individual by their monthly income. Based on collected data, approximately 31% of the people's monthly income in Somalia goes to debt settlement.


Debt levels

Monthly debt settlement payment as percentage of monthly income

Debt-to-income ratio% People
> 60%3%
50% - 60%16%
40% - 50%13%
30% - 40%15%
20% - 30%12%
10% - 20%14%
0% - 10%26%

According to our data, 3% of the debtors in Somalia pay 60%+ of their income as debt settlement while 16% of the people pay 50% to 60% of their income for the same, which is quite an alarming financial situation for those individuals. 13% of people in debt dedicate 40% to 50% of their income to loan and mortgage payments while 15% dedicated 30% to 40% of income for same. Things are looking brighter for 12% of individuals as they only pay 20% to 30% of their income for loan and credit card repayment.


Distribution by type of debt in Somalia

Debt% People
Real Estate Mortgage10%
Auto Loan17%
Student Loan4%
Credit Card28%
Personal Loan41%

10% of debtors in Somalia confirm that real estate mortgages constitutes the main part of their outstanding debt while 28% say that credit card payments are the reason they are in debt. Auto loans were the main type of debt for 17% of people and personal loans rose at 41%. Lastly, student loans are the main source of debt for 4% of debtors in Somalia.


About credit score and debt management

Managing debt is a critical aspect of maintaining a favorable credit score. Debt reduction is the first thing you should do improve your financial situation. Getting rid of debt takes precedence over saving money because of interest rates.

Good debt vs. Bad debt

Not all debt is bad. Good debt typically refers to borrowing money for investments that can increase in value or generate income over time like purchasing a home or acquiring student loans. On the other hand, bad debt involves borrowing for things that fail to generate lasting value like high-interest credit card debt used for non-essential expenses like luxury items or vacations.


Loan Affordability Index in Somalia

Besides measuring the loan-to-income ratio, we asked residents of Somalia how many times in a year they defaulted or were unable to pay their due credit card or loan payments on time. Understanding how often people default on their due payments is one of the indicators of the cost of living and economic situation.

Frequency and percentage of people who failed to pay their monthly credit card or loan payments on time last year.

Frequency% People
Never52%
Once a year23%
Twice a year12%
Three times a year9%
Four times a year4%
Housing and accommodation affordability, property price to income ratio, rent to income ratio, and housing affordability index chart in Somalia

Housing costs, accommodation, and housing affordability in Somalia

Rental costs and house/apartment prices can vary drastically between different areas and locations.


Rent Cost in Somalia

Monthly Rent Prices

Studio apartment monthly rent cost

22,000 SOS 33,000 SOS 87,000 SOS
MINIMUM AVERAGE MAXIMUM
$38 $57 $150

1-bedroom apartment monthly rent cost

33,000 SOS 52,000 SOS 130,000 SOS
MINIMUM AVERAGE MAXIMUM
$57 $91 $230

2-bedroom apartment monthly rent cost

43,000 SOS 65,000 SOS 170,000 SOS
MINIMUM AVERAGE MAXIMUM
$76 $110 $300

3-bedroom apartment monthly rent cost

52,000 SOS 87,000 SOS 240,000 SOS
MINIMUM AVERAGE MAXIMUM
$91 $150 $410

Furnished apartment monthly rent cost

100,000 SOS 260,000 SOS 520,000 SOS
MINIMUM AVERAGE MAXIMUM
$180 $460 $910

Townhouse monthly rent cost

87,000 SOS 130,000 SOS 370,000 SOS
MINIMUM AVERAGE MAXIMUM
$150 $230 $650

House monthly rent cost

100,000 SOS 260,000 SOS 520,000 SOS
MINIMUM AVERAGE MAXIMUM
$180 $460 $910

Villa monthly rent cost

130,000 SOS 330,000 SOS 520,000 SOS
MINIMUM AVERAGE MAXIMUM
$230 $570 $910

The monthly rental cost of a studio apartment in Somalia ranges between 22,000 SOS and 87,000 SOS, meanwhile the cost of monthly rental of a one-bedroom apartment can be anywhere from 33,000 SOS to 130,000 SOS. Two-bedroom rentals rate ranges between 43,000 SOS and 170,000 SOS per month. The monthly rental for a three-bedroom apartment ranges from 52,000 SOS to 240,000 SOS. The average rent of a townhouse in Somalia is around 130,000 SOS while house rental costs can be as high as 260,000 SOS per month. Finally, if you want to rent a villa, expect to pay anywhere from 130,000 SOS to 520,000 SOS per month.



