Amid the chaos that has afflicted Somalia in recent decades, there is an oasis of relative calm that is ignored by the rest of the world.

The self-declared Republic of Somaliland in the Horn of Africa announced its independence from the rest of Somalia in May 1991, and has been searching for recognition in vain since then.

It is now set to hold its second democratic presidential elections in eight years.

Somaliland, which is situated in Somalia's northwest, is a haven of relative peace while violence and instability has characterised Somalia, its capital Mogadishu and more recently the Gulf of Aden.

So why has Somaliland succeeded in creating effective governance and a viable economy while mainland Somalia tops the list of failed states with rampant lawlessness and piracy?

Joining the programme are Mohammed Abdillahi Omar, an analyst and commentator on political issues in the Horn of Africa, Abdi Samatar, a  professor of geography and global studies at the University of Minnesota, and Afyare Elmi, a lecturer in international politics at Qatar University.

This episode of Inside Story aired from Wednesday, June 23, 2010.