Presentation on : Economics and Politics in Somalia

student, Economics Department, Faculty of evening “management”
Zhdanov Pavel

The Federal Republic of Somalia - the East African nation,

effectively disintegrated as a result of the civil war and separatist activities in several parts. A member of the United Nations since 20 September 1960.

recognized by the international community as the legitimate Somali government,

but until recently it really is controlled only 60% of Mogadishu, and not the entire country. The south and south-west part of Somalia under the control units of Mujahideen of Islamic movements, "Al-Shabab" and "Hizb-ul-Islam." Northern Somalia is controlled by the unrecognized Republic of Somaliland State, unilaterally declared independence in 1991. In recent years, there is a discussion the issue of recognizing the independence of Somaliland, and the number of countries in the world have established diplomatic relations with the Republic of (among them the United Kingdom, Belgium, Ghana, South Africa, Sweden, Djibouti), also in the capital, Hargeisa, Somaliland operates the Ethiopian embassy.

to Somaliland to discuss the possibilities of further development of

relations. Following this, 29 January 2007 African Union sent a representative to Somaliland in order to address the future of the international recognition of the state. But other than that no specific measures to deal with this problem is not accepted.
In August 2012 the Constitutional Assembly in Mogadishu adopted a temporary constitution , which determines Somalia as a federation. The federal government was formed. - The first permanent international government since the start of the country's civil war.

following state entities:
Somali Republic
Dzhubalend (south-west)
Galmudug (center)
Hyman and Cheb (center)
Ahlyus-Sunnah wal-Jama'ah,

(Ahlus Sunnah wal Jamaah, ASWJ («Most")
Puntland (north-east)
Azania (South-west, along the border with Kenya)
Maakhir (north)
Hatoum (north)
The Islamic Emirate of Somalia ("Jamaat al-Shabab," "Al-Shabab")
The Republic of Somaliland (north-west)
Avdalend (north-east)

social structures in Somalia famine broke the strongest, which killed

300,000 people.
Somali pirates has become a base of the Indian Ocean. The capture of ships and hostages became a frequent occurrence. Pirates used boats of weapons - machine guns and grenade launchers.
October 31, 2010 Prime Minister of Somalia Mohamed Abdullahi Mohamed was having double Somali-American citizenship.

despite the civil unrest in Somalia, supported by a healthy

informal economy, based mainly on livestock, remittance companies, and telecommunications. Because of the lack of official government statistics and the recent civil war, it is difficult to assess the size and growth of the economy. In 1994, the CIA estimated the GDP at $ 3.3 billion
In 2001 it was estimated to have $ 4.1 billion
In 2009, the CIA estimated that the GDP rose to $ 5,731 billion, with a projected real growth rate was estimated at 2.6%.
  According to the report, the British Chamber of Commerce Department also increased the private sector, especially in services.

the industrial sector were under the control of the state,

there is a significant, albeit unmeasured, private investment in commercial activities, it is largely financed by the Somali diaspora, and includes trade and marketing, money transfer services, transportation , communications, fishery equipment, airlines, telecommunications, education, health care, construction and hotel business.

per capita is $ 333, which is lower than in

Kenya ($ 350), but better than in Tanzania ($ 280), as well as in Eritrea ($ 190) and Ethiopia ($ 100 ). However, the CIA assesses Somalia GDP per capita of $ 600. About 43% of the population lives on less than $ 1 a day, of which 24% live in urban areas and 54% in rural areas.

and modern production, with a gradual shift in favor of

modern industrial technology. According to the Central Bank of Somalia, about 80% of the population of nomadic or semi-nomadic pastoralists keep goats, sheep, camels and cattle. The nomads also gather resins and gums to supplement their income.
Agriculture is the most important sector of the economy. It accounts for about 65% of GDP and employs 65% of the population. Livestock contributes about 40% of GDP and over 50% of export earnings. Other major exports include fish, charcoal and bananas, sugar, sorghum and corn are produced for the domestic market.
With the advantage of Somalia is close to the Arabian Peninsula, Somali traders have increasingly begun to compete with Australia's traditional dominance over the meat markets of the Persian Gulf, offering meat at very low prices. In response, Gulf Arab states have started to make strategic investments in the country. So Saudi Arabia is building a farm for export infrastructure and the United Arab Emirates acquire huge agricultural lands.

accounting for 10% of Somalia's GDP. 14 private airlines that

have 62 aircraft and now offer commercial flights to international locations, including Daallo Airlines. At a competitive price of tickets these companies help to support the busiest shopping network Somalia

public about small, medium and large manufacturing firms, after the

conflict had been destroyed many of the remaining industries. But above all, as a result of substantial local investment Somali diaspora, many of these small plants have been re-discovered and restored. The latter include fish-canning and meat-processing plants in the northern regions, as well as about 25 factories in the Mogadishu area, which manufacture pasta, mineral water, confections, plastic bags, fabric, leather and skins, detergent and soap, aluminum, mattresses and pillows , fishing boats, packaging products and processing stone. In 2004, Coca-Cola opened a bottling plant, invested by Somali investors build a $ 8.3 million foreign investments also contribute and multinational corporations such as General Motors and Dole Fruit.

population - different tribes with a common self-name "Somali" refer

to the Ethiopian (East African) race.  Languages ​​belong to the group of Cushitic languages ​​Afro-Asiatic phylum. Writing the Somali language was established in 1973 based on the Latin alphabet. According to UNESCO, in 1980, the literacy rate stood at 6.1%.  Integrity issues and the political life of the country is largely determined by the multi-ethnic nature of the population. Six major tribes - Dir, Darod, Isaac, Hawiye, and dikil rahanvayn, the first four tribes - the nomadic pastoralists, the other two - settled farmers.Nomadic tribes consider themselves descendants of the founder of the Somalis in Somalia. Darod tribes and Isaac tightly contested championship. At the beginning of the Civil War, 26% of the population were Hawiye, 23% - Isaac, 21% - Darod, 21% together - Digil and Rahanwein, 7% - dir. Each tribe is in turn subdivided into clans, often consisting in a feud with each other.