Somalia | Economy and Infrastructure News

[Xusein]

Somalia's Government Plans Regulations, Taxes for Mobile-Phone Operators
By Sarah McGregor - Jan 14, 2011 9:51 AM ET

Somalia will start governing its untaxed and unregulated telecommunications industry to boost growth and investment, said Information, Posts and Telecommunications Minister Abdulkareem Jama.

The government has drafted rules for managing mobile-phone frequencies, phone numbers and interconnection agreements, a system in which telecommunications operators carry cross-network traffic, Jama told reporters today in Nairobi, the capital of neighboring Kenya.

Somalia’s Finance Ministry is finalizing the details of a tax to be introduced to the industry, he said. Both proposals must be scrutinized by lawmakers before going into force, Jama said, without providing a timeline. “It will be something that will not discourage investment,” he said. “We don’t intend to over-regulate or over-tax.”

Somalia’s Western-backed government has been battling insurgents, including the al-Shabaab militia that has pledged loyalty to al-Qaeda, since 2007. Most of southern and central Somalia has been seized by the insurgents, while the government, led by President Sheikh Sharif Sheikh Ahmed, controls only parts of Mogadishu.

The country hasn’t had a functioning central administration since the ouster of former dictator Mohamed Siad Barre in 1991. Small-scale mobile-phone operators set-up businesses in the country and began to flourish amid the chaos, said Jama. The Horn of Africa nation currently has 11 licensed telecommunications companies.

‘Cheap Rates’

“Rates are cheap and service is available everywhere,” he said. “This is a success story. The intention of the government is to encourage this investment and do everything possible to allow this to grow faster.”

The government plans to connect Somalia to an underground fiber-optic cable that links east and southern Africa known as Eassy, enabling domestic operators to switch from slow and unreliable satellite connections, Jama said.

There are no official statistics on the amount of revenue the telecommunications business generates or the number of mobile-phone users in Somalia on account of the disorganization of the industry at present, said Jama.

To contact the reporter on this story: Sarah McGregor in Nairobi at smcgregor5@bloomberg.net.

To contact the editor responsible for this story: Paul Richardson at pmrichardson@bloomberg.net.

http://www.bloomberg.com/news/2011-0...operators.html

Let's see how this goes, I want to see if this can actually be implemented.

Although not de jure under TFG reign, I noticed a bad thing about the massive liberalization of the telecommunications industry when I visited Hargeisa. The phone companies do not share infrastructure or links so there are companies and even houses that have more than one phone number due to companies not sharing, perhaps it has changed since then but I found that very inefficient and wasteful.

[Xusein]

A college of Islamic Finance recently opened in Bosaso.

Xarun Lagu Baranaayo Dhaqaalaha Islaamka oo laga Furey Bosaaso

Machad cusub oo lagu baran doono dhaqaalaha Islaamka isla markaana lagu magacaabo (College of Islamic Finance) ayaa si rasmi ah laga furey magaalada Bosaaso ee xarunta gobolka Bari.

Xaflad xariga looga jaraayay machadka ayaa ka dhacdey Hotelka Jubba ee magaalada Bosaaso,waxaana kasoo qaybgalay masuuliyin uu kamid yahay Wasiirka Amniga Puntland Gen.Yuusuf Axmed Kheyr,Duqa degmada Bosaaso Maxamuud Faarax Beeldaaje,Culimaa’udin,maamulka machadka,martisharaf iyo dadweyne kale.

Munaasabada waxaa lagu furey aayado qura’aan,waxaana hadalo kasoo jeediyey Sheikh Fu’aad Maxamuud Xaaji Nuur kaas oo sheegay in muhiim tahay barashada dhaqaalaha Islaamka isagoo dhalinta ku booriyey in ay bartaan kana faa’ideystaan xirfadaan.

Maamulka Machadka Mudane Xassan Cumar Axmed iyo Drs.Ca’isho ayaa ka hadlay xaflada,waxaana ay sharaxaad ka bixiyeen qaabka ay ku aas aaseen machadkaan.