Apartment and house prices in Somalia

Cost of buying a property

Studio apartment price

4.3M SOS 6.5M SOS 13M SOS
MINIMUM AVERAGE MAXIMUM
$7,600 $11,000 $23,000

1-bedroom apartment price

5.2M SOS 8.7M SOS 33M SOS
MINIMUM AVERAGE MAXIMUM
$9,100 $15,000 $57,000

2-bedroom apartment price

8.7M SOS 26M SOS 52M SOS
MINIMUM AVERAGE MAXIMUM
$15,000 $46,000 $91,000

3-bedroom apartment price

29M SOS 43M SOS 130M SOS
MINIMUM AVERAGE MAXIMUM
$51,000 $76,000 $230,000

Townhouse price

37M SOS 87M SOS 330M SOS
MINIMUM AVERAGE MAXIMUM
$65,000 $150,000 $570,000

House price

43M SOS 260M SOS 370M SOS
MINIMUM AVERAGE MAXIMUM
$76,000 $460,000 $650,000

Villa price

52M SOS 290M SOS 430M SOS
MINIMUM AVERAGE MAXIMUM
$91,000 $510,000 $760,000

The average price of a studio apartment in Somalia can range from 4.3M SOS to 13M SOS depending on location. One bedroom cost can be anywhere from 5.2M SOS to 33M SOS. A villa can cost you 290M SOS on average with prices ranging from 52M SOS to 430M SOS.


If you're leasing or purchasing, housing costs in Somalia will probably constitute your biggest expenditure, yet it's an area where you wield considerable influence. This is due to the substantial variance in housing prices across communities. Keep in mind the location of your workplace and the accessibility of essential amenities to prevent negating the savings from lower rental rates with increased transportation expenses.

House / apartment prices to income ratio


Property price to income ratio

( average property price / average monthly income ) x 100


34 x96 monthly income 197
MINIMUM AVERAGE MAXIMUM

Property prices in Somalia can be x96 to x197 multiples of the monthly income depending on the property and the income of the person. On average, property prices are approximately x96 multiples of the average monthly salary in Somalia.



Rent to income ratio


Rent to income ratio

( monthly rental / monthly income ) x 100


20% 30% of income 40%
MINIMUM AVERAGE MAXIMUM

The average rent-to-income ratio in Somalia is around 30%. This means that people pay 30% of their income for rent. Those figures can range from 20% to 40% depending on the salary, location, and type of property.


The housing-to-income ratio is a very important metric to evaluate and measure how affordable living is in a particular area, city, or country since housing comprises the biggest chunk of expenditure. A higher housing to income ratio means that the place is relatively expensive. The figure by itself does tell much. It only starts to make sense when comparing the housing to income ratio across different locations.

Housing affordability index

The housing affordability index measures how affordable accommodation is in a particular place. This can measured in multiple ways, the most common being housing expenditure to total expenditure ratio and the rent to income ratio. The housing expenditure ratio is a figure reported by individuals on the percentage they allocate for housing. Rent to income ratio is calculated by dividing the average monthly rent by the average income. Because these values are both percentages, we can find their average and get the best of the two worlds.

Housing Affordability Index
28%

Property Taxes

Real estate owners pay property taxes to local tax authorities, which are determined by the assessed value of their property. Typically, these taxes are paid once a year. Property tax funds contribute to community development, financing infrastructure improvements, public services, and local education initiatives.


FROM
2%
AVERAGE
3%
TO
4%

Home Maintenance Costs

Home maintenance costs encompass various expenses associated with the upkeep and repair of a residence. These expenditures include regular tasks such as lawn care, pest control, and HVAC system servicing, as well as occasional repairs and renovations like fixing leaks, painting, or replacing appliances.


400 SOS 5,200 SOS 52,000 SOS
MINIMUM AVERAGE MAXIMUM

Urban vs. rural living costs

Urban living typically entails higher housing and transportation costs due to demand and limited space, while rural areas generally offer lower housing expenses but may have higher prices for goods and services. The differnce in rental rates between urban areas and rural areas can be as high as 300% in some cases.

Monthly costs and expenses of energy and basic utilities in Somalia

Utilities expenditure can vary slightly between different areas and locations.


