New Delhi, Dec. 28 -- Israel became the first country to formally recognize Somaliland as an independent nation on Friday. This decision may change regional politics and challenges Somalia's claim that Somaliland is part of its territory.

Somaliland lies along the southern coast of the Gulf of Aden, bordered by Djibouti to the northwest, Ethiopia to the south and west, and Somalia to the east.

Somaliland declared independence from Somalia in 1991 following a civil war. Although it has its own government, money, and flag, the United Nations does not recognise it. Somalia still views the region as an inseparable part of its country.

Somaliland gained independence from Britain on June 26, 1960. Somaliland ended its union with Somalia to r...