ADDIS ABABA UNIVERSITY SCHOOL OF GRADUATE STUDIES MAKING A BORDERLAND GOVERNABLE: THE ETHIOPIA- SOMALILAND FRONTIER BY TEZERA TAZEBEW AMARE ADDIS ABABA, ETHIOPIA JUNE 2017 MAKING A BORDERLAND GOVERNABLE: THE ETHIOPIA-SOMALILAND FRONTIER BY TEZERA TAZEBEW AMARE A THESIS SUBMITTED TO THE SCHOOL OF GRADUATE STUDIES OF ADDIS ABABA UNIVERSITY IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF THE MASTER OF ARTS (M.A.) IN INTERNATIONAL RELATIONS AND DIPLOMACY ADVISOR ASNAKE KEFALE (PhD) ADDIS ABABA UNIVERSITY COLLEGE OF SOCIAL SCIENCES DEPARTMENT OF POLITICAL SCIENCE AND INTERNATIONAL RELATIONS i ADDIS ABABA UNIVERSITY SCHOOL OF GRADUATE STUDIES COLLEGE OF SOCIAL SCIENCES DEPARTMENT OF POLITICAL SCIENCE AND INTERNATIONAL RELATIONS MAKING A BORDERLAND GOVERNABLE: THE ETHIOPIA-SOMALILAND FRONTIER BY TEZERA TAZEBEW AMARE APPROVED BY BOARD OF EXAMINERS ––––––––––––––––––––––––– ––––––––––––––––– –––––––––––––––– Advisor Signature Date ––––––––––––––––––––––––– ––––––––––––-––––– –––––––––––––-––– External Examiner Signature Date ––––––––––––––––––––––––– –––––––––––––––––– ––––––––––––––––– Internal Examiner Signature Date ii DECLARATION I, the undersigned, declare that this thesis is my original work and has not been presented for a degree in any other university and that sources of materials used for the thesis have been duly acknowledged. Tezera Tazebew June 2017 iii Acknowledgements The successful completion of this study would have not been possible without the incredible support of a number of individuals and institutions. The field research for this study was made possible by the financial support from the Danish Institute for International Studies (DIIS) and the Forum for Social Studies in Addis Ababa. I am deeply grateful to Asnake Kefale (PhD), my thesis supervisor, for his intellectual guidance and encouragement. At the DIIS, I’m greatly indebted to Finn Stepputat, who facilitated the grant and critiqued the chapters at various stages. This study was conducted on the basis of the different works of prominent scholars and authors.To the best of my ability, I have duly acknowledged and referenced all materials used in this work. I want my gratitude to be extended to all of them. Related to this, the interviewees and informants in both Addis Ababa and Jijiga also deserve special thanks. I want also to thank my fellow classmates at the Department of PSIR of Addis Ababa University for all their good words and deeds. Finally and most importantly, thanks to my family, to whom this thesis is dedicated, for everything else under the sun. iv Abstract Governance of frontier economic relations is considered as one of the functions of the Westphalian/Weberian state. Ethiopia had a long history of economic relations in its frontiers. Since the early 1990s, the Ethiopian state began to earnestly entrench its authority in the Ethiopia- Somaliland borderlands. This study examined the historical development, prevalent trends and prospects of economic relations and governance thereof in the Ethio-Somaliland frontier, with particular reference to the post-1991 period. The study employed the conceptual framework of frontier governmentality. In terms of research methodology, qualitative approach was employed. In this study, both primary and secondary sources of data were used.Accordingly, key informant interviewing, field research and document analysis were used to collect data. Qualitative method was used asdata analysis technique. The study identified several mechanisms of governance that the Ethiopian state instituted. As the discussion revealed, the institutional mechanisms applied have not yet achieved their purpose of making the borderland governable by the central state. Three elements are identified as impacting the weak institutional performance: lack of infrastructure, resistance by the local community and the fluidity of political status in these borderlands. This study also examined Ethiopia’s quest for port utilization in Somaliland as an experiment in the governmentalization of the frontier. Based on the empirical discussions, the study concludes thatestablishment of a centralized and territorial governance of economic relations in the Ethiopia-Somaliland borderlands is far from being completed. Key Words: Economic Governance, Borderland, Frontier Governmentality, Ethiopia-Somaliland. v Table of Contents Acknowledgements i Abstract ii Figures and Tables vi Abbreviations vii Chapter 1: Introduction 1.1.Introduction 1 1.2.Statement of the Problem 4 1.3.Objectives of the Study 6 1.3.1.General Objective 6 1.3.2. Specific Objectives 7 1.4.The Research Questions 7 1.5.Significance of the Study 8 1.6.Research Design and Methodology 8 1.6.1. Approach of the Study 8 1.6.2. Methods of Data Collection 8 1.6.3. Data Analysis and Interpretation 10 1.6.4. Ethical Issues 10 1.7.Delimitation of the Study 10 1.8.Limitations of the Study 11 1.9.Structure of the Study 11 Chapter 2: Frontier Governmentality: A Conceptual Framework 2.1. Introduction 13 2.2. Territory, Sovereignty and the State 14 2.3. Frontiers: Nature and Logic 17 2.4. Governance of the Frontier