Israeli Defence Minister Israel Katz said Israel will deepen its cooperation with Somaliland, whose officials denied rumours that the Israeli military is building a base there.

Israel was training Somaliland's military and police, but reports on negotiations to establish an Israeli military base in the territory were "rumours", Somaliland's Defence Minister Mohamed Yusuf Ali said, speaking on the sidelines of a business conference in Tel Aviv on Wednesday.

Somaliland’s President Abdirahman Mohamed Abdullahi arrived last week in Israel for his first-ever state visit, during which the country opened an embassy in Jerusalem.

The visit comes just weeks after Israel appointed its first ambassador to Somaliland, a reciprocal move after Somaliland named its own envoy to Israel.

In December, Israel became the first country to recognise the independence of Somaliland since it declared its autonomy from Somalia in 1991, following a civil war.