It's Lonely Being No. 1

Is there any hope for Somalia?

BY PAUL COLLIER | JUNE 18, 2012

Historically, modern states formed through centralization followed by inclusion. Localized proto-states competed for territorial control, leading to political consolidation and shared identities as people fought against a common enemy, be it the Vikings or the Huns. For embattled rulers, the key survival technique was to build a tax system to finance an army. Once the ruler had a tax system, he had an interest in growing the economy, which in turn called for basic economic infrastructure and the rule of law. At some point, provoked by this taxation, people came to demand political representation, and the state embarked on a long journey toward inclusivity. This is how modern Europe emerged, consolidating from thousands of proto-states into today's handful of modern states, all of which are more or less centralized and inclusive.

In Somalia, the West is putting the cart before the horse. The first step is decidedly not to build imitations of representative government. Rather, it is to encourage the emergence of monopolies of organized violence at the local level. Even without international support, this is already happening. Somaliland and Puntland are proto-states in Somalia's north, while the transitional government, in reality if not aspiration, is a proto-state around Mogadishu. Conforming to the history of state-building, these three proto-states do not like each other, and they have demonstrated it in armed clashes. But such competition can be healthy. It provides the impetus for taxation, which eventually provides the incentive for development.

This doesn't mean the international community should merely watch on the sidelines, letting Puntland build a revenue base from piracy. Outside countries can offer support through both substance -- helping build tax systems and making piracy less profitable -- and theater. But so far, aid to the fledgling government in Mogadishu has provided an incentive for Somalia to continue with sham institutions of statehood, while neutering the impetus to raise tax revenue. Somali authorities have become utterly dependent on external funding, thus underutilizing obvious sources of income such as control of the country's main port.

As for theater, recognition of the transitional government as the sovereign state for the entire territory of Somalia has given its leadership unrealistic pretensions, while denying the other proto-states the prospect of recognition and support. The overweening model of the modern state, realized in its Somali mock version, has deprived these proto-states of status among their own inhabitants. Rather than ignoring, and thereby implicitly mocking, these structures, the international community should bless them, conditional on a few basic features of the rule of law -- just like in medieval Europe.

Even with a smarter international approach, it will likely be decades before Somalia is governed by a state that is both centralized and inclusive. It took Europe centuries to emerge from the stateless mess that followed the collapse of the Roman Empire. Somalia could consolidate much more quickly, though, because unlike in medieval Europe there is a modern world out there to help and a road map for guidance. But as long as the international community tries to run history backward just because we approve of its end result, Somalia is likely to continue to top the list of failed states -- no matter how elaborate its political theater.

 SUBJECTS: DEVELOPMENT, SOMALIA, AFRICA
 

Paul Collier is professor of economics at Oxford University and director of its Center for the Study of African Economies.