Link

[Xusein]

Dahabshiil Helps Strengthen Somali Currency, Says The Economist

LONDON, February 16, 2011 /PRNewswire/ -- In an article titled, 'Commerce amid the chaos', The Economist this week referred to the inherent instability of Somalia's monetary system and described how the country's banks, in particular Dahabshiil, are helping to resist the steady depreciation of the Somali shilling by facilitating large inflows of foreign capital in the form of remittances.

The Somali economy has become deeply dollarised, but the home currency continues to be issued on a large scale, resulting in its continuous depreciation along with double-digit inflation, especially for low-value transactions. With only reactive, ad-hoc government efforts to counter this decline in value, Somali businessmen assume the shilling is kept afloat by 'common assent'.

What is more likely, as the article points out, is that the constant inflow of foreign currency in the form of remittances plays a valuable role in retarding this trend by exerting upward pressure on the shilling's value. The largest of the transfer companies handling this capital flow, Dahabshiil, is a global money transfer operator with one of the fastest-growing agent and branch networks in the industry. It was established in 1970, primarily to enable migrants to transfer funds back to their families through the sale of imported goods.

Forty years on, remittance transfer remains Dahabshiil's core business, but the company has diversified to offer a broad range of services to international organisations, businesses and private individuals, and is compliant with international standards including AML (Anti Money Laundering) regulations. Dahabshiil is now the leading financial services provider in the Horn of Africa, with full banking licences to operate in Djibouti and a number of other East African countries.

With payout locations in some of Somalia's remotest regions, Dahabshiil's service is recognised by the inhabitants as an indispensable lifeline. But the benefits go beyond this. The regular flow of funding from abroad has helped to strengthen the private sector by expanding investment in construction, transport and telecoms. This process is set to be further enhanced by the introduction of increasingly sophisticated technology, central to Dahabshiil's strategy, to make remittances even easier to transfer and help them to penetrate further. Not only is the upward trend in remittance income likely to continue, but its effectiveness as a catalyst for development will be continually improved.

As well as facilitating private investment, Dahabshiil also invests $1 million of its annual profits in community projects in Somalia to improve schools, hospitals, agriculture and sanitation. In the UK, where Mr Duale spends much of his time, the company sponsors a number of social events including the Somali Week Festival and the Somali Youth Sports Association.

Dahabshiil has regional offices in London and Dubai, and employs over 2,000 people across 144 countries.

SOURCE Africa Business

http://www.prnewswire.com/news-relea...116311884.html

[Xusein]

Somaliland Telecom Industry-The New Decade and the Challenges Ahead

(19-Feb-2011) – SGS published a ground-breaking report which analyses the current state of the Somaliland Telecom Industry. This comprehensive report which is in the form ‘whitepaper’ talks about the evolutionary stages that the industry has been undergoing over the last decade and the challenges lie ahead in the new decade.

For the first time of its history, this report measures the teledensity and the internet-density of the current Telecommunication Industry in Somaliland by analysing the data collected from reliable sources in Somaliland. The fgures show that the total number of lines are 357,000, of which 290,000 are mobile subscribers. This means that the teledensity is approximately 10% and the internet-density is around 3%, which is much lower than expected.

The report also talked about the service types and the technologies used by the various Telecom Operators (aka Network Operators). It points out that Telesom is by far the biggest player in the market and can safely be referred to as the only one with SMP (Significant Market Power) privilege. SomTel is also the second largest operator, with a growing number of Internet users.

Finally, the report delves into the major challenges that lie ahead and points out the difference between ‘Fragmented and Lawless Market’ and a ‘Regulated Market’ is the implementation of 6 classes of policies. In a simple language, it talks about the benefits of each policy and the options that can be considered through the process of Regulatory Framework formation.

In particular, the report points out the unfortunate situation that all Somaliland telecom traffic (voice and data) are going through a switch managed by Djibouti Telecom. This is with the exception of small amount of data routed via the Setellitte. The evidence of this can be proved by the geographical IP addresses supplied to the local Telecom Operators, which use Djibouti Telecom ip addresses.

This report from SGS is the first of its kind to offer both investigative and consultational report to the policy makers, in the hope that they will act on the advices and seek assistance where it is necessary.

