Rural Economic Development
Why it matters?
Why it matters?
Reviving local economies refers to promoting local economic development (LED) in villages, small towns, secondary cities and their surrounding hinterland. Historically, Somalia rural communities have been organized as integrated territorial system of rural areas, villages, small town and regional centers, with different level of service and production.
Despite the current challenges, Somalia rural communities remain the country's economic backbone, contributing more than 60% of the GDP, employing 45% of the population and producing 95% of the country's export (World Bank 2018).
In addition, the future of the country's food security also depends on the ability of restore rural livelihoods and economic systems. According the World Bank, restoring agriculture sector (farming and livestock) is four times greater than the potential growth from other sector. Investment in agribusiness produces also significant multiplier effects through employment, income generation, inclusive growth and value-added enterprises.
Reviving the agriculture sector present enormous opportunities for food security, poverty alleviation, employment and income generation. The National Development Plan (NDP) recognized that the agriculture sector is a key priority to build a more diversified and resilient local economy that generates dependable and productive jobs and widespread benefits. In addition, Somalia is one of the fastest growing countries in the world with average fertility rate of 6.2 births per women and more than 70% of the country’s population is under the age of 30 years.
Despite the current challenges, Somalia rural communities remain the country's economic backbone, contributing more than 60% of the GDP, employing 45% of the population and producing 95% of the country's export (World Bank 2018).
In addition, the future of the country's food security also depends on the ability of restore rural livelihoods and economic systems. According the World Bank, restoring agriculture sector (farming and livestock) is four times greater than the potential growth from other sector. Investment in agribusiness produces also significant multiplier effects through employment, income generation, inclusive growth and value-added enterprises.
Reviving the agriculture sector present enormous opportunities for food security, poverty alleviation, employment and income generation. The National Development Plan (NDP) recognized that the agriculture sector is a key priority to build a more diversified and resilient local economy that generates dependable and productive jobs and widespread benefits. In addition, Somalia is one of the fastest growing countries in the world with average fertility rate of 6.2 births per women and more than 70% of the country’s population is under the age of 30 years.