Carpe Diem Djibouti! With global trade becoming increasingly competitive, small countries that lack substantial natural resources, technological advancements and model infrastructural setups are at the mercy of unforgiving market forces. Believe it or not, but one such country does exist. The odds are greatly stacked against them. With a population of about 903,0001, all concentrated in the countrys capital, it says volumes about economic set up and general opportunities in the country as a whole. To make matters worse, Djibouti is located in a portion of Africa besieged by instability and conflict. This combination of unfavorable statistics, geology and infrastructure are surely not the sort of cards any leadership would like to be dealt in a globally competitive game where the winner takes all.
There are various ways to view a situation. The Djiboutian leadership understand this very well in my personal opinion. Knowing their place has enabled them to strive for a better position or better still, to brighten their corner. They have taken the initiative to become regional giants in the midst of the chaos and uncertainty that surrounds them. When the dust settles, they will have a comfortable lead. Sound economic and political decisions will be responsible to Djiboutis call to fame and advancement.
Located at the southern entrance to the red sea, the port of Djibouti is strategically positioned and placed at the major international shipping lanes connecting Asia, Africa and Europe. Now this position can be abused or its potential profitably tapped to benefit the country and her neighbors who rely on her. As mentioned earlier, Djibouti is surrounded by countries facing internal conflict and land locked countries who are or have been affected adversely by the conflict surrounding them. With a majority of goods coming in from Asia and and Europe, the land locked countries that would normally rely on the ports in larger countries with ports are left with no other choice that to rely on Djibouti. Realizing this, Djibouti has made substantial investments into her ports and gradually expanded her reach within the sub region. It is her target to become a major player in the Common Market for Eastern and Southern Africa (COMESA).
Since 1998, they have handled all of Ethiopias maritime traffic2. Their ambition is evident in the way they have branded themselves, introducing the notion that they are the regional hub that links 19 countries and 138 million people. Looking into the future, they have launched a master plan to ensure that other parts of the country also receive equal attention. This plan involves building another large capacity port in the city of Tadjoura. The plan also includes the improvement of existing infrastructure and the building of new ones to help develop that section of the country. There is already a spawning interest in that project from international businessmen who have a heightened interest in mineral deposits in Ethiopia. This would give Djibouti a share of the mineral wealth of Ethiopia. All this growth and expansion helps creates jobs and spins of new businesses that provide a variety of services. Yet another port is being built to explore what little mineral wealth is found in Djibouti. Lake Assal, located in central western Djibouti,is the worlds largest salt reserve. To better exploit this asset, a new port is being constructed in Goubet to streamline the export of salt and gypsum from the lake. An estimated 5 million tons of salt produced yearly should make Djibouti a contender in the global salt trade. Whatever growth the countries that rely on Djibouti for trade experience, Djibouti stands to gain. This will thus require Djibouti to have a more friendly and involved foreign policy in the region.
Having chosen a pathway for development, the government of Djibouti is well aware of the obstacles they will encounter. Being an advantage, their location can quickly turn to become more detrimental to their development. Located in a volatile region, puts a lot of security pressure on their budget. Their chosen path could draw potential extremist activities to their turf. It is a well known fact that such groups and organizations thrive in chaos and promote anarchy. Should a force like this surface in Djibouti, their security apparatus will be well overwhelmed. A small kid who walks home with the big boys is seldom or never bullied. Once again, Kudos to the leadership of Djibouti. Already maintaining the presence of French troops in the country, they have gone a step further to allow the United States to have a military base in the country. This will bolster their security and improve investor faith in their stability as a nation. Their position is ideal for the United States also, being close enough to the middle East for them to launch operations from. They also use the base to monitor and protect the international trade routes from pirates that plague the region. There is a mutual benefit for the interests of both countries. Growth requires stability and security, France and America provide that. America needs a presence in the region to keep tabs on her interests both in the sub region and the middle east, Djibouti provides that. Needless to say, but Djibouti will also benefit from training and logistical support from her guests to help bolster her ability to maintain her security and sovereignty.
Security and prosperity are the key to improving the well being of a people. Djibouti seems to have found not just the recipe, but have also home grown the ingredients necessary to complete the dish. Other aspects of the economy which rely on security, and infrastructural development will gradually pick up as the peace, stability and wealth creation gains traction.
This type of news is hard to come across in western media. The African success story in the making. Being of African origin, and the fact that I had to do substantial reading and research to come across all this information about Djibouti, nothing surprises me. Besides, I prefer the silence. Knowing how the media blows news out of proportion, a reportage on this successful partnership will only attract unwanted attention to this small country that is bracing itself to do big things. Personally, I am also at fault for not expecting such big strides from Djibouti. I have always been of the impression that small countries with little or no natural resources do not stand much of a chance in world trade. There is still more to learn about Africa, the knowledge to be gained is as vast her cultural and language diversity. Partnerships do make a difference, the difference is determined by the gains and losses to the parties involved. My stereotypical view of the region wrongly encompassed Djibouti, and I had a rather uninformed picture of Djibouti. I am impressed by her dreams and achievements. Carpe Diem Djibouti!!
REFERENCES
1United Nations, Department of Economic and Social Affairs, Population Division (2013). World Population Prospects: The 2012 Revision, DVD Edition.
2www.portdedjibouti.com