The full report can downloaded from here but if you have further queries please don’t hesitate to contact us below)

(The Report is authored by Ahmed N. Amin, CEO of Small Globe Solutions – ahmedamin@smallglobesolutions.com This e-mail address is being protected from spambots. You need JavaScript enabled to view it )

http://somalilandpress.com/somalilan...es-ahead-20307

[Constantine MMX]

Somali Companies as usual doing the job of the national and regional government:

GOLIS implements Road Safety Project

Keeping in mind its Corporate Social Responsibilities, Golis Telecom Somalia has pioneered a project of Road Traffic Signs from Bosaso to Galkaio and also from Garowe to Tukaraq District.

This project aims at reducing or preventing the level of incidents that occurs due to non-availability of these signs. This Project was proposed by the government to the business community in a meeting held at Panorama Hotel along with other developmental projects like Building 2 storey in Bender Qasim Hospital in Bosaso.

Golis accepted to implement solely the high Road Traffic Signs Project while all other companies combined took the Hospital Building.

A formal meeting was held at the Presidential Palace in Bosaso between Government and Golis Company attended from Government side the President Abdirahman Mohamed Faroole, Vice President Gen. Abdisamad Ali Shire and other cabinet members, Golis Telecom delegation headed by Adam Sheikhdon Cali Golis General Manager and Abdullahi Ali Omar Golis Operational Manager and other departmental heads of the company.

The Project was announced officially at that meeting the Government applauded Golis for its never ending contribution to the society and its development and thanked for its generous attitude towards public issues.

Golis General Manager also reiterated the Company policy of Corporate Social Responsibilities which he said “we consider it as an obligation not as a charity” he pledged that Golis will always do all it can to re-pay our People the dividend’s it earns from the public the General Manager termed this as part of the Company Core values which they will uphold forever.

The first phase of the project is being completed now by Mohamed Mire the Manager of the Project and he told that the survey of the whole road and selecting the points of danger which require signs has been marked in collaboration with Traffic Police Officers and Representatives from Minister of Public Work. He also told the result of the survey has been submitted to NESHA to register their comments. Mire Told that NESHA also has approved and registered some advice.

Mr. Mire expressed his thanks to all Government agencies specially Officers of Traffic Police, Ministry of High and Public Work and also NESHA Agency. - Source

[Xusein]

A Telecom company financing road construction? Ha. Interesting it could work for them in the diversification front if successful. At least there's no bureaucracy involved...

[musa90]

Good effort but will it really reduce road accidents? I heard the major cause of road accidents in Puntland is due to camels who appear on the road out of the blue (usually from behind acacia trees). Imagine driving 100 mph and a 900 pound camel appears out of nowhere.. Way too many free roaming wild camels in the Northeast.

[Xusein]

I think either sidewalks could be built to get them off the street or small overpasses so they don't mess with traffic.

[juzme123]

by Benjamin Powell
Somalia: Failed State, Economic Success?


Perhaps the title overstates the situation slightly. It is hard to call any country mired in poverty an economic success. Yet by most measures Somalia’s poverty is diminishing and Somalia has improved living standards faster than the average sub-Saharan African country since the early 1990s. In that sense Somalia is at least a relative success story. The most interesting part of Somalia’s success is that it has all been achieved while the country has lacked any effective central government.

There is no doubt that Somalia remains extremely poor today. However, as far as living standards can be assessed, they appear to be improving since the collapse of Somalia’s national government. In fact, standards are improving faster in Somalia than in most of sub-Saharan Africa.

In other research my coauthors and I used the World Development Indicators to compare Somalia’s performance with 41 other sub-Saharan African countries in both the current period and, when data allow, over time.

Although Somalia’s 2005 standard of living was low by western standards, it compared fairly favorably with other African nations. Of our 13 measures, Somalia ranked in the top 50 percent of nations in five and only ranked near the bottom in infant mortality, immunization rates, and access to improved water sources. Although in 2005 the nation placed in the bottom 50 percent of countries on seven measures, it has actually improved performance relative to other countries since the collapse of the Somali state.

Telecommunications is a major area of success in Somalia. The one measure for which we have complete data, telephone landlines per 1,000 of population, shows dramatic relative improvement since Somalia became stateless, moving from 29th to eighth among the African countries included in our survey. It ranks high in mobile phones (16th) and Internet users (11th), while it ranks 27th in households with televisions.

