January 13, 2011

Black Flags and RPG's: Piracy continues to reveal massive problems, while the world misses the point.

The never ending attitude toward piracy off the Somali coast continues to astound me.  Somalia is a failed state with no government, no security, an antiquated economy undermined by climate change, no food supplies to feed its displaced population, and scares the hell out of aid agencies.  Yet we all talk about piracy as if that is the problem because piracy affects international trade.  Its obvious piracy is the consequence of desperate people living in a desperate situation, and if the global community cared about that situation, then we probably wouldn't have piracy.  If piracy continued to persist while the country developed, military intervention and security measures would make sense and probably have the desired outcome.

Everyday there is a constant deluge of absurd media generated about pirates.  Today CNN featured an article on ships containing a safe room to hide their crew while pirates run the show on deck.  They lock themselves in a bullet-proof room full of food and water and wait for help to arrive.  Or consider a personal favorite of mine, as BAE Systems develops a laser defense system to disorient would-be pirates from attacking with their AK-47s and RPGs.  There is also much fanfare over the development of a private military in Northern Somalia to police the waters and combat pirates.

In the meanwhile, the global economy loses anywhere between 7 and 12 BILLION dollars per year due to the impact and accumulated costs of piracy.   So yes, every one is losing money because some really poor men in rowboats are causing problems.

Perhaps one day, somebody, somewhere, will choose to invest a billion dollars into stabilizing the water supply or investing in the workforce of Somalia.  When more donors and nations realize the potential investment opportunity for such a geographically advantaged state,  perhaps they will consider investing in solutions rather than laser beams and naval fleets.  In that scenario, everybody wins, not just the pirates.