The people of Somaliland would be directly affected, as their aspirations for international recognition would be significantly bolstered by U.S. support. This could lead to increased foreign investment, aid, and diplomatic engagement, potentially improving their economy and security.

The government of the Federal Republic of Somalia would also be significantly affected, as its territorial claims over Somaliland would be dismissed by the United States, potentially straining relations between the two countries. The U.S. President and State Department would gain the authority to implement this new foreign policy stance, impacting U.S. diplomatic relations in the broader Horn of Africa region.