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Understanding the Horn: Ethiopian Xenophobia and State Building Strategies

The events that are currently unfolding in Somalia, whether it is the hijacking of a supertanker off the coast of Somalia or the rapid advance toward Mogadishu by Al Shabaab, has Ethiopia greatly concerned. The Transitional Federal Government that was constructed in Somalia only two years ago is on the verge of collapse as a result of attacks by the radical Islamist group Al Shabaab. In order to prevent the TFG (Transitional Federal Government) from collapsing, Ethiopia alongside the African Union must defeat Al Shabaab or suffer the possible outcome of a second Ogaden War.

Reasons for Xenophobia

The reason for Ethiopian xenophobia was the Somali invasion of Ethiopia on July 13, 1977. During this period the Somali National Army as well as the Western Somali Liberation Front had crossed the Somali border and proceeded to conquer much of the Ogaden region within Ethiopia. (This area has long been claimed by both countries ever since Britain relinquished control to Ethiopia on September 23, 1948) Nearly sixty percent of this region fell into the hands of the SNA (Somali National Army) and the WSLF (Western Somali Liberation Front).[1] The latter was a separatist group already operating within the Ogaden region prior to the start of the war. After the downfall of Haile Selassie, Emperor of Ethiopia, Somalia had began backing the WSLF and eventually joined forces with the rouge group to prepare an invasion of the Ogaden region.

During the war the Soviet Union was initially providing arms to both sides. However, it decided to continue supplying weapons only to Ethiopia after a ceasefire negotiation failed. In addition to Soviet Advisors on the ground, Cuba had also sent troops to support Ethiopia[2] As a result of troop commitments by both the Soviet Union and Cuba, Ethiopia and her allies were able to cause enough casualties on Somalian forces that Siad Barr, president of Somalia, recalled all Somali forces from the Ogaden region on March 9, 1978. However, the WSLF continued to assault Ethiopian forces in the Ogaden and eventually gained control in many areas. It wasn’t until about three years after the Ogaden war did Ethiopia regain control of the entire area of the Ogaden. Even then, the WSLF continued to attack soldiers using guerrilla style tactics.

Can Somalia Still be Saved

There is evidence that Somalia has not been a terrorist safe haven as many would think. According to the Brooking Institution, Al Qaeda has not yet established a presence. No Somali figure has been in the hierarchy of that global terror network. Terror acts inside that country have been relatively minute. Finally, Islamist movements compared to surrounding countries have been low level.[3] However, the recent events involving Al Shabaab show that the tide is turning for the worst in Somalia.

There have been many events that have triggered such a strong militant reaction to the establishment of the TFG. For one, the president Abdullahi Yusuf is pro Ethiopian and anti Islamist which doesn’t make the TFG look legitimate. What it does accomplish is inspire fierce hatred for the TFG and its supporters within the Islamic community in Somalia. This could be the reason why radical Islamists have been able to solidify a political base in Mogadishu.

Another interesting point to be made is that instead of Somalia being a terrorist safe haven, what it actually does end up being is a logistical point within an extremely congested area. There are smugglers that transport money, materials as well as “human capital” to support jihadist efforts in other regions. In an effort to close this transshipment point, the United Nations, Ethiopia as well as the United States helped establish the TFG. The strategy was to create and support a strong central government that could restore law and order within a nearly lawless country. I say nearly lawless because in many parts of the country, Shari’a courts and Islamic institutions provide for much of the law enforcement. The latter must be understood if any outside force hopes to establish order within Somalia.

Somalia can see the day where peace and prosperity reign and radical Islamism is quelled. But first there needs to be reform regarding the TFG leadership structure. First, the current president Abddullahi Yusef must be replaced by a progressive or conservative Muslim figure that is capable of preaching and committing acts of tolerance for all types of Islam except radical. Second, the United Nations as well as the allies of Somalia must support these moderate, progressive and conservative Islamists in order to put pressure on the radicals and destroy their base of support within Somalia.

In defense of Islam

In addition, there is also confusion regarding the different types of Islam. For example, in Somalia there exist three main types: Progressive, conservative and radical.[4] The latter is the type that is most often portrayed in newspapers across the world. However, these same new articles persuade many readers into thinking that every Muslim woman with a hijab is a terrorist and every Muslim man with a beard is a threat. The opposite is actually true. For instance, the vast majority of Muslims in Somalia are relatively progressive reformers that want security and economic prosperity for the country. But the minorities of Muslims, the radicals, cause instability throughout the country by the means of violent attacks and incoherent slogans which distorts the real teachings of the holy book such as giving money to the poor and fasting in order to identify with the needy.