Energy, electricity, water, gas, internet, and mobile cost in Somalia

Utility Bill Cost / Electricity + Water + Gas / Individual

1,500 SOS 11,000 SOS 72,000 SOS
MINIMUM AVERAGE MAXIMUM
$2.7 $19 $130

Utility Bill Cost / Electricity + Water + Gas / Couple

4,000 SOS 14,000 SOS 88,000 SOS
MINIMUM AVERAGE MAXIMUM
$7 $24 $150

Utility Bill Cost / Electricity + Water + Gas / Family

7,000 SOS 20,000 SOS 130,000 SOS
MINIMUM AVERAGE MAXIMUM
$12 $35 $230

Internet and cable cost

1,300 SOS 2,600 SOS 3,500 SOS
MINIMUM AVERAGE MAXIMUM
$2.3 $4.6 $6.1

Mobile phone bill and charges

1,000 SOS 1,700 SOS 5,200 SOS
MINIMUM AVERAGE MAXIMUM
$1.8 $3 $9.1

Because most utility bills club electricity, water, and gas costs in one bill, we can't provide a breakup for each type of utility and will display electricity, gas, and water as single cost.


The average monthly expenditure for individuals on electricty, water, and gas in Somalia ranges between 1,500 SOS and 72,000 SOS with average being 11,000 SOS, meanwhile the expenditure of couples is slightly higher at 14,000 SOS with 4,000 SOS and 88,000 SOS being the upper and lower limits respectively. As expected, the energy and water consumption of families is the highest among the three groups with an average of 20,000 SOS. The cost of internet and WiFi is unchanged among the three groups and ranges from 1,300 SOS to 3,500 SOS with 2,600 SOS being the average internet bill. Finally, the average monthly mobile charges is around 1,700 SOS but can range between 1,000 SOS and 5,200 SOS depending on consumption. Mobile charges include both calling minutes as well as data packages.


Energy / Utility expense to income ratio


( monthly utility expenses / monthly income ) x 100


3% 6% of income 10%
MINIMUM AVERAGE MAXIMUM

The average utility-to-income ratio in Somalia is around 6%. This means that people pay 6% of their income for energy, water, internet, and mobile charges. Those figures can range from 3% to 10% depending on salary and location.

Food Prices, Dining Expenses, and Grocery Costs in Somalia

Grocery / Food expenditure and prices can vary drastically between different areas and locations.


Prices and cost of goods and services in Somalia

Dining out, food, and beverages costs. Price variations for common food items.

Fast food combo meal price

260 SOS 520 SOS 870 SOS
MINIMUM AVERAGE MAXIMUM
$0.46 $0.91 $1.5

The average price of a regular combo meal at a fast food outlet or chain like McDonald's, Pizzahut, or KFC in Somalia is approximatly 520 SOS with meal cost ranging from 260 SOS to 870 SOS. The typical combo meal consists of a burger, french fries, and a drink.

Restaurant meal for one price

870 SOS 1,300 SOS 2,600 SOS
MINIMUM AVERAGE MAXIMUM
$1.5 $2.3 $4.6

If you are planning to have a nice meal at a mid-range restaurant, expect to pay anywhere between 870 SOS and 2,600 SOS with 1,300 SOS being the average price of a plate for one person at a regular restaurant in Somalia.

Fine dining meal for one price

1,700 SOS 2,600 SOS 10,000 SOS
MINIMUM AVERAGE MAXIMUM
$3 $4.6 $18

The price range of a meal at fine-dining restaurant is 1,700 SOS to 10,000 SOS with the average cost being 2,600 SOS for one person. This is what you would expect to pay a top-tier diner in Somalia.

Beverage prices, cappuccino, latte etc..

220 SOS 350 SOS 520 SOS
MINIMUM AVERAGE MAXIMUM
$0.38 $0.61 $0.91

The average price of a regular beverage like cappuccino or latte at Starbucks, Costa, or similar coffee shops and cafes in Somalia is around 350 SOS. Price ranges between 220 SOS and 520 SOS depending on the type of beverage, the size, and optional add-ons.



Grocery and market costs

Large bottle of milk price

170 SOS 210 SOS 260 SOS
MINIMUM AVERAGE MAXIMUM
$0.30 $0.36 $0.46

The average price of a large bottle of milk in Somalia is 210 SOS. The maximum what you would pay for milk is 260 SOS and the minimum being 170 SOS depending on the brand of milk and other properties.

12 eggs price

130 SOS 170 SOS 260 SOS
MINIMUM AVERAGE MAXIMUM
$0.23 $0.30 $0.46

A dozen eggs costs around 170 SOS on average with 130 SOS and 260 SOS being the lower and upper limits respectively.

Fresh whole chicken price

300 SOS 380 SOS 540 SOS
MINIMUM AVERAGE MAXIMUM
$0.52 $0.67 $0.95

The price range of a fresh whole chicken in Somalia is between 300 SOS and 540 SOS depending on the size of the chicken and whether it is oraganic or not. The average price is approximatly 380 SOS.

