President Hassan Sheikh Mohamud returns to power in a vastly different Somalia from the one he governed in 2012–2017. Domestically, the new administration must navigate tensions between the Federal Government of Somalia (FGS) and its Federal Member States (FMSs), healing divides caused by the previous Farmaajo regime. Hassan Sheikh is expected to revive inclusive dialogue and foster cooperation, particularly with estranged states like Jubaland and Puntland. Internationally, the landscape has also shifted. Relations with Kenya are strained, Ethiopia is focused inward due to conflict, and the controversial Tripartite Alliance with Ethiopia and Eritrea is losing momentum. The president is likely to distance Somalia from Eritrea and Qatar while seeking balanced ties with Gulf states like Saudi Arabia and the UAE. Security remains a critical concern. The resurgence of Al-Shabaab, the collapse of past coordination, and the politicisation of forces under Farmaajo have weakened progress. Hassan Sheikh’s leadership is anticipated to return focus to unified counter-terrorism strategies with renewed international support.