Economy 21 2.5. Governmentality: Meaning, Pillars and Application to Frontier Governance 25 2.6. Conclusion 32 vi Chapter 3: The Ethiopia-Somaliland Borderlands: A Geographical and Historical Background 3.1. Introduction 34 3.2. Ethiopia-Somaliland: Anatomy of a Borderland 34 3.3. The Ethiopia-Somaliland Boundary: A Historical Background 37 3.4. Historical Development of Frontier Economy in the Ethiopia-Somaliland Border: Evolution and Involution 45 3.4.1. Ancient Times (c. 3000 BCE-1270 CE) 46 3.4.2. The Middle Ages (C. 1270 CE-1855) 47 3.4.3. Modern Times (C. 1855-1991) 51 3.5. Conclusion 59 Chapter 4: Contemporary Trends of Economic Relations in the Ethiopia-Somaliland Borderlands 4.1. Introduction 61 4.2. Trade Relations in the Borderlands: Goods, Markets and Currencies 61 4.2.1. Formal Trade 62 4.2.2. Informal Trade 65 4.2.2.1. Factors for the Informal Trade 72 4.2.2.2. The Actors in the Informal Trade 73 4.3. Human Mobility in the Borderlands 75 4.3.1. Formal Human Mobility 75 4.3.2. Informal Human Mobility 77 4.4. Conclusion 80 Chapter 5: Governance of the Frontier Economy 5.1. Introduction 82 5.2. Controlling Wealth and People in the Frontier Economy 83 5.2.1. Small-Scale Border Trade 83 5.2.2. Franco-Valuta Regulations 86 5.2.3. Technical/Cross-border Cooperation 91 5.2.4. Anti-Contraband Task-Force 93 vii 5.2.5. The Militia 96 5.3. Technologies of Government: Augmenting Control through Infrastructural Power 99 5.4. Resisting State Control: Local Forms of Resistance and Regulation 103 5.4.1. Corruption: Can we do Without It? 104 5.4.2. Informal Use of Formal Institutions: The Case of Trade Licenses and Banks 106 5.4.3. Disuse of Technology and Infrastructures 108 5.4.4. The ‘Hidden Transcript’ of Refugees 110 5.5. The Making of Frontier Subjects: From Frontiersmen/women to Citizens 113 5.6. Conclusion 116 Chapter 6: Any Port in a Storm? Ethiopia’s Quest for Utilizing Ports in Somaliland 6.1. Introduction 118 6.2. Dependence on Djibouti: The Historical Context 119 6.3. Responding to Dependence: Ethiopia’s Policy Choices 121 6.4. Somaliland as an Alternative: Actors and Factors 123 6.4.1. Ethiopia-Somaliland Negotiations for Port Utilization 126 6.4.2. Implementing the Terms of the Agreements 129 6.5. The Geopolitical Factors: Present and Future 131 6.6. Conclusion 134 Conclusion 136 References Appendices viii List of Figures and Tables Figures Figure 3.1. Oscar J. Martinez’s Model of Borderlands Interactions 21 Figure 5.1. Ethiopia’s Somali Regional State, Road Network Map 102 Figure 6.1. Berbera Corridor Location Map 124 Tables Table 4.1. Ethiopia’s Exports through the Jijiga Branch 64 Table 4.2. Import-Export Contraband Items and their Value at Jijiga Branch, 2001-2008 68 Table 5.1. Total Revenue Forgone from the Jijiga Branch-ERCA 90 ix Abbreviations BoLSA Bureau of Labour and Social Affairs CBE Commercial Bank of Ethiopia DFSS Democratic Front for the Salvation of Somalia EMAA Ethiopian Maritime Affairs Authority ERA Ethiopian Roads Authority ERCA Ethiopian Revenues and Customs Authority ETB Ethiopian Birr FCITPTF Federal Contraband and Illicit Trade Prevention Task-Force FV Franco-Valuta GTP Growth and Transformation Plan HO Head Office IOM International Organization for Migration JBTC Joint Border Trade Committee Kg Kilogram Km Kilometer MEWIT Merchandise Wholesale and Import Trade Enterprise. MoFA Ministry of Foreign Affairs MoFED Ministry of Finance and Economic Development MoT Ministry of Trade MoU Memorandum of Understanding OAU Organization of African Unity OETA Occupied Enemy Territory Administration x ONLF Ogaden National Liberation Front SALF Somali-Abo Liberation Front SCA Somaliland Customs Authority SNM Somaliland National Movement SOSAF/SFF Somali Salvation Front SRS Somali Regional State SYL Somali Youth League UAE United Arab Emirates UN United Nations USD United States Dollar WSLF Western Somalia Liberation Front xi Map 1:The Somali Regional State in Ethiopia Source: SRS- Environmental Protection & Energy & Mines Resources Development Agency (2011). xii CHAPTER ONE INTRODUCTION 1.1. Background of the Study “In the beginning there were markets,” wrote the Nobel-prize winning economist Oliver Williamson (1975: 20). Economic relations are thus enduring features of human life. For any human community, economic relations are at the core of their very survival. Such interactions might occur at different levels including household, firm and national. These inherently entails various forms and modes of governance. The word ‘economy’ itself reflects this: etymologically, it was derived from the Greek oikonomia, meaning governance or management (of a household) (Partridge, 1966: 913). With the rise of territorial entities, the frontier has emerged as one important space in which economic relations occur. Hence, frontier economic relations dates back to the advent of political territory itself. Throughout history, these relations remained regular phenomena, producing both conflict and cooperation between the parties concerned (Anderson, 1996). The frontier and transfrontier relations always pose a governance challenge.