In many African countries state monopolies and licensing restrictions raise prices and slow the spread of telecommunications. In Somalia it takes just three days for a landline to be installed; in neighboring Kenya waiting lists are many years long. Once lines are installed, prices are relatively low. A $10 monthly fee gets a customer unlimited local calls, and international calls are only 50 cents per minute. Web access costs only 50 cents an hour. According to The Economist, using a mobile phone in Somalia is “generally cheaper and clearer than a call from anywhere else in Africa.”

Life expectancy in Somalia fell by two years from 1985 to 1990, but it has increased by five years since becoming stateless. Only three of the 42 countries improved life expectancy as much since 1990.

We also compared Somalia to a subset of African countries that have been peaceful to make sure that it was not wars in other countries that account for Somalia’s relative improvement. We found basically the same results.

Somalia’s Lesson

Somalia’s lesson should not be overstated—it is no libertarian utopia. I certainly don’t plan to move there anytime soon. But Somalia does demonstrate that a reasonable level of law and order can be provided by nonstate customary legal systems and that such systems are capable of providing some basis for economic development. This is particularly true when the alternative is not a limited government but instead a particularly brutal and repressive government such as Somalia had

[juzme123]

Somaliland [Somalia] Plans to Enforce Compliance on Tax, Double Revenue

March 31, 2011, 8:26 AM EDT

More From Businessweek

March 31 (Bloomberg) -- Somaliland, the breakaway republic in northern Somalia, may double revenue collection this year as it enforces tax compliance among the country’s 40 biggest businesses and richest individuals, the Finance Ministry said.

The autonomous region expects government income to total $100 million this year, even after the government slashed tax rates and abolished other levies, Vice Finance Minister Warsame Said Abdi told reporters in the capital, Hargeisa, yesterday. As of Jan. 1, payroll and sales taxes fell to 5 percent from 12 percent, while income taxes dropped to 10 percent from as much as 25 percent, Abdi said.

“Somaliland people aren’t tax-oriented,” he said. “What they give to the government is seen as a loss. We are trying to educate them. We’ll use it to build schools, hospitals.”

Somaliland, a former British colony, declared independence from Somalia in 1991 after the fall of dictator Mohammed Siad Barre. While no country has yet officially recognized its independence it has remained largely free of the clan warfare, kidnappings and assassinations that have plagued Somalia.

Somaliland’s government relies entirely on taxes for its budgetary expenses and is debt-free, Abdi said. Foreign assistance is not channeled through the government, he said.

The World Bank is helping to train tax officials and the United States’ aid agency this week agreed to build 10 state revenue centers across Somaliland, Hassan Jama Mohamed, the Finance Ministry’s public finance management coordinator, said in Hargeisa yesterday.

Revenue Loss

The loss of annual revenue from Telesom, the country’s biggest telecommunications operator, alone is about $25 million, because of authorities failing to enforce the domestic tax laws, according to Abdi.

“We haven’t had the capacity to do the auditing or enforce the existing laws,” Mohamed said.

The government is counting on improved revenue collection this year to pay for a doubling of salaries for civil servants, the police and military and a free primary-school education program introduced at the start of the year, he said.

--Editors: Paul Richardson, Karl Maier.

[juzme123]

Horn of Africa to double livestock exports to Saudi Arabia

The kingdom announced on Friday it will increase livestock imports from the Horn of Africa by two-fold by 2012.

A press release from the Ministry of Agriculture and Water said Saudi Arabia plans to import close to 2 million heads of a livestock that comprise of sheep, goats, camels and cattle. These imports will targets markets in Djibouti, Somaliland and Somalia. The decision to increase imports follows after Saudi Arabia’s quarantine officials at the Port of Jeddah declared animals from the Horn were disease free, great in quality and strong demand in the local market. Furthermore, the decision was designed to stabilize the local meat market with many Saudis complaining of rising food prices.

Saudi livestock importers already operate a major quarantine facility in the port of Djibouti, two in Somaliland’s Berbera port and one in Somalia’s port of Bosasso.

