Continuous Baseless Dollar Devaluation By Somaliland National Bank

[Deeq A.]

There are people who do not understand the difference between what they know and what they think they know.

It is bad when this kind of people are officially appointed to a position of paramount importance to national economy stimulus.

Somaliland national Bank does not principally and practically have the abiliy to regulate fluctuations of foreign currencies exchanges.

First the Bank is and evidently has been commercially idle and economically bankrupt since Somaliland secession. Second Somaliland citizens have do not deposit their money in Somaliland Bank. Third the Bank has no international commercial.relationships with the internationa foreign Banks.

Dollar is a powerful money in the management of economics. The devaluation of dollar, whether overt or covert, always hurts those who hold and have. It does not totally affect economically the country that
owns and controls it. Nor the local business men who import commodities from the outside. The consumers are the people who always suffer.

There is the expectation of a considerable decrease of the prices of consumable commodities, in the event that Somaliland shilling will move up, because of the wide exchange rate disparity between the dollar and the local currency. But the point must be made that this expectation is unrealisable of one variable – the failure of the government to monitor the commodity price in local markets.

Somaliland Bank officials are not very clear about the people they hurt and those they help these days with their continuous baseless dollar devaluation.

The cost of one cup of tea has not come down since the beginning of the year 2016. Statistically speaking the prices of all consumable commodities are still hiking up, giving the overall indication that there is no government institution that cares public welfare.

It is time for Somaliland Bank director to ask what sort of economy you intend to want to build.

Somaliland people, particularly those who depend on remittance from abroad, need a great budget, not a great burden.

By: Jama Falaag
Hargeisa, Somaliland.

Qaran News