Rebuilding the Economy

One of the first examples to look at is Somaliland in northern Somalia. Even as the southern part of Somalia continues to deteriorate, the northern part is experiencing prosperity. For example, according to Call and Wyeth, Somaliland maintains a high level of public security, has constructed a functional state structure which consists of police, municipalities, ministries and legislature, and has attracted millions of dollars of investment which is flowing into real estate and service sector businesses.[5]  Moreover, they also collect most of their taxes from the seaports and borderlands in the way of custom duties.

In addition to the governmental reconstruction, Somaliland has focused on demobilization of its militiamen in that region. They understood that in order to rebuild their economy, they first need security to do so. The solution that Somaliland has construed was to pay salaries to the former militiamen so they would not have to engage in criminal activity in order to support themselves. If we study the southern part of Somalia we see that criminal activity runs rampant in those areas due to the lack of gainful employment. Kidnappings, piracy and territorial conflicts are seen daily in newspapers around the world. There is no doubt that Somaliland has been successful in its massive demobilization efforts. As a result, the economy has grown. The TFG must replicate this strategy until it is strong enough to take on the radicals by force.

The final part of this article focuses on Special Economic zones (SEZ) and the construction of a Human Resources Administration. Many Asian and African countries have implemented these strategies to increase economic activity in their respective regions. There are numerous benefits of creating SEZ’s. One is employment generation[6]. If there is any country that lacks in this area its Somalia. Within these zones, Somalia should provide a 5 year tax free initiative to lure international companies that build factories in Somalia. By doing so, tens of thousands of jobs will be created which will then increase the tax base which is vial in any emerging economy. In addition to the income taxes, custom taxes will increase as well due to an influx of trade. Per capita income will increase boosting the buying power of many Somalis. As a result of this increase of buying power, real estate values will increase creating addition wealth for the Somalis.

Foreign direct investment is also a byproduct of the creation of SEZ’s. FDI is extremely important to developing economies because it involves the transfer of technology, increases human capital development and it also strengthens the corporate structure of the host country because it allows them to learn how the developed world does business[7] This is an extremely crucial part of developing the economy of Somalia. The reason being is that pastoral nomadism and agriculture has been the main driver of productivity[8]. The absences of skilled labor will only increase productivity to a certain point. By encouraging the influx of FDI by the means of SEZ’s, Somalia can begin to educate its workforce and develop critical skills in all areas of skilled labor from computer technology to the manufacture of automobiles.

The construction of a Human Resources Administration is needed to provide the initial jolt to the economy. For example, the New York City Human Resources Administration provides public assistance, food stamp and cash assistance to the neediest of families in the New York Metro area. These food stamps and cash assistance programs inject billions of dollars into the local economy. The FS benefits are spent at local grocery chains as well as mom and pop stores. These businesses then experience increased sales and end up paying more taxes. Moreover, the cash assistance and public assistance portion are spent on utility bills and rents in the local areas further enriching real estate investors and local companies. By implementing this plan, many Somalis would no longer have to worry about committing criminal activity in order to feed their families. We have all too often seen this type of behavior in regions around the world where jobs are lacking and families go hungry. Local militiamen then approach individuals and offer them work in exchange for mischievous acts. Then the destabilization process begins and we end up with a failed state like southern Somalia.

If readers can extract any logical strategies from this article, it would be that security is the key to building the economy and the economy is the key to state building. This concept is much like the levees in New Orleans. Economic opportunity is the levee that provides protection against extremism. If the levee is broken, the waves of radical ideas will flood the area drowning those that had any hope of increasing their standard of living by means of gainful employment. As a result of the decrease in employment, militias form and begin blaming the state for their woes and the insurgency begins.

[1] Winkipedia., Ogaden War Novermber 17, 2008.< http://en.wikipedia.org/wiki/Ogaden_War>

[2] Globalsecurity.org Ogaden War.November 17, 2008 http://www.globalsecurity.org/military/world/war/somalia3.htm

[3] Brookings Institution. Battling Terrorism in the Horn of Africa. 2005.

[4] [4] Brookings Institution. Battling Terrorism in the Horn of Africa. 2005. P 25

[5] Call, Charles T., and Vanessa Wyeth, eds. Building States to Build Peace. Lynne Rainer Publishers: International Peace Institute, 2008.

[6] The World Bank Group. Special Economic Zones: Performance, Lessons Learned, and Implications of Zone Development. 2008

[7] Federal Reserve Bank of Dallas. Does Foreign Direct Investment Help Emerging Economies? http://www.dallasfed.org/research/eclett/2007/el0701.html >

[8]  Call, Charles T., and Vanessa Wyeth, eds. Building States to Build Peace. Lynne Rainer Publishers: International Peace Institute, 2008. P. 199

About the Author

Frank Lorenzo is a graduate from the College of Staten Island. He majored in Economics and minored in Political Science. He can be contacted at florenzo1@si.rr.com.

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