Always Moving Always Sharing Somaliland

REMITTANCE AND THE RETURNING DIASPORA
Regional dependence (across all of Somalia) on remittances has created
an interesting rift in the economy, providing significant streams of
income to those with relatives who migrated/left as refugees. However, a
shift towards reinvestment of diaspora into Somali businesses and local
enterprises (through organisations like Shuraako as well as individual
entrepreneurship) may begin to even out this distortion.
With 14 percent 1 of the Somali population as diaspora and
an unemployment rate in Somaliland of 67 percent 2 , the
region relies heavily on remittances. This can inflate the
economy, and further marginalise those without an
external (USD-based) income stream.
We encountered an unprecedented number of new
businesses either started by diaspora (for example, we met
returning entrepreneurs from each Oman, UAE, US and UK)
or created specifically to support the increased return of
diaspora (high-end hotels, cafes, restaurants). We
anticipate an increase in those sending remittances shifting
their behaviour towards reinvestment in the development
of the Somaliland economy in a more sustainable manner.
[1]Reference: Somaliland: Risking torture for a better life abroad, Hamza Mohamed
A participant in Borama gives Lauren a moustache using
his iPhone, a gift from a relative in Dubai.
[2]Reference: Somalia’s missing million: The Somali diaspora and its role in development, UNDP
STUDIO D RADIODURANS
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