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African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context

The analysis of the African Development Bank's infrastructure investments in Somalia as a Multilateral Development Bank was the main focus of this study. The rationale behind AfDB investments in Somalia, which is unstable politically and economically - and faces terrorism as a threat - was examined....

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Main Author: Karaca, Resul
Other Authors: Chitonge, Horman
Format: Thesis
Language:English
English
Published: African Studies 2025
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access_status_str Open Access
author Karaca, Resul
author2 Chitonge, Horman
author_browse Chitonge, Horman
Karaca, Resul
author_facet Chitonge, Horman
Karaca, Resul
author_sort Karaca, Resul
collection Thesis
description The analysis of the African Development Bank's infrastructure investments in Somalia as a Multilateral Development Bank was the main focus of this study. The rationale behind AfDB investments in Somalia, which is unstable politically and economically - and faces terrorism as a threat - was examined. To be able to assess this rationale, the framework for infrastructure development theory was used because it assesses the relationship between infrastructure investments and economic development in general by looking at the contributions of various infrastructure investments. In this study, AfDB investments in Somalia are evaluated within this framework. This theory contends that infrastructure investments, as an input factor, contribute to economic development by lowering unemployment and poverty. To gather the data and draw the appropriate conclusions, semi-structured interviews with NGOs, individuals who are involved in AfDB Somali fund, and Somali officials who oversee these investments were conducted. Additionally, secondary data was used to supplement interviews, the primary data source, and to determine investment statistics. In the case of Somalia, information about the most recent status of these investments as well as information about the issues encountered in the investment environment were revealed, in addition to the context for justifying infrastructure investments. This study concluded that AfDB is attempting to use its infrastructure investments to increase the legitimacy of government institutions in Somalia in order to counteract terrorist groups. Although AfDB has been very successful in water and sanitation and capacity-building projects, the size of current investments makes it impossible for the energy investments and road infrastructure program to be as successful. Therefore, increasing AfDB's investment volume is of great importance. In its current state, this volume of investment militates against the goals of reducing the legitimacy of terrorist organizations and increasing the visibility of public power nationwide. AfDB should also continue to assist Somalia in achieving the Heavily Indebted Poor Countries (HIPC) completion point, which is crucial for increasing its infrastructure spending. Thus, this study adds new knowledge about why AfDB, a regional multilateral development bank, continues to make investments in a nation with unfavorable political and economic conditions.
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institution University of Cape Town (South Africa)
language English
eng
last_indexed 2026-06-10T12:48:28.294Z
license_str Not specified — see source repository
provenance_str_mv Harvested via OAI-PMH from UCTD — University of Cape Town Open Access Repository
publishDate 2025
publishDateRange 2025
publishDateSort 2025
publisher African Studies
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source_str UCTD — University of Cape Town Open Access Repository
spelling oai:open.uct.ac.za:11427/41709 African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context Karaca, Resul Chitonge, Horman Somalia Funding The analysis of the African Development Bank's infrastructure investments in Somalia as a Multilateral Development Bank was the main focus of this study. The rationale behind AfDB investments in Somalia, which is unstable politically and economically - and faces terrorism as a threat - was examined. To be able to assess this rationale, the framework for infrastructure development theory was used because it assesses the relationship between infrastructure investments and economic development in general by looking at the contributions of various infrastructure investments. In this study, AfDB investments in Somalia are evaluated within this framework. This theory contends that infrastructure investments, as an input factor, contribute to economic development by lowering unemployment and poverty. To gather the data and draw the appropriate conclusions, semi-structured interviews with NGOs, individuals who are involved in AfDB Somali fund, and Somali officials who oversee these investments were conducted. Additionally, secondary data was used to supplement interviews, the primary data source, and to determine investment statistics. In the case of Somalia, information about the most recent status of these investments as well as information about the issues encountered in the investment environment were revealed, in addition to the context for justifying infrastructure investments. This study concluded that AfDB is attempting to use its infrastructure investments to increase the legitimacy of government institutions in Somalia in order to counteract terrorist groups. Although AfDB has been very successful in water and sanitation and capacity-building projects, the size of current investments makes it impossible for the energy investments and road infrastructure program to be as successful. Therefore, increasing AfDB's investment volume is of great importance. In its current state, this volume of investment militates against the goals of reducing the legitimacy of terrorist organizations and increasing the visibility of public power nationwide. AfDB should also continue to assist Somalia in achieving the Heavily Indebted Poor Countries (HIPC) completion point, which is crucial for increasing its infrastructure spending. Thus, this study adds new knowledge about why AfDB, a regional multilateral development bank, continues to make investments in a nation with unfavorable political and economic conditions. 2025-09-08T06:52:51Z 2025-09-08T06:52:51Z 2025 2025-09-08T06:48:20Z Thesis / Dissertation Masters Masters http://hdl.handle.net/11427/41709 en eng application/pdf African Studies Faculty of Humanities University of Cape Town
spellingShingle Somalia
Funding
Karaca, Resul
African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
thesis_degree_str Master's
title African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
title_full African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
title_fullStr African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
title_full_unstemmed African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
title_short African development bank infrastructure investments in Somalia: an analysis of multilateral development funding within a high-risk socio-economic and political context
title_sort african development bank infrastructure investments in somalia an analysis of multilateral development funding within a high risk socio economic and political context
topic Somalia
Funding
url http://hdl.handle.net/11427/41709
work_keys_str_mv AT karacaresul africandevelopmentbankinfrastructureinvestmentsinsomaliaananalysisofmultilateraldevelopmentfundingwithinahighrisksocioeconomicandpoliticalcontext