Prospects of Cooperation with Anguilla and Somalia - Research Paper Example

Anguilla and Somalia November 28, Introduction. A nation’s economy is includes the demand andsupply of its products and services. The research delves on two nations’ gross domestic product (GDP) and gross national product (GNP). The research delves on both Somalia and Anguilla’s demographic and other factors. One nation’s viable acts include engaging in economic, cultural, and political ties with Anguilla and Somalia. Aims/Objectives/Goals. The aims, objectives, and goals are focused on determining whether it is viable to establish economic, cultural, and political ties with Anguilla and Somalia. Consequently, the research aims to gather enough evidences to support thesis statement. Method of Approach and Data Collection Techniques. The method of approach and data collection techniques focuses on gathering secondary references. Secondary references include related websites and books. The references are used to support the thesis statement. Research is defined as a scientific investigation to solve a problem. Research is the transition from the currently unknown to the validly known aspect of a topic. Since Research is an academic matter, the research includes establishing a thesis statement, indicating the problem, generating the findings, and coming up with a conclusion. In some researches, recommendations for further related research are included (Kothan 1). Results and Discussion of Results. The cultures of the two countries differ. Anguilla’s culture is classified as open and tolerant. Tourists feel at home with the local residents (Miller 405). Since the nation’s major industry is tourism, the country invites tourists from around the world, especially those living in nearby countries, to swim in the many excellent beaches of the small Caribbean nation. Tourism entails offering a home away from home atmosphere to the tourists. Further, Somalia’s culture is classified as sea-related. The people are basically engaged in fishing. The majority of the people of Somalia comply with Koranic laws, as a predominantly Muslim country (Lewis11). Somalia continues to suffer from the ravages of tribal wars. Without a peaceful community environment, the businessmen would continue to fear for their lives. Consequently, many interested foreign investors would shy away from Somalia. The investors would rather invest their hard earned money in countries that are peaceful and conducive to business transactions. Furthermore, the two countries differ, in terms of politics. Anguilla is one of the United Kingdom’s self-dependent colonies (Green 405). Consequently, United Kingdom’s Queen Elizabeth is the chief of the Anguilla nation. The Anguilla governor is the local representative of Queen Elizabeth (Agency10).The Somalia government is a democracy. The citizens elect their local political leaders (Ibp USA 137). Demographics: Anguilla http://www.worldatlas.com/webimage/countrys/namerica/caribb/ai.htm The majority of Anguilla’s current economy is focused on tourism. Many tourists visit the beaches of Anguilla to bask in the sun’s sun tanning rays. The tourists love to personally witness the many tourist destinations with the small Caribbean nation. Next, the country includes economic inputs from other industries. The other inputs include revenues from offshore banking, lobster fishing, and contributions from the small nation’s emigrants. Statistically, 36 percent of the nation’s workers belong to the commerce sector. The service industry sector makes up the 29 percent of the total labor force. The construction industry sector hires 18 percent of the total work force (http://anguilla-guide.info). Further, the economic system in Anguilla before, during, and after colonialism is agriculture. However, Agriculture failed to generate enough profits. Consequently, the economy had focused on the tourism industry (http://anguilla-guide.info). Currently, the Anguilla economy is based on tourism, service, and construction industry. The tourism industry invites tourists to swim in the nations’ 33 white beaches. The beaches are spacious and unspoiled. The world class restaurants pamper the tourists with top quality food choices (http://www.gov.ai/tourism.php). Moreover, the major trading partner of Anguilla is the United Kingdom. Likewise, the other trading partners are Anguilla’s neighbors. Anguilla sells seafood products and salt to these countries (Ember 66). As of, the country’s gross domestic product (GDP) is $12,200 in 2008. The Nation’s GDP dropped to -8.5 percent during 2009 (http://www.theodora.com). The country’s 2005 gross domestic production is $0.10 billion (http://www.studentsoftheworld.info). In addition, Anguilla’s move to increase the country’s gross domestic production and gross national product will speed up Anguilla’s economy. With higher gross domestic product demand and gross national product demand, the companies increase the demand for workers. With the increase in the number of workers, more people will be able to buy the Anguilla stores’ products and services. With more sales demand, more stores will crop up in Anguilla. Anguilla sold popular agricultural products. Prior to the colonial period, the country grew cotton, sweet potatoes, and corn products. During the colonization, the country continued to grow the same agricultural products. In addition, the country introduced rum, cotton, sugar, fustic, and indigo products into the agricultural scene (http://anguilla-guide.info). Further, the nation’s colonial history affected the country’s economic class structure. With the dismal agricultural output, the colonists decided to stop the agricultural economy and left the country. The residents decide to shift from agriculture to the more viable tourism economy (http://anguilla-guide.info). Furthermore, Anguilla is a member of the Caribbean Community (CARICOM). The country is also a steadfast member of the Organization of Eastern Caribbean States (OECS). Anguilla is under the juridical authority of the Easter Caribbean Supreme Court. The country joined to group to increase its exports. Consequently, the joining helped increase the country’s economy (http://ec.europa.eu). Anguilla’s currency is the Eastern Caribbean Dollar. The currency is pegged on the U.S. dollar currency. Currently, each Anguilla fluctuating currency’s dollar value is $2.65 to each United States dollar (Henderson 208). Anguilla Currency: East Caribbean Dollar Eastern Caribbean dollar (http://www.gocurrency.com) Moreover, the above Anguilla currency is used by