World Bulletin/News Desk
"After long consultations, I decided to appoint Sharmarke as prime minister of the new government," Mohamoud said at a press conference.
He described Sharmarke as the "appropriate" man for the premiership.
Mohamoud has asked the new prime minister to form an "effective" government to lead Somalia in carrying out a national strategy until 2016 before holding general elections.
Somalia's parliament has yet to approve the appointment of Sharmarke, 54, as prime minister.
Once he is approved by parliament, the new prime minister would then have 30 days to unveil his cabinet lineup.
Sharmarke's government would succeed that of Abdiweli Sheikh Ahmed, from which parliament withdrew confidence on December 6.
Born in Somalia in 1969, Sharmarke is the son of former Somali President Omar Abdirashid Sharmarke.
The new premier graduated from Somali National University in 1984. In 2000, he received a Master's Degree in economics and political science from Canada's Carlton University.
He carries dual Somali-Canadian citizenship.
In 2008, Sharmarke was appointed Somali ambassador to the U.S. He could not, however, carry out his duties because Washington did not recognize Somalia's transitional government at the time.
He was appointed prime minister in 2009, but had to submit his resignation one year later as a result of differences with then-President Sharif Sheikh Ahmed.
The same year, Sharmarke was appointed Somali ambassador to the U.S. – for the second time – after which he was welcomed by Washington, which had by then recognized the country's government.