The relationship between remittance and human development in Mogadishu — Somalia (2000-2009)

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Kampala International University, College of Economics and Management
The study investigated the relationship between remittance and Human Development in Somalia with the objectives of establishing the relationship between remittance and Social Development in Mogadishu and establishes the relationship between remittance and Household Poverty levels in Mogadishu. The study used a non-experimental case study design using quantitative and qualitative approaches on a sample size of 399 respondents who receive and do not receive remittance in Mogadishu capital city of Somalia. Data was collected using a questionnaire and was analyzed using graphs, frequencies, correlation, regression and t-test techniques. The study found that remittance had a significant positive relationship with social development and poverty levels and it predicted 31.7% of the variance in social development and 21.4% of the variance in poverty levels. There was a significant difference between those who received remittance and those who do not receive remittance in relation to human development indicators of social development and poverty. The study recommended that the government of Somalia should provide for microeconomic policies and other enabling environments relating to remittance and its utilization in accessing education, health services, improved income and employment creation. Other studies need to examine the influence factors such as political instability, insecurity, inflation rate, exchange rates and remittance policies and their influence on human development in Somalia.
A Thesis Presented to the School of Postgraduate Studies and Research Kampala International University Kampala, Uganda in partial fulfillment of the requirements for the Degree Master of Arts in Economics
Remittance, Human development, Mogadishu, Somalia