Somalia's president has appointed as Prime Minister a relatively little known businessman, Abdi Farah Shirdon Said.This was announced by senior government sources in Mogadishu today.The sources said,President Hassan Sheikh Mohamud, who himself only took office last month after being chosen by parliament in a UN-backed process, selected his close ally Shirdon to the powerful position.

The appointment is one of the first key steps of the new administration, which brought to an end the eight years of transitional rule by the corruption riddled and Western backed government.After more than two decades of anarchy and war, Somalia's capital Mogadishu has been coming back to life since the Al-Qaeda-linked Shebab insurgents left frontline fighting positions.A 17,000 strong African Union force, fighting alongside government forces has in recent months wrested control of a string of Shebab strongholds, including the bastion of Kismayo, a strategic southern port.

But the Shebab remain a potent threat, still controlling large rural areas as well as carrying out guerrilla attacks including suicide bombings in areas apparently under
government control.