Page 9 - Azerbaijan State University of Economics

Hashim Al-Ali: Towards a realistic medium term macroeconomic and fiscal framework and
outlook for the Somali national economy (2017- 2019)

• The selection of the potentially feasible and economically viable sectoral composition of
growth of the Somali economy.

v It is a fact in Somalia the main poverty is concentrated in the rural areas, and has wedged
harmfully the rural segment of the Somali population. Thus, adopting the right policy that
developing, supporting and creating sustainable growth of activities associated with the rural
population, is of a paramount importance and high priority, in Somalia. Therefore, devising and
implementing policies that focus on developing sectors such as; agriculture, livestock, fisheries,
associated infrastructure activities, related manufacturing industries and marketing should take the
lead in Somali national development efforts for years to come, starting within the national
development plan (NDP) period. However, to gain and capture the positive trends of such sectoral
development policy, this policy should be supplemented and supported by appropriate taxation
system, particularly, custom duty and trade tariff policy, monetary policy including exchange rate
policy, investment promotion strategy, industrial and marketing efficiency, and trade effective policy.

With the above broad macroeconomic, fiscal and financial strategic policy, I would like to,
briefly, list some of important policies that would be considered for activation and
implementation during the SNDP period and thereafter. These are:

Economic Policies

§ Enhancing the productivity of high priority sectors of the economy and related value-chains,
including through rehabilitation and expansion of critical infrastructure for transportation, market
access, capacity, trade and availability of energy;

§ A national fisheries authority (NFA) established and functioned with mandate to manage,
conserve and administer the highly migratory pelagic stocks within the Somali national water
zone;

§ Sustainably increase livelihood support across fishing value-chain;

§ Putting in place a comprehensive national agriculture strategy (CNAS) highlighting federal
and regional priorities as well as setting out the working arrangement between the sector’s
stakeholders;

§ Reestablishment of agriculture research centers in the country and by region;

§ Diversifying and increasing the agriculture crops mix and production;

§ Putting in place effective regulations and rules for production and importation of Seeds,
Fertilizers and Pesticides and thereafter optimal distribution;

§ Enhancing the growth and strengthening the type, quality and level of livestock exportation, as
well as establishing nationally linked quarantine, disease control and certification centers
complying with international standard. Hence, improving livestock quality, health and production.

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