other Caribbean nations. Since pictures paint a thousand words, the above pictures show the coin contains the picture of United Kingdom’s Queen Elizabeth. The bills also contain the picture of Queen Elizabeth. As one of the colonies of the United Kingdom, Anguilla submits to the United Kingdom’s instructions to use the above East Caribbean dollar as its medium of exchange. Anguilla has an external debt. As of June, 1998, Anguilla had a total of U.S. $ 8.8 million loan (http://www.indexmundi.com/). Somalia (Ref: http://www.worldatlas.com/webimage/countrys/africa/er.htm). The very poor economy affects the country’s identity. Somalia’s economy is pegged on the agriculture sector. With its very poor agriculture economy, the country is also described as one of the world’s poorest and less developed nations (http://www.economywatch.com). Further, the majority of Somalia’s economy before, during, and after the colonialism is agricultural. Consequently, Somalia has not broken its poor and underdeveloped nation description. Somalia’s many years of internal wars and other unrest activities prevent the improvement of its economy (Seddon 478). In addition, the lack of adequate transportation prevented the country’s economy to escape its belonging to the current poorest nation economy group status (http://www.asclme.org). Currently, the country’s economic system is classified as agricultural. Somalia’s agriculture sector represents 67 percent of the country’s total economic inflows. The other meager industries include the 25.5 percent service sector, 8 percent industry sector, and the 5 percent manufacturing sector (http://www.iss.co.za). Somalia’s major trading partners are the United Arab Emirates, Djibouti, Oman, and Yemen. Somalia exports fish, bananas, charcoal, and scrap metal to these major trading partners (http://www.asclme.org). Somalia’s 2007 Gross Domestic Product (GDP) is 5.733 billion (http://www.economywatch.com). The nation’s Gross National Product (GNP) is $ 1.12 billion during 2005 (http://www.studentsoftheworld.info). In addition, the increase in the country’s gross domestic production and gross national product will improve the Somalia’s economy. With higher gross domestic products and gross national product statistics, the Somali stores increase their hiring of current and future workers. More workers will have salaries to buy the Somali stores’ products and services. With more sales demand, more stores will crop up in Somalia, increasing Somalia’s economy. Further, Somalia’s agricultural products are varied. The country’s major agricultural product is banana (http://www.studentsoftheworld.info). Somalia’s colonial history affected the country’s agriculture economic class structure. With the dismal agricultural output, the country’s residents are mostly hungry and poor (http://www.economywatch.com). Furthermore, Somalia joined the Organization of Islamic Conference (OIC) organization. The organization helps its member nations increase their economies. The organization promotes cooperation among its member nations, in terms of economic, social, scientific, and cultural affairs. Somalia’s joining the organization increases the country’s exports. The Organization of Islamic Conference (OIC) consistently promotes economic advantages, including exports, among its member countries (Hinkelman 133). Somalia Currency: Shilling (http://www.gocurrency.com/countries/Somalia) The country’s currency is the shilling (Graf 5). The above pictures show the designs of Somali’s paper bill money and coin. The coin contains the words Republic of Somalia. The symbols show that the Somali money is pegged on the U.K. currency. The Somali nation is in debt. As of 2010, Somalia’s external debt is $2.942 billion. The country’s 2011 external debt is $3.656 billion (World_Bank 116. The external debts are in stock loans. The country owes money from the International Monetary Fund (http://www.indexmundi.com/). Conclusion /Observation. Summarizing the above discussion, a country’s economy is characterized by the amount of demand and supply of the nation’s products and services. The Gross Domestic Products and Gross National Product statistical report of both Somalia and Anguilla are low. Both countries must increase their currently low quantity of agricultural and other products to its economic trading partners and country organizations. Both countries need the open support of other nations to uplift the poor economic conditions of the citizens. The Somalia and Anguilla’s demographic and other factors contribute to the current low economic statistics. Evidently, one nation’s favorable global transactions must include engaging in economic, cultural, and political ties with both Anguilla and Somalia, generating many advantages for all concerned nations. Works Cited: Books: Agency, Central Intelligence. The CIA World Factbook 2012. New York: Skyhorse Press, 2011. Print. Ember, Melvin. Countries and Their Cultures. New York: MacMillan Press, 2001. Print. Graf, Mike. Somalia. New York: Capstone Press, 2002. Print. Green, Richard. The Commonwealth Yearbook . New York: Nexus Press, 2006. Print. Henderson, James. Cadogan Guide Caribbean & the Bahamas. London: New Holland Press, 2005. Print. Hinkelman, Edward. Dictionary of International Trade. New York: World Trade Press, 2005. Print. IBP USA. Somalia Study Guide. New York: Internatonal Press, 2009. Print. Kothan, Carol. Research Methodology. New York: New Age Press, 2009. Print. Lewis, Loan. Understanding Somalia and Somaliland. New York: University Press, 2008. Print. Miller, Debra. Caribbean Islands. New York: Lonely Planet Press, 2005. Print. Seddon, David. A Political and Economic Dictionary . New York: Taylor & Francis Press, 2005. Print. World_Bank. The Little Data Book on External Debt. New York: World Bank Press, 2012. Print. Websites: Anguilla Economy, retrieved November 27 2012 from Anguilla, Government of Anguilla. Retrieved November 28, 2012 from Asclme. Agulhas and Somali Current Large Marine Ecosytems Project. Retrieved November 27, 2012 from Economywatch. Somalia Economy, retrieved November 27, 2012 Europa. Development and Cooperation, retrieved November 27, 2012 from Gocurrency. Eastern Caribbean Dollar. Retrieved November 27, 2012 from Go currency. Somali Currency. Retrieved November 27, 2012 from Info. Aguilla Economy. Retrieved November 28, 2012 from ISS. Somalia. Retrieved November 27, 2012 from Students of the world. Gross National Product. Retrieved November 27, 2012 from Students of the world. Somalia. 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