The two facilities in the Red Sea port of Berbera in Somaliland’s Sahil region have the combined capacity to house 2-2.5 million heads. A third facility owned by Saudi livestock tycoon, Mr. Suleiman Al-Jabiri is currently under construction that will cost $2 million and will hold 1.5 million heads. About four months ago, a Saudi delegation consisting of doctors and vets visited the Berbera facilities and declared both quarantines meet international standards.

Malaysian investor from Burao-based Emerging East African Corporation (EEAC)

Similarly, Somaliland is currently pushing forward with plans to export processed meat and livestock to Malaysia after Malaysian investors agreed to explore business opportunities in Somaliland with some already establishing abattoirs in the country. They say its part of the over all plan by Malaysia to become a “global centre for Halal food and related products”. Malaysia imports over 85 percent of its meat needs except poultry and desparetely needs a Halal market its citizens can trust. Two-third of its meat imports currently comes from India.
Students in Sheikh Technical Veterinary School flaying a camel during their research project

Students in Sheikh Technical Veterinary School flaying a camel during their research project

In December 2010, a team from IGAD, an East African organization focusing on drought control and development, led by Executive Secretary, Eng. Mahboub Maalim visited the Sheikh Technical Veterinary School (STVS) in Somaliland during a graduation ceremony. Mr. Maalim said, IGAD would take over the management of the school from Terra Nuova, an Italian NGO. Mr. Maalim told local media, IGAD plans to develop the capacity of STVS by bringing on board technical teams and institutions such as Interafrican Bureau for Animal Resources (AU-IBAR), International Livestock Research Institute (ILRI) and Makerere University, one of the leading universities in Uganda.

The news was well received by livestock traders and animal farmers alike across the Horn of Africa but a devastating drought savaging the region might hurt the current demands.

In October 2009, Saudi Arabia relaxed a eleven-year ban on Somaliland livestock and Somaliland animals have been steadily on high demand in the Saudi Kingdom ever since. Livestock market is estimated to be worth $250-million annually in Somaliland. The main markets for livestock from Somaliland are Saudi Arabia, UAE, Oman and Yemen.

[juzme123]

Somaliland/Puntland [Somalia] Road projects


I have been doing some research to total up all the road construction/upgrading & renovations going on in the Past year (Apr2010-Apr2011) and I was like

Apart from the 'highways' i.e. the roads that go between different cities, inner-city roads were financed and built by local government. "construction/" shall refer to paving. It would be great if someone could provide more information on road-works in Puntland as I havn't found much info.



Proposed:

(Somaliland)

1) Boorama - Zeila - Djibouti

2) Burco - Hargeisa

3) Berbera - Mait - Erigavo - LasQoray






Under construction and/or renovation:


(Somaliland)

4) Dilla - Boorama

5) Hargeisa - Dilla

6) Las Anod - Gambadhe (completed)


(Puntland)

7) Galkacayo - Garowe [renovation]





To be renovated :

7) Burco to Berbera




Roads within cities:


(Puntand)

Boosaaso - 3km of paved road

Garowe - road paving (details ?)

Galkacayo - (airport road)



(Somaliland)


Berbera -

- 8 new paved roads (2011)

+ 3KM of paved roads (2010)


Hargeisa - the following paved roads:

1. Cigaal Road

2. ibraahin maygag Road

3. C/laahi Askr Road

4. Samaale Road

5. Cali Asad Road

6. Ahmed dhagax area road

+ 2KM of other road


Burco

- 2 new sections of paved road (2011)

+ 3KM of paved roads (2010)


Boorama - paving of main roads ~>2KM

--------------------------------------------

So there are many roads/highways being paved. If they keep this going for 10 years or so

[Xusein]

Interesting articles, thanks for sharing!

Great to see the road construction, infrastructure is key for development.

[juzme123]

I have found some more road projects:

Boorama:

- Sheikh Ali Jawhar Area Road (1.6KM)

Hargeisa:

- Sheikh Madar Road (under construction)

- 150 Road

Garowe:

- 5 roads to be paved. First one (1.2KM) under construction

Hafuun (Puntland):

- local people funding and aiming to pave 10KM of the main road. (under construction)

[Xusein]

Have any pics been posted of these projects?

[Janub]

Originally Posted by Xusein

Have any pics been posted of these projects?

