Source:
Ports - vesseltracker.com
www.vesseltracker.com
As discussed previously, Bosaso is a dying port, we all know this. I am just surprised that now Kismayo has surpassed it in activity.
This should be very alarming for Puntland region as Bosaso is their largest source of revenue.
The World Bank published a paper in June, estimating the revenue shortfalls in various jurisdictions as follows:
Revenue losses projected to be:
-18% in Somaliland
-68% in Puntland
-90% in Jubaland
Whilst 18% revenue shortfall in Somaliland is not ideal, this is inline with what countries around the world are experiencing, the UK for example is seeing its national income fall by 20%. On the other hand, the near 70% drop of revenue in Puntland is catastrophic, essentially nothing else in Puntland is generating income for the government other than Bosaso.
The World Bank quantified these revenue losses in accordance with dependence on trade-related taxes, as follows:
US$36.7 million in Somaliland (18% revenue losses)
US$26.6 million in Benadir (percentage unspecified)
US$45.9 million in Puntland (68% revenue losses)
US$15.7 million in Jubaland (90% revenue losses)
The declining volume of trade in Bosaso, and subsequent $45.9 million revenue shortfall is a huge hit on the Puntland economy, to the tune of almost 70% loss in revenue, whereas a $36.7 million shortfall in Somaliland only makes for an 18% decline due to Somaliland's larger economy.
This is going to get more grim for Puntland as volumes at Bosaso continue to decline.