The Role of the Somali Diaspora in Relief, Development and Peace-Building
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Cash and Compassion: The Role of the Somali Diaspora in Relief, Development and Peace-building Report of a Study Commissioned by UNDP Somalia By: Laura Hammond (Team Leader), Mustafa Awad, Ali Ibrahim Dagane, Peter Hansen, Cindy Horst, Ken Menkhaus, Lynette Obare January 2011 Volume I Draft for Comments Corresponding author: Laura Hammond: [email protected] Contents Summary ............................................................................................................................................ 1 Objectives/Rationale ........................................................................................................................... 1 Conceptual Framework ....................................................................................................................... 2 Mapping the Senders .......................................................................................................................... 3 Means of Transfers ............................................................................................................................. 5 Mapping the Recipients ...................................................................................................................... 6 Maximising the impact of diaspora support ....................................................................................... 7 Recommendations .............................................................................................................................. 8 1. Introduction ................................................................................................................................. 11 1.1 Rationale ..................................................................................................................................... 11 1.2 Objectives and Scope of the Study ............................................................................................. 12 1.3 Structure of the Report ............................................................................................................... 13 1.4 Review of research and experience of diaspora engagement .................................................... 13 1.5 Conceptual Framework .............................................................................................................. 14 1.6 Concepts used in this report ....................................................................................................... 18 2. Methodology ................................................................................................................................ 22 2.1 Quantitative Survey in Somalia/Somaliland ............................................................................... 23 2.1.1 Localities covered ............................................................................................................ 23 2.2 Research conducted in the Diaspora ......................................................................................... 24 2.3 Other research tools .................................................................................................................. 24 2.4 Context of the Study .................................................................................................................. 24 3. Mapping the diaspora .................................................................................................................. 26 3.1 Overview ..................................................................................................................................... 26 3.2 United Kingdom ......................................................................................................................... 27 3.3 Norway ....................................................................................................................................... 28 3.4 United States .............................................................................................................................. 29 3.5 Canada ........................................................................................................................................ 30 3.6 United Arab Emirates (Dubai) .................................................................................................... 31 3.7 Kenya .......................................................................................................................................... 31 4. Mapping the Senders ................................................................................................................... 32 4.1 Individual households ................................................................................................................. 32 4.2 Local NGOs based in the diaspora ............................................................................................. 33 4.3 Clan-based and Home Town Associations ................................................................................. 34 4.4 Professional Associations ........................................................................................................... 35 4.5 Transnational Associations ........................................................................................................ 36 4.6 Mosques ..................................................................................................................................... 36 4.7 Private Investors and Shareholders in Private Companies ........................................................ 37 4.8 Board of Trustees members ....................................................................................................... 39 4.9 Women’s groups ........................................................................................................................ 39 4.10 Youth (or ‘Second Generation’) Groups ................................................................................... 39 5. Means of Transfers ..................................................................................................................... 40 5.1 Collective Fundraising ................................................................................................................ 40 5.2 Innovation Borrowed from Diaspora Countries ......................................................................... 41 5.3 The Hawala System ................................................................................................................... 42 5.3.1 Regulation of the Remittance Sector .............................................................................. 44 5.3.2 Transfer of Charitable Contributions .............................................................................. 45 5.4 In-kind Support........................................................................................................................... 45 5.4.1 Technical Support............................................................................................................ 46 6. Mapping the Recipients .............................................................................................................. 48 6.1 Remittances to Individual families ............................................................................................. 48 6.1.1 Putting Remittances in Perspective ................................................................................. 49 6.1.2 Impact of the Global Economic Crisis.............................................................................. 52 6.1.3 Pressure on the Senders of Remittances ........................................................................ 52 6.1.4 What do people use remittances for? ............................................................................ 53 6.2 Local NGOs .................................................................................................................................. 54 6.2.1 Somaliland ....................................................................................................................... 56 6.2.2 Puntland .......................................................................................................................... 58 6.2.3 South/Central .................................................................................................................. 58 6.3 Social Service Providers .............................................................................................................. 60 6.3.1 Main Findings ................................................................................................................... 61 6.3.2 Somaliland ....................................................................................................................... 62 6.3.3 Puntland .......................................................................................................................... 66 6.3.4 Security ............................................................................................................................ 67 6.3.5 Return visits ..................................................................................................................... 68 6.3.6 Accountability................................................................................................................. 69 6.3.7 Sustainability ................................................................................................................... 70 6.3.8 Potential role of the UN and the international