If you went back between 1 and 6 weeks this topic and photos were littering Puntland media sites. In the construction topic I posted photos of road and sewage construction in the region's capital Garowe. The most intense projects were in Bosaso & Garowe but I saw photos recently of large scale road construction in Qardho, the town between the two mentioned earlier.

[Xusein]

Ah ok, I'll take a look at those.

[ja'far]

(Barbra, Somaliland) While no government recognizes Somaliland, the business stamp of approval is proving less elusive.

Coca-Cola has issued a second license within Somalia, which will cover Somaliland and neighboring, semi-autonomous Puntland, a tacit recognition of Somaliland’s functioning economy. The company’s other franchise, which is based in Mogadishu, is no longer able to function because of violence in the Somali capital.

Coca-Cola’s vote of confidence – long withheld – may do more to propel investor interest and confidence than any political move. Only two other Coca-Cola franchises remain to be given out in the world: Cuba and North Korea.

Ahmed Guelleh, a Somaliland businessman and owner of Somaliland Beverage Industries, had the franchise to Somaliland – then a region of Somalia – 26 years ago, before war broke out and he lost everything. He won the license back in late 2010 and production is due to start this year.

Mr Guelleh’s band of five brothers is a typical, if highly successful, example of a strong trading family. Their $5m-a-year import-export operation brings in everything from porridge oats to tyres while sending out animal skins and frankincense, as well as serving as agents for a shipping company and DHL.

The Coca-Cola bottling factory, among the first manufacturing investments in Somaliland, with brand new machinery from Austria and Italy, has cost $10m and is expected to generate an annual $3.2m profit, bottling 11,000 an hour and employing 130.

Its establishment has required a tailored approach. SBI found and secured its water supply after drilling for six months in 200 sites. It will sell plastic, rather than glass, bottles because glass takes too much water to wash and can take months to return from the hard-to-reach and insecure east. Instead the company will pay locals to collect empty plastic bottles and ship them to a recycling company in India that will pay for the refuse in a break-even deal.

The company says it will undercut the current Yemen-imported Coke price by about 40 per cent, saying Somaliland is the most price-sensitive market in the world.

“Recognition is the problem, not the place,” says Gavin Dehning, managing director of SBI. A South African who left his job of 14 years to come and set up the factory, he has had to overcome the damaging impact of piracy and the issue of Somaliland’s lack of diplomatic recognition.

When SBI ran out of bitumen to paint a septic tank, it took three weeks to replace it, as pirate-nervous ships dock rarely. Twelve Indian steelworkers critical to putting up the factory were prevented from travelling because the Indian authorities equated Somaliland with its anarchic neighbour — for which it has an advisory forbidding travel.

But Mr Dehning also says Somaliland port authorities are the most speedy and accommodating of any African country in which he has worked, offering none of the red tape or bribery with which he is familiar, and that the company has done everything to make sure it exceeds the requirements of the franchise.

“Coke is not going to destroy its brand because of one small little country,” he said.

Source: The Financial Times

[Xusein]

Seminar about Somaliland economy held at Abaarso Tech

Hargeisa- A business seminar about Somaliland economy and businesses was held yesterday afternoon at Abaarso Tech Training center for business community; a place where business leaders go to hone their skills. Guest speakers consisted of Abdirashid Duale, CEO of Dahabshiil Company, Hassan Bulbul, Hadhwanag Hotel and an Entrepreneur and Muniir Haji Abdullahi of Daallo Airlines. Jonathon Starr from Abaarso Tech boarding school moderated the discussion. Hargeisa business professionals and Abaarso tech attended the seminar.

The seminar was organized by Abaarso Tech Business School, which is headed By Jothana Starr. Mr. Starr studied economics at Emory University. He founded of Flagg Street Capital, a private Investment Company that managed more than $170 million in assets. Before he found Flagg Street, Jonathan worked as an analyst at SAB Capital and Blavin & Company. In January 2010, Mr. Starr helped to launch Abaarso Tech University (ATU) with the MBA program, the first post-graduate program in business in Somaliland.

The purpose of seminar was to help students and Somaliland young professionals to explore the prospects of new business opportunities in Somaliland. The seminar covered assessment of major business in Somaliland and changing landscape of business opportunities. Participants discussed the economic changes in Somaliland and what the future holds for young entrepreneurs.

