Reports indicate that Somalia could have lost up to $1.5 billion as COVID-19 cases reach unprecedented levels.
The country confirmed its first COVID-19 case in March 2020. Since then, the numbers have spiraled out of control to the consternation of all Somalis.
The huge losses stem from the inability of the administration to collect revenue. Consequently, the country’s remittance has dropped by roughly 40 percent.
Further, the dwindling fortunes of Somalis in the diaspora have also worsened the situation. Remittances from the diaspora community have steered the local economy for ages.
COVID-19 has hit Somalis in diaspora hard. Several Somalis have died in the United Kingdom, United States, Canada, and Australia.
Somalia receives foreign remittances of up to $1.5 billion each year. With COVID-19 continuing to dry up the ability of diaspora Somalis to earn, the remittances will not be forthcoming.
Remittances from Somalis in diaspora exceed the foreign aid that the Horn of Africa nation receives each year.