Pack of beef price

350 SOS 520 SOS 1,000 SOS
MINIMUM AVERAGE MAXIMUM
$0.61 $0.91 $1.8

The price of a regular pack of beef or meat is around 520 SOS. A pack of beef contains around 1Kg or 1lb depending on packing.

Medium bag of rice price

140 SOS 190 SOS 270 SOS
MINIMUM AVERAGE MAXIMUM
$0.25 $0.34 $0.48

A bag of rice in Somalia costs around 190 SOS on average with prices rangeing between 140 SOS and 270 SOS depending on the brand and quality.

Bag of tomatos price

52 SOS 69 SOS 130 SOS
MINIMUM AVERAGE MAXIMUM
$0.09 $0.12 $0.23

A bag of tomatoes costs anywhere from 52 SOS to 130 SOS. A bag of tomatoes denotes 1Kg or 1lb depending on location.

Bag of apples price

93 SOS 120 SOS 200 SOS
MINIMUM AVERAGE MAXIMUM
$0.16 $0.21 $0.35

A bag of apples costs 120 SOS on average. A bag of apples denotes 1Kg or 1lb depending on location.


Grocery and food expenditure to income ratio


( monthly grocery expenses / monthly income ) x 100


19% 27% of income 33%
MINIMUM AVERAGE MAXIMUM

The average grocery-to-income ratio in Somalia is around 27%. This means that people spend 27% of their income on grocery and basic household items. The expenditure can range from 19% to 33% depending on salary and location.


Expenditure on food and grocery for every population group

A single person living alone spends approximately 29,000 SOS per month on grocery and food with expenditure fluctuating between 4,000 SOS and 190,000 SOS depending on location and the type of person. The average cost of food and groceries for a couple is around 42,000 SOS per month. That number can be get as low as 14,000 SOS or a high as 220,000 SOS. Families' spending on grocery ranges from 25,000 SOS to 470,000 SOS with the location, income, and size of the family being the most determinite factors.


Single
Spending habits, consumption analysis, and expenditure patterns for a single person living in Somalia

Housing cost for a single person31%

31% of total expenses on average (19% to 43%)

LOW$16   9,100 SOS
AVERAGE$110   65,000 SOS
HIGH$760   430,000 SOS
Per Month

Utilities, Electricity, Water, Internet, Mobile8%

8% of total expenses on average (4% to 13%)

LOW$2.7   1,500 SOS
AVERAGE$19   11,000 SOS
HIGH$130   72,000 SOS
Per Month

Transport and Fuel Cost5%

5% of total expenses on average (3% to 11%)

LOW$3.5   2,000 SOS
AVERAGE$25   14,000 SOS
HIGH$170   96,000 SOS
Per Month

Food and Groceries Cost19%

19% of total expenses on average (13% to 24%)

LOW$7.1   4,000 SOS
AVERAGE$51   29,000 SOS
HIGH$340   190,000 SOS
Per Month

Healthcare Cost12%

12% of total expenses on average (6% to 16%)

LOW$4   2,300 SOS
AVERAGE$28   16,000 SOS
HIGH$190   110,000 SOS
Per Month

Leisure and Shopping Expenditure3%

3% of total expenses on average (2% to 6%)

LOW$2.2   1,300 SOS
AVERAGE$16   9,000 SOS
HIGH$110   60,000 SOS
Per Month

Education Cost1%

1% of total expenses on average (0.00% to 3%)

LOW$0.89   510 SOS
AVERAGE$6.3   3,600 SOS
HIGH$42   24,000 SOS
Per Month

Other Expenses21%

21% of total expenses on average (13% to 25%)

LOW$8   4,500 SOS
AVERAGE$57   32,000 SOS
HIGH$380   220,000 SOS
Per Month


Couple
Average monthly living expenditure breaks and spending patterns for couples in Somalia

Housing cost for a couple28%

28% of total expenses on average (21% to 38%)

LOW$60   34,000 SOS
AVERAGE$180   100,000 SOS
HIGH$960   550,000 SOS
Per Month

Utilities, Electricity, Water, Internet, Mobile7%

7% of total expenses on average (5% to 11%)

LOW$7   4,000 SOS
AVERAGE$24   14,000 SOS
HIGH$150   88,000 SOS
Per Month

Transport and Fuel Cost9%

9% of total expenses on average (3% to 14%)

