Remittance sent back home

[*Nobleman*]

As like most snetters I sometimes get the phone call from extended family members back home, asking for money to be sent. Alhamduililah no problem, easy way of sadaqa and i'm sure if roles were reversed they would do the same. Laakin this has got me thinking, in terms sending money back home, somalis globally must send in excess of 100 million a year and then the same again the next year. But what if we gave them the ability to financially sustain themselves rather than always sending money. Wouldnt this promote some sort of growth for them? I.e give them money to buy land for growing food or help them start a viable business. Would this work or is it too idealist, considering the turmoil in the south?


One of my uncles sent 5000 dollars back, to one family member, he was instructed to buy a boyed (spelling). This is massive truck with water filtering and storage capabilities. Now that family member is financially self sufficient and no longer requires monthly remittance.


I dunna, just a thought.

[Gedo_Boy]

Part of the problem is that Somalis don't produce anything themselves, so they are forced to import virtually everything.

In the past, Somalis used to be nomads and were self-sufficient and would rely on their livestock and their land for everything, so the concept of foreign currency was alien.

Now, Somalis have settled in cities, import Basmati rice, and require cell phones, so how can they do that without foreign currency?

[guhad122]

It is a good sadaqo and helps very needy people. Sometimes, these people don't know when to stop calling and asking but I guess it is the terrible situations they are in that makes them to act like that.

With that much money going into the country, you would think we should be doing much better. Well, a good portion of our money is going into the two countries that never want to see a strong Somalia; Ethiopia and Kenya. The reason is that destructive drug we call Qaat. I once read that the city of Beled-Weyne sends $200,000 dollars daily to Kenya for Khat trades. And remember that Beled-Weyne is not of the biggest cities in Somalia. If we can't get rid of this terribe drug, at least we should grow it and keep our hard-earned dollars in our country.

[Gedo_Boy]

That money could have been used to grow the local economy, but with qaat it creates a flight of hard currency from the country.

I can understand with food, because you have to eat and if there isn't a system in place you will buy it from anywhere.

However, qaat is very destructive not only in its financial impact but also in the productivity.

[guhad122]

Gedo_Boy;
What do you think of the idea of planting this cursed plant in our land. At least we keep the money in the country. One thing I know for sure is that it would be very, very difficult to ban.

[Cawar]

Noble man, I dont know how much of this true, but I once heard that somalis send up to a Billion a year to and from Somalia.

[surrender]

^i heard that too. and thats one of the reason why the British islamic bank was opened.(becuase there was more money going into somali from Britain and most somalis dont work, so they thought where the heck do we get the money from?).

they thought we could trust them, because is "islamic" and that we would put all our hagbad in there. little do they know, somalis dont trust galo, period! once there was news going on in west london that islamic bank of britian wa onwed by the jews/israel. i swear to you the amount of somali people that cancel their account with them is unbelieveable!!

plus since 9/11 they keeping an eye on us, thinking that we send money to al qaeeda and alike based in somalia. little do they know, we only feeding our families and reletives back home.

i dont think there is one single somali who sends money to "terrorrist" groups. we not that generous. not as generous as the yuhuud in that field anyways.

and have you guys notice if you try to send more than £1000, the xawaalado asks for personal detail i.e full address , name etc..?

[Gedo_Boy]

Gedo_Boy;
What do you think of the idea of planting this cursed plant in our land. At least we keep the money in the country. One thing I know for sure is that it would be very, very difficult to ban.

guhad122,

I think that would be even worse as it would attract a whole new crop of addicts as it would be more accessible. I think it would be similar to the opium/heroin in Afghanistan, there are a lot more addicts of opium/heroin in those countries now simply because of the ease of availability.

I think the little fertile land we have should be used for agriculture.

One aspect of the strategy should be to ensure that people who don't use it now don't take up the habit. Then, we can focus on curbing the habit among people who do consume it. At least that strategy would significantly curb the usage in a generation, whereas if you start to grow it domestically and make it more accessible you are dooming yourself for generations.

I'm not sure what the strategy is for people who use it now. In one sense, it's a drug and there is a physiological/psychological addiction to it. In those cases, it's important to try to conceive an alternative that will gradually wean people off of it.

Banning it immediately would be problematic, however maybe over a long period of time gradually making it more difficult to obtain would be the solution.

[LiQaaye_TDH]

The Polish Immigrants in the UK alone sends back 1billion Euro a Year to Poland, and their Country is booming, while there is so many more somalis sending more money (i think anyway) to somalia, and our Economany hasn't changed a bit since 91.....

Where does the money we send back GO? thats my question?

[*Nobleman*]

Noble man, I dont know how much of this true, but I once heard that somalis send up to a Billion a year to and from Somalia.

walahi i would'nt be suprised. Dhabshil is absolutley caking it.

[*Nobleman*]

The Polish Immigrants in the UK alone sends back 1billion Euro a Year to Poland, and their Country is booming, while there is so many more somalis sending more money (i think anyway) to somalia, and our Economany hasn't changed a bit since 91.....

Where does the money we send back GO? thats my question?

Yeah you would think the money sent back is spent on food, which would suggest at least some of the currency is staying within the somali economy. Walahi this has actually got me thinking, inshallah when i get time i'll look further into it.

[*Nobleman*]

Part of the problem is that Somalis don't produce anything themselves, so they are forced to import virtually everything.

In the past, Somalis used to be nomads and were self-sufficient and would rely on their livestock and their land for everything, so the concept of foreign currency was alien.

Now, Somalis have settled in cities, import Basmati rice, and require cell phones, so how can they do that without foreign currency?

In my oppinion if the next govt actually wanted a sustainable economy they would refuse all financial aid (not including remittance), engourage a manufacturing and agricultural sector and build the basics such as sewage system, health care and education before building these fancy buildings. Walahi we should learn from the mistake of other african countries, that build these fancy skyscrappers but still dont have clean running water.

Inshallah we should levy high charges on all imports, in order to encourage domestic growth, like China.

[dawwa9]

The Polish Immigrants in the UK alone sends back 1billion Euro a Year to Poland, and their Country is booming, while there is so many more somalis sending more money (i think anyway) to somalia, and our Economany hasn't changed a bit since 91.....

Where does the money we send back GO? thats my question?

Poland GDP 2008:
624.6 billion USD - 1 billion is only 0.16% of the economy.

Somalia GDP 2008
5.575 billion USD - 1 billion is 18% of the economy

Poland boom has little to do with remittances

[black velvet]

I think it has something to do with how industrious the recipients are. I have relatives who have invested the money and now have a source of income. Some on the other hand dont mind just sitting at home and waiting for the money; no matter how much you send they will spend it and ask for more.

[kambuli]

Nobleman,

Your idea is great, really wonderful.

The problem with people back home most of them, male uses that money for Kat and it hurts for someone who earns his money in a halal way to see his/her money drained into the hands of Qat farmers aka Habasha...

It is a rule in my family, if a relative is chat chewer and he is not a responsible man, we send the money to the wife and if he takes the money from the wife we send the money to a shop..So he can give the family the needs and a little cash for grocery..

Also we are a large family and we decided to invest in one family at a time...So they work on their own..You know Somalis don't like to work, not all of them but so many of them, they assume we reap money from the trees...There are so many things to do back home..If they want to work wallee...

In our families we have people who made good use of the money and we have some who don't..We try to encourage more for those hard working non-kat eating group..