The Republic of Somaliland is a self-declared country in the Horn of Africa. It is bordered by Djibouti to the northwest, Ethiopia to the southwest, and Somalia to the east. Somaliland was once part of the British Somaliland region. The Somali National Movement declared the British Somaliland region independent in 1991. A constitutional referendum ratified Somaliland’s independence from Somalia. However, Somalia still attempts to reunify with Somaliland. Somaliland has no international recognition and is seen as part of Somalia. However, Somaliland has relative economic and political stability compared to Somalia.

Somaliland uses the Somaliland shilling as its currency. It replaced the Somali shilling as the official currency of the region in 1994. One Somaliland shilling is equivalent to 100 Somali shillings. The Bank of Somaliland (Baanka Somaliland) is the central bank of Somaliland. It was established in 1994 under the Somaliland Constitution.

The first series of notes were issued in 1994. Each note had a six-digit serial number, a two-letter prefix, and a similar design. The front side featured a view of the Supreme Court building and a male greater kudu. The reverse side featured two nomads traveling through the desert with the twin hills of Naasa Hablood in the background.

In 1996, a series of commemorative notes were issued to celebrate the 5th anniversary of Somaliland’s independence. One series had a gold ink overprint while another series had a silver ink overprint. A larger-sized 50 shilling note was also introduced in the same year. In 2002, the 500 shilling note was modified to have a different color scheme and a windowed security thread. Nine years later, the 1,000 shilling and the 5,000 shilling notes were introduced.

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