LOW$21   12,000 SOS
AVERAGE$63   36,000 SOS
HIGH$340   190,000 SOS
Per Month

Food and Groceries Cost17%

17% of total expenses on average (12% to 22%)

LOW$25   14,000 SOS
AVERAGE$74   42,000 SOS
HIGH$390   220,000 SOS
Per Month

Healthcare Cost14%

14% of total expenses on average (8% to 18%)

LOW$19   11,000 SOS
AVERAGE$58   33,000 SOS
HIGH$310   180,000 SOS
Per Month

Leisure and Shopping Cost4%

4% of total expenses on average (1% to 7%)

LOW$11   6,000 SOS
AVERAGE$32   18,000 SOS
HIGH$170   96,000 SOS
Per Month

Education Cost1%

1% of total expenses on average (0.00% to 3%)

LOW$3.5   2,000 SOS
AVERAGE$11   6,000 SOS
HIGH$56   32,000 SOS
Per Month

Other Expenses20%

20% of total expenses on average (14% to 26%)

LOW$30   17,000 SOS
AVERAGE$90   51,000 SOS
HIGH$480   270,000 SOS
Per Month


Family
Average monthly expenses and break out of spending for families living in Somalia

Housing cost for a family27%

27% of total expenses on average (22% to 37%)

LOW$79   45,000 SOS
AVERAGE$230   130,000 SOS
HIGH$1,500   830,000 SOS
Per Month

Utilities, Electricity, Water, Internet, Mobile5%

5% of total expenses on average (3% to 8%)

LOW$12   7,000 SOS
AVERAGE$35   20,000 SOS
HIGH$230   130,000 SOS
Per Month

Transport and Fuel Expenses5%

5% of total expenses on average (3% to 7%)

LOW$25   14,000 SOS
AVERAGE$70   40,000 SOS
HIGH$460   260,000 SOS
Per Month

Food and Groceries Cost21%

21% of total expenses on average (14% to 27%)

LOW$44   25,000 SOS
AVERAGE$130   72,000 SOS
HIGH$820   470,000 SOS
Per Month

Healthcare Expenses11%

11% of total expenses on average (7% to 16%)

LOW$22   13,000 SOS
AVERAGE$70   40,000 SOS
HIGH$370   210,000 SOS
Per Month

Leisure and Shopping Cost3%

3% of total expenses on average (1% to 7%)

LOW$12   7,000 SOS
AVERAGE$35   20,000 SOS
HIGH$230   130,000 SOS
Per Month

Education Cost13%

13% of total expenses on average (6% to 21%)

LOW$34   20,000 SOS
AVERAGE$98   56,000 SOS
HIGH$640   370,000 SOS
Per Month

Other Expenses15%

15% of total expenses on average (8% to 20%)

LOW$20   11,000 SOS
AVERAGE$56   32,000 SOS
HIGH$370   210,000 SOS
Per Month


Student
Cost of living and expenses break down for students living in Somalia

Housing costs for Student19%

19% of total expenses on average (14% to 25%)

LOW$8.4   4,800 SOS
AVERAGE$56   32,000 SOS
HIGH$370   210,000 SOS
Per Month

Utilities, Electricity, Water, Internet, and Mobile Expenses6%

6% of total expenses on average (4% to 10%)

LOW$1.4   800 SOS
AVERAGE$9.4   5,300 SOS
HIGH$62   36,000 SOS
Per Month

Transport and Fuel Cost4%

4% of total expenses on average (4% to 10%)

LOW$2.5   1,400 SOS
AVERAGE$16   9,400 SOS
HIGH$110   62,000 SOS
Per Month

Food and Groceries Expenditure23%

23% of total expenses on average (17% to 27%)

LOW$7   4,000 SOS
AVERAGE$47   27,000 SOS
HIGH$310   180,000 SOS
Per Month

Healthcare Cost9%

9% of total expenses on average (6% to 12%)

LOW$2.1   1,200 SOS
AVERAGE$14   8,000 SOS
HIGH$94   53,000 SOS
Per Month

Leisure and Shopping Cost3%

3% of total expenses on average (2% to 7%)

LOW$1.8   1,000 SOS
AVERAGE$12   6,700 SOS
HIGH$78   45,000 SOS
Per Month

Education Cost18%

18% of total expenses on average (11% to 23%)

LOW$6.7   3,800 SOS
AVERAGE$45   25,000 SOS
HIGH$300   170,000 SOS
Per Month

Other Expenses18%

18% of total expenses on average (12% to 24%)

LOW$5.3   3,000 SOS
AVERAGE$35   20,000 SOS
HIGH$230   130,000 SOS
Per Month
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