Somalia’s President Hassan Sheikh Mohamud says Somalia has entered a new era that will herald the end of more than two decades of conflict.
He was speaking at a major international conference in London to help Somalia rebuild itself.
The UK and other donors pledged some $130m (£84m) in aid for Somalia.
UK Prime Minister David Cameron said huge progress was being made in curbing piracy and tackling an Islamist insurgency in Somalia.
Somalia is widely regarded as a failed state, hit by numerous conflicts since the overthrow of long-serving ruler Siad Barre in 1991.
The United Nations (UN) estimates that nearly 260,000 people died during a famine in the East African state from 2010 to 2012.