When asked about how Somaliland business landscape in the next 5-10 years, Dahabshiil CEO answered Abdirashid answered, “creation of business does not come from void. There must be need and opportunity for any new ventures. I see private hospital growing in the next few years. So many somalilanders go to the neighboring countries for medical checkup and basic treatment. Somaliland doctors must come up with ways to help somalilanders to be treated in their country.” Abdirashid predicted growth in the energy sector. Muniir Haji Abdullahi of Daallo Airlines said that investment in natural resources like fishery, agriculture and mining would be one of the fastest growing areas of Somaliland economy. Hashwanage hotel owner Hassan Bulbul agreed with them and emphasized that food sacristy will eventfully will lead to investment in food production, especially in fishing and sea resources.

The speakers also answered questions on whether Somaliland can be an agricultural exporter. They all agreed that it Somaliland can export agriculture products. They talked about the past during Siad Barre’s era when Somalia exported row sugar and bananas and there were a lot of manufacturing industries in the country. Dahabsill CEO argued that Somaliland government’s investment in manufacture sector will lead increase in exports and reduce unemployment in the country. They emphasis that Somaliland is not a desert area; it receives rain twice in a year and we can build dams to act as water reservoirs to prevent excessive water getting directly into the sea.

Panel and participants thanked Jonathon Starr for his role in the development of the country particularly in education sector. Hassan Bulbul who talked about this said “Jonathon and the other teachers in Abaarso Tech came all the way from America to teach somalilanders world-class education at a low price. This is really something that we should praise them for. I went to US to study where I could not speak good English and the tuition was beyond what I could afford. And here in Abaarso, the tuition fee is low and you can get help at anytime. I wish I could had this chance as young man.”

Reported by Fuad Abdi Aidid

http://somalilandpress.com/seminar-a...rso-tech-22472

[Xusein]

SOMALIA: UNDP Sustainable Partnerships with the Somali Diaspora forged

One of the success stories related to Somalis today is that of how effective the diaspora is in supporting relief and development activities in their country of origin. A study commissioned by UNDP on the role of the Diaspora in relief, development and peace-building examines the motivations for support, the factors that influence it, the means and mechanisms by which it is mobilized and transferred to the Somali regions, and the ways in which local Somali actors put the support they receive to use.

This report is based on research conducted in Somaliland\ Puntland, South Central and a number of cities with a high concentration of Somalis in the diaspora.

At a validation session early this week attended by over 100 participants from the Somali Diaspora – the US, Canada, the UK, the UAE, Denmark, Norway, New Zealand, Djibouti and Kenya, local Somali authorities and non-state actors, and the international community, UNDP Somalia Country Director, Alvaro Rodriguez acknowledged the important role of the diaspora in both the financial and social remittances.

“The Somali Diaspora has been a major contributor to the Somali economy and livelihoods through remittances, humanitarian assistance and participation in recovery and reconstruction efforts. Without this support, the Somali economy could have collapsed long ago,” highlighted Alvaro Rodriguez, UNDP Somalia Country Director.

Remittance flows have been estimated at up to US$ 1 billion in 2004 but could be as high as US$ 700 million to Somaliland and US$ 1.6 billion to the rest of Somalia, and representing some 23% of household income and 80% of the start-up capital for small and medium enterprises.

However, the challenge remains to maintain positive interest and homeland ties among the Somali youth around the globe to continue engaging positively with their country of origin.

The team leader of the study, Laura Hammond, Senior Researcher, School of Oriental Studies (SOAS) presented the overall findings and recommendations, some of which include: the international community working with Diaspora „host‟ countries to facilitate an enabling environment for sending remittances and increasing access to travel; establishing two-way communication with the Diaspora, resulting in more effective partnerships; identifying specific areas of support to engage in and building on success stories; facilitating credit opportunities for local communities; encouraging organizations in Somalia to take up corporate social responsibilities; and supporting local administrations to create reliable Diaspora resource centers.

For more information and feedback on the report write to:
kaltun.hassan@undp.org or laura.hammond@soas.ac.uk

http://horseedmedia.net/2011/05/21/s...aspora-forged/