Rethinking Governance Effectiveness: Sustainable Development in an Unrecognised State

As global challenges such as trade disruption, climate instability, and widening inequality expose the fragility of multilateral governance, the need to understand how sustainable development can be achieved in politically contested and resource-constrained contexts has grown increasingly urgent. While dominant development models emphasise state capacity, institutional formalism, and international recognition, this study examines how effective governance for sustainable development is operationalised in Somaliland, an unrecognised state in the Horn of Africa that has maintained relative peace and developmental progress despite lacking formal international status. Drawing on qualitative data from 26 in-depth interviews with state actors, civil society organisations, business leaders, and traditional authorities, the study identifies three critical dimensions of governance effectiveness: (1) governance modes and arrangements, (2) the diversity of governance actors, and (3) multistakeholder dialogue. The findings reveal that Somaliland’s governance success is rooted in its hybrid institutional arrangements, internal legitimacy, and adaptive decision-making processes that draw on customary, religious, and modern governance traditions. This research challenges conventional assumptions that equate effectiveness with institutional formality and state sovereignty, offering a context-sensitive perspective on governance in fragile or de facto states. It contributes to broader debates on hybridity, legitimacy, and inclusive development in international political economy and comparative development studies.