What is XARMAJO doing? Like seriously

[Ras]

Nazi germany might have come up with most efficient way. Unprecedented how quickly they grew and easily managed to handle the affairs of the states they occupied. Somalia should become self sufficient in agriculture and textiles then print our own money

Inshallah but we'll need a different system for it. Posted an idea to implement it below. Just look for the break.

Your biggest foreign currency expense is importing knowledge.

Also these types of closed loop systems are inherently unstable because others could come in underprice you to take the pillars you've built your economy on.

This mainly because of the inefficiencies in your system.

The reason why we trade globally is to lower that inefficiency through specialization.

Look into comparative advantage trading.

These things you're thinking of has already been experimented with in the last century with not just Nazi Germany but also post colonial Africa and India.


It could help with quickly mobilizing a non productive population but it quickly loses steam after a while due to multiple reasons.


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I think we'll need some sort of hybrid system with possibly using more than one national currency.

Sounds crazy but it could be a solution to the drawbacks of the closed economy you're after.

Maybe a conventional Fiat currency initially pegged to the dollar and a public bond note as incentive for the population to participate in public works projects.

Help the government build farms, highways, factories etc and in return the government pays you in bond notes.

I.e. a standard bond issuance but instead of asking for money from the global debt markets the government trades it for time & skills of the population.

Then the government could pay for those bonds by taxing a more productive economy and paying out a decent yield.

Bond holders could then either hold on to those bonds & receive loan payments or sell them on the public market for the national currency.

100,000 Somalis donating just 10 hours a week on these public work projects could with proper management provide over 1.5-2.5 billion dollars a year of value per year ($20-$50/hr productivity value).

That probably would be the cheapest way for the government to finance development & train a labor force at the same time.

If the payout of the bond was at 10%, each person could probably make around $5/hr and the government would've made 10x that.


If just 10% of the population participated for 10 hours a week the government could implement 30 billion dollars worth of projects every year.

At most they'll spend a couple billions in importing knowledge and equipment we can't produce domestically.

 

[nomand]

Somali will suck until we get competent leaders

competent leaders like sharmaake who sold the somali seas

 

[nomand]

its all but given that farmaajo will get a second term, don't let a few mucaarads and internet trolls fool you. if farmaajo was half as unpopular as they claim he would have been impeached a long time ago by the parliament.

this is sharif former president https://www.caasimada.net/shariif-oo-rajo-xumo-ka-muujiyey-doorashada-2020/

he is losing all hope on winning the election in 2021, remember hassan sheikh and sharif hate each other but to stand a chance against farmaajo they formed an alliance. even with the alliance they cant win.

so ladies and gentlemen prepare 4 more years of farmaajo. then 8 more years of kheyre

VIVA N&N

 

[SouthSomaliDemond]

standard bond issuance but instead of asking for money from the global debt markets the government trades it for time & skills of the population.

This is exactly what I was talking about but we don’t need a fiat currency and that. I’m not talking about being closed off either I’m talking about saving industries that every country neeeds. The EU has like a 25% tariff on agricultural products while we get our food from what the habesha have left. By investing in those basic industries and providing cheap housing like the premodulated homes it would start economic growth and expansion. Somalis every where are successful we jus need a gov that will do those basic things

 

[Rationale]

Inshallah but we'll need a different system for it. Posted an idea to implement it below. Just look for the break.

Your biggest foreign currency expense is importing knowledge.

Also these types of closed loop systems are inherently unstable because others could come in underprice you to take the pillars you've built your economy on.

This mainly because of the inefficiencies in your system.

The reason why we trade globally is to lower that inefficiency through specialization.

Look into comparative advantage trading.

These things you're thinking of has already been experimented with in the last century with not just Nazi Germany but also post colonial Africa and India.


It could help with quickly mobilizing a non productive population but it quickly loses steam after a while due to multiple reasons.


----------------


I think we'll need some sort of hybrid system with possibly using more than one national currency.

Sounds crazy but it could be a solution to the drawbacks of the closed economy you're after.

Maybe a conventional Fiat currency initially pegged to the dollar and a public bond note as incentive for the population to participate in public works projects.

Help the government build farms, highways, factories etc and in return the government pays you in bond notes.

I.e. a standard bond issuance but instead of asking for money from the global debt markets the government trades it for time & skills of the population.

Then the government could pay for those bonds by taxing a more productive economy and paying out a decent yield.

Bond holders could then either hold on to those bonds & receive loan payments or sell them on the public market for the national currency.

100,000 Somalis donating just 10 hours a week on these public work projects could with proper management provide over 1.5-2.5 billion dollars a year of value per year ($20-$50/hr productivity value).

That probably would be the cheapest way for the government to finance development & train a labor force at the same time.

If the payout of the bond was at 10%, each person could probably make around $5/hr and the government would've made 10x that.


If just 10% of the population participated for 10 hours a week the government could implement 30 billion dollars worth of projects every year.

At most they'll spend a couple billions in importing knowledge and equipment we can't produce domestically.

I dont know much about economics, but this sounds alot like Keynesian economics with touch of communism.
Very interesting.

 

[Ras]

I dont know much about economics, but this sounds alot like Keynesian economics with touch of communism.
Very interesting.

It's not necessarily communism. It's pure capitalism with a pinch of even more cspitalism.

The volunteering is like the name says optional but they get full compensation for the work they do.

Government do this all the time but instead sell the bonds to investors first and use the cash to employ workers then pay back the investors.

In our case we skip those global investors and offer the bond/sukuk to whoever's willing to get trained up and work.

Like I said they can take the bond notes and immediately sell it on the open market to turn it into hard cash to feed their families.

Alternatively they can hold on to it and earn 10% of what they put in every year.

Might sound small but it's 5x more than what most earn today ($5≈/hr).

-------


The only issue is that by the time we could implement this Shell & Total would own all our oil & Gas deposits, Rio Tinto all our mineral deposits and Danone would've reserved all our arable land with the way our past governments operated.

 

[Ras]

This is exactly what I was talking about but we don’t need a fiat currency and that. I’m not talking about being closed off either I’m talking about saving industries that every country neeeds. The EU has like a 25% tariff on agricultural products while we get our food from what the habesha have left. By investing in those basic industries and providing cheap housing like the premodulated homes it would start economic growth and expansion. Somalis every where are successful we jus need a gov that will do those basic things

Protectionism only works when 1. You have all the necessary resources which we don't & 2. We have enough power or influence to control our own destiny.

If one African country successfully implemented protectionism (not from other Africans but multinationals) then big corporations that exploit African resources or dump consumer goods to third world countries would see us as a threat and would work to undermine us.


Why fight against the current when we can go along with the current status quo and still benefit from it once we have some decent governance?