Saudi Arabia  Economy heavily dependent on oil  Oil accounted for 90% of exports and 75% of revenue  Government attempting to develop other industries.

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Presentation transcript:

Saudi Arabia  Economy heavily dependent on oil  Oil accounted for 90% of exports and 75% of revenue  Government attempting to develop other industries  Somali piracy affects imports and exports  Unprecedented hijacking of the Sirius Star severely crippled Saudi exports  The carrier accounted for a quarter of Saudi Arabia’s exports – worth more than $100 million of oil

Foreign Relations  Maintains security and its paramount position on the Arabian Peninsula  Mediates regional crises and assists in Israeli-Palestinian negotiations  Supported the peaceful resolution of the Arab-Israeli Conflict  Provides water, food, shelter, and fuel for coalition forces in the region  Integral member in the Organization of Arab Petroleum Exporting Countries  Leading exporter of petroleum  Preserves stable and long-term market for oil through mutual cooperation and alliances with Western economies  Active member of the International Monetary Fund, the World Bank  One of the largest aid donors  Provides aid to various Arab, African and Asian nations

Saudi-Somali Relations  Strong bilateral relations  Saudi Arabia and Somalia both share a similar stand on foreign policy  Somalia receives military aid and monetary aid from Saudi Arabia, a wealthy and conservation oil-exporting country  Important trading and economic partner  Saudi Arabia offered Somalia a $70 million grant  Sold Somalia oil below prevailing international market prices  Saudi Arabia is one of Somalia’s major economic markets

Analysis of Situation Somalia Piracy Political Instability Absence of National Coast Guard Lack of Central Government Breach of Sovereignty Illegal Fishing Dumping of Waste Foreign Intervention Inadequate Support Yemen

Political Instability  Absence of National Coast Guard  The Somali Government collapsed in 1991 as a result of the Somalia Civil War  Led to disbandment of National Coast Guard and Somali Armed Forces  Compelled fisherman to assume to role of the coast guard through piracy  Evidenced from names taken by pirate networks – the National Volunteer Coast Guard  Exclusive Somali-waters remain unprotected

Political Instability  Lack of Central Government:  Fundamental statelessness of the country  Confusing legal system due to an attempt to incorporate various different ones  Inadequate education system  Literacy Level of 25%  Less than 1% in institutions of high learning; 7% in high school  Ineffective governing of the waters  Provides opportunities to criminals to carry out activities freely  Areas in Somalia are safe havens for pirates who are provided with weapons  Piracy seen as easy and lucrative opportunity

Breach Of Sovereignty  Illegal Fishing  Waters off Somalia’s coast teeming with varieties of Tuna – highly priced in international markets  The Marine Resources Assessment Group (MRAG) estimates a loss of $90 million every year due to illegal fishing; the United Nations Environment Programme (UNEP) raised the figure to $300 million  Depletion of fish in European waters force European vessels to locate other sources of fish  Representatives from French and Spanish fishing organisations reported as many as 40 illegal EU vessels in the Indian Ocean  Compels fishermen to turn to piracy to protect their waters

Breach of Sovereignty  Dumping of waste  Following the 2004 tsunami, allegations have surfaced that the waters off Somalia were illegally used for toxic waste disposal  The European Green Party reported that 10 million tonnes of toxic waste was exchanged for $80 million  Inhabitants around regions supposedly affected by nuclear waste experienced radiation poisoning  Waste renders waters impassable – forcing fishermen to turn to piracy

Foreign Intervention  Inadequate Support  Military escorts have effectively ameliorated piracy in Gulf of Aden  Pirates direct efforts to other parts of Indian Ocean as a result  Somali basin region extensive – requires a large amount of military intervention to curb piracy  Abducted ships are no where close to military support  The capture of Maersk Alabama

Yemen  Provision of Arms and Instability  UN Report found Yemen a primary source of weapons for pirates  Political upheaval leads to an increase in piracy – impedes shipping of oil through Suez Canal

Saudi Arabia’s Stance  Oil extremely crucial to Saudi Arabia’s survival  Piracy impedes shipment of oil – drastically affecting exports and economy  Recent capture of a major Saudi transport vessel demonstrates the severity of the situation  Saudi Arabia strongly supports international intervention and military aid in the region to curb piracy

Proposed Solutions Development and stabilisation of Somalia Enactment of anti- piracy laws and measures Increased military intervention and capability

Development and Stabilisation  Development of education system  Increases level of literacy  Raises the competency of workers in Somalia – would not turn to piracy  Setting up of a Somalia Education Fund (SEF) in collaboration with the Global Education Fund (GEF) – funded by Saudi Arabia and key UN Member States such as the US and India  Funding would be regulated to prevent misuse  Step-by-step development beginning with elementary school, then continuing on to high school  Estimated to last 25 years – Saudi Arabia would be integral in completing programme

Development and Stabilisation  Economic Development  Largely unexploited resources - iron ore, tin, gypsum, bauxite, copper, salt, natural gas  Ranked second in prospective oil-producing states by the UN and World Bank  Funding and expansion of the Trans-National Industrial Electricity and Gas Company  Job creation – prevents youngsters from turning to vice  Stimulation of economy  Training of the workforce in the fields of engineering  Development of the fishing, agriculture, livestock and mining industries

Military Support  Increased military intervention and capability  Expansion of Combined Task Force 150  Introduction of warships to improve response time and capability  Improved patrolling of waters in particular areas  Somali Basin  Gulf of Aden  Coastlines of Somalia and neighbouring regions  Division of waters into sectors  Quotas for amount of ships in sectors  Improves efficiency  Addition of fast-response frigate to allow quick strikes

Military Support  Restoration of the National Coast Guard  Warships and frigates provided by Combined Task Force 150  Navy to be trained and supported by already-present vessels in the vicinity  National Coast Guard would be trained during patrol and combat operations in efforts to curb piracy  Restoration over a fairly long period of time

Anti-Piracy Measures  Improvement of Regional Cooperation  Success of regional anti-piracy operation by Singapore in the Straits of Malacca – The Regional Cooperation Agreement on Combating Piracy and Armed Robbery against ships in Asia (RECAAP)  Facilitate the sharing of piracy-related information through an Information Sharing Centre (ISC)  Collaboration with the International Maritime Organisation (IMO) to improve cooperation within region  Reaffirm important regional agreements  Declare cooperation  Repress piracy and protect innocent vessels

Anti-Piracy Measures  Introduction of a Code of Conduct  Signatories commit themselves to sharing valuable information regarding the situation through information focal points and centres  Detain ships suspected of conducted illegal maritime activities  Arrest ships of individuals linked to piracy  Provide repatriation and care for people subjected to illegal pirate activities  Primary Goals Facilitate and improve communication Enhance the region’s capability to combat piracy Improve the awareness of the situation

Conclusion  Saudi Arabia would aid the international effort to intervene and curb the piracy in Somalia  International cooperation is pivotal to long-term success through coordination centres  Warships and maritime patrol vessels must be provided in addition to already-present ones – deployed to Indian Ocean and Gulf of Aden  Countries must work with the UN, the UN Security Council, the UN Political Office for Somalia and other nations  Ongoing support is